U.S. Shale-Gas Players: Who’s Got What—and Where

Oct. 7, 2008

Nissa Darbonne,Executive Editor

A presentation to the Gas Processors Association, Houston Chapter, Annual Meeting

Kingwood, Texas

Capital Markets Affecting Shale Plays

• Antero Resources/Dominion/Marcellus

• Plains E&P/Occidental/Piceance/Haynesville

• Chesapeake/Plains/Haynesville

• Chesapeake/BP/Woodford

• Chesapeake/BP/Fayetteville

• Goodrich, Petrohawk, GMX, Chesapeake, Newfield Capex Cutbacks

Positive Notes

• Riverstone Holdings investment in Titan Operating/Barnett shale

• Carrizo Oil & Gas able to self-finance its Barnett drilling

• Current natural gas markets are based on gas coming online from shale plays that won’t come online at current gas prices

Woodford Shale Players

Chesapeake, BP, Newfield, PetroQuest, Unit Petroleum, St. Mary, Carrizo, Bankers Petroleum

Barnett Shale Players

Devon, EnCana, EOG, Chesapeake, Talisman, Carrizo, Pioneer, Williams, XTO, Range, Quicksilver, Denbury, Penn Virginia, Nortex Resources, Titan Operating, Spindletop O&G, Miller Energy, ReoStar, Exterra Energy

Fayetteville Shale Players

Southwestern, XTO, Chesapeake, BP, Petrohawk, Shell, Storm Cat, Energen, Maverick O&G

Marcellus Shale Players

Range, Equitable, Chesapeake, Talisman, Antero, Dominion, Anadarko, Southwestern, CNX, EOG, Cabot, Penn Virginia, Marathon, Exco, Unit Petroleum, Atlas Resources, Rex Energy, NFG/Seneca, J-W Operating, Trans Energy

Haynesville Shale Players

Chesapeake, Devon, Petrohawk, Goodrich, Shell, GMX, Shell, EnCana, Cabot, Southwestern, Plains, Exco, Cubic Energy, Rising Star, Camterra, Southern Star, St. Mary, Carrizo, Mainland Resources, Noble Energy, Continental Resources

Louisiana Haynesville Activity

Source: Bernstein Research, Petrohawk Energy Corp.

NPV of Base-Case Haynesville Well: Drilling Capex vs. Gas Price

Gas Price

Drilling Capex

$4MM $5MM $6MM $7MM $8MM $9MM $10MM

$6 (0.6) (1.5) (2.5) (3.4) (4.3) (5.2) (6.09)

$7 1.3 0.4 (0.5) (1.4) (2.3) (3.3) (4.16)

$8 3.2 2.3 1.4 0.5 (0.4) (1.3) (2.23)

$9 5.1 4.2 3.3 2.4 1.5 0.6 (0.30)

$10 7.1 6.2 5.3 4.4 3.4 2.5 1.62

$11 9.0 8.1 7.2 6.3 5.4 4.5 3.55

$12 10.9 10.0 9.1 8.2 7.3 6.4 5.48

$13 12.9 12.0 11.0 10.1 9.2 8.3 7.41Source: Bernstein Research

Exposure to the Haynesville Shale by Net AcresNet Haynesville Acres

Market Cap ($B) Haynesville Acres Per $MM/Market Cap

Devon 483,000 45.1 11

Chesapeake 480,000 23.7 20

EnCana 370,000 55.0 7

Petrohawk 300,000 6.2 48

Exco 119,800 4.1 29

Cabot 114,750 4.2 27

Plains 110,000 4.0 28

Forest 105,000 4.8 22

EOG 100,000 23.7 4

XTO 100,000 28.4 4

Anadarko 75,000 25.9 3

Comstock 67,918 2.6 26

Penn Va. 61,000 2.4 25Source: Bernstein Research, Capital IQ

Exposure to the Haynesville Shale by Acres Per $MM/Market Cap

Net Haynesville Acres

Market Cap ($B) Haynesville Acres Per $MM/Market Cap

Southern Star 2,120 0.04 58

Petrohawk 300,000 6.2 48

Exco 119,800 4.1 29

Plains 110,000 4.0 28

Cabot 114,750 4.2 27

Comstock 67,918 2.6 26

Penn Va. 61,000 2.4 25

Forest 105,000 4.8 22

St. Mary 50,000 2.4 21

Goodrich 39,000 1.9 21

Chesapeake 480,000 23.7 20

Meridian 2,600 0.2 13

Devon 483,000 45.1 11

Source: Bernstein Research, Capital IQ

Other North American Shale-Gas Plays

• Rockies: Mancos, Baxter, Gothic, Hilliard• E. Canada: Utica (Quebec), Eastern

Canada• W. Canada: Muska/Montney• West Texas: Barnett/Woodford• South Texas: Pearsall• SE U.S.: Floyd/Conasauga• North-Central: Michigan/Illinois

U.S. Shale-Gas Players: Who’s Got What—and Where

Oct. 7, 2008

Nissa Darbonne,Executive Editor

A presentation to the Gas Processors Association, Houston Chapter, Annual Meeting

Kingwood, Texas