Credit Suisse Investment Banking Pitch Book
Preliminary illustrative Maine royalty per share
sensitivity analysis
Illustrative per share estimate for royalty
Royalty payment based on revenue from ultra-deep prospects for 2012 through end of resource life
■ Preliminary analysis based on forward curve pricing as of 11/28/12 and illustrative discount rate of 12%
($ per fully diluted share outstanding, except where otherwise indicated)
Net implied
risked resource (Tcfe)
RPS resource estimate
Maine management
resource estimate
(1)
Resource
Risking
13.1%
13.1%
30.0%
CREDIT SUISSE
2.8
8.3
19.1
Implied price per Maine share (NAV analysis) (3)
Implied price per Maine share assuming:
4% royalty on resource potential
Note:
(1)
(2)
(3)
3.0%
Illustrative Maine price per share - ultra-deep royalty rate sensitivity
$0.82
$2.26
5.05
Royalty
4.0%
$1.09
$3.01
6.73
$1.36
RPS resource
(1)
5.0%
$3.76
8.42
estimate
Case 1
RPS risking
on
Royalty Interest not on 8/8
basis.
Assumes 21.7 Tote of unrisked ultra-deep resource potential, including Davy Jones.
Assumes 63.7 Tote of unrisked ultra-deep resource potential, Including Davy Jones.
See previous page.
$16.65
15.99
6.0%
$1.64
$4.51
10.10
Production estimate (Mmcfe/d)
2013E
2014E
2015E
222.3
53.6
Case 2
RPS risking
53.6
53.6
Maine management
resource estimate
$33.41
121.8
31.64
220.0
410.7
(2)
517.1
1,089.2
Case 3
Maine risking
$66.16
62.04
Confidential
19View entire presentation