Jonah Energy Announces Closing of Acquisition of Properties from LINN Energy

DENVER–(BUSINESS WIRE)–Jonah Energy LLC (“Jonah Energy”) announced today that it has closed the
previously announced agreement to acquire natural gas and oil producing
properties in the Jonah and Pinedale fields and surrounding area from
LINN Energy, Inc. (“LINN”) for an adjusted purchase price of
approximately $566 million. The acquisition includes LINN’s interests in
over 1,200 producing wells and 27,000 net acres, of which more than 80%
is currently undeveloped. More than half of the acquired wells are
operated by Jonah Energy.

In connection with the closing of the transaction, Jonah Energy has
upsized its revolving credit facility from a borrowing base of $825
million to $1.125 billion, and also raised additional equity capital
from its existing investor group.

“We are pleased to close this acquisition and look forward to
implementing our development program on these properties within our
existing operating footprint,” said Tom Hart, Chief Executive Officer of
Jonah Energy. “I would like to personally welcome the former LINN
employees who have joined the Jonah Energy team. We also extend our
appreciation to our bank group and equity investors for their continued
support of Jonah Energy’s growth.”

The acquired assets averaged over 150 million cubic feet equivalent per
day (Mmcfe/day) of net production in 2016. Pro forma for the
transaction, Jonah Energy will produce over 450 Mmcfe/day net from over
2,100 producing wells across over 145,000 net acres within Wyoming’s
Jonah and Pinedale fields and adjacent Normally Pressured Lance (NPL)
area. The acquisition solidifies Jonah Energy’s position as one of the
largest private natural gas producers in the country.

JP Morgan Chase Bank, N.A., Citigroup Global Markets Inc., and BMO
Capital Markets acted as lead arrangers for the Amended and Restated
Credit Facility. Jonah Energy’s financial advisor for the transaction
was Evercore Group LLC, and its legal advisor was Vinson & Elkins LLP.

About Jonah Energy LLC

Jonah Energy LLC was created in the spring of 2014 with the acquisition
of producing assets within the Jonah Field in Sublette County, Wyoming.
Jonah Energy is one of the largest privately-held natural gas producers
in the US and pursues a strategy of growth through the acquisition,
development and enhancement of high-quality producing assets. In
addition to ongoing development of its Jonah field assets, Jonah Energy
is in the process of obtaining authorization to develop its acreage in
the adjacent Normally Pressured Lance (NPL) area, which holds the
potential for substantial incremental oil and natural gas reserves. The
company’s investor group is led by TPG Capital LLC and includes EIG
Global Energy Partners and management.

Contacts

Jonah Energy LLC
Paul Ulrich, 303-330-6346
[email protected]
www.jonahenergy.com