Cimarex Energy Co

(XEC)

Cimarex Energy, Co. is a Denver-based independent oil and gas exploration and production company with principal operations in the Mid-Continent, Permian Basin and Gulf Coast areas of the U.S. The Company's business approach is centered on increasing shareholder value through consistent profitable growth in proved reserves and production through its drilling program and optimizing production rates.

Cimarex's approach is focused on drill-bit driven growth in production and reserves utilizing risked rate of return economics to evaluate projects. The Company relies heavily on its organization of geoscientists to generate drilling prospects. Cimarex has decentralized exploration teams who are experts in their regions. A cornerstone to its approach is detailed evaluation of each drilling decision based on its risk-adjusted discounted cash flow rate of return on investment. Cimarex's analysis includes estimates and assessments of potential reserve size, geologic and mechanical risks, expected costs and future production profiles.

Cimarex has maintained a strong financial position and conservative capital structure in order to maintain drilling activity through all price cycles.