Parallel Resource Partners Information

Parallel Resource Partners, LLC is a private equity firm focused on the North American upstream oil and gas sector. We seek to provide growth capital to established oil and gas companies with attractive drilling opportunities. Parallel’s investment model is different from most energy private equity firms. Generally, we do not back greenfield management teams without assets. Instead, we typically take significant equity positions in established oil and gas companies and work side-by-side with the founders. Members of our investment team have a long history of acquiring and unlocking value in attractive energy assets that have not been fully exploited. We believe the current market conditions have created three attractive investment strategies: DEVELOPMENT CAPITAL Development Capital is required when companies with attractive investment opportunities cannot raise sufficient external capital. In some cases, this involves expiring options (e.g., expiring leases or non-consent wells); in other cases, it simply involves stranded development in which attractive investment opportunities go unfunded. Parallel provides development capital directly to companies or joint-ventures and to others as financing partnerships. DEBT REDUCTION Debt Reduction involves providing capital to remedy debt-related deficiencies, whether due to maturities, downward borrowing base redeterminations, covenant breaches, or insolvency/bankruptcy. OUT-OF-FAVOR ASSETS Out-of-Favor Assets involve contrarian investments in which companies and investors have largely turned away from out-of-favor asset classes. In recent times, these have included shallow offshore developments in the Gulf of Mexico, investments in conventional onshore oil and gas, and investments in difficult regulatory environments such as California.