Falcon Gas Storage Company Hires New Chief Financial Officer

Houston, TX, July 6, 2009 – Falcon Gas Storage Company, Inc. today announced the appointment of Antoine Lafargue as Chief Financial Officer.  Lafargue comes from Arcapita B.S.C.(c), Falcon’s largest shareholder and equity sponsor. 

Along with serving on Falcon’s board of directors for more than two years, Lafargue brings considerable experience in asset-based investments to Falcon’s financial team.  He will play a key role in developing and implementing long-term growth and business expansion plans for Falcon’s NorTex facilities and the MoBay Storage Hub, where plans are in place to obtain project financing later this year and be in commercial operation the second quarter of 2011.  “We are pleased to have Antoine join Falcon and serve in a far greater capacity as its Chief Financial Officer.  Antoine brings a wealth of knowledge to our business and we look forward to his arrival” said Jim Goetz, President of Falcon Gas Storage. Prior to joining the Arcapita team, Lafargue worked in the Leveraged Finance group at Bank of America in London and gained significant experience in financial and strategic advisory in the energy sector at Societe Generale and Credit Suisse/ Donaldson, Lufkin & Jenrette.  He holds master’s degrees in Finance from ESCP Europe and in Social and Political Sciences from IEP in France. 

About Falcon Gas Storage Company, Inc.

Through its wholly-owned subsidiaries and affiliated companies, Houston-based Falcon Gas Storage Company is one of the largest independently owned developers and operators of high-deliverability, multi-cycle (HDMC) natural gas storage capacity in the United States.  Falcon’s NorTex Gas Storage Company subsidiary owns and operates 35 Bcf of gas storage capacity with nearly 1.0 Bcfd of aggregate deliverability from Hill-Lake and Worsham-Steed.  Through its MoBay Storage Hub LLC affiliate, Falcon is developing a 50 Bcf HDMC gas storage project in southern Alabama with 1.0 Bcfd of injection and withdrawal capacity.  Falcon subsidiaries also are involved in crude oil production, including enhanced oil recovery; natural gas transportation, processing and NGLs production; and natural gas, crude oil and NGLs marketing and trading.  Visit Falcon at www.falcongasstorage.com

About Arcapita B.S.C.(c)

Arcapita is an international investment firm with offices in Atlanta, London, Singapore and Bahrain.  Arcapita operates four main lines of business:  corporate investment, venture capital, real estate investment, and infrastructure and energy investment.  Visit Arcapita at www.arcapita.com

jgoetz@falcongasstorage.com