EV Energy Partners, LP Q1 2010 Earnings Call Transcript

With the EXCO and Range transaction, EnerVest partnerships and EVEP produced a gross amount of 87 million cubic feet equivalent per day in Ohio which is 25% to 30% of the state’s production. We operate there about 7,800 wells and control 1.6 million acres. You cannot be efficient with scattered acres and wells. With our concentration we’re driving down costs of course and we have large pools of gas that we can market and I think that is going to be very important in the gas market over the next 10 years or more but we can also justify buying from transportation which people with scattered production can’t justify.

As important in EVEP’s big three basins: the Appalachia; the Austin Chalk; and the San Juan, there are plays developing that will come through us as I have already mentioned. In the Chalk EnerVest and EVEP have one million acres. Not only is the Eagle Ford below the Chalk but the Chalk itself has rarely been fraced at all and the gas in place is enormous. Something you probably don’t know, the matrix for the Austin Chalk is greater than for the Eagle Ford. We will soon do the industry’s first multistage frac in the Chalk.

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