QEP Resources Announces Decision to Pursue a Separation of Its Midstream Business

  QEP Resources Announces Decision to Pursue a Separation of Its Midstream

Business Wire

DENVER -- December 2, 2013

QEP Resources, Inc. (“QEP” or the “Company”) (NYSE:QEP) today announced a
decision to pursue a separation of its midstream business, QEP Field Services
Company (“QEP Field Services”), including the Company's interest in QEP
Midstream Partners, LP (“QEPM”) (NYSE:QEPM).

The decision is a result of the Board’s continuous review of strategic
alternatives to maximize shareholder value that also led to the creation of
QEPM earlier this year. After careful review by the Board of Directors and
management team with its financial advisors, the Company concluded that the
separation of QEP Field Services from QEP creates a number of significant
advantages, each of which is expected to maximize shareholder value,

  *Allowing for the separate valuation of QEP’s midstream business. The value
    of QEP’s midstream business is not fully recognized in the QEP share price
    and a separation is expected to unlock shareholder value;
  *Allowing each business to independently deploy resources and allocate
    capital according to their strategic initiatives and growth strategies;
  *Permitting each business to compete more effectively in their respective

The Board has directed management to begin the necessary work of establishing
QEP Field Services as a separate entity from QEP, including engaging a search
firm to assist in recruitment of additional senior management with experience
running a standalone midstream business. In addition, the Board has asked
management to work with the Company’s financial and legal advisers to evaluate
the shareholder value impact of various separation alternatives.

The Company and its advisors are working diligently to determine the path that
creates the most value for shareholders and the timing of the consummation of
separation is dependent on the path ultimately chosen. The Company expects to
update shareholders on the progress of the separation during the first quarter
of 2014.

During the review, the Company will continue to operate its business in the
normal course and will fully support ongoing activities. While the Company is
committed to the separation of the QEP Field Services business, there can be
no assurance that any transaction will ultimately be consummated.

Deutsche Bank Securities Inc. and Goldman, Sachs & Co. are acting as financial
advisors to QEP and Latham & Watkins LLP and Wachtell, Lipton, Rosen and Katz
are serving as legal advisors.

About QEP Resources

QEP Resources, Inc. (NYSE:QEP) is a leading independent natural gas and crude
oil exploration and production company focused in two major regions: the
Northern Region (primarily the Rockies and the Williston Basin) and the
Southern Region (primarily Oklahoma, the Texas Panhandle, and Louisiana) of
the United States. QEP Resources also gathers, compresses, treats, processes
and stores natural gas. QEP Resources is the majority owner of QEP Midstream
Partners, LP (NYSE:QEPM) and owns 100% of the partnership’s general partner.
For more information, visit QEP Resources' website at: www.qepres.com.

Forward-Looking Statements

This release includes forward-looking statements within the meaning of Section
27(a) of the Securities Act of 1933, as amended, and Section 21(e) of the
Securities Exchange Act of 1934, as amended. Forward-looking statements can be
identified by words such as “anticipates,” “believes,” “forecasts,” “plans,”
“estimates,” “expects,” “should,” “will” or other similar expressions. All
statements that address expectations or projections about the future are
forward-looking statements. Forward-looking statements are not guarantees of
future performance and are based on certain assumptions and expectations of
future results which may not be realized. Forward-looking statements also
involve risks and uncertainties, many of which are beyond the Company’s
control. Actual results may differ materially from those included in the
forward-looking statements due to a number of factors, including, but not
limited to: the availability of capital; global geopolitical and macroeconomic
factors; general economic conditions, including interest rates; changes in
local, regional, national and global demand for natural gas, oil and NGL;
natural gas, NGL and oil prices; impact of new laws and regulations, including
regulations regarding the use of hydraulic fracture stimulation and the
implementation of the Dodd-Frank Act; elimination of federal income tax
deductions for oil and gas exploration and development; drilling results;
shortages of oilfield equipment, services and personnel; operating risks such
as unexpected drilling conditions; weather conditions; changes in maintenance
and construction costs and possible inflationary pressures; permitting delays;
the availability and cost of credit; outcome of contingencies such as legal
proceedings; inability to successfully integrate acquired assets; purchase
price adjustments relating to asset sales; risks relating to the securities
markets generally; the impact of adverse market conditions affecting the
Company's business; fluctuations in processing margins; unexpected changes in
costs for constructing, modifying or operating midstream facilities; lack of,
or disruptions in, adequate and reliable transportation for the Company's
products; limited access to capital or significantly higher cost of capital
related to illiquidity or uncertainty in the domestic or international
financial markets; inadequate supplies of water and/or lack of water disposal
sources; the implications of the JANA Partners, LLC share accumulations and
its proposals to the Company and the Company’s response to those proposals;
the impact of capital market and business conditions on the nature and timing
of a separation of QEP Field Services; the impact on QEP of such separation,
including the time and resources devoted to its execution and the consequences
of separation of the midstream assets from QEP; future opportunities that the
Company’s board of directors may determine present greater potential value to
stockholders than any contemplated transaction; and the other risks discussed
in the Company’s periodic filings with the Securities and Exchange Commission,
including the Risk Factors section of the Company’s Annual Report on Form 10-K
for the year ended December 31, 2012. The Company undertakes no obligation to
publicly correct or update the forward-looking statements in this news
release, in other documents, or on its website to reflect future events or
circumstances. All such statements are expressly qualified by this cautionary


QEP Resources, Inc.
Greg Bensen, 303-405-6665
Director, Investor Relations
Brent Rockwood, 303-672-6999
Director, Communications
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