2009-05-18-2009-05-18-2009-06-01

Acquired long-lived properties in Williston Basin in MT, ND, gaining 2 MMBOE, 419 BOE/d.

The MLP Encore Energy Partners LP, Fort Worth, Texas, (NYSE: ENP) has closed its acquisition of producing properties in the Williston Basin in Montana and North Dakota from parent company Encore Acquisition Co., (NYSE: EAC) for $25.8 million in cash. The properties produce from 13 different fields and include more than 100 producing wells. The properties have estimated total proved reserves of approximately 2 million barrels of oil equivalent (93% proved developed producing, 80% oil). The properties currently produce approximately 419 barrels equivalent per day. Jon S. Brumley, chief executive and president of Encore Energy Partners GP LLC, says, "The Williston properties are long-life and oily. Because the Williston assets are in 13 different fields, it greatly increases ENP's footprint in the Williston. This will allow the partnership to take advantage of yet-to-be discovered zones and future technological enhancements." Brumley adds, "Having high-margin, long-life properties and a large parent makes us unique and has created a resilient MLP that is able to take advantage of this uncertain market. We are fortunate to have this relationship with EAC." The effective date is April 1. Simmons & Co. International and Griffis & Associates LLC were financial advisors to Encore Energy's conflicts committee, and Simmons delivered a fairness opinion. Barclays Capital was financial advisor and rendered a fairness opinion to Energy Acquisition's board. Encore Energy holds interests in the Big Horn Basin in Wyoming and Montana, the Williston Basin in North Dakota, the Permian Basin in West Texas, and the Arkoma Basin in Arkansas.