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SMALL BUSINESS
BreitBurn Energy Partners Responds to Inaccurate Press Release Issued by Quicksilver Resources
Trial Still Set for April 2010; Annual Meeting Will Be Held after Resolution of Quicksilver’s Claims
Business Wire
On October 31, 2008, Fort Worth, Texas-based Quicksilver Resources Inc.,
a limited partner in BreitBurn Energy Partners L.P. (“BreitBurn” or the
“partnership”), filed a lawsuit in Fort Worth against BreitBurn.
BreitBurn believes that this lawsuit is part of a campaign by
Quicksilver to gain working control of the partnership to serve its own
ends.
Quicksilver’s inaccurate November 24, 2009 press release continues that
campaign. Quicksilver’s release indicates that the Court has made a
final ruling on the Quicksilver lawsuit, that a BreitBurn annual meeting
must be held within 120 days, and that at that meeting Quicksilver would
be entitled to vote all of its units in the election of directors. None
of these assertions are true.
The Court’s order referred to by Quicksilver is a partial decision on a
series of motions brought by the parties and is not final or complete.
Not all of the important issues related to the election of directors
have been resolved.
The trial on these and all other outstanding issues remains scheduled
for April 2010. An annual meeting for the purpose of electing directors
cannot be held until the issues concerning the election of directors and
the proper procedures and safeguards adopted by the board are finally
resolved. In the interim, the current board, composed of a majority of
non-management, independent directors, will continue to serve as
directors of BreitBurn.
BreitBurn believes that when the lawsuit has been fully resolved,
BreitBurn’s actions will be shown to have been proper and in the best
interests of all of the limited partners.
Background
In June of 2008, BreitBurn amended its partnership agreement and granted
a new right for all of the limited partners to elect the members of its
board of directors. Prior to that time, the limited partners had no
voice in the choice of directors. In order to provide all limited
partners with a meaningful right to vote in the election of directors
and not give working control of the partnership to a single limited
partner, the election provision limited the voting power of any single
limited partner to 20%. Through its lawsuit, Quicksilver is attempting
to remove these important limited partner protections.
BreitBurn continues to strongly believe in the propriety of its actions
taken in adopting the process for electing directors and that those
actions, which were designed to give all the limited partners a
meaningful right to vote, were in the best interests of the limited
partners.
About BreitBurn Energy Partners L.P.
BreitBurn Energy Partners L.P. is a publicly traded independent oil and
gas limited partnership focused on the acquisition, exploitation,
development and production of oil and gas properties. These producing
and non-producing crude oil and natural gas reserves are located in
Northern Michigan, the Los Angeles Basin in California, the Wind River
and Big Horn Basins in central Wyoming, the Sunniland Trend in Florida,
and the New Albany Shale in Indiana and Kentucky. See
www.BreitBurn.com
for more information.
Cautionary Statement Relevant to Forward-Looking Information
This press release contains forward-looking statements relating to the
Partnership's operations that are based on management's current
expectations, estimates and projections about its operations. Words and
phrases such as “should,” “expects,” “scheduled,” “fully resolved,”
“will continue,” “will be shown,” and similar expressions are intended
to identify such forward-looking statements. These statements are not
guarantees of future performance and are subject to certain risks,
uncertainties and other factors, some of which are beyond our control
and are difficult to predict. These include risks relating to Court
schedules and calendars, litigation uncertainties and the factors set
forth under the heading “Risk Factors” incorporated by reference from
our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, and
our Current Reports on Form 8-K. Therefore, actual outcomes and results
may differ materially from what is expressed or forecasted in such
forward-looking statements. The reader should not place undue reliance
on these forward looking statements, which speak only as of the date of
this press release. Unless legally required, BreitBurn undertakes no
obligation to update publicly any forward-looking statements, whether as
a result of new information, future events or otherwise. Unpredictable
or unknown factors not discussed herein also could have material adverse
effects on forward-looking statements.
Copyright Business Wire 2009
2009-11-25 07:30:00
COMMENTS ( 0 )
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