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N. G. IPAA / COGA Private Capital AUGUST 10, 2006 DENVER, COLORADO. P. N ATURAL G AS P ARTNERS. Capital and Sponsorship for the Energy Industry Since 1988. A $3.6 Billion Investment Management Firm with Energy Sector Focus. Natural Gas Partners. NGP Capital Resources.
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N G IPAA / COGA Private Capital AUGUST 10, 2006 DENVER, COLORADO P NATURAL GAS PARTNERS Capital and Sponsorship for the Energy Industry Since 1988
A $3.6 Billion Investment Management Firm with Energy Sector Focus Natural Gas Partners NGP Capital Resources NGP Energy Technology Partners Growth Capital Private Equity Mezzanine
Natural Gas Partners Private equity firm focused on the energy industry since 1988 Particular expertise in oil and gas production, midstream and oilfield service companies Over $3.2 billion of capital and undrawn commitments managed in eight private equity funds and two co-investment funds $2.4 billion invested and committed – 130 transactions in 101 entities
The NGP Team Almost eighteen years - no turnover COVINGTON WEINZIERL RAYMOND HERSH ALBIN RAY HAYES QUINN WEBER
Focus: People and Teams Entrepreneurial Strong Technical and Practical Experience Sound Business Judgment Confidence and Leadership Abilities Creativity Desirous of a Value-Added Partner
Not Required CEO Experience Full Lineup of Technical and Financial Disciplines A Deal in Hand Pretty PowerPoint Slides
Things to Consider Incentives Owner / Manager Contribution Requirements Structure and Alignment of Interests Ownership / Monitoring Dynamic Resources Offered Exit Dynamic
Always, Always, Always … CHECK REFERENCES! Good and Bad Deals Past and Present Partners
Targets Capital Resources Experience Creativity
Capital Trends Energy is HOT! Larger Funds “Mezzan-Equity” New Entrants Commercial Banks More Aggressive More Intermediaries
Structuring Trends More Incentives Larger Commitments
Business Plan Trends Larger Deals More Drilling Comfort with Higher Commodity Price Levels Less Traditional Basins
Conclusions Capital is Easy Assets, People, Time, and Value-Added Partners are Scarce Don’t Underestimate the Impact of a Bad or Inexperienced Partner Go with Experience
Contact David Hayes dhayes@ngptrs.com 972-432-1451