Quintana Capital Group, L.P.

IPAA PresentationJanuary 16th, 2008

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Quintana Capital Group, L.P.

Primarily focused on control investments across the oil and gas (upstream and services), coal and power industries

– Outside of PE fund, Quintana has found and produced 1.5 billion BOE over 70 year history

– Largest private owner of coal reserves in the U.S.

Technical and Operating Experience

– 75+ year history as operating company

– Technical staff with average 25+ years of industry experience

– 18 investment professionals

Target return: +25% gross IRR; 2-4x multiple of invested capital*

Attractively priced, diversified portfolio of investments

– Target investments across the Oil & Gas - upstream, midstream and downstream-sector

– Coal and Coal services (Natural Resources)

– Power

12-20 equity investments ranging from $10 million to $75 million

– Presently fifteen investments in Fund I in several sectors

Fund II target for July 2008

___________________________* Target IRR is based on the Fund’s assumption that investing conditions will not deteriorate. Actual returns may differ.

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Quintana’s Competitive Advantage - History

Quintana Petroleum Corporation (“QPC”) founded

by Hugh Roy Cullen,Corbin J. Robertson, Jr.’s grandfather

Corbin J. Robertson, Jr. joins QPC and

commences successfulcareer in energy industry

Corbin J. Robertson, Jr. acquires Quintana Minerals Corporation from the Cullen

family launching whathas become known as “Quintana”

Secretary Evansbecomes CEO ofTom Brown, Inc.

Robertson familycommences its

acquisition of coal reserves resultingin the family being

the largest private ownerof coal reserves

in the U.S.

Secretary Evansappointed 34th

U.S. Secretary of Commerce

Launch of QuintanaEnergy Partners

Secretary Evansbegins his career

as a “roughneck” at Tom Brown, Inc.

Warren Hawkinsjoins QPC

19721930’s 1969 1975 1980 1985 1986 2001 2006

Quintana has an extraordinary history spanning four generations and is one of the most respected privately owned enterprises in the energy industry

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Quintana’s Competitive Advantage – Historical Global Presence

Headquarters

Evaluated Investment Opportunity

Coal Investment

Transportation Investment

Offshore Oil and Gas Investment

Onshore Oil and Gas Investment

Q

Q

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Organization Chart

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Targeted Investment Focus

Underexploited conventional oil and gas producing properties

Unconventional oil and natural gas opportunities

Proven exploration and production management teams looking to start and/or grow new companies

Niche natural gas storage and other midstream opportunities

Niche downstream petroleum refining and marketing, including refinery expansion opportunities

Proven service oriented management teams looking to start and/or grow new companies

Coal mining operations, equipment or infrastructure

Clean coal technology opportunities

Renewable and alternative energy opportunities

Power generation or transmission

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Investments

Market Opportunity– Upstream: Exploration and production – Midstream: Processing, transportation, logistics and services– Downstream: Refining and marketing

Investment Strategy– Value investing

• Identify attractive opportunities through Quintana’s historical relationships– Partnering with strong management teams

• Utilize Quintana’s reputation for operational excellence and integrity– Leveraging technical expertise to mitigate risk

• The Team’s energy-related operational and technical depth is unsurpassed in the private equity market

Competitive Advantage– Deep operational and technical expertise– Strong historical investment performance in oil and natural gas

• 21 investments• Realized and partially realized investments: IRR: 44.2%; Multiple of invested capital: 2.3x*

Oil and GasOil & Gas Transactions: 21

Historical:

Santa Cruz I UTE

Peru Exploration

Quintana Minerals Canada

Quintana Minerals Resources

Greystone

Pine Mountain

Caledonia

Columbia Natural Resources

Gulf Atlantic RM

Fund Investments (Unrealized):

Stone Mountain Resources

Quintana Well Pro

XL Prospect and Cypress E&P

Beryl Oil & Gas

Gulfstream Terminals and Marketing

Consolidated Oil Well Services

MWD

The Directional Drilling Company

Deep Gulf Energy I & II

Prize Petroleum

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Investment Opportunity

Market Opportunity

– Globally, coal is the most abundant and economical fossil fuel

– Over 4 billion tons of coal are consumed annually

• Half of all U.S. electrical power generation came from coal in 2005

– Global economic growth will continue to drive coal prices upward

Investment Strategy

– Invest in segments of the coal industry with favorable risk-adjusted return characteristics

• Mining operations

• Equipment and service industries

Competitive Advantage

– The Robertson family is the largest private owner of coal in the U.S.

– The majority of U.S. coal mine operators currently mine coal from reserves owned by the Robertson family

– Strong historical investment performance in coal resources

• Four investments

• Realized and partially realized investments: IRR: 35.7%; Multiple of invested capital: 18.4x*

Coal and Natural ResourcesCoal Transactions: 8

Historical:

Western Pocahontas Properties

Great Northern Properties

FRC - WPP Investment

Robertson Coal Ventures

Natural Resource Partners (NRP)

Fund Investments (Unrealized)

Taggart Global

AmerCable

Kopper Glo

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Investment Opportunity

Market Opportunity

– Over 1.6 billion people still lack access to electrical grids

• Supplying their bulk electricity demands will drive more than $1 trillion in revenues

– Most electricity generation, transmission and distribution assets in the U.S. are owned

and operated by vertically-integrated utilities

– Inadequate and aging transmission infrastructures can not service the continued

growth in demand for energy

Investment Strategy

– Pursue both greenfield power projects and the acquisition of existing plants

– Take advantage of historical under-investment in transmission infrastructures

– Invest in “unbundled” utility businesses and transform them into functional business units

Competitive Advantage

– As fuel costs are a power plant’s single largest expense, Quintana’s coal reserve position and competing fuel supply knowledge will provide the Fund with a significant competitive advantage when developing new or acquiring existing power plants

– Quintana’s in-house power expertise, which includes nine consultants, will provide the Fund with functional expertise in the following key areas: (i) regulatory; (ii) permitting; (iii) environmental; (iv) market; and (v) technical

Power

Power Transactions 1

Quintana is in the early stages of developing electrical generation projects in North Dakota and Montana

Fund Investments (Unrealized)

Energy Future Holdings

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Investment Process

12 – 20Highly selective

investments

Quintana leverages its technical expertise and employs a highly selective process

Extensive network of industry relationships developed over four generations of successful investing in and operation of

energy and natural resource assets

Senior investment professionals with deep operational and technical

expertise filter opportunities

Quintana Capital Group Fund I Portfolio

Rigorous due diligence and consistent process

Strong and Direct Deal Flow in the Energy and Natural Resource Industries

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Summary

Fund Size: $650 million

Number of Investments: 12 - 20

Equity per Investment: $10 - $75 million

Co-investors: Large mix of LP’s and strategic investors

Initial Term: 10 years

Commitment Period: 5 years from final closing

Target IRR: 25% gross IRR*

QCG LP Fund II July 2008

___________________________* Target IRR is based on the Fund’s assumption that investing conditions will not deteriorate. Actual returns may differ.