Sanchez Energy Corporation is an independent exploration and production company focused on the exploration, acquisition and development of unconventional oil and natural gas resources. The Company is formed for the purpose of acquiring SEP I�s unconventional oil and natural gas assets, which are held in SEP Holdings III and will be contributed to us as part of the formation transactions. The Company has accumulated approximately 39,000 net leasehold acres in the oil and condensate, or black oil and volatile oil, windows of the Eagle Ford Shale in Gonzales, Zavala and Frio Counties of South Texas. It owns all rights and depths on the majority of its Eagle Ford Shale acreage. In addition, the Company has approximately 1,500 net acres in the Haynesville Shale in Natchitoches Parish, Louisiana, which are operated by Chesapeake Energy Corporation and Encana Corporation.