SOURCE: Quest Energy Partners, L.P.

December 14, 2007 07:00 ET

Quest Energy Partners, L.P. Announces 2008 Capital Budget and Distribution Outlook

OKLAHOMA CITY, OK--(Marketwire - December 14, 2007) - Quest Energy Partners, L.P. (NASDAQ: QELP) announced its Board of Directors approved a capital spending budget of $78 million for 2008. The 2008 capital budget provides funding for various activities including the drilling of 325 wells, new acreage additions in the Cherokee Basin, and equipment purchases. Quest plans to fund the budget with internally generated cash flow and borrowings under its revolving credit facility.

Quest also affirmed an initial annual distribution rate of $1.60 per unit. Due to the timing of Quest's initial public offering, the fourth quarter distribution should be slightly more than half of the indicated quarterly rate and be paid in mid-February. "Based on the expected production gains from our 548-well 2007 drilling program and our 325-well 2008 program, we are well positioned to generate internal distribution growth," Quest Chairman, President, and CEO Jerry Cash said. "In addition, we continue to seek external opportunities to deliver on our objective of maintaining and growing unit holder distributions."

About Quest Energy Partners, L.P.

Quest Energy Partners, L.P. was formed by Quest Resource Corporation (NASDAQ: QRCP) to acquire, exploit and develop natural gas and oil properties and to acquire, own, and operate related assets. The Partnership owns more than 2,000 wells and is the largest producer of natural gas in the Cherokee Basin, which is located in southeast Kansas and northeast Oklahoma and holds a drilling inventory of nearly 2,300 locations. For more information, visit the Quest Energy Partners website at www.qelp.net.

Quest Midstream Partners, L.P. was formed by Quest Resource Corporation to acquire and develop transmission and gathering assets in the midstream natural gas and oil industry. The partnership owns more than 1,800 miles of natural gas gathering pipelines and over 1,100 miles of interstate natural gas transmission pipelines in and around the Cherokee Basin of southeast Kansas and northeast Oklahoma. For more information, visit the Quest Midstream Partners website at www.qmlp.net.

Quest Resource Corporation is a fully integrated E&P company that owns 100% of the general partner and 57% of the limited partner interests in Quest Energy Partners, L.P. and 85% of the general partner and 36% of the limited partner interests in Quest Midstream Partners, L.P. Quest Resource Corporation operates and controls Quest Energy Partners and Quest Midstream Partners through its ownership of their general partners. For more information, visit the Quest Resource website at www.qrcp.net.

Forward-Looking Statements

Opinions, forecasts, projections or statements other than statements of historical fact, are forward-looking statements that involve risks and uncertainties. Forward-looking statements in this announcement are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Although Quest believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Actual results may differ materially due to a variety of factors, including without limitation: the uncertainty involved in exploring for and developing new natural gas reserves, the sale prices of natural gas and oil, labor and raw material costs, the availability of sufficient capital resources to carry out the Partnership's anticipated level of new well development and Quest Midstream's construction of related pipelines, environmental issues, weather conditions, competition, general market conditions, and other risks detailed in Quest's filings with the Securities and Exchange Commission. You can find Quest's filings with the Securities and Exchange Commission at www.qelp.net or at www.sec.gov. By making these forward-looking statements, Quest undertakes no obligation to update these statements for revisions or changes after the date of this release.

Contact Information

  • Company Contact:
    Jack Collins
    Investor Relations
    Phone: (405) 702-7460
    Website: www.qelp.net