whtm target price, page-14

thanks Tahi, good pick-up.

gee, i didn't realise just how active Legacy was.
Capital spend of $305m in 2012, with drilling interests in 123 wells!
and cash flow expected of $295m.

excerpts below.

cheers

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"Legacy expects to spend $305 million in 2012 focused on light oil development with the majority (83 percent)
directed to drilling, completions and tie-ins. The spending is distributed as follows: drilling, completions and
tie-ins - $254 million; facilities - $28 million; land and seismic - $18 million and other $5 million. The majority of
the capital spending will be allocated to the Company’s major plays: Turner Valley - $98 million (32 percent),
Spearfish (Manitoba and North Dakota) - $75 million (25 percent), conventional Mississippian – $47 million (15
percent), Frys/Antler - $27 million (9 percent) and Taylorton - $19 million (6 percent).
Legacy is planning to drill 123 gross (96 net) wells in 2012, targeting high quality light oil. In addition to drilling, the
Company is planning capital expenditures on a pilot waterflood at Frys/Antler and Taylorton. No capital has been
budgeted for acquisitions, although the Company continues to evaluate new opportunities, both within and
beyond its core areas.
Legacy anticipates a 2012 average production rate of 16,300 Boe per day (85 percent weighted to light oil and
NGL) representing growth of 29 percent over 2011 expected average production, and 26 percent on a per share
basis. The Company has incorporated a significant reduction in second quarter volumes to account for the
possibility of an extended spring break up in its Williston Basin core area. Legacy expects to exit 2012 at
approximately 17,900 Boe per day, representing 10 percent growth from 2011 exit rate guidance.

At recent strip pricing, this budget is expected to deliver cash flow in excess of $295 million, or $2.05 per basic
common share, an increase of over 50% year over year. This cash flow generation results in a debt to cash flow
ratio of approximately 1.3 times. Projected 2012 year end net debt at recent strip pricing is expected to be $397
million. Cash flow sensitivity to changes in oil price is 1.8 percent per USD 1.00 per barrel change in WTI oil price.