New York, November 7, 2007—Shearman & Sterling represented certain affiliates of Fortress Investment Group LLC (Fortress) in the creation of a joint venture with EnergySouth Midstream, Inc. (ESMI), a subsidiary of EnergySouth, Inc., which entered into an agreement to acquire 100% of the limited liability company interests of Mississippi Hub, LLC (Mississippi Hub), a natural gas storage company, for approximately $140 million. Upon completion of the transaction, Fortress will own 40% of Mississippi Hub, and ESMI will own the remaining 60% interest of Mississippi Hub and be the exclusive operating entity for the development, construction and operation of the storage facility. The transaction is expected to close by the end of 2007, subject to closing conditions in the acquisition agreements.

Principal attorneys working on this transaction are Stephen Besen (NY-MA), Robert Freedman (NY-FG), Henry Robbins (NY-MA) and Cynthia Urda Kassis (NY-FG). Other Shearman & Sterling attorneys involved in the transaction include Don Lonczak (NY/WA-TX), Michael Sunwoo (NY-TX) and Jonathan Greenblatt (WA-LT). Legal assistant Natalie Pregibon (NY-MA) is assisting in the transaction.