Permian Basin Consolidation and Strategic Acreage Acquisition slide image

Permian Basin Consolidation and Strategic Acreage Acquisition

CONCHO Delaware Basin Play - A Leading Operator Overview • Concho is an industry leader in horizontal development in the Delaware Basin • Combined position and scale provide meaningful opportunity to continue rapid growth of oil and liquids-rich production Successfully delineating multi-zone potential High-impact wells currently producing from seven unique zones • . - Well performance exceeding expectations Hz Delaware Basin Play Production (MBoe/d)¹ ~33% Quarterly Growth 12.4 11.0 8.6 5.5 4.0 1Q11 2Q11 Permian Horizontal Wells Drilled by Public Companies (2009 - 2012 YTD) 300 250 3Q11 4Q11 1Q12 200 150 100 50 O 216 CXO DVN KMI XEC EOG APC CHK XTO APA EGN Source: DI Desktop and IHS. 1 Based on net production contribution from horizontal wells in the Delaware Basin. 8
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