RBC Capital Markets MLP Conference November 19, 19 2009
Regency Overview Business Overview Midstream energy partnership engaged in gathering & processing, contract compression and transportation of natural gas and natural gas liquids (NGLs) Operations divided into three primary…
Midstream Overview Regencys midstream operations are primarily located in Texas, Louisiana, Oklahoma and Kansas1 Mid-Continent East Texas Plants2 1 Plants 1 Gathering System 3,470 Length (Miles) Gathering System 371 Length (Miles)…
Contract Compression Overview Core compression operations in Texas, Louisiana and Arkansas HP by Region,2 State Total HP of Units Southwest (TX) 181,178 240 Southeast (LA & TX) 117,769 143 Northwest (TX) 144,493 208 Northeast…
Majority Fee-Based Portfolio Fee-based cash flows represent a growing portion of Regencys Adjusted Segment Margin Only an estimated 2% of Adjusted Segment Margin will be subject to commodity price fluctuations in the balance of…
Industry Update
General Industry Trends Drilling Activity The h third h d quarter off 2009 saw USS lland d rig counts increase b by approximately l 9% compared d with h the second quarter of 2009 The land rig count for the areas in which…
General Industry Trends Commodity Prices Gas prices stabilized during the third quarter of 2009 WTI crude continued its rebound while NGL prices remained relatively flat during the third quarter of 2009 Gas Price Trends Crude /…
Historical Horsepower Growth vs. US Onshore Rig Count Despite a 52% decline in the US onshore gas rig count since September 2008, Regencys revenue generating horsepower has remained flat over the same period Revenue Generating…
Haynesville Shale Drilling Update
Haynesville Growth Since the initial well results from the Haynesville Shale became public in early 2008, drilling activity has continued to increase due to the low production costs relative to other producing basins in North America…
Haynesville Update Average IP rates for the third quarter of 2009 averaged 12.3 MMcfe/d, up slightly from the 11.5 MMcfe/d average for the second quarter of 2009 Rig counts increased to 142 working rigs running in the regions of East…
Haynesville Update Announced Pipeline Projects1 Total Expected In- Company Project Description Incremental Type S Service i D Date t Capacity RIGS Haynesville RIGS: 121 miles of 36 and 42 pipe in northern Louisiana 1.2 Bcf/d…
Haynesville Joint Venture and Regency Gathering Update
Haynesville Joint Venture Partnership Structure Regency purchased an additional 5% ownership interest in the Joint Venture from an affiliate of GE Energy Financial Services on September 2, 2009, bringing Regencys total ownership to…
RIGS Haynesville Expansion Project The base project being constructed by Regency and the Haynesville Joint Venture adds 1.1 Bcf of capacity with 46 miles of 36 pipe, 75 miles of 42 pipe and 15,545 HP of compression 14 200 HP off…
RIGS Haynesville Expansion Project Construction Update 36 Pipe Construction Elm Grove Line Bienville Line Construction Commenced in May Commenced in May All bores and HDDs are complete All bores and HDDs are complete Road bores,…
RIGS Red River Lateral R Regency is i constructing t ti the th 47 million illi R Red d Ri River LLateral, t l a pipeline i li extension t i tto iincrease capacity it on RIGS f The expansion will add approximately 100,000 MMBtu/d…
Regency Gathering - Logansport Expansion Phase I Regency is constructing the 47 million Logansport Expansion, Expansion an extension of the Nexus Gathering System in North Louisiana f Transports gas gathered by Nexus Gathering System to…
Regency Gathering - Logansport Expansion Phase II Regency is constructing the 40 million Logansport Expansion Phase II, which further increases Regencys asset base in Haynesville and provides an outlet for surrounding acreage in DeSoto…
Regency Presence in Haynesville Following the formation of the Joint Venture, Regency and the Joint Venture have recently announced several incremental growth projects to expand Haynesville presence1 Haynesville Expansion…
Regency Presence in Haynesville Haynesville Expansion Project1 Projects Description Expected Completion Announced Adds 1.1 Bcf of capacity with 46 miles of 36 pipe, 75 miles of 42 pipe and 36 Pipeline: Complete Base Project 15,545…
Haynesville Investment and Regency Strategic Objectives
Strategy Regency's long-term goal is to achieve an investment grade rating Increased ownership in Haynesville Joint Venture by 5% to 43% on 9/2/09 Recently R tl announced d 47 million illi R Red River LLateral d Ri t lE…