Businessweek

Linn Energy, LLC, an independent oil and natural gas company, engages in the acquisition and development of oil and gas properties in the United States (U.S.). The company’s properties are located in the U.S., in the Mid-Continent, the Hugoton Basin, the Green River Basin, the Permian Basin, Michigan, Illinois, the Williston/Powder River Basin, California and east Texas. As of December 31, 2012, the company’s proved reserves included 4,796 billion cubic feet equivalent. As of December 31, 2012, the company operated 11,048 or 70% of its 15,804 gross productive wells. Strategy The key elements of the company’s business strategy is to grow through acquisition of long-life, high quality properties; and efficiently operate and develop acquired properties. Operating Regions Mid-Continent The Mid-Continent region includes properties located in Oklahoma, Louisiana and the eastern portion of the Texas Panhandle (including the Granite Wash and Cleveland horizontal plays). Wells in this diverse region produce from both oil and natural gas reservoirs at depths ranging from 1,500 feet to approximately 18,000 feet. The company owns and operates a network of natural gas gathering systems consists of approximately 300 miles of pipeline and associated compression and metering facilities. Hugoton Basin The Hugoton Basin is a large oil and natural gas producing area located in the central portion of the Texas Panhandle extending into southwestern Kansas. The company’s Texas properties in the basin primarily produce from the Brown Dolomite formation at depths of approximately 3,200 feet. The company’s Kansas properties in the basin, acquired in 2012, primarily produce from the Council Grove and Chase formations at depths ranging from 2,500 feet to 3,000 feet. The company owns and operates a network of natural gas gathering systems comprised of approximately 665 miles of pipeline and associated compression and metering facilities that connect to various sales outlets in the area. The company also owns and operates the Jayhawk natural gas processing plant in southwestern Kansas with a capacity of approximately 450 million cubic feet equivalent per day, allowing it to extract maximum value from the liquids-rich natural gas produced in the area. Green River Basin The Green River Basin region consists of properties acquired in 2012. These properties are located in southwest Wyoming and primarily produce natural gas at depths ranging from 8,000 feet to 12,000 feet. Permian Basin The company’s properties are located in west Texas and southeast New Mexico and produce at depths ranging from 2,000 feet to 12,000 feet. The company produces oil and natural gas from mature, low-decline wells, including various waterflood properties located across the basin. Michigan/Illinois The Michigan/Illinois region includes properties producing from the Antrim Shale formation in the northern part of Michigan and oil properties in southern Illinois. These wells produce at depths ranging from 600 feet to 4,000 feet. Williston/Powder River Basin The Williston/Powder River Basin region includes the Bakken formation in North Dakota and the Powder River Basin in Wyoming. The company’s non operated properties in the Williston Basin, an oil basin in the U.S., produce at depths ranging from 9,000 feet to 12,000 feet. The company’s properties in the Powder River Basin, acquired in 2012, consist of a CO2 flood operated by Anadarko Petroleum Corporation in the Salt Creek Field. California The California region consists of the Brea Olinda Field of the Los Angeles Basin. The Brea Olinda Field produces from the shallow Pliocene formation to the deeper Miocene formation at depths ranging from 1,000 feet to 7,500 feet. East Texas The East Texas region consists of properties acquired in 2012. These properties are located in east Texas and primarily produce natural gas from the Cotton Valley formation at depths of approximately 11,000 feet. Customers The company’s customers include Enbridge Energy Partners, L.P. and DCP Midstream Partners, LP. Environmental Matters and Regulation The environmental laws and regulations applicable to the company and its operations include the following U.S. federal laws and regulations: Clean Air Act, and its amendments; Clean Water Act; Comprehensive Environmental Response, Compensation and Liability Act; Energy Independence and Security Act of 2007; National Environmental Policy Act; Resource Conservation and Recovery Act; Safe Drinking Water Act; and U.S. Department of Interior regulations. History Linn Energy, LLC was founded in 2003.