Legacy Reserves LP is a master limited partnership headquartered in Midland, Texas, focused on the acquisition and development of oil and natural gas properties primarily located in the Permian Basin, Mid-Continent and Rocky Mountain regions of the United States.

Legacy Reserves LP (NASDAQ – LGCY) is a master limited partnership headquartered in Midland, Texas, focused on the acquisition and development of oil and natural gas properties primarily located in the Permian Basin, Mid-Continent and Rocky Mountain regions of the United States. Our primary business objective is to generate stable cash flows from the acquisition and development of long-lived oil and natural gas properties, allowing us to support and increase quarterly cash distributions per unit over time.

Since 2006, we have made 132 acquisitions of producing properties for approximately $2.5 billion. In our efforts to generate stable cash flows and reduce our commodity price risk, we have an active oil and natural gas hedging program.

Business Strategy

The key elements of our business strategy are to:

• Make accretive acquisitions of producing properties generally characterized by long-lived reserves with stable production and reserve development potential;
• Add proved reserves and maximize cash flow and production through development projects and operational efficiencies;
• Maintain financial flexibility; and
• Reduce commodity price risk through oil and natural gas derivative transactions.

Competitive Strengths

We believe we are well positioned to successfully execute our business strategy because of the following competitive strengths:

• Proven acquisition and development track record;
• High-quality, long-lived, liquids-rich reserve base;
• Extensive, low-risk development drilling inventory;
• Diversified operations and operational control over 70% of our current production;
• Conservative balance sheet and strong hedging profile; and
• Experienced management team with a vested interest in our success.