Bill Barrett Corp. (BBG) 2005 game plan

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Bill Barrett Corporation (ticker BBG) is one of the last pure Rockies natural gas explorers and it has only been public
since December of 2004. Since 2002,
Bill Barrett and his experienced Rockies team
have amassed almost one million acres in eight states.

The company has exposure to nine basins (five core) with
various geological and operational characteristics. The management is well versed in the various
plays and the issues around them.

The Core Basins:

Piceance, Uinta, Wind River, Powder
River, and Williston

The Other Basins:

Paradox, Denver-Julesburg, Big Horn and Green

One of the best ways to follow any company is to see how
management executes. To help in this endeavor,
we will look at the year-end conference call, held March 11, 2005. We will focus on what the company gives for
guidance and use it as a benchmark for the year.

2005 Production guidance: 102 mmcfe/d to 109 mmcfe/d (over 90% natural gas)

2005 Capital budget was set
at $276 million to be funded by

  • $100 million cash on hand from the IPO
  • Operating Cash Flow (consensus estimate of $143 million)
  • $200 million in bank facility

From 4Q2004 conference call:


  • Piceance Basin (Northwest Colorado):

2005 Budget: $120
million (95 wells, 12 recompletions)

Focus on the Gibson Gulch area,

...we are just a little behind schedule due to
landowner issues but we expect to catch up with four rigs running into the
early summer months.

  • Uinta Basin (Eastern Utah):

2005 Budget: $66

...a geologic twin to the

(The area Nine Mile Canyon has since been renamed West Tavaputs)

We have drilled the
first two wells of a 17-well program for 2005 at Nine Mile.

… has scheduled at
least one deep test for the second and third quarters…

…the newly identified
3D features further strengthen our view that Nine Mile could truly be a
company-maker project for BBC.

  • Wind River Basin (Central Wyoming):

2005 budget: $56

…a workhorse for the


we have drilled five wells here (the call
took place on March 11, 2005) and plan to drill an additional 14 wells, most
during the first three third quarters of 2005.

... actively seeking a 50% industry partner…in
five key shallow and deep projects along the Waltman Arch.

Talon Area

we continue to see
encouraging results with the two plays that we have in this area.

  • Powder River Basin (Wyoming):

2005 budget: $20
million (220 CBM wells)

Solid production
growth continues in our Powder River Basin CBM

…a lower risk play…
with solid repeatability and consistency with a substantial inventory of
locations over the next five to six years.

  • Wiiliston Basin (Dakotas):

2005 Budget: $6 million (6 wells)

…perhaps the hottest
horizontal play in the U.S.

…targeting three
horizontal plays.

The plays are the Madison, the Bakken and the Red River B.

…we are seeking
industry partners to accelerate our exposure to reserves and production...

…could lead to 10
additional wells in the Williston during 2005…

(Quotes are from the CCBN StreetEvents transcript.)