LINN Energy Overview LINN Energy IPO in 2006 with initial enterprise value of 713 million Acquire, develop, and maximize cash flow from long-lived oil and natural gas assets Grown through 62 transactions for 17 billion(1) for…
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)…
Second Quarter 2014 Overview Executing on Plan Production of 1,131 MMcfe/d, 2.4% growth from first quarter Raised 2014 production guidance to 1,245 MMcfe/d Operations Fully covered distribution with excess of net cash of 32…
Devon Energy Assets Acquisition 2.3 Billion Deal 275 MMcfe/d; 14% base decline Proved reserves estimated between 1.3 1.5 Tcfe; 3 Tcfe of total resource potential 900K net acres with over 1,000 future drilling locations and over…
Hugoton Basin (Pro Forma)(1) Building Scale in Ideal MLP Asset Hugoton Overview Existing LINN Acreage XOM Acreage Will be largest operator in Hugoton Basin with PXD Acreage Kearny 275 MMcfe/d production DVN Acreage Finney…
California Ideal MLP Assets and Heavy Oil Growth Overview(1) Operations Map Production of 29 MBoe/d 21Z Diatomite California 2,100 operated wells with 3 rigs drilling Poso Creek 85% of LINNs wells produce oil using Kern thermal…
Mid-Continent Divesting Granite Wash / Cleveland Granite Wash / Cleveland Divestiture(1) Operations Map Production of 225 MMcfe/d in June Marmaton Woodward 2014 Cleveland Lipscomb Cottage Grove TEXAS Ellis OKLAHOMA…
Permian Basin Midland Basin Targeted for Sale or Trade(1) Operations Map Prospective for horizontal Wolfcamp Hockley drilling 29,700 net acres (acreage nearly 100% MIDLAND Garza Stonewall BASIN held by production) Shackleford…
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…
Significant Hedge Position Hedged 100% on expected natural gas production through 2017 (excluding California steam consumption)(1) Hedged 100% on expected oil production in 2014 and 50%-60% during 2015-2016 Recent gas-weighted…
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% 93% 88% 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 Rationalization of E&P space between growth and mature assets is accelerating Since 2008, Upstream MLPs have made over 30 billion in acquisitions LINN represents 50% of total Upstream MLP acquisitions…
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.
Appendix 18
Midland Basin Exxon Mobil 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…
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