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Baker Botts Represents WPX Energy in Investment in Legacy Reserves IDR Units

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HOUSTON, May 12, 2014 -- On May 6, 2014, WPX Energy, Inc. (“WPX”) (NYSE: WPX) announced it had entered into an agreement to sell a working interest in certain of its existing Piceance Basin wells to Legacy Reserves LP (“Legacy”) (NASDAQ: LGCY) for $355 million in cash consideration plus a portion of Legacy’s newly-created incentive distribution units (“IDR units”). WPX will be issued and immediately vest in 10% of the authorized IDR units and have the ability to vest in up to an additional 20% of the authorized IDR units contingent upon future drop-downs to Legacy.

The transaction is the first in which an MLP has issued incentive distribution rights to an unaffiliated third party. The transaction is expected to close before the end of June 2014.

Baker Botts represented WPX Energy, Inc. in this transaction.



About Baker Botts L.L.P.
Baker Botts is an international law firm of approximately 700 lawyers practicing throughout a network of 15 offices around the globe. Based on our experience and knowledge of our clients’ industries, we are recognized as a leading firm in the energy, technology and life sciences sectors. Throughout our 174-year history, we have provided creative and effective legal solutions for our clients while demonstrating an unrelenting commitment to excellence. For more information, please visit BakerBotts.com.

 

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