Attached files
| file | filename |
|---|---|
| 8-K/A - 8-K/A - Harvest Oil & Gas Corp. | v214005_8ka.htm |
| EX-99.1 - EX-99.1 - Harvest Oil & Gas Corp. | v214005_ex99-1.htm |
| EX-23.2 - EX-23.2 - Harvest Oil & Gas Corp. | v214005_ex23-2.htm |
Exhibit 99.2
EV Energy Partners, L.P.
Unaudited Pro Forma Condensed Consolidated Statement of Operations
For the Nine Months Ended September 30, 2010
(In thousands, except per unit data)
|
Historical
Consolidated
|
Pro Forma
Adjustments
|
Pro Forma
Consolidated
|
||||||||||
|
Revenues:
|
||||||||||||
|
Oil, natural gas and natural gas liquids revenues
|
$ | 118,554 | $ | 52,519 | $ | 171,073 | ||||||
|
Transportation and marketing–related revenues
|
4,552 | – | 4,552 | |||||||||
|
Total revenues
|
123,106 | 52,519 | 175,625 | |||||||||
|
Operating costs and expenses:
|
||||||||||||
|
Lease operating expenses
|
38,941 | 14,152 | 53,093 | |||||||||
|
Cost of purchased natural gas
|
3,447 | – | 3,447 | |||||||||
|
Dry hole and exploration costs
|
235 | – | 235 | |||||||||
|
Production taxes
|
5,676 | 1,971 | 7,647 | |||||||||
|
Asset retirement obligations accretion expense
|
2,044 | 399 | 2,443 | |||||||||
|
Depreciation, depletion and amortization
|
38,536 | 15,782 | 54,318 | |||||||||
|
General and administrative expenses
|
16,563 | – | 16,563 | |||||||||
|
Gain on sales of oil and natural gas properties
|
(40,617 | ) | – | (40,617 | ) | |||||||
|
Total operating costs and expenses
|
64,825 | 32,304 | 97,129 | |||||||||
|
Operating income
|
58,281 | 20,215 | 78,496 | |||||||||
|
Other income (expense), net
|
62,500 | (9,283 | ) | 53,217 | ||||||||
|
Income before income taxes
|
120,781 | 10,932 | 131,713 | |||||||||
|
Income taxes
|
(242 | ) | – | (242 | ) | |||||||
|
Net income
|
$ | 120,539 | $ | 10,932 | $ | 131,471 | ||||||
|
General partner’s interest in net income, including incentive distribution rights
|
$ | 9,600 | $ | 9,818 | ||||||||
|
Limited partners’ interest in net income
|
$ | 110,939 | $ | 121,653 | ||||||||
|
Net income per limited partner unit:
|
||||||||||||
|
Basic
|
$ | 4.07 | $ | 4.46 | ||||||||
|
Diluted
|
$ | 4.06 | $ | 4.45 | ||||||||
|
Weighted average limited partner units outstanding:
|
||||||||||||
|
Basic
|
27,257 | 27,257 | ||||||||||
|
Diluted
|
27,309 | 27,309 | ||||||||||
See accompanying notes to unaudited pro forma condensed consolidated statements of operations.
EV Energy Partners, L.P.
Unaudited Pro Forma Condensed Consolidated Statement of Operations
For the Year Ended December 31, 2009
(In thousands, except per unit data)
|
Historical
Consolidated
|
Pro Forma
Adjustments
|
Pro Forma
Consolidated
|
||||||||||
|
Revenues:
|
||||||||||||
|
Oil and natural gas revenues
|
$ | 114,066 | $ | 58,153 | $ | 172,219 | ||||||
|
Transportation and marketing–related revenues
|
7,846 | – | 7,846 | |||||||||
|
Total revenues
|
121,912 | 58,153 | 180,065 | |||||||||
|
Operating costs and expenses:
|
||||||||||||
|
Lease operating expenses
|
41,495 | 22,740 | 64,235 | |||||||||
|
Cost of purchased natural gas
|
4,509 | – | 4,509 | |||||||||
|
Production taxes
|
5,983 | 2,319 | 8,302 | |||||||||
|
Asset retirement obligations accretion expense
|
2,035 | 754 | 2,789 | |||||||||
|
Depreciation, depletion and amortization
|
52,048 | 22,766 | 74,814 | |||||||||
|
General and administrative expenses
|
18,556 | – | 18,556 | |||||||||
|
Total operating costs and expenses
|
124,626 | 48,579 | 173,205 | |||||||||
|
Operating (loss) income
|
(2,714 | ) | 9,574 | 6,860 | ||||||||
|
Other income (expense), net
|
4,372 | (12,697 | ) | (8,325 | ) | |||||||
|
Income (loss) before income taxes
|
1,658 | (3,123 | ) | (1,465 | ) | |||||||
|
Income taxes
|
(248 | ) | – | (248 | ) | |||||||
|
Net income (loss)
|
$ | 1,410 | $ | (3,123 | ) | $ | (1,713 | ) | ||||
|
General partner’s interest in net income, including incentive distribution rights
|
$ | 7,040 | $ | 6,978 | ||||||||
|
Limited partners’ interest in net loss
|
$ | (5,630 | ) | $ | (8,691 | ) | ||||||
|
Net loss per limited partner unit (basic and diluted)
|
$ | (0.29 | ) | $ | (0.45 | ) | ||||||
|
Weighted average limited partner units outstanding (basic and diluted)
|
19,302 | 19,302 | ||||||||||
See accompanying notes to unaudited pro forma condensed consolidated statements of operations.
EV Energy Partners, L.P.
Notes to Unaudited Pro Forma Condensed Consolidated Statements of Operations
|
1.
|
BASIS OF PRESENTATION
|
EV Energy Partners, L.P. (“we,” “our” or “us”) is a publicly held limited partnership that engages in the acquisition, development and production of oil and natural gas properties. Our general partner is EV Energy GP, L.P., a Delaware limited partnership, and the general partner of our general partner is EV Management, LLC, a Delaware limited liability company.
The accompanying unaudited pro forma condensed consolidated statements of operations give effect to the following transactions:
|
|
·
|
On September 29, 2010, we acquired oil and natural gas properties from Petrohawk Energy Corporation (the “Petrohawk acquisition”) for $119.9 million in cash, subject to customary closing conditions and purchase price adjustments.
|
|
|
·
|
On December 30, 2010, we acquired oil and natural gas properties from Talon Oil and Gas LLC (the “Talon acquisition”) for $295.8 million in cash, subject to customary closing conditions and purchase price adjustments.
|
These unaudited pro forma condensed consolidated statements of operations are not necessarily indicative of the results of operations that would have occurred had the acquisition been effected on the assumed dates. Additionally, future results may vary significantly from the results reflected in the unaudited pro forma consolidated statements of operations due to normal production declines, changes in prices, future transactions, the exclusion of various operating expenses and other factors.
These unaudited pro forma condensed consolidated statements of operations should be read in conjunction with our Annual Report on Form 10–K for the year ended December 31, 2009, our Quarterly Report on Form 10–Q for the quarter ended September 30, 2010 and the Statement of Operating Revenues and Direct Operating Expenses for the nine months ended September 30, 2010 and the year ended December 31, 2009 (Audited).
EV Energy Partners, L.P.
Notes to Unaudited Pro Forma Condensed Consolidated Statements of Operations (continued)
|
2.
|
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS ADJUSTMENTS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2010
|
The following table summarizes unaudited pro forma condensed consolidated statement of operations adjustments:
|
(a)
|
(b)
|
(c)
|
(d)
|
Pro Forma
Adjustments
|
||||||||||||||||
|
Revenues:
|
||||||||||||||||||||
|
Oil and natural gas revenues
|
$ | 22,940 | $ | 29,579 | $ | – | $ | – | $ | 52,519 | ||||||||||
|
Transportation and marketing–related revenues
|
– | – | – | – | – | |||||||||||||||
|
Total revenues
|
22,940 | 29,579 | – | – | 52,519 | |||||||||||||||
|
Operating costs and expenses:
|
||||||||||||||||||||
|
Lease operating expenses
|
6,808 | 7,344 | – | – | 14,152 | |||||||||||||||
|
Cost of purchased natural gas
|
– | – | – | – | – | |||||||||||||||
|
Dry hole and exploration costs
|
– | – | – | – | – | |||||||||||||||
|
Production taxes
|
1,290 | 681 | – | – | 1,971 | |||||||||||||||
|
Asset retirement obligations accretion expense
|
– | – | 399 | – | 399 | |||||||||||||||
|
Depreciation, depletion and amortization
|
– | – | 15,782 | – | 15,782 | |||||||||||||||
|
General and administrative expenses
|
– | – | – | – | – | |||||||||||||||
|
Gain on sales of oil and natural gas properties
|
– | – | – | – | – | |||||||||||||||
|
Total operating costs and expenses
|
8,098 | 8,025 | 16,181 | – | 32,304 | |||||||||||||||
|
Operating income
|
14,842 | 21,554 | (16,181 | ) | – | 20,215 | ||||||||||||||
|
Other income (expense), net
|
– | – | – | (9,283 | ) | (9,283 | ) | |||||||||||||
|
Income before income taxes
|
14,842 | 21,554 | (16,181 | ) | (9,283 | ) | 10,932 | |||||||||||||
|
Income taxes
|
– | – | – | – | – | |||||||||||||||
|
Net income
|
$ | 14,842 | $ | 21,554 | $ | (16,181 | ) | $ | (9,283 | ) | $ | 10,932 | ||||||||
|
|
(a)
|
Reflects the operating revenues and direct operating expenses of the Petrohawk acquisition for the nine months ended September 30, 2010.
|
|
|
(b)
|
Reflects the operating revenues and direct operating expenses of the Talon acquisition for the nine months ended September 30, 2010.
|
|
(c)
|
Reflects incremental asset retirement obligations accretion expense and depreciation, depletion and amortization for the nine months ended September 30, 2010 as follows:
|
|
Petrohawk
Acquisition
|
Talon
Acquisition
|
Total
|
||||||||||
|
Asset retirement obligations accretion expense
|
$ | 349 | $ | 50 | $ | 399 | ||||||
|
Depreciation, depletion and amortization
|
9,242 | 6,540 | 15,782 | |||||||||
|
(d)
|
Reflects incremental interest expense for the nine months ended September 30, 2010.
|
EV Energy Partners, L.P.
Notes to Unaudited Pro Forma Condensed Combined Statement of Operations (continued)
|
3.
|
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS ADJUSTMENTS FOR THE YEAR ENDED DECEMBER 31, 2009
|
The following table summarizes unaudited pro forma condensed consolidated statement of operations adjustments:
|
(e)
|
(f)
|
(g)
|
(h)
|
Pro Forma
Adjustments
|
||||||||||||||||
|
Revenues:
|
||||||||||||||||||||
|
Oil, natural gas and natural gas liquids revenues
|
$ | 24,524 | $ | 33,629 | $ | – | $ | – | $ | 58,153 | ||||||||||
|
Transportation and marketing–related revenues
|
– | – | – | – | – | |||||||||||||||
|
Total revenues
|
24,524 | 33,629 | – | – | 58,153 | |||||||||||||||
|
Operating costs and expenses:
|
||||||||||||||||||||
|
Lease operating expenses
|
9,671 | 13,069 | – | – | 22,740 | |||||||||||||||
|
Cost of purchased natural gas
|
– | – | – | – | – | |||||||||||||||
|
Production taxes
|
1,554 | 765 | – | – | 2,319 | |||||||||||||||
|
Asset retirement obligations accretion expense
|
– | – | 754 | – | 754 | |||||||||||||||
|
Depreciation, depletion and amortization
|
– | – | 22,766 | – | 22,766 | |||||||||||||||
|
General and administrative expenses
|
– | – | – | – | – | |||||||||||||||
|
Total operating costs and expenses
|
11,225 | 13,834 | 23,520 | – | 48,579 | |||||||||||||||
|
Operating income (loss)
|
13,299 | 19,795 | (23,520 | ) | – | 9,574 | ||||||||||||||
|
Other income (expense), net
|
– | – | – | (12,697 | ) | (12,697 | ) | |||||||||||||
|
Income before income taxes
|
13,299 | 19,795 | (23,520 | ) | (12,697 | ) | (3,123 | ) | ||||||||||||
|
Income taxes
|
– | – | – | – | – | |||||||||||||||
|
Net income
|
$ | 13,299 | $ | 19,795 | $ | (23,520 | ) | $ | (12,697 | ) | $ | (3,123 | ) | |||||||
|
|
(e)
|
Reflects the operating revenues and direct operating expenses of the Petrohawk acquisition for the year ended December 31, 2009.
|
|
|
(f)
|
Reflects the operating revenues and direct operating expenses of the Talon acquisition for the year ended December 31, 2009.
|
|
|
(f)
|
Reflects incremental asset retirement obligations accretion expense and depreciation, depletion and amortization for the year ended December 31, 2009 as follows:
|
|
Petrohawk
Acquisition
|
Talon
Acquisition
|
Total
|
||||||||||
|
Asset retirement obligations accretion expense
|
$ | 687 | $ | 67 | $ | 754 | ||||||
|
Depreciation, depletion and amortization
|
14,098 | 8,668 | 22,766 | |||||||||
|
(h)
|
Reflects incremental interest expense for the year ended December 31, 2009.
|