PRB Gas Transportation, Inc. Announces Expiration of Lock up Provisions on Common Shares Resulting from Conversion of Series A and Series B Preferred Shares.

DENVER -- Generates Additional Net Proceeds of $1.5 Million Through Underwriter's Exercise of Overallotment Option 

PRB Gas Transportation, Inc. (AMEX: PRB) today announced the expiration of the lock up provisions applicable to 3,838,000 shares of common stock which were issued upon conversion of the Company's Series A and Series B Preferred Shares. The lock up on these shares expired according to its terms because PRB's common stock has traded above $6.60 per share for 10 consecutive trading days during the lock up period. This expiration does not apply to the lock up in effect for the 912,000 shares of common stock owned by PRB's officers and directors, which includes shares issued upon conversion of their Series A and Series B Preferred Shares.

PRB also announced that Gilford Securities, Incorporated, the underwriter of the Company's Initial Public Offering, exercised its overallotment option in full and purchased an additional 300,000 shares of PRB common stock at the public offering price of $5.50 per share, less the underwriting discount. The overallotment shares were issued at the closing of the Initial Public Offering on April 15, 2005. Sale of the overallotment shares resulted in additional net proceeds to PRB of approximately $1,518,000.

PRB Gas Transportation, Inc. owns and operates intrastate natural gas gathering systems in the Rocky Mountain area. The Company presently owns approximately 200 miles of pipeline and is gathering coal-bed methane gas from more than 450 wells in Wyoming's Powder River Basin.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.