Atlas Pipeline Partners, L.P. Closes Acquisition of Gas Gathering System.

Business Editors

PHILADELPHIA--(BUSINESS WIRE)--March 20, 2001

Atlas Pipeline Partners L.P. (AMEX:APL) (the "Partnership") announces that it has closed the acquisition of the gas gathering system of American Refining and Exploration Company located in Fayette County, Pennsylvania ("the System") for $900,000 in total consideration, consisting of $150,000 in cash and 32,924 common units of the Partnership, issued at a price of $22.78 per common unit.

Michael L. Staines, President and Chief Operating Officer stated: "We expect that, based on existing gas throughput, this acquisition will be immediately accretive to the Partnership's earnings. We also believe that there are more than 5 billion cubic feet of remaining proven and producing natural gas reserves contained in wells currently connected to the System. While the System is relatively small - approximately 20 miles of pipeline with 1.0 million cubic feet of natural gas throughput per day from traditional and coal bed methane wells - it is of strategic importance to us as it will provide an additional delivery point onto the Texas Eastern Pipeline, a major interstate gas transmission line. This System and delivery point will serve production from existing and new wells that we expect to be drilled in the area by one of our affiliates and other operators."

In a separate transaction, Atlas America, Inc., an affiliate of the General Partner of the Partnership and a wholly owned subsidiary of Resource America, Inc. (Nasdaq:REXI), closed its acquisition of American Exploration and Refining Company's producing oil and gas assets and mineral rights in Fayette County, Pennsylvania that currently are connected to the System.

Atlas Pipeline Partners, L.P. now owns and operates more than 1100 miles of natural gas gathering pipelines in western Pennsylvania, western New York and eastern Ohio. The Partnership is paid a fee for the natural gas volumes that are gathered and transported through its pipeline system from approximately 3,300 wells that are currently connected to its system.

Statements made in this release may include forward-looking statements, which involve substantial risks and uncertainties. The Partnership's actual results, performance or achievements could differ materially from those expressed or implied in this release as a result of certain factors, including competition within the energy industry, climactic conditions and the price of gas in the Appalachian area, actual versus projected drilling activity and volumetric production from wells connected to the Partnership's gas-gathering pipeline system, and the cost of supplies and services in the energy industry.