Eclipse Resources Corporation (ECR) (the “Company”) today announced proved reserves at December 31, 2015 were 348.8 Bcfe, a less than 2% decrease compared to proved reserves at December 31, 2014 of 355.8 Bcfe, in each case assuming ethane rejection on operated properties with a 30% contractual recovery. Year-end 2015 proved reserves were approximately 79% operated by the Company, 79% proved developed producing, and 79% natural gas. SEC prices for reserves were calculated as of December 31, 2015 and further calibrated for quality, energy content and market differentials with the average adjusted product price weighted by production over the remaining lives of the properties being $46.73 per Bbl for oil, $2.52 per Mcf for natural gas, $12.88 per Bbl of NGL and $38.20 per Bbl of condensate. Using SEC prices, which are not indicative of current forward prices, the pre-tax present value discounted at 10% of the December 31, 2015 proved reserves (“PV10”) was $212.9 million, an approximate 58% decrease over the year-end 2014 reported value of PV10 of $509.4 million. This decrease in PV10 is primarily the result of the substantially lower commodity prices used in the calculation of 2015 proved reserves as compared to the calculation of 2014 proved reserves. Eclipse Resources’ proved reserves at December 31, 2014 and 2015 were prepared by Netherland, Sewell & Associates, Inc., the Company’s independent petroleum engineers (“Netherland Sewell”).

In addition, the Company expects to record an impairment charge with respect to the fourth quarter of 2015 on certain oil and gas properties located in Ohio, attributable primarily to a significant decline in commodity prices. The Company currently estimates the impairment charge to be between $750 million and $850 million. The amount of this impairment charge has been estimated by the Company based upon presently available information, including the reserve report prepared by Netherland Sewell, and such estimate is unaudited. Accordingly, the estimated impairment charge remains subject to revision based upon further analysis and final review. The Company does not anticipate that the expected impairment will result in a violation of any financial covenants associated with the Company’s senior secured revolving credit facility or senior unsecured bonds.

Fourth Quarter 2015 and Full-Year 2015 Earnings Announcement and Conference Call

The Company plans to announce fourth quarter 2015 and full-year 2015 earnings on Wednesday, March 2, 2016, following the close of trading on the New York Stock Exchange. The Company plans to host a conference call to discuss earnings results on Thursday, March 3, 2016, at 10:00 a.m. (Eastern). To participate in the call, please dial 877-709-8150, or 201-689-8354 for international callers, and reference Eclipse Resources Fourth Quarter 2015 Earnings Call. A replay of the call will be available through May 3, 2016. To access the phone replay dial 877-660-6853 or 201-612-7415 for international callers. The conference ID is 13629043. A live webcast of the call may be accessed through the Investor Center on the Eclipse Resources’ website at

Non-GAAP Disclosure

Year-end pre-tax PV10 value is a non-GAAP financial measure as defined by the SEC. Eclipse Resources believes that the presentation of pre-tax PV10 value is relevant and useful to the Company’s investors because it presents the discounted future net cash flows attributable to Eclipse Resources’ reserves prior to taking into account corporate future income taxes and the Company’s current tax structure. Eclipse Resources further believes investors and creditors use pre-tax PV10 value as a basis for comparison of the relative size and value of the Company’s reserves as compared with other companies.

The GAAP financial measure most directly comparable to pre-tax PV10 is the standardized measure of discounted future net cash flows (“Standardized Measure”). Eclipse Resources is not yet able to provide a reconciliation of pre-tax PV10 to Standardized Measure because the discounted future income taxes associated with the Company’s reserves is not yet calculable. Eclipse Resources expects to include a full reconciliation of pre-tax PV10 to Standardized Measure in its Annual Report on Form 10-K for the year ended December 31, 2015.

About Eclipse Resources

Eclipse Resources is an independent exploration and production Company engaged in the acquisition and development of oil and natural gas properties in the Appalachian Basin, including the Utica and Marcellus Shales. For more information, please visit the Company’s website

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