Credit Suisse Investment Banking Pitch Book
Maine financial analysis
Current Maine
$8.53
Note:
(1)
(2)
(3)
(5)
Selected companies
analysis
Selected transactions
analysis
DCF / NAV-Case 1:
RPS resource/
risking
DCF/NAV-Case 2:
Maine management
resource / RPS
risking
DCF/NAV - Case 3:
Maine management
resource / risking
$7.23
CREDIT SUISSE
$17.16
I
$14.68
I
$14.71
$17.36
$25.57
$29.71
$35.57
$58.25
$71.01
Offer consideration
per share
Cash
+Royalty trust (1)
$14.75 + 1.15 units
14.75 + 1.15 units
14.75
+
14.75 +
$1.54
4.26
14.75 + 9.53
Implied
reserve multiple
($/Mcfe) (2)
$9.30-$14.46
16.53-24.79
14.44-16.72
28.87-34.64
56.97 - 69.54
Implied
recoverable
resource
multiple
($/Mcfe) (3)
$0.10-$0.16
0.04 -0.05
0.18-0.27
0.06 -0.09
0.16 0.18
0.05-0.06
0.32 -0.38
0.11 -0.13
0.63-0.76
0.22-0.26
$0 $10 $20 $30 $40 $50 $60
$70
$80
Cash flows discounted to 9/30/12 using discount rates of 11% and 13%. Based on forward curve pricing as of 11/30/12.
Resource risking: RPS: 13%; Maine management: 30%. Multiples based on low end and high end of ranges.
Royalty trust value based on corresponding resource and risking and 5% overriding royalty interest on gross revenue from ultra-deep resource potential at an illustrative discount rate of
12%. Values for Cases 1-3 based on 1.15 units.
Based on 2011A proved reserves of 242 Bcfe. Not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.
Based on unrisked 3P reserves of 332 Bcfe and unrisked resource potential of 21.7 Tcfe per RPS. Italics based on unrisked 3P reserves of 332 Bcfe and unrisked resource potential of 63.7 Tcfe per
Maine management.
Based on net unrisked resource estimate of 21.7 Tcfe per RPS.
Based on net unrisked resource estimate of 63.7 Tcfe per Maine management.
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