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NOT FOR DISTRIBUTION TO THE UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION
IN THE UNITED STATES 


AltaGas Ltd. ("AltaGas") (TSX:ALA)(TSX:ALA.PR.A)(TSX:ALA.PR.U) announced today
that its indirect wholly owned subsidiary AltaGas Power Holdings (U.S.) Inc. has
entered into a purchase and sale agreement with affiliates of LS Power Equity
Advisors, LLC to acquire Blythe Energy, LLC ("Blythe"), which owns a 507 MW
natural gas-fired combined cycle plant (the "Blythe Energy Center"), associated
major spare parts, and a related 230 kV 67-mile electric transmission line in
Southern California, for US$515 million (the "Acquisition"). 


"The Acquisition of Blythe is an important addition to our power business. The
power purchase agreement provides stable earnings and cash flow and with the
infrastructure in place today, the facility is well positioned to access two
premium power markets in California and Arizona in the future," said David
Cornhill, Chairman and CEO of AltaGas. "The addition of natural gas-fired power
generation to our energy infrastructure portfolio in the US provides another
platform for growth to meet the increasing demand for clean sources of energy." 


The Acquisition is expected to be accretive to earnings and cash flow per share
in 2014, the first full year of ownership, and is expected to add approximately
$50 million in incremental contracted EBITDA per year. 


In connection with the Acquisition, AltaGas has entered into an agreement with a
syndicate of underwriters, co-led by TD Securities Inc. and RBC Capital Markets
as joint bookrunners, under which the underwriters have agreed to purchase from
AltaGas and sell to the public 10,100,000 common shares at $34.90 per common
share (the "Offering"). The sale of the common shares will result in gross
proceeds of approximately $352 million, approximately $405 million if the
Over-Allotment Option defined and described below is exercised in full. 


The Blythe Energy Center is contracted under a Power Purchase Agreement ("PPA")
through to July 2020 with Southern California Edison ("SCE"). Contract
provisions match PPA revenues to all major plant costs. 


The Blythe Energy Center is well positioned upon expiry of the PPA in 2020 to
contract with other market participants due to its location and ability to serve
both the California Independent System Operator ("CAISO") and Desert Southwest
markets. The demand for cleaner energy sources, including natural gas, continues
to be strong across North America and is a key driver for potential future
growth of the Blythe Energy Center. Blythe is located on an owned 76-acre site
which provides a significant geographic footprint for potential future
expansion. 


Investment Highlights 

Strategic Fit 



--  The Acquisition fits with AltaGas' vision of being one of North
    America's leading energy infrastructure companies and aligns with
    AltaGas' strategy of adding stable, long life assets; 
    
--  The Acquisition is consistent with AltaGas' strategy of increasing its
    clean energy portfolio by adding gas-fired generation and enhancing
    power market and counterparty diversity; and 
    
--  It is expected that the Blythe Energy Center will provide a significant
    US geographic footprint for AltaGas' power business, with opportunities
    for future growth. 



Stable Cash Flows 



--  It is expected that the Acquisition will provide stable cash flows to
    further support both AltaGas' dividend and capital growth projects; and 
    
--  Cash flows are underpinned by the PPA with SCE. 



Description of the Asset 

The Blythe Energy Center is a natural gas-fired combined cycle power plant
located in Blythe, California. The facility employs proven Siemens technology
and has a low base load heat rate in the range of 7,000 to 7,500 Btu/kWh, low
emissions, responsive start times and flexible ramp rates. The facility is one
of the most economic natural gas generating facilities on the CAISO dispatch
curve. 


The facility is directly connected to Southern California Gas and interconnects
with SCE and the CAISO via a 67-mile transmission line. The transmission line is
capable of transmitting 1,100 MW and has excess capacity to meet future load
growth. 


The facility is also interconnected with the El Paso Natural Gas system and is
situated to re-connect to the Western Area Power Administration ("WAPA"),
providing market access optionality upon expiry of the PPA in 2020. 


The Blythe Energy Center is operated pursuant to an Operating and Maintenance
agreement with NextEra Energy Operating Services Inc. ("NextEra"). The initial
term of this agreement expires in November 2016. NextEra Energy Resources
developed, constructed and placed into service the Blythe Energy Center in 2003.



Acquisition Funding 

AltaGas expects the cash to close the Acquisition will be provided from a
combination of equity and debt, specifically from: (i) a portion of the proceeds
of the Offering;  (ii) AltaGas' existing credit facilities; (iii) future debt
and preferred share financings; (iv) a commitment for a new US$300 million
senior unsecured revolving credit facility from the Toronto-Dominion Bank and
the Royal Bank of Canada.   


The Acquisition will be financed consistent with AltaGas' current capital
structure. AltaGas will continue to maintain its strong balance sheet and
financial discipline and is committed to maintaining its investment grade credit
rating. 


Transaction Closing 

The transaction is subject to customary approvals including regulatory approvals
from the Federal Energy Regulatory Commission of the United States government,
and filings and approvals including the expiration or termination of the
applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements
Act of 1976. The acquisition is expected to close in the second quarter of 2013.



Common Equity Offering 

Pursuant to the Offering, AltaGas has agreed to sell, on a bought deal basis, an
aggregate of 10,100,000 common shares at a price of $34.90 per common share (the
"Offering Price") for gross proceeds of approximately $352 million. The common
shares will be offered through a syndicate of underwriters co-led by TD
Securities Inc. and RBC Capital Markets as joint bookrunners. AltaGas has also
granted the underwriters an option to purchase, in whole or part, up to an
additional 1,515,000 common shares at the Offering Price to cover
over-allotments, if any, for a period of 30 days following the closing of the
Offering (the "Over-Allotment Option"). If the Over-Allotment Option is
exercised in full, gross proceeds from the Offering will be approximately $405
million. 


The Offering will be used, in part, to fund the Acquisition as well as for
general corporate purposes and to support future growth initiatives, including
those related to AltaGas' energy export business conducted through its AltaGas
Idemitsu Joint Venture Limited Partnership. 


Completion of the Offering is not contingent on the closing of the Acquisition.
If the Acquisition does not close, the portion of the proceeds from the Offering
allocable to the Acquisition will be reallocated to the remaining purposes set
forth above. 


The common shares will be offered in all provinces of Canada by way of a
supplement under the Corporation's base shelf prospectus. The Offering is
subject to the receipt of all necessary regulatory and stock exchange approvals.
Closing of the Offering is expected to occur on or about April 4, 2013. 


This news release does not constitute an offer to sell securities, nor is it a
solicitation of an offer to buy securities, in any jurisdiction. All sales will
be made through registered securities dealers in jurisdictions where the
Offering has been qualified for distribution. The common shares offered are not,
and will not be, registered under the securities laws of the United States of
America, nor any State thereof, and may not be sold in the United States of
America absent registration in the United States or the availability of an
exemption from such registration. 


About AltaGas Ltd. 

AltaGas is an energy infrastructure business with a focus on natural gas, power
and regulated utilities. AltaGas creates value by acquiring, growing and
optimizing its energy infrastructure, including a focus on renewable energy
sources. For more information visit: www.altagas.ca.   


This news release contains forward-looking statements. When used in this news
release, the words "may", "would", "could", "will", "intend", "plan",
"anticipate", "believe", "seek", "propose", "estimate", "expect", and similar
expressions, as they relate to AltaGas or an affiliate of AltaGas, are intended
to identify forward-looking statements. In particular, this news release
contains forward-looking statements with respect to, among other things, the
anticipated benefits of the Acquisition, the closing of the Acquisition, the
closing of the Offering, the use of proceeds of the Offering, the maintenance of
its investment grade rating, business objectives, expected growth, results of
operations, business projects and opportunities and financial results. These
statements involve known and unknown risks, uncertainties and other factors that
may cause actual results or events to differ materially from those anticipated
in such forward-looking statements. Such statements reflect AltaGas' current
views with respect to future events based on certain material factors and
assumptions and are subject to certain risks and uncertainties, including
without limitation, changes in market, competition, governmental or regulatory
developments, general economic conditions and other factors set out in AltaGas'
public disclosure documents. Many factors could cause AltaGas' actual results,
performance or achievements to vary from those described in this news release,
including without limitation those listed above. These factors should not be
construed as exhaustive. Should one or more of these risks or uncertainties
materialize, or should assumptions underlying forward-looking statements prove
incorrect, actual results may vary materially from those described in this news
release as intended, planned, anticipated, believed, sought, proposed, estimated
or expected, and such forward-looking statements included in, or incorporated by
reference in this news release, should not be unduly relied upon. Financial
outlook information contained in this press release about prospective cash flows
and EBITDA is based on assumptions about future events, including economic
conditions and proposed courses of action, based on management's assessment of
the relevant information currently available. Readers are cautioned that any
such financial outlook information contained herein should not be used for
purposes other than for which it is disclosed herein. Such statements speak only
as of the date of this news release. AltaGas does not intend, and does not
assume any obligation, to update these forward-looking statements. The
forward-looking statements contained in this news release are expressly
qualified by this cautionary statement.


FOR FURTHER INFORMATION PLEASE CONTACT: 
AltaGas Ltd.
Investment Community
1-877-691-7199
investor.relations@altagas.ca


AltaGas Ltd.
Media
(403) 691-9873
media.relations@altagas.ca
www.altagas.ca

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