QEP Resources Inc. to Acquire Oil Properties in the Permian Basin

  QEP Resources Inc. to Acquire Oil Properties in the Permian Basin

Adds Proved Reserves of Approximately 47 Million Barrels of Oil Equivalent and
    Approximately 300 million Barrels of Potentially Recoverable Resource

  Continues QEP’s Strategic Focus on High-Margin Crude Oil & NGL Production

Business Wire

DENVER -- December 9, 2013

QEP Resources Inc. (NYSE:QEP, “QEP” or the “Company”), today announced that
its wholly owned subsidiary, QEP Energy Company, has entered into a definitive
agreement to acquire oil and gas properties in the Permian Basin for an
aggregate purchase price of approximately $950 million (the “Acquisition”).
The properties, which are located in the Midland sub-basin, primarily in
Martin and Andrews counties in west Texas, will diversify the Company’s
exploration and production footprint, and advance QEP’s objective to create
long-term shareholder value through the continued emphasis on high-margin
crude oil and natural gas liquids production. The Company’s Board of Directors
was unanimous in its approval of the Acquisition.

Acquisition Highlights:

  *Current net production of approximately 6,700 barrels of oil equivalent
    per day (Boepd), of which approximately 68% is crude oil
  *Net proved reserves based on internal estimates of approximately 47
    million barrels of oil equivalent (MMBoe)
  *Total estimated net recoverable resources of up to 300 MMBoe
  *Nine potential horizontal development targets over a 3,000 foot vertical
  *26,519 net acres with an average working interest of 94% and a 75% net
    revenue interest
  *264 vertical producing wells with nearby horizontal activity by industry
  *Potential for over 200 vertical and up to 775 horizontal drilling
  *Attractive valuation at less than 4.0x estimated 2015 Adjusted EBITDA
  *Combined with anticipated asset sales, significantly transforms QEP’s
    asset base towards oil- and liquids-weighted growth

“This Acquisition is part of our continuing strategy to become more focused on
crude oil and natural gas liquids,” said Chuck Stanley, Chairman, President
and CEO of QEP. “Our New Ventures team has been actively focused on expanding
our footprint in the world-class crude oil provinces of North America, first
in the Williston Basin and now in the Permian Basin. We have evaluated
numerous potential opportunities in the Permian, but until now, none have met
our acquisition criteria. This Acquisition allows us to leverage our
competitive strength of drilling horizontal development wells in multi-pay,
stacked reservoirs, and provides a ten-year inventory of crude oil drilling

The Company plans to fund the Acquisition with proceeds from its revolving
credit facility and cash on hand, and expects to close the transaction on or
before January 31, 2014. In addition, QEP expects to sell various non-core E&P
assets located in the Midcontinent during the first half of 2014, allowing the
Company to maintain a strong balance sheet and to have adequate liquidity. Pro
forma for these transactions, the Company expects to focus its capital
spending in its two premier oil assets: the Williston and the Permian basins,
and its two liquids-rich gas assets: the Pinedale Anticline and the Lower
Mesaverde play in the Uinta Basin.

“Along with the planned separation of QEP Field Services Company, the
Acquisition and the anticipated asset sales will continue the Company’s
transformation into a liquids-focused, pure-play E&P company with assets
located in premier basins across North America,” concluded Stanley.

QEP will host a conference call to discuss the Acquisition on December 9, 2013
at 8:30 a.m. EST (6:30 a.m. MST). Slides to accompany the conference call have
been posted on the QEP website at www.qepres.com. The conference call can be
heard live through a link on the QEP website or by dialing (877) 407-8293
domestically or (201) 689-8349 internationally. Attendees should log in to the
webcast or dial in approximately 15 minutes prior to the call's start time. A
replay of the conference call will be available on the website and a telephone
audio replay will be available from December 9, 2013 to January 9, 2014 by
calling (877) 660-6853 domestically or (201) 612-7415 internationally and then
entering conference ID # 13573385.

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.

Cautionary Statements

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. Such statements are based on management's current
expectations, estimates and projections, which are subject to a wide range of
uncertainties and business risks. These forward-looking statements include
statements regarding the anticipated closing date of the Acquisition, the
planned separation of our midstream businesses, estimated proved and probable
reserves to be acquired, estimated ultimate recoveries of wells to be
acquired, estimated percentages of crude oil from such formations, forecasted
prices of natural gas and crude oil, the sale of non-core E&P assets,
estimated locations, estimated recoverable resource, funding for the
Acquisition, operational flexibility and improved capital and operating
efficiencies following the Acquisition, expected impact on production, and
forecasted Adjusted EBITDA. Actual results may differ materially from those
included in the forward-looking statements due to a number of factors
including, without limitation, prices for natural gas, oil and NGLs;
availability of capital; disruptions of QEP's ongoing business, distraction of
management and employees, increased expenses and adversely affected results of
operations from organizational modifications due to the Acquisition; the
inability of the parties to satisfy the conditions to the consummation of the
Acquisition; the impact of capital market and business conditions on
anticipated sales of various non-core assets and on the nature and timing of a
separation of our midstream businesses; 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; the assumption of unidentified
or unforeseeable liabilities from the Acquisition; drilling and production
costs; availability of drilling services and equipment; regulatory and other
approvals; recoveries of gas in place; actual drilling results; lease
expirations; general economic conditions, including the performance of
financial markets and interest rates, global geopolitical and macroeconomic
factors; weather conditions and factors identified in the Risk Factors section
of the Company's Annual Report on Form 10-K for the year ended December 31,
2012. QEP undertakes no obligation to publicly correct or update the
forward-looking statements in this release, in other documents, or on the
website to reflect future events or circumstances.

Estimated Net Recoverable Resources. “Estimated net recoverable resources”
refers to the Company’s internal estimates of hydrocarbon quantities that may
be potentially discovered through exploratory drilling or recovered with
additional drilling or recovery techniques, and are not proved reserves within
the meaning of SEC rules. Actual quantities that may be ultimately recovered
from the Company’s interests may differ substantially. Factors affecting
ultimate recovery include the scope of the Company’s ongoing drilling program,
which will be directly affected by the availability of capital; oil, gas and
NGL prices; drilling and production costs; availability of drilling services
and equipment; drilling results; lease expirations; transportation
constraints; regulatory approvals and other factors; and actual drilling
results, including geological and mechanical factors affecting recovery rates.

Non-GAAP Financial Measures. QEP refers to Adjusted EBITDA, a non-GAAP measure
that management believes is a good tool to assess QEP's operating results.
Management generally defines Adjusted EBITDA as net income before each of the
following: separation costs, discontinued operations, loss on early debt
extinguishment, unrealized gains and losses on basis-only swaps, gains and
losses on asset sales, interest and other income, interest expense,
depreciation, depletion and amortization, abandonments and impairments,
exploration expense and income taxes. Due to the forward-looking nature of
this non-GAAP financial measure for future periods, information to reconcile
it to forecasted net income, the most directly comparable GAAP financial
measure, is not available at this time, as management is unable to project
special items, mark-to-market adjustments and certain other factors for future


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