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WALL, N.J. – New Jersey Natural Gas (NJNG), the principal subsidiary of New Jersey Resources (NYSE: NJR), today filed with the New Jersey Board of Public Utilities (BPU) for an adjustment in the price of Basic Gas Supply Service (BGSS). The request for the adjustment is based on NJNG’s routine review of natural gas costs and would add approximately 5 percent to customers’ bills.

“We are resolute in our commitment to provide our customers safe, reliable and affordable natural gas service,” said Laurence M. Downes, chairman and CEO of NJNG. “Through our team’s expertise and effective natural gas purchasing strategies, we work to minimize the impacts of higher wholesale prices and market volatility by maintaining a disciplined focus on affordability.”

As a regulated utility, NJNG does not add any profit margin to the wholesale price of natural gas. Since NJNG’s last request for a BGSS price adjustment in December 2003, the wholesale price for natural gas on the New York Mercantile Exchange (NYMEX) has increased approximately 30 percent.

With the BPU’s approval, the price for a residential heating customer will increase from $1.0758 to $1.1328 per therm. The increase will add about $5.70 to the monthly bill of an average customer using 100 therms per month, amounting to $68.40 annually. If approved as filed, the request would be effective October 1, 2004.

NJNG’s customers save approximately 4 percent on their bills each year through the sales of unused pipeline capacity and natural gas when not required to serve the company’s core market. Margins from these off-system sales and capacity management programs offset a portion of customers’ costs and also serve to reduce exposure to higher market prices. Since their inception in 1992, these programs, which were developed in partnership with the BPU and the Ratepayer Advocate, have enabled NJNG to achieve over $225 million in savings for customers.

NJNG’s commitment to affordability was acknowledged this past year when the company received the highest score in the Eastern U.S. region in the Price and Value category in the J.D. Power and Associates 2003 study of customer satisfaction for residential gas utility service. “Customers rely on us for stable prices to plan their energy expenses, and we make every effort to meet their expectations,” Mr. Downes said.

Natural gas costs make up the majority of customers’ bills, with service delivery and other charges accounting for the rest. It has been over 10 years since NJNG last filed for a base rate increase for service delivery and other charges, while investing over half a billion dollars in new capital to meet the needs of system reliability and a growing customer base, including more than 117,488 customers added and 10,260 existing customers converted to gas heating from other fuels.

NJNG also assists customers with managing natural gas costs through the budget plan, energy assistance programs and conservation. Customers who opt to use NJNG’s budget payment plan can spread their annual gas costs over 12 equal payments. For customers facing financial hardship, there are several programs, including NJNG’s Gift of Warmth fund, which provide heating assistance for low-income households as well as those experiencing temporary difficulties, such as unemployment or illness. NJNG also offers ways to help make homes more energy-efficient, including low- and no-cost tips. More information is available by calling 1-800-221-0051 or visiting the NJNG Web site at njliving.com.

New Jersey Natural Gas (NJNG) is the principal subsidiary of New Jersey Resources (NYSE: NJR), a Fortune 1000 company and a member of the Forbes Platinum 400. NJNG is one of the fastest-growing local distribution companies in the United States, serving more than 450,000 customers in New Jersey’s Monmouth, Ocean, Middlesex and Morris counties. This service area’s demographics and quality of life contribute greatly to NJNG’s growth. NJNG’s progress is a tribute to the dedicated employees who have shared their expertise and focus on quality through more than 50 years of serving customers and the community to make the company a leader in the competitive energy marketplace. For more information, visit NJNG’s Web site at njliving.com.