We believe for a company to succeed it must differentiate itself from the competition, and in many ways our company, relative to its size, is very unique.  Some of the characteristics that distinguish Reserve from its peers and competitors include:

• Life Cycle Control.  Today’s gas industry is much different than yesterdays.  To compete in the new gas market, maximize earnings, and continue growth, you have to know the oil and gas business from the ‘cradle to grave’.  Through Reserve’s association with its sister companies, we have greater cost and operational control with increased abilities to improve our returns on capital.  From leasing to drilling to accounting to transportation to marketing – we control it all, which makes us accountable for it all.
• Quality Not Quantity Approach.  During times of high natural gas prices, some operators seem more consumed with the number of wells they drill than the volume of gas produced from each well.  Because of the abundant influx of investors in those times and in desperation for leases, many operators drill wells in unproven areas where leases are more readily available (i.e., because no one else wants them).  Reserve’s disciplined and selective development approach takes it one well at a time, doesn’t react to overly positive or negative market conditions, optimizes the production from those wells already drilled, and allows us to maintain a portfolio of low risk properties.
• People. Reserve is owned and managed by seasoned oil and gas professionals with over nearly 70 years experience with the Principal Officers alone.  Recognizing that the company’s overall success will rely heavily upon its employees, our key company employees are also stakeholders in every well drilled and, as a result, will likely be the same people you deal with for many years to come.
• Reputation. When you have been doing business in the Appalachian Basin for over 40 years, you build a reputation and it’s not real hard to perform a quick due diligence.  Reserve and its Principal Officers have a reputation as one of the operators that knows the business from top to bottom and have maintained and will always maintain their reputation for fair dealing, honesty, sharing in the rewards and (yes, at times) losses.
• Long Term Focus. As a private enterprise, Reserve is not overly driven by pre-defined growth targets or achieving next quarter’s production and earnings targets.  Operational and investment decisions are not constrained by near-term time or price horizons, which provides our management and staff with the flexibility to capitalize on opportunities and adapt to changing conditions as they occur while maintaining our growth plans.
• Alignment. The best deals to invest in are those where all parties share the potential risk and reward.  Reserve, its Principal Officers, and/or its sister companies are the largest investors in each and every drilling program.  In fact, to date over 34% (nearly $15 million) of the required drilling capital has been provided internally on equal terms with all investors.