Comstock 2016 South Texas Conventional Gas Divestiture
Comstock Resources, Inc. (“Comstock”) is offering for sale all of its South Texas conventional gas assets (the
“Properties”). BMO Capital Markets has been retained as exclusive financial advisor to Comstock.
Asset Overview
Comstock South Texas Major Field Areas

Opportunity to acquire long-life, shallow
decline, legacy gas assets located in Duval,
Hidalgo, Kenedy, McMullen, and Zapata
counties, Texas

Located in the heart of the Tertiary-aged
Wilcox and Vicksburg plays

Major operated fields include the prolific
Fandango, Rosita, Javelina, and Las
Hermanitas, which have cumulatively
produced over 1 TCFE

9,904 net acres (20,552 gross acres), which
are 100% HBP

Estimated April 2016 net production of ~11
MMCFEPD from ~120 gross producing
wells with a PDP R/P of ~11 years

Quantified opportunities include over 10 lowrisk workovers and over 40 recompletions;

Unquantified opportunities include
additional recompletions and
operational improvements
Net Production
MMCFEPD
Fandango
1
60
50
40
30
20
10
0
Rosita
Stratigraphic Column
Javelina
Las Hermanitas
No New Drilling
Other
Key Investment Highlights

Regional exit for
Comstock



Stable production
and cash flow



Significant upside
potential


Assets undercapitalized with only 3 wells drilled and nominal capital deployed since 2009
Significant portion of the assets were purchased from Shell (e.g. Fandango and Rosita) in
2007 (72% of 2015 cash flow)
Significant operational control as all lands are HBP and 93% of production is operated
Current net production of ~11 MMCFEPD (98% gas) from Wilcox and Vicksburg core
Predictable production with 8% established forecasted decline rate (12-mo) and 4% terminal
decline
Last six month average net operating cash flow of ~$300,000 per month; primarily from
Fandango and Javelina
Low-risk proved upside consists of workovers and behind pipe recompletion opportunities
De-risked through well control and 3rd party seismic surveys
Additional upside includes operational improvements and drilling opportunities

Ramp-up acid jobs, cleanouts, compression, and foam lift optimization
MARCH
Process Overview and Timeline
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
M
6
7
Holiday
VDR available
Key process dates
T
W
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F
S
1
2
3
4
5
8
9
10
11
12
VDR available late March 2016
Data Room presentations
13
14
15
16
17
18
19
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Data Room presentations beginning April 4, 2016
Bids due
20
21
22
23
24
25
26

Bids due April 28, 2016
27
28
29
30
31


2016
S
Contact Chelsea Neville ([email protected] or
713-546-9703) for a Confidentiality Agreement, access
to the VDR, and to request a data room presentation
Submit questions to [email protected]
BMO Capital Markets Contacts
Geoff Roberts
MD / Head of US A&D
713-547-0808
[email protected]
Howard Barnwell
Director / Transaction Mgr.
713-546-9767
[email protected]
Eric Monus
VP / Engineer
713-546-9734
[email protected]
APRIL
S
2016
M
T
W
T
F
S
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
Sherri Clark
Senior Engineer
713-518-1271
[email protected]
Dan Schockling
Director / Commercial
713-547-0805
[email protected]
NOTE: All or part of the Comstock 2016 South Texas Conventional Gas Divestiture is subject to prior sale at any time and any dates are subject to revisions at
any time, at the sole discretion of Comstock and BMO Capital Markets Corp. (“BMOCMC”). All information included in this document is based on information
provided by Comstock. Please note all numbers may be approximate or estimated and tables may not add due to rounding. Please do not contact Comstock
directly. Direct all inquires to the BMOCMC personnel listed above.
DISCLAIMER: BMOCMC and Comstock make no representation or warranty, express or implied in respect thereof, take no responsibility for any errors and
omissions which may be contained herein and accept no liability whatsoever for any loss (whether direct or consequential) arising from any use of or reliance on
this Announcement or its contents. Information may be available to BMOCMC, which is not reflected herein. This Announcement is not to be construed as an
offer or solicitation to buy or sell any security. BMO Capital Markets is a trade name used by BMO Financial Group for the wholesale banking businesses of Bank
of Montreal, BMO Harris Bank N.A. (member FDIC), Bank of Montreal Ireland p.l.c, and Bank of Montreal (China) Co. Ltd and the institutional broker dealer
businesses of BMO Capital Markets Corp. (Member SIPC) in the U.S., BMO Nesbitt Burns Inc. (Member Canadian Investor Protection Fund) in Canada and Asia
and BMO Capital Markets Limited (authorised and regulated by the Financial Conduct Authority) in Europe and Australia. “Nesbitt Burns” is a registered
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symbol)" is a registered trademark of Bank of Montreal, used under license. ® Registered trademark of Bank of Montreal in the United States, Canada and
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