ENERGY SPECTRUM ADVISORS INC.

Transcription

1 ENERGY SPECTRUM ADVISORS INC. Little Pine Resources Executive Summary Sale of Marcellus Shale Properties February 2012 EN ERGY SPECT RU M ADVISO RS IN C.

2 Transaction Overview Little Pine Resources ( LPR ), a privately held oil and gas company based in Dallas, Texas and Clearfield, Pennsylvania is offering for sale certain leasehold located in the dry gas window of the Marcellus Shale in Clearfield County, Pennsylvania (the Properties ) LPR has engaged Energy Spectrum Advisors Inc. as its exclusive financial advisor in connection with the sale or monetization of the Properties The majority of the Properties are part of a Joint Development AMI ( Project Area ) between LPR and it s partners EXCO Resources, Inc. and BG Group ( EXCO/BG ) (together with LPR, the Partners ). EXCO/BG has stated they will consider selling their Project Area leasehold in conjunction with a sale of LPR s properties Offers may be submitted for: LPR s ownership in the Properties, or The Partners combined ownership in the Project Area LPR and/or the Partners will consider selling 100% of its properties for cash or cash plus drilling carry (cash/carry) consideration 1

3 Location Map / Offset Activity Project Area EOG Energy Corp. of America EQT EXCO LPR / EXCO/BG EXCO Flatirons Rex / Williams Chevron LPR / EXCO/BG EQT Carrizo EQT Marcellus fairway map source: Energy Tribune 2 Carrizo Range Range

4 Executive Summary Key Considerations Opportunity to acquire/develop contiguous leasehold position in the Marcellus fairway (22,499 gross acres / LPR 4,676 net acres / EXCO/BG 16,213 net acres) Exploration Agreement gives LPR the right to propose new wells and the opportunity to operate and absorb leasehold interests if EXCO/BG elect not to participate in a proposed unit Limited near-term lease expirations (76% expiring in 2015 or after) / five-year extensions available on most of the leases Encouraging well results from offset operators EOG and Rex/Williams, and increased activity from EQT, Carrizo, Energy Corp. of America, Range Resources and Chevron 80 square miles of multi component 3-D seismic data recently acquired and currently being processed Two wells permitted by EXCO/BG in the Project Area with plans to be drilled in 2012 Major interstate pipeline bisects the leasehold position 3

5 Sale Process Timeline Next Step: If you would like to review the Confidentiality Agreement, receive the Sales Memorandum and access the Virtual Data Room, please do one of the following: (1) Visit our website at and click the Access Confidentiality Agreement and Virtual Data Room link, or (2) If you received an regarding this deal, click the Access Confidentiality Agreement and Virtual Data Room link For any questions regarding the CA or Virtual Data Room, please contact BJ Brandenberger or Kevin Kuenn (refer to following page for contact information). Sale Materials Available February 6 Virtual Data Room Opens February 6 Final Offers Due March 6 (noon CST) Projected PSA Execution March 20 Projected Closing April 17 Effective Date of Sale March 1 February Monday Tuesday Wednesday Thursday Friday Saturday Sunday March Monday Tuesday Wednesday Thursday Friday Saturday Sunday April Monday Tuesday Wednesday Thursday Friday Saturday Sunday Vitrual Data Room Open Virtual Data Room Open Virtual Data Room Open Virtual Data Room Open Final Offers Due Sign PSA Projected Close 23/

6 Contact Information Please direct all inquiries to the Energy Spectrum team for this transaction: Jim Benson Managing Partner (214) BJ Brandenberger Vice President (214) Kevin Kuenn Vice President (214) Damian Wells, P.E. Senior Vice President (214) EN ERGY SPECT RU M ADVISO RS IN C Sherry Lane, Suite Dallas, TX (214) Fax: (214)