LINN Energy Overview LINN Energy IPO in 2006 with initial enterprise value of 713 million Williston Basin Michigan Acquire, develop, and maximize cash flow Powder River Basin ND from long-lived oil and natural gas assets Green…
LINNs 2014 Keys to Success 1) Maximize value for Permian Wolfcamp position All strategic alternatives have potential to: o Increase cash available for distribution o Lower capital intensity o Decrease overall decline rate 2)…
ExxonMobil Trade Summary LINN signed a definitive agreement to trade a portion of its Permian Basin properties to ExxonMobil for operating interests in the Hugoton Basin Expected closing in Q3 2014 with an effective date of June 1,…
ExxonMobil Trade Strategic Benefits Trade reinforces LINNs commitment to developing mature, long-lived Strategic Portfolio oil & natural gas assets Shift Acquired excellent MLP assets with a shallow decline rate of 6% and reserve…
Hugoton Basin Assets ExxonMobil Hugoton Assets(1) Existing LINN Acreage 85 MMcfe/d of production XOM Acreage Kearny 80% natural gas / 20% NGLs Finney Decline rate of 6% and reserve life of 22 years Hamilton Proved reserves of…
Midland Basin Trade Trade Overview Midland Basin Area 7 (acreage and production), includes acreage in XOM Trade southern Midland and northern Upton counties Area 6 (acreage only), includes acreage primarily in southeast Martin…
LINN Energy Regional Overview(1) Williston Basin Michigan Powder River Basin ND Green River Basin MI Uinta Basin WY Piceance Basin Q1 2014 Production IL (MMcfe/d)(1) CA UT KS Mid-Continent 300 CO Mid-Continent Hugoton…
Mid-Continent Active Drilling Area / Granite Wash(1) Operations Map Total Mid-Continent production of 300 MMcfe/d 3,100 operated wells in Oklahoma, Louisiana and the Texas Panhandle Kansas Operating 5 rigs in Mid-Continent region,…
Rockies Overview(1) Operations Map Production of 273 MMcfe/d 1,200 operated wells in the Green River, Rockies Williston Basin Uinta, and Piceance basins 2,100 non-operated wells in the Green River Basin, Williston Basin and the…
Permian Basin Overview (1)(2) Operations Map Production of 166 MMcfe/d Hockley 2,000 operated wells MIDLAND Garza Stonewall 1,000 of these wells are mature, BASIN Shackleford low-decline oil wells, primarily Dawson Borden…
California Overview(1) Operations Map Production of 157 MMcfe/d 21Z Diatomite California 2,100 operated wells with 3 rigs drilling Poso Creek 1,500 wells are mature, low-declining Kern wells located in the San Joaquin Valley…
South Midway-Sunset Ideal MLP Asset Acquired from Berry Asset Highlights South Midway-Sunset Field Map Stable production from legacy assets in 26 30 29 28 27 the 9th largest U.S. field S. Midway 36 35 31 32 33 34 Produced…
North Midway-Sunset Growing Heavy Oil Asset Highlights North Midway Assets McKittrick 21Z North Midway assets currently in growth mode LINN acreage Chevron acreage Diatomite has 360 million barrels of oil in place on 540…
ExxonMobil Trade Financial Highlights Accretion to excess of net cash available for distribution of 30MM - 40MM annualized(1) Credit positive Increased cash flow Increased reserves 10%(2) Debt to proved reserves reduced by…
LinnCo Overview LinnCo (LNCO) is a game changing strategic advantage in the Upstream MLP / LLC industry 2012: 1.3 billion LNCO IPO (October) o Greater access to capital markets o C-Corp. acquisition currency 2013: 4.6 billion…
LinnCo Substantial Institutional Yield Market LinnCo structure allows LINN to access the much larger institutional market MLP sector has grown tremendously but still remains primarily retail Energy MLPs Market Cap Growth Top-10…
Significant Hedge Position Hedged 100% on expected natural gas production through 2017(1) Hedged 100% on expected oil production in 2014 and approximately 50% 60% during 2015 2016 Hugoton trade provides natural hedge for California…
Hedge Position (Equivalent Basis) Significant Cash Flow Protection LINNs cash flow is notably more protected from oil and natural gas price uncertainty than its C-Corp. and Upstream MLP / LLC peers 100% 100% 89% 85% 30% Expected…
Current Landscape for E&P MLPs LINN has a significant size advantage in E&P market presents significantly more the E&P MLP / LLC market acquisition opportunities than rest of MLP Greater access to capital markets market Ability to…
Upstream MLP Acquisition History Since 2008, Upstream MLPs have made over 23 billion in acquisitions LINN represents 50% of total Upstream MLP acquisitions over this time Majors and Large Cap E&Ps shrink to grow to maximize…
Why Invest in LINN Current trend of rationalization in E&P space is accelerating Growth and mature assets are being separated LINN is well positioned to take advantage of this trend LINN is a large, liquid entity with tremendous…
LINN Energys mission is to acquire, develop and maximize cash flow from a growing portfolio of long-life oil and natural gas assets.
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