News Release

Oct. 29, 2009

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NEWS MEDIA CONTACT Cathy Garber Telephone: (505) 241-2811

PNM Submits Letter of Intent for Tres Amigas Project Transmission Lines

Albuquerque: PNM has announced its potential interest in building transmission for Tres Amigas’ recently announced project to connect the nation’s Eastern Interconnect, Western Interconnect and Texas Interconnect (Electric Reliability Council of Texas.) Earlier this month, the Santa Fe based company announced it will be developing a station that would be the first system to connect America’s three power grids.

“We believe this is an innovative concept and may create opportunities for economic development in the state of New Mexico and surrounding states,” says Pat Vincent-Collawn, PNM President. “It also has potential for direct benefits to our customers by making cost-effective new sources of energy available.”

PNM voiced its interest in the project in a letter of intention mailed to Tres Amigas on Oct. 28. PNM believes this project may help New Mexico take advantage of its ample renewable energy resources by enabling the state to export green energy to the Eastern and Texas grids. A location for the line has not yet been determined.

PNM is a subsidiary of PNM Resources, an energy holding company based in Albuquerque, N.M. PNM provides electric utility service to 497,000 customers in New Mexico. The company also sells power on the wholesale market in the West. PNM Resources stock is traded primarily on the NYSE under the symbol PNM. For more information, see the company's Web site at PNM.com.