USA Compression Partners, LP (NYSE: USAC) Acquisition of S&R Compression Rental Fleet August 13, 2013
Transaction Overview USA Compression Partners has agreed to acquire 187 million of compression assets used in crude oil production USA Compression Partners, LP has agreed to acquire compression assets from S&R Compression, LLC, an…
Transaction Highlights S&R Compression acquisition provides product and customer diversification while retaining USACs focus on infrastructure assets with stable cash flows Scale: 983 compression units representing 138,000 HP…
S&R Compression Fleet Overview Asset Details State-by-State Presence 983 compression units; 138,000 horsepower Strong presence in the Granite Wash, Woodford HP range up to 380HP Shale, Tonkawa and Mississippi Lime plays Fabricated by…
Mid-Continent Crude Oil Production Crude Oil Production TX (mm bbls) (1) 80,000 2000 2013: 5.1% CAGR 60,000 2010 2013: 26.8% CAGR 40,000 20,000 Jan-2000 Jan-2003 Jan-2006 Jan-2009 Jan-2012 Crude Oil Production OK (mm bbls)…
Growth Opportunities Minimal overlap in product offering presents attractive growth potential expanding fleet offerings and accessing a larger customer base S&Rs established Mid- Continent footprint Marcellus / complements USAC;…
Fleet Comparison S&R Compression rental fleet will complement USACs existing infrastructure-focused business and help create a larger, more diversified compression business USA S&R Compression Compression (1) Assets (1) Combined…
Pro Forma Ownership Structure Argonaut Private Equity, a Kaiser Affiliate, Will Become a Significant USAC Unitholder USA Compression Holdings, LLC (18.7 mm units) George B. Kaiser Public Affiliate 50% LP interest; Unitholders 2%…
Pro Forma Financial Impact Transaction Immediately Strengthens USACs Balance Sheet ( in mm) Pro Forma (1) Q4 FY 2013E 2013E Adjusted EBITDA 27 95 DCF 20 68 Debt / EBITDA 4.1x (1) Pro forma amounts reflect estimated results…
USAC Key Investment Highlights Exposure to USAC will own and operate assets in prolific oil and gas shale basins benefitting from Strategic ongoing midstream build-out Producing S&R adds meaningful presence in gas-lift crude oil…
Basis of Representation; Explanation of Non-GAAP Measures EBITDA, a measure not defined under U.S. generally accepted counting principles (GAAP), is defined by USAC as net income attributable to USACs unitholders before interest and debt…
Basis of Representation; Explanation of Non-GAAP Measures This presentation references forward-looking estimates of Adjusted EBITDA and DCF, including Adjusted EBITDA and DCF projected to be generated by the acquisition of the S&R…
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