Atlas Energy Resources looking to be debt neutral in 2009

By Jennifer Lanning Drey

Portland, Ore., Oct. 8 - Atlas Energy Resources, LLC is planning a debt-neutral strategy for 2009, Richard D. Weber, the company's chief operating officer, said during a Wednesday presentation at the IPAA Oil & Gas Symposium in San Francisco.

"What that means is we expect to run the company such that we have no more debt - or very little debt - in the next 12 months," Weber said.

The strategy is based on the company achieving 2009 EBITDA between $350 million and $390 million and spending $395 million.

The spending figure includes $180 million for capital expenditures, $155 million for distributions and $60 million for interest payments.

Weber said debt-neutral strategy will not slow the company's growth.

"We believe we can still grow the company at the same rates that we've been growing," he said.

Atlas will be able to do so by funding capital investments through its investment partnership programs, he said.

At June 30, Atlas had a borrowing base of $700 million, of which $360 million was outstanding.

Atlas Energy is a Moon Township, Pa.-based developer and producer of domestic natural gas and, to a lesser extent, oil.

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