Legacy Reserves Long-standing Midland, Texas-based operator (NASDAQ: LGCY) Stable PDP footprint generates significant cash flow to fund capex Permian Basin East Texas Significant horizontal Permian inventory and demonstrated…
Large-Scale, Stable PDP Our shallow-decline PDP generates free cash flow to fund the development of our significant horizontal Permian inventory Q417 daily production of 48.3 MBoepd (41% liquids)(1) 1.1 billion PDP PV-10(1)…
Positioning for Success Through the Downturn Upstream MLP Peer Timeline: Over this time period, 11 of Legacys 13-member MLP peer group filed for bankruptcy or transitioned away from upstream operations February 2017 VNR X March…
Permian Horizontal Drilling Results We have brought online 47 horizontal wells with tremendous collective results since the commencement of our JDA program Lea County, NM Howard County, TX Assets include 3,200 gross (2,307 net)…
Significant Horizontal Inventory Legacys YE17 Reserve Report only includes Operated Horizontal Drilling Locations - Permian and East TX 16 gross / 10 net operated horizontal PUDs Total (2) Wells PDP at YE'17 Identified Locations…
Corporate Transition Overview Key structural and ownership changes: Legacy units exchanged one-to-one for common shares in New Legacy New Legacy acquires Legacys General Partner (GP LLC) 9.5 million preferred units exchanged for 16.9…
Transaction Benefits The Transaction provides clear benefits to Legacy as it: Allows entrance into more supportive C-Corp sector Following widespread bankruptcy filings and the destruction of nearly all of the collective equity value…
Balance Sheet ( in millions, except where indicated otherwise) YE'16 3/31/18 Adj. Trans. PF Debt Maturities (2) Revolving credit facility due 2019 463 518 33 551 12% 2nd Lien Term Loan due 2021 60 339 339 600 518 8% Senior Notes…
Implied Share Price at Various EBITDA Multiples Many E&P C-Corps trade at higher EBITDA multiples which would imply higher LGCY share prices LGCY Range of EBITDA Multiples (1) Current EV / '18E EBITDA 5.9x 6.0x 6.5x 7.0x 7.5x 8.0x…
Key Takeaways Stable, low-decline PDP with meaningful free cash flow Significant operated horizontal inventory Experienced team with capacity to accelerate development Proposed structure expected to enhance access to,…
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