Energy Corporation of America and First Reserve Corporation Form a Joint Venture Called First ECA Midstream LLC

GREENWICH, Conn., HOUSTON, LONDON and HONG KONG, Oct. 11, 2011 /PRNewswire/ -- First Reserve Corporation ("First Reserve"), a leading private investment firm in the energy industry, announced today that it has entered into an agreement to provide an equity commitment of $100 million from its Energy Infrastructure Fund to a joint venture with Energy Corporation of America ("ECA").

Through the joint venture, First Reserve will own a 50% interest in two newly constructed gathering systems located in Pennsylvania's Greene and Clearfield counties. Both systems service the Marcellus Shale which has been bolstered by strong drilling results for natural gas. The joint venture will operate under long-term contracts with a fixed take-or-pay structure.

In addition to the initial investment, the joint venture intends to explore the opportunity to develop new or expand existing gathering systems in the region to accelerate the production of additional hydrocarbons. ECA is one of the oldest operators in the Appalachian Basin with a significant acreage position.

"ECA is delighted to have the excellent midstream partner, First Reserve. This partnership will accelerate Pennsylvania infrastructure development and provide natural gas transportation capacity for all the operators in the area," John Mork, CEO of ECA said.

"We continue to see significant infrastructure investment opportunities in the Marcellus Shale and are excited by our partnership with Energy Corporation of America," said Mark Florian, Managing Director at First Reserve Corporation. "Given the volume of exploration and production activity in the region, these systems are ideally positioned to provide E&P operators with access to a high quality midstream infrastructure."

For media inquiries, please contact:

Caroline Harris
CJP Communications
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Michael Henman
Cubitt Consulting
Telephone: +44 (0)20 7367 5100
E-mail: [email protected]

About Energy Corporation of America:

Energy Corporation of America is a long established Appalachian operator with over 5,200 producing wells, 5,000 miles of pipelines and has an aggregate leasehold position of 1,000,000 acres in the Appalachian Basin. The Company also operates in Texas, the Northern Rocky Mountains and Australasia. Since its inception, ECA has been deeply committed to its employees and their families. Through the use of profit sharing, a stock ownership program, an education program, and its award-winning wellness program, ECA facilitates the development of its employees in all areas. Additional information is available at energycorporationofamerica.com.

About First Reserve Corporation:

First Reserve is a leading private investment firm in the energy and natural resource industries, making both private equity and infrastructure investments throughout the energy value chain. For 28 years, it has invested solely in the global energy industry, and has developed a preeminent franchise, utilizing its broad base of specialized energy industry knowledge as a competitive advantage. The firm is currently investing its most recent private equity fund, which closed in 2009 at approximately US $9 billion and its most recent infrastructure fund which closed in 2011 at approximately US $1.2 billion. First Reserve invests strategically across a wide range of energy industry sectors, developing a portfolio that is diversified across the energy value chain, backing talented management teams and building value by building companies. Further information is available at www.firstreserve.com.

SOURCE First Reserve Corporation

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