Permian Basin Consolidation and Strategic Acreage Acquisition

CONCHO ARTESIA Active Horizons • Avalon shale (upper and lower) ⚫ Bone Spring sand (1st/2nd/3rd) Wolfcamp shale 1 CULBERSON - Northern Delaware Basin – Enhancing Leading Core Position CHAVES Active Horizons Delaware sands • Avalon shale (upper and lower) • Bone Spring sand (1st/2nd/3rd) LT LEA EDDY Northern DB Consolidation Material acreage overlap in the proven northern Delaware Basin Increases net acreage by 23% • Engineered locations largely assume one zone per location targeting: Delaware sands • - Avalon shale -Bone Spring sands -Wolfcamp shale Meaningful upside potential through multi-zone development ☑ REEVES ☑ Concho Acreage Concho Rig As of 12/31/11. ☑ NEW MEXICO TEXAS LOVING Three Rivers Acreage Three Rivers Rig Combination Impact - Northern DB CXO¹ 3ROC PF Hz Drilling Locations 1,417 377 1,794 Gross Acreage ('000s) 289 61 350 WIN Net Acreage ('ooos) 166 39 204 Rig Count (Current/2H12) 7/8 1/2 8/10 7

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