Large Acreage Positions, Drilling Prospects, Producing Properties, Development Projects (NonOp WI), Overrides & Mineral Rights For Sale or Leases

Transcription

1 /deals Marketing & Transactions Deals For Sale September 13, 2011 Large Acreage Positions, Drilling Prospects, Producing Properties, Development Projects (NonOp WI), Overrides & Mineral Rights For Sale or Leases

2 South Texas Sale Package Stable Production SOUTH TEXAS SALE PACKAGE 33 Producing Wells; 9-PUDs; 1- SWD. FRIO, DIMMIT, WILSON, SAN PATRICIO ATASCOSA, MATAGORDA & NEWTON AUSTIN CHALK & OLMOS PEARSALL, KYOTE, GOOD LUCK Some Eagle Ford Rights. Maintenance & ReCompletions Possible ~142 ~96% OPERATED WI; ~77% NRI BOED Gross Prod: 97 BOPD & 307 MCFD Net Prod: 84 BOPD & 280 MCFD Avg 2011 Cash Flow: ~$215,000/Mn 9-Proved Undeveloped Locations Core Assets- Stable To Flat Production Leases May Be Purchased Separately REVIEWING OFFERS. PP 4752 ACTIVE FOR SALE PP / NonOperated WI For Sale For additional information, contact PLS transactions team at (713) PRIVATE SELLERLER Frio, Dimmitt, Wilson, San Patricio, Newton, Atascosa, Matagorda Co. Pearsall, Kyote, Good Luck Olmos & Austin Chalk Production South Texas Sale Package Highlights g Executive Summary Frio, Dimmitt, Wilson, Stable and predictable Kona Oil Pearsall, & Gas Properties Kyote, Good et al, Luck through its operations affiliate, Spur Operating Co., San Patricio, Newton, production Atascosa, Matagorda Co. Inc., Spur, in San Olmos Antonio, & Austin TX have Chalk retained PLS Inc to market their interest in 39 wells (33 Additional upside possible producing, 6 shut-in (3 temporarily Production abandoned) and 1 SWD) in eight (8) South Texas Counties Mostly Oil (~85%) including Frio, Dimmitt, Gonzales, Wilson, San Patricio, Matagorda, Atascosa & Newton Co.). Diverse package; age; On an area basis, these properties are located in well known fields such as Pearsall Mostly oil (75%) (Navarro/Austin Chalk/Buda Lime); Kyote (2 Lses); Good Luck, (2 Wells); Peach Creek, (2 Wells); Production from Olmos, Cindy Ann (Austin Chalk); Harvey 14B (San Patricio); Mellon (Matagorda Lse); South Pruitt Austin Chalk, Wilcox, (Escondido) and Brookeland (Austin Chalk )in Newton Co., TX. Escondido and Buda Lime Altogether these leases cover 5, gross acres and most of them come with 100% Workover & Recompletion operated WI; high net revenues interests of 75.0%-79.3%. Only the Good Luck wells (2x; 42- Opportunities 58% WI) and the Harvey #1C (30 net boepd) lease come with less than a gross 75% interest. In total the package includes current gross production of 97 BOPD and 307 MCFD or Gross Production: a net production of 131 BOEPD. On a cash flow basis the assets reported operating income of 97 BOPD & 307 MCFD ~$215,000/Mn. Net Production: on: The Seller seeks to sell these assets on a negotiated basis with preemptive offers welcome 84 BOPD & 280 MCFD through late August. In addition, the Seller has 33 a preference Producing to sell Wells; the package 1- SWD to one buyer, 2011 Cash Flow: but will consider offers on a field level basis as long as the process yields a total exit from ~$215,000/Mn South Texas. AVG 96% OPERATED WI; ~77% NRI Gross Production: 97 BOPD & 307 MCFD Field Summary as of May AVG Cash Flow: ~$215,000 Field County Net Net Net (Formations) (TX) Lease Acreage Bopd Mcfd Stable Boepd to Flat Production Comments Austin Chalk 17,500 Ft Brookeland (Upside) Newton 2 Lses; 2 Wells 1, Single Laterals Cindy Ann Wilson 1 Well Austin Chalk 7,700 Ft Good Luck Dimmitt 2 Lses; 2 Wells ~3 0 ~3 San Miguel 5,600 Ft Wilcox, 9,100 Ft; PDNP Harvey (Behind Pipe) San Patricio 1 Well ~ Upside Behind Pipe 2 Lses; 15 Divestment Significant Services Upside; Kyote (Olmos)(9-PUDs) Frio Wells ~3.5 0 ~3.5 9 PUD Locations Mellon Matagorda 1 Lse <1 115 ~19.5 Austin Chalk 8,350, Ft.; ; Peach Creek Eagle Ford Rights; Hot Area; (Significant Upside, Gonzales 2 Lses ~5 ~7 ~6 3-D Seismic; $2,000-$3,000/ Eagle Ford Opportunity, Acre; EOG; Forest PVA Chalk Laterals) Active; New Austin Chalk Laterals 5 Lses; 14 Pearsall Frio Wells; 1 SWD 1, ~100 ~47 Chalk Buda Lime; Navarro South Pruit Atascosa 1 Well ~1.5 0 ~1.5 Escondido TOTAL PRIVATE SELLER All Standard Disclaimers & Seller Rights Apply. Eagleford Shale Offered by Champion Exploration & Hat Creek Energy Olmos, Escondido, Austin Chalk, Eagle Ford & Buda Possible Pearsall Shale New E Bench Play Solid Resource Potential. 2 Acreage Blocks. ~8,700 Acres & ~2,800 Acres. Eagle Ford Shale: 5,800-6,500 Ft. Offset E-Bench IP: 1,000 BOPD South Central & East Central Frio County, TX Seller Seeks 2/3rd Partner to Drill and Operate Frio Co., TX Prospect Eagle Ford Window FRIO CO., TX PROSPECT ~11,500-Acres. 2- Acreage Blocks. EAGLE FORD OIL WINDOW E-BENCH POTENTIAL Buda, Austin Chalk Also Possible Olmos & Escondido Formations. PEARSALL SHALE Eagle Ford Shale Lies: 5,800-6,500 Ft. 65- Offset Buda Lime IP: 1,000 BOPD Seller Owns All Rights Individual Well Estimates: MBO SELLER SEEKS PARTNER TO DRILL WANTS 3 WELL COMMITMENT L 6553 For additional information on this deal, contact PLS transactions team at (713) L 2

3 PEBA Oil & Gas Barnett Combo NonOp Pkg Producing Property Barnett Combo Project Is Under EOG Operations Barnett NonOp Package Montague Co., TX Additional Drilling Opportunities Present MONTAGUE CO., TX PACKAGE ~70 Wells Gross Acres. BARNETT COMBO Majority Of Acreage Is HBP. Additional Drilling Opportunities Present. Project Is Under EOG Operations. Up To 12.5% NonOp WI; 75% NRI Gross Prod: 647 BOPD & ~17 MMCFD Net Prod: 25 BOPD & 446 MCFD 3/11 Net Cash Flow: ~$115,000/Mn EOG IS OPERATOR PP 6983RR PP NONOP CASH FLOW $115,000/Mn ON GOING DRILLING ~48-Active Wells. ~6,000-Acres. Majority Of Acreage Is HBP. Up To 12.5% NonOp WI; 75% NRI. Also Varying ORRI Included. Gross Prod: 1,160 BOPD & ~24 MMCFD. For additional information, contact PLS transactions team at (713) Empressa Energy Bienville Acreage BIENVILLE PH., LA ACREAGE 4,~2,912-Gross / ~2,400-Net Acres. LAKE BISTINEAU & WOODARILLE Haynesville & Bossier Shale Haynesville Depths > 16,000 Ft Most Sections Contiguous. Signifi cant Haynesville Activity To West. D&C Costs: $8.5-$9.0MM EUR/Well (Haynesville) 6-7 BCF (QEP) Offset by Questar, Petrohawk & Energen SEE PLS VIRTUAL DATA ROOM L 5645 L Bienville Parish, LA 3 to 5 Year Leases Bienville Ph., LA Acreage ~2,912 Gross / ~2,400 Net Acres. Most Sections Contiguous. ~2,912-Gross ~2,400-Net Acres Significant Activity To West Land & Acreage Significant Activity To West. PLS Is Assembling Data For additional information, contact PLS transactions team at (713)

4 Delaware Basin Projects High Impact Emerging Resource Play BIG CHANNEL PROSPECT PECOS CO., TX PROJECT WEST TEXAS WOLFBONE PLAY. 62,000 Net Acreage Position. DELAWARE BASIN MULTIPAY AVALON SHALE & BONE SPRING Also Middle Wolfcamp Shale/Carbonate, Middle Wolfcamp Conglomerate, Brushy Canyon, & Shallow Devonian. MULTIPLAY Acreage Position Can Be Expanded Cross Sections & Halliburton Analysis Est Well Reserves: MBO --OFFER PENDING ON THIS ACREAGE L 5353 UNDER CONTRACT For additional information, contact PLS at (713) MUY GRANDE PROJECT WEST TEXAS WOLFBONE PLAY 3-Well Carry To The Buyer. DELAWARE BASIN REEVES CO., TX. 9,516 Net Acres & 3,440 Gross Aces AVALON SHALE, Brushy Canyon, BONE SPRINGS, Wolfcamp Shale. Operator May Elect To Acquire 3-D Seismic. NONOP 15% NonOperated WI; 11.25% NRI WI First Two Carried Wells Permitted First Well Down To 6,500 Ft & Drilling Bone Springs Could See: MBOE Avalon Shale: MBOE 5551PP Industry s Latestt New Play Emerging Resource Play In ad cludes a ally lies w Channel well abo velopme Wells dri the Dela Base age run The organic tectonic a cappin increase (Hovey a points, a organic- wh rock, off tecto to stay i Big Cha NonOperated WI Reeves Co.,, TX 63,440-Gross Acres 15% NonOperated WI Includes 3 Well Carry All Seller Rights Retained & All Standard Disclaimers Apply. Pecos Co.,, TX MultiPay OpS Opportunities Spo SOr 62,000 Acres, SO SOL ppo pool OLD 100% Operated WI Permian Basin Projects High Impact Resource Plays Operated WI & NonOperated WI Still Available MultiPay Opportunities Down To 12,000 Feet Exploration Advisors Operated WI and Sandstones 12%-14% Porosity Base Middle Wolfcamp Conglomerate: 9, ,000 Proven Conventional Producers 500, ,000 BO/Well Shallow Devonian Debris: Rich Chert, Shale, Debris Conglomerate Between Devonian and Woodford Shales. Economic, liquid rich-target depth 6,500-11,000 16%-20% Porosity 1,000 ohms + Rt High Value (2) Large Projects Granite Wash Project >50 Well Potential Granite Wash - 3 Prospects OK Granite Wash Project ~10,000 Acres; 3 Test Wells Total Vertical Depth ~12,500 ft >50 Well Potential 100 % OPERATED WI; >80% NRI Comanche, Washita, Beckham Co., OK Granite Wash, Springer, Marchand Granite Wash Thickness: Up to 150ft OKLAHOMA GRANITE WASH 12,400 Acres; 3 Test Wells. WASHITA, BECKHAM & COMANCHE Liquids Rich Area & High BTU Granite Wash, Springer & Marchand 1,200 ACRES Granite Wash Thickness: Up to 150 Ft GRANITE Total Vertical Depth 10,000-12,500 Ft 100% OPERATED WI; >80% NRI >50 Well Potential. Expected EUR BCFe Per Well Offset by CHK, Apache, Marathon E SAYRE UNDER CONTRACT 4624PPV WASH Expected EUR BCF/E Per Well For additional information, call PLS transactions team at (713)

5 West Texas Leases Delaware Basin REEVES CO., TX PROJECT 9,690 Gross Acres & 9,163 Net Acres. SOUTHERN DELAWARE BASIN Avalon Shale & Bone Springs ---Offset Petrohawk and Clayton Williams On Majority of the Acreage Year Primary w/ 2 Year Kickers Day Continuous Development SELLER IS NEGOTIABLE ON TERMS L 5390 MIDLAND BASIN ACREAGE FOR LSE 45,000-Gross Acres. 28,000-Net Acres. TERRY & LYNN CO AVAILABLE GAINES and DAWSON ACREAGE Wolfberry & Wolfcamp Shale Targets. Mississippian Potential TERRY HAS NET 11,400 Acres LYNN CO., TX HAS 2,567 NET ACRES 3-Year primary Term w/ 2-Year Kicker. Seller Expectations In Line w/ Market SELLER BROKE UP PACKAGE L 5812 OFFER PENDING L L Energen Spends $100MM in the Big Tex Energen purchased > 40,000 acres in Loving, Reeves, Ward & Winkler ($110MM) and has identified 62 drilling sites in the 3rd Bone Spring play at vertical depths of 10,500-11,500 ft. The typical Bone Spring well has EUR s of MBOE. Whiting s Big Tex Prospect Whiting has accumulated 83,000 acres in Pecos, Reeves & Ward Co. Whiting has completed >10 vertical wells in the southern Delaware Basin. Petrohawk jumps in Petrohawk has announced an acquisition of 325,000 net acres in the Permian at a cost of $1,400 per acre. 70% of the acreage is in the Delaware Basin including Reeves Co., TX. Clayton Williams executes JV with Chesapeake The deal with Chesapeake gives us a substantial position in the Wolfbone, said Williams. The developing play produces from the Avalon Shale, Bone Spring and Wolfcamp from 8,000 to 13,000 ft. Williams is moving 6 of the 10 rigs he has operating to Reeves County. Clayton Williams notes we are shifting half of our operations South of Pecos, TX to focus on Wolfbone. Reeves Overview Southern e Delaware Basin Avalon Shale a & Bone Springs Offset Petrohawk and Clayton Williams on Majority of the Acreage Reeves County Prospect Double Eagle Development Source: Mobilis Inc. LESSOR/ASSIGNOR SECTION TRACT GROSS INT. NET OPTION OPTION ACRES ACRES EXP. ($) Block 55, T-7, T&P RR Survey VE&D (Exp. 07/08/14) 22 ALL N/A VE&D (Exp. 07/08/14) 28 All N/A Moore Family (Exp. 07/01/14) 40 All /1/16 $750 Block 55, T-8, T&P RR Co. Survey TX-CO (Exp. 06/17/14) 9 All /17/16 $750 Moore Family (Exp. 07/01/14) 11 All /1/16 $750 Block 13, H&G.N.R.R. Co. Survey Wildhorse (Exp. 01/15/14) 308 ALL /15/16 $600 Wildhorse (Exp. 01/15/14) 234 E/ /15/16 $350 Moore Family (Exp. 07/01/14) 46 E/2 & SW/ /1/16 $ All /1/16 $ All /1/16 $ All /1/16 $ SE/ /1/16 $ All /1/16 $750 N/2, 2 SE/4, NW/4SW/4 49 & NE/4SW/4SW/4 E / /1/16 $ Part of W/ /1/16 $ W/ / /1/16 $ part of SW/ /1/16 $ N/2 SE/ /1/16 $750 Block 71, Public School Lands Home For Aged Masons (Exp. 6/23/14) 49 East /23/16 $500 Block C-10, Public School Lands Moore Family (Exp. 07/01/14) 8 All /1/16 $750 TOTAL 9, , Petrohawk has permitted a key well, the Herrington #1H Concho has an effort under way including the Big Chief well XTO (Exxon) is drilling & completing a key well on the La Escalera Ranch Clayton Williamns continues to permit new Southern wells, 11 rigs Delaware running Basin Avalon Energen Shale plans to & double Bone the Springs rig count in the Delaware Basin Whiting announced some updates on the Big Tex prospect (788 Boepd) says Raymond James Whitings first HZ Wolfbone came on line at 788 Boepd (92% oil) in Pecos Co., TX Resolute makes a move into the basin acquiring 7,900 Acres; 11 wells to drill All Standard Disclaimers & Seller Rights Apply Reeves County, TX Project 9,690 Gross Acres & 9,163 Net Acres 100% Operated WI; 75% NRI For additional information on this deal, contact PLS transactions team at (713) New Opportunity Offset Petrohawk and Clayton Williams on Majority of the Acreage 3-Year Primary With 2-Year Kickers Bakken Ross & Parshall Fields Bakken & Three Forks PRIVATE SELLER Mountrail County Bakken Leases Mountrail County, ND Offset Operators: Brigham & EOG North Dakota Acreage Bakken/Three Forks NORTH DAKOTA BAKKEN LEASES ~15,540 Net Acres. MOUNTRAIL COUNTY Ross & Parshall Fields Bakken & Three Forks 100% OPERATED WI; 80% NRI Bakken Area IPs 500-1,300 BOPD Individual Well EURS >500 MBOE Offset Operators: Brigham & EOG Reasonably Priced. L 4601 L ~15,540 Net Acres. Area IPs 500-1,300 BOPD (Bakken). 100% OPERATED WI; 80% NRI. EURS > 500 MBOE Per Well. Offset Operators: Brigham & EOG For additional information on this deal, contact PLS transactions team at (713)

6 ard Disclaimers Apply. Wind City Oil & Gas Oil Package + Marcellus Acreage 2 Deals! For Sale MCKEAN CO., PA PROPERTY 137 Producers; 5,500-Acres. BURNING WELL FIELD PP SHALLOW OIL & GAS BRADFORD PRODUCTION. ~2,600 Ft. MINERALS INCLUDED WATERFLOOD POTENTIAL 100% OPERATED WI; 87.5% NRI 50 Gross Production: 57 BOED Net Production: ~50 BOED Net Cash Flow: ~$90,000/Mn Net Proved Reserves: 690 MBOE 81 PUD Locations Identifi ed Net Proved PV10: $12,300,000 NSAI RSRV REPORT AS OF NOV. 08 New Well Costs: $100,000 PP 4640WF BOED MARCELLUS ACREAGE FOR LEASE ~3,500 Acres. POTTER & TIOGA COUNTY Marcellus & Utica Shale Initial Production (IPs) MMCFD READY TO DRILL EURs; BCF/Well Active Permitting and Drilling Nearby Offset by: Penn Virginia, SM Energy, Ultra Resources, Seneca, EQT PACKAGE READY AUGUST 2011 PREPARING PKG FOR THIS ACREAGE. L 4801 L MARCELLUS McK Burning We ll Field McKe an County, PA Sale Package 100% RI Gross Production: 80 Boepd 3 mn. Av g. NetCF; ~$65,000/mn New We llafe: $100,000 NSAI Reserve Report Av ailable Devonian Production: (2,600') Net Proved Reserves: 690 Mboe Net Proved PV10: $12.3 MM For additional details, call PLS transactions team at (713) NonOp WI Offshore High Volume Oil Production ghts 680 BOED 2%); 75% NRI es serves: d: $35.17MM rkover Q MM s Net Proved Reserves: 1,942 MBOE Net Proved PV10: $35 NSAI Report Available Eugene Island, High Island, Ship Shoal, West Delta 3-52% NonOp WI Summary Gulfsands Petroleum (AIM: GPX) owns a portfolio of non-operated oil erties located in the shallow shelf region of the GOM, offshore Texas and L The assets comprise 34 leases containing 20 producing fields; workin range from 3% to 52%. Net Production for 2011 is expected to average 680 BOEPD (60% oil) w generated reserve report illustrating total proved reserves of 1,942 MBOE ated PV10 value of $35,172,800. Need A Title Source: PLS Global M&A Database / /ma Net Summary Curve Oil Gas GULF OF MEXICO SALE PACKAGE NonOperated Working Interest Offshore 41 PDP. 34 Leases. 16,818 Net Acres. EUGENE ISLAND & HIGH ISLAND, Vermilion, East & West Cameron, Ship Shoal & West Delta Platforms PP EUGENE New 3-D Shot Over Eugene Island 32 ISLAND 32 Drilling/Workover CAPEX Scheduled Q4 11 STILL AVAILABLE 3%-52% NonOperated WI; 75% NRI 2/3 OF PKG Net Production: 680 BOEPD (60% Oil) UNDER CONTRACT Immediate Workovers & Exploitation 2010 Operating Cash Flow: $7,256,000/Yr Net Cash Flow: $ K Month Net Proved Reserves: 1,942 MBOE Substantial PDNP Reserves Net Proved PV10: $35,172,800 PP 4431 ) Source: PLS Global M&A Database / /ma All Seller Rights Retained & All Standa Well Count For details, call PLS transactions team at (713)

7 Acreages For Lease 2 Marcellus Shale Deals MARCELLUS ACREAGE FOR SALE ~584 Acres; 9 Parcels SUSQUEHANNA COUNTY Herrick, Gibson, Clifford, Greenfi eld MARCELLUS SHALE Marcellus Shale ~300 ft Thick 100% OPERATED WI; 85% NRI IPs To The West > 18 MMCFD 5 Year Leases Taken Q Tennesee Gas Pipeline ~0.5 Miles Away EURs ~5-6 BCF/Well Offsets: Hess, EQT, Cabot, Southwestern SELLER ALSO HAS PKG IN WYOMING CO 4684L MARCELLUS WYOMING CO., PA ACREAGE ~1,383-Acres For Lease or Farmout. TUNKHANNOCK TOWNSHIP MARCELLUS SHALE 100% OPERATED WI; 80% NRI Close To Major Roads; Easy Access Near Large Water Source Williams Pipeline Runs Through Acreage Offset by Chief, Citrus, CHK & SWN GO TO PLSX.COM FOR DEAL ROOM 4744L MARCELLUS INFRACSTRUCTURE IN PLACE Offset By Chief, Sitrus, CHK & SWN Marcellus Shale Acreage For Sale ~1,383 Acres. Close To Major Roads; Easy Access. 100% Operated WI; 85% NRI. Near Large Water Source. Williams Pipeline Runs Through Acreage. For Sale Wyoming Co., Pennsylvania Tunkhannock Township MOTIVATED SELLER Offset Operators: Hess, EQT,, Cabot, SWN Marcellus Acreage For Exploration Sale Advisors ~584 Acres; 9 Parcels. Marcellus Shale ~300Ft Thick. 100% Operated WI; 85% NRI. Tennesee Gas Pipeline ~.5 Miles Away. EURs ~5-6 BCF/Well. For additional details, call PLS transactions team at Susquehanna Co., PA Herrick, Gibson, Clifford, Greenfield Marcellus Shale (713) Bakken Shale Prospect Stacked Oil Pay Zones Texas Upper Gulf Coast Eagle Ford DANIELS CO., MT PROSPECT 50+ Potential Wells. ~10,000-Acres. 14 STACKED OIL PAYS Obj 1: MCGOWAN 6,200 Ft. Obj 2: Mission Canyon. 6,400 Ft. Obj 3: LODGEPOLE. 8,000 Ft. Obj 4/5: BAKKEN & THREE FORKS Obj 6/7: Nisku & Deeper Pays 100% OPERATED WI; Mostly 83.5% NRI 3-D MULTI PAY OPPORTUNITIES 28-Sections 3-D Seismic Available. Wells Planned For This Year. Est Well Reserves: 300 MBO -1.0 MMBO Est Project Reserves: MMBO Est Bakken Reserves: 10 MMBO DHC: $1,600,000; Compl: $2,500, L OIL SHORT FUSE EAGLE FORD SHALE ACREAGE 7,788-Gross/Net Acres. WALKER CO., TX Eagle Ford +800 Thick. ~14,000 Multiple Objectives Possible. Austin Chalk, Eagle Ford, Buda, Dexter, Georgetown, Edwards, & Glen Rose. Proposed Total Depth: 19,000 MD L/ EAGLE FORD Range Permit Next To Acreage-- --Just Spudded Well 5/31/11 Area Surrounded By Independents. NO FORESTRY ISSUES ALL PRIVATE LAND New 3-Year Lease w/ 2-Year Kicker. L 6639 ACREAGE OFFSETS RANGE RESOURCES PLS Marketing & Transaction arm has been maximizing these opportunities since 1987, handling over $3.0 billion in asset sales. Get it sold through PLS, call (713) or drill 7

8 Frio County, TX For Sale or Industry Trade Obj 1: Eagle Ford. 7,000 Ft. Obj 2: Austin Chalk. 6,800 Ft. Drilling Opportunities & Acreage Plays Negotiated Deals COTTON VALLEY LEON CO., TX PROSPECT Multi-Well Potential COTTON VALLEY REEF DINKINS Cotton Valley & Bossier Possible. Structurally High Prospect. 3-D Seismic & Core Samples. Closed Structure Targeting Porosity & Permeability. Estimated IP: MMCFD Offset (CV) Field: Cum d 5.6 BCFe Bossier (2 Wells) Field: 1.3 BCFe DHC: $8-$10MM: Compl: $10-$12MM 3593 HAYNESVILLE LEASE ACTIVE/FOR SALE EAST TEXAS LEASEHOLD ~10,500 Gross Acres; ~4,720 Net Acres. HAYNESVILLE & BOSSIER NACOGDOCHES, SHELBY & SAN AUGUSTINE Multiple Target Potential. 3 Year Leases + 2 Year Option. Majority Of Tracts In Shelby County 100% OPERATED WI. 75% NRI Surrounded By Large Independents. Bossier Reserves: 5.5 BCF/80 Acres VISIT DATA ROOM FOR MORE INFO 5753L WILCOX ZAPATA CO., TX PROSPECT 8-Possible Wells. 3,600 Acres. FANDANGO & EL SEGUIDO TWO SAND PACKAGES Upper Wilcox Channel Sands Play Additional Deeper Turbidite Sands. 13,000-15,000 Ft & 18,000-20,000 Ft Subsurface Geology. 3-D Seismic 1,400 Acre Seismic Amplitude 100% OPERATED WI. 74% NRI Potential Wilcox: 25 BCF/Well Wilcox Drains: 160 Acres. Targeting 200 Ft Pay 1,000 Ft Interval Offset Wells Cum d > 20 BCFe Deeper Zones Could Hold 300 BCF 3563 HAYNESVILLE LEASE ACTIVE/FOR SALE ATASCOSA CO., TX PROSPECT 4-Proposed Wells. 531-Acres. EAGLE FORD SHALE OIL FASHING FIELD - EAGLEVILLE TREND Mature Oil Window - Sweet Spot Surrounded By High Rate EF Wells-- --From Large Independents Avg Well IP: 800 BOPD Avg Est Well EUR: 500 MBO Can Drill New Horizontal OR -- --Economical Side Tract Well w/ 7 IN Casing. Good Roads, Pipeline, Infrastructure. Favorable Lease Terms. Prime Leases. Motivated Seller. NEW LEASE BACK ON MARKET 5817 NIOBRARA ACTIVE FOR SALE NIOBRARA PROSPECT FOR SALE ~10,000 Acres; West of Teapot Dome NATRONA COUNTY NIOBRARA & TEAPOT MultiPay. Steele & Mowry Possible. 62 Well Potential (160 acre spacing) Developed Fault and Fracture Systems Natural Drainage SW Of Teapot Dome 100% OPERATED WI; 80% Lease NRI Niobrara Depths: ~5,200 Ft. (500 Ft Thick) Steele Depths: ~4,100 Ft. Individual Well EURs: ~250 MBOE Est Field Reserves ~8.9 MMBO GO TO FOR INFO 4790L Eagle Ford Prospect 4-Potential Wells. 703-Acres. LEASEHOLD FOR SALE Est Well Reserves: ~250 MBO Est Project Reserves: ~1.0 MMBO EAGLE FORD PLAY FRIO CO., TX PROSPECT 4-Potential Wells. ~703-Acres. EAGLE FORD PLAY Obj 1: Eagle Ford. 7,000 Ft. Obj 2: Austin Chalk. 6,800 Ft. LEASEHOLD FOR SALE For Sale or Industry Trade. Est Well Reserves: ~250 MBO Est Project Reserves: ~1.0 MMBO Lease Expires Selling properties is the last chance to make money on an asset. PLS marketing arm DivestPro, has been maximizing these opportunities since 1987, handling over $3.0 billion in asset sales. Get it sold through PLS, call (713) or drill 8

9 GeoResources Exploration Advisors Divide Fields Drilling Opportunities & Acreage Plays Negotiated Deals NORTH DAKOTA ACREAGE ~3,800-Acres. DIVIDE & WILLIAMS COUNTY BAKKEN & THREE FORKS 100% OPERATED WI; 80% NRI Offsets Petrohunt, Continental & Baytex Solid Operators. L 4676 Bakken & Three Forks Potential Offset Operators: Brigham, St. Mary, Multipay Bakken Prospect ~1,000 Net Acres For Lease Multipay Objectives 100% Operated WI; ~75% NRI Nearby IPs ~1,000 BOPD 2-3 Years On Leases Sheridan & Roosevelt Cos., MT BAKKEN & THREE FORKS POTENTIAL SHERIDAN & ROOSEVELT CO, MT ~1,000 Net Acres For Lease Divide Fields Multipay Objectives Bakken & Three Forks Potential 100% OPERATED WI; ~75% NRI Nearby IPs ~1,000 BOPD Offset Operators: Brigham, SM Energy, GeoResources Solid Terms. 2-3 Years On Leases 4790L SHALLOW OIL ROCKIES SHALLOW OIL PLAY ~90,000 (Mostly Fee) Acres Leased. RICH & SUMMIT CO., UT UINTA CO., WY Multiple Frontier & Bear River Shallow Sands Deep Targets: Twin Creek, Nugget, -- --Big Horn & Mission Canyon. 50% OPERATED WI; 80% Lease Shallow Oil Prospects READY TO DRILL Offset Fields Flank: 350 MMBO & 8.0 TCF Shallow Potential: ~100+ MMBO & 1.0 TCF Additional Updated Geology Available ORRI EAST TEXAS ORRI PACKAGE ~2,239 Acres Being Drilled; 2-Permits. LEON & MADISON COUNTY HORIZONTAL WOODBINE PLAY Tight Sands Oil Play Six (6) Area Permits 9 Potential Wells To Be Drilled on ORRI Currently Leased to Experienced Operator % ORRI FOR SALE Analogue IPs 500-1,400 BOEPD Analogue EURs MBOE/Well > 40 Wells Drilled in Kurten/Madisonville Add l 1% ORRI Possibly Available in AMI RR 4630 RR 3% LEFT GONZALES CO., TX OVERRIDE 4,228 Net Acres; 1-Well 5-New Permits. EAGLEVILLE & PILGRIM FIELDS EAGLE FORD DEVELOPMENT EASTERN GONZALES 31-New Eagle Ford (Area) Completions SOLID OPERATOR Projected Potential Locations % Override Left 1-Offset IP: 937 BOPD & 822 MCFD 1st Well (IP): 1,000 BOPD & 1,000 MCFD IMMEDIATE WELLS BEING DRILLED Est Well Reserves: MBOE Net Reserves (23 Wells): MMBOE 1.0% OV Could Yield Net MBO First Well Incl 4,600 Ft Lateral. ONLY ~1.625% REMAINING FOR SALE. RR 4845 RR Selling properties is the last chance to make money on an asset. PLS marketing arm DivestPro, has been maximizing these opportunities since 1987, handling over $3.0 billion in asset sales. Get it sold through PLS, call (713) or drill 9

10 SELLING MADE SIMPLE Property, prospect, royalty & midstream asset sale services. Virtual Data Room Teasers PLS marketing team has helped sellers market operated assets, nonoperated working interests, conventional and large unconventional plays, royalty interests and downstream assets since In fact PLS in-house marketing team is one of the industry s largest marketing service bureaus handling cash flow-driven assets in the mid to under market valued between $250,000 and $50,000,000. PLS collects data; offers unique desktop publishing, presentation & packaging capabilities; the largest database of buyers; unique distribution channels; virtual & physical data rooms; multi-dimensional marketing; well-tested marketing protocols and 20+ years of transaction expertise to assure a successful sale. Contact PLS to execute high profile and/or quick & quiet negotiated sales. Grid Sheets (713) (Phone) / divestments@plsx.com / PowerPoints

11 Who is PLS? Information. Transactions. Advisory. PLS provides clients services they need to better manage their portfolios and facilitate profitable transactions. Information & Research. PLS is a leading energy information firm providing critical news, research and analysis on a&d, e&p, midstream, capital and commodity prices. The firm manages the industry s multiple listing service (MLS), maintains the PLS Global M&A Database and offers a unique information portal for industry professionals. PLS also provides unique networking events and conferences for its clients. US, Canadian & International Reports Marketing & Transactions. PLS and its affiliates offer traditional property brokerage, prospect marketing and midstream asset sale services. The firm assists sellers with data aggregation, packaging & presentation, virtual data rooms, buyer lists, comprehensive marketing, offer solicitation, negotiation and transaction execution. PLS transaction arm has marketed over $3.0 billion in assets sales in the U.S., Canada and overseas. Advisory & Consulting. PLS can assist clients with data aggregation, market research, property valuations, technical support, deal origination, buyside assistance and access to capital markets. PLS is a market maker uniquely positioned to offer advice and consulting services on an hourly, retainer or success fee basis. Order only the reports you need. Information & Research. Marketing & Transactions. Advisory & Consulting. Reports include: A&D Transactions ProspectCentre CapitalMarkets MidstreamNews QuickPrice Canadian Acquirer Canadian Explorer Canadian Capital InterntionalDeals Networking & Events: Prospects & Property Expos Conferences Website includes: Multiple Listings Deals in Play Streaming News News Archive Document Search Tool M&A Database Prospect Database Production Data Genealogy PLS markets: Producing Properties Drilling Ventures Farmouts & Acreage Royalties, Override & Minerals Midstream & Downstream Assets Technically Challenged Assets Waterfloods Development Projects Unconventional Resource Plays PLS offers: Direct Consulting Buyside Services Capital Sourcing Engineering & Technical Work PLS specializes in the under to mid market and transactions up to $50 million in value (713) (Phone) / (713) (Fax) / (403) (Canada)

12 Marketing & Transaction Services Traditional oil and gas property brokerage, prospect marketing and midstream asset sale services. PLS and its marketing divisions have been helping sellers market operated assets, non operated working interests, conventional prospects, large unconventional acreage plays, royalty interests and downstream assets since In fact PLS inhouse marketing division DivestPro Energy Partners is one of the industry s largest service bureaus and marketing agencies handling cash flow-driven assets in the mid to under market valued between $250,000 and $50,000,000 Internet Data Room Teasers while PLS Exploration Advisors and Synergy Land Partners groups are providing solid added-value marketing resources for prospect generators, exploration companies and land departments. Downstream, PLS assists operators and pipeline companies market their midstream gathering, transporting and storage facilities on a profitable basis through its Midstream Marketing Group. In every effort PLS marketing teams provide sellers specialized data collection; unique desktop publishing, presentation and packaging capabilities; in-house printing; the industry s largest database of buyers; multi-dimensional marketing; unique distribution channels; internet and physical data rooms; well-tested marketing protocols and +20 years of transaction expertise to assure a successful sale. In addition to its own strong marketing resources, PLS also has regional and professional alliances for engineering, evaluation, reservoir simulation, production optimization and best practices. PLS also has access to a number of professional geologists and geophysicists. PLS has marketed over $3.5 billion of assets throughout the US and Canada since 1990 and can execute high profile marketing as well as quick and quiet negotiated sales. PowerPoints Grid Sheets Monetizing Properties Working Interest Royalties Selling Prospects & Projects Brokering Lands & Farmouts Rationalizing Midstream Assets PLS has 23 years experience marketing oil and gas properties. Today, the firm has specialized business units for marketing the different types of oil and gas interests.

13 Marketing & Transaction Services The Sale Process The sale of operated properties, non-operated working interest, prospects, farm-outs, overrides, mineral interests and midstream assets generally comes down to four processes. They are: data collection; packaging and presentation; buyer list, and execution. PLS adds value at every step with its multiple listings, newsletters, M&A research and Internet portal. 1. Data Collection PLS has proprietary protocols and software for handling data. It uses Lasser, DrillingInfo, PHDwin and in-house data sets to match public and third-party data with seller-provided information, so buyers don t have to. 2. Packaging & Presentation PLS resources include desktop publishing, in-house printing, proprietary buyer lists and a mailing house to assure timely and cost-efficient marketing support. 3. Buyers List PLS constantly updates buyer profiles, tracks listing inquiries and cross-references various databases to generate a high-quality list of potential purchasers. 4. Execution PLS has been advising sellers for more than 20 years and its growing publishing operations, online listing service, direct mail capability and telemarketing services provide valuable leverage for any divestment effort. In addition, PLS Global M&A Database provides valuable insight and fair market value for sellers. PLS marketing and transaction arms sell operated properties, non-operated working interests, overrides, mineral interests, prospects and midstream assets. PLS simplifies the sale process and saves sellers valuable management time and worry. PLS leverages its in-house research and information resources to aggressively sell client assets. PLS marketing arm also works in tandem with regional brokers and technical firms for projects requiring specialized engineering and geological support or local services. PLS has been a leader is divestment services, establishing key protocols for data aggregation, packaging techniques, buyer lists and Internet technologies. Data Decline Curves Lease Operating Statement Maps Did you know PLS marketing resources are highly thought of and the firm has provided back-office services, outsourcing and subcontractor resources for oil and gas firms, investment bankers and other agents on assets sales of up to $1.0 billion in value. Proprietary Buyer s Database Summary Data Direct Mail /deals

14 Information. Transactions. Advisory. A&D Advisory Team Richard Martin Director, Transactions James Blair Managing Director Jason Reimbold Vice President Brian Green Divestment Associate Direct (817) Direct (214) Direct (713) Direct (713) Tim Pawul Sung Kim Anthony Rojas Rob Via Direct (713) Direct (713) Direct (713) Direct (303) (713) (United States) / (403) (Canada) / (Overseas)

15 Track Record Select assignments from PLS marketing arm East Texas Package $82MM Sourced & Originated for Buyer Sold to Williams $25MM Barnett Shale Package Large Royalty Package $27.3MM Sold 90 Days; Closed 1 Week Cherokee Basin Coalbed Methane $68MM Valution Corporate Sale (3-Packages) $25MM Royalty/Mineral Package Kansas Waterflood $52MM Negotiated Sale/Houston Buyer Permian Basin $19MM Negotiated Sale Dallas Buyer Savell Field Override $25MM Sold to Multiple Buyers Multiple Projects >$50MM MidContinent/California/Permian Wyoming Properties & Projects $4MM Powder River Basin Sale of 7 Packages $9.5MM Including Third Party Engineering 2005 Sale Package $9MM East Texas Reserves East Texas Asset Sale $42MM WellSpring Sale Project Sale Packages >$35 MM Sold To BXP, Shell, et al 1996-Sold Conroe Field $22 MM Sold to Whiting Petroleum 2,800 Coalbed Methane Wells $16MM Sold in 2 Pieces; 2007

16 Negotiated Sales North American opportunities being offered through PLS marketing arm PLS is one of the industry s leading U.S. divestment firms offering direct marketing and transaction services Recent Selected Sales This DM brochure includes select offerings that PLS currently has on the market. As a buyer, you should review these assets by logging onto plsx.com or call PLS at (713) to update your buying criteria. As a seller, please note that PLS marketing arm can handle your asset sale efficiently and effectively. Our firm coordinates data collection; prepares packages and presentations; sets up virtual or physical data rooms; prepares and prints powerpoints, teasers and gridsheets; disseminates and distributes information to buyers and administers the sale. PLS also has one of the most thorough buyers list in the industry as our database is leveraged through PLS research and publishing operation. PLS is also the industry s only marketing firm with in-house printing resources. PLS transaction team also interacts with purchasers, coordinates the marketing process and handles all negotiations as required by the client. PLS can also evaluate and value any asset on an engineering or comparable basis (metrics) and advise clients. Finally, PLS can assist with the purchase and sale agreement and facilitate closings as needed. In total, PLS research and publishing operations including buyer leads, market exposure, operational support and package distribution provides sellers with a compelling advantage over an in-house sales effort. PLS has handled over 800 projects since 1989 and marketed $3.0 billion in assets in the U.S. and Canada. Please drop us a line if you would like to learn more about how our firm can leverage your asset sale for cash. Ronyld W. Wise, Managing Director rwise@plsx.com /deals