Threshold Completes Due Diligence for $1.46 Billion Transaction

March 4, 2008

On September 12, 2007, it was announced that BreitBurn Energy Partners, LP, was to purchase from Quicksilver Resources producing properties comprising over 922,00 gross acres, over 5,400 existing wells, and what was later found to be over 14,000 leases, all in either Michigan, Indiana, or Kentucky. After meeting with representatives of BreitBurn and Quicksilver on Sept. 14 and learning details of the scope and requirements of the project, Threshold management structured a tailored approach and arranged for the necessary support and staffing.
Beginning on September 17, Threshold staff reviewed records maintained in Quicksilver’s Fort Worth office, reviewed regulatory records available online, and supervised field title crews who were responsible for updating title histories. By November 1, sufficient title confirmation had been completed to provide adequate security for the portion of the purchase price which was being financed. By the end of the year, title had been confirmed to over 70% of the proven reserves. In the course of this project over 3700 pages of work product were prepared for inclusion or reference in the final report.
Known from the beginning to be one of the largest E & P sector transactions of the year, this sale was recognized by Oil and Gas Investor Magazine as Merger and Acquisition Deal of the Year for 2007.