AFLG Investments I: Non-conventional Oil & Gas direct investment in the Mid-Continental U.S

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Investors should be aware that the value of investments can fall as well as rise. Positive performance in the past is therefore no guarantee of positive performance in the future. Forecasts are not

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DISCLOSURES

As the United States looks to return to solid economic footing, the oil and natural gas industry is

spurring economic growth through hundreds of billions of dollars in investments each year. Private

equity has been playing an important role in funding the oil and gas industry over the last decade.

However, the industry still requires a tremendous amount of capital, and this need only continues to

grow. The shale gas revolution is projected to require more than $5 trillion in investment over the next

20 years in the US alone largely directed to the upstream and midstream sectors. Private equity has

been moving into capitalize on this demand for capital.

INTRODUCTION

• AFLG began in 2009 and is headquartered in Tampa, Florida.

• Independent Private Equity Firm

• Industry Value-focused investment strategy

• Experienced management teams

• More than 100 years of combined experience

About the company

AFLG INVESTMENTS

We seek partners where we can enhance and accelerate growth by working

with talented management teams dedicated to O&G exploration and

production. We work collaboratively and identify opportunities for our

investors where we can maximize returns without excessive risk.

Our Investment Philosophy

AFLG Investments INon-conventional Oil & Gas

direct investment in the Mid-Continental U.S

AFLG Investments I

Non-conventional Oil & Gas direct investment in the Mid-Continental U.S

Target Committed Capital: $250MM

Executive summary - Terms Of The Fund

AFLG Investments I Fund

Minimum Subscription: First Closing Core Investors $1MM

Investment Period: 2 Years

Term: 5 Years (With potential for 2 year extension)

Fees: 1.5% per annum on committed capital; carried interest of 20%

Target Size: Up to $50MM

Executive summary - Investment Criteria

AFLG Investments I Fund

Expected Returns: Gross IRR of 40% per investment; 8% preferred return

per annum

Holding Period: Realized returns expected within first year of investment

Corporate Governance: Proactive role in management of all portfolio

companies

Management: Experienced and highly qualified experts in engineering and

finance

Exit: Visibility and negotiation of exit rights at time of Investment

Focus: Participation/Direct Invest

Direct investments in the energy sector E&P

(Exploration and Production) AFLG focuses

on identifying companies offering a well

thought investment risk – reward profile.

Investment

AFLG Investments I Fund

Investment Strategy

Investment - Strategy

AFLG Investments I Fund

Investment Process

Seek strong, technically sound and conservative

management teams who have long term track

records for efficient engineering and well executed

projects.

The AFLG technical committee is a primary source

used to generate investment ideas as well as our

manager’s broad based network of contacts.

Investment - Process

AFLG Investments I Fund

Investment Highlights

Private equity focus concentrating on E&P companies

with strong management and proven track records.

Well defined investment process, led by our internal

technical committee

Strong pipeline of investment targets

Tax efficient and cost efficient structure

Offshore feeder fund

Investment - Highlights

Operating Strategy

AFLG Investments I Fund

Value add to field development and increased productivity

Reduced Capital Expenditure High Oil Yield

Multiple targets in midcontinent with vast reserves

Large acreage base Established infrastructure

Partner with best in class operators

Strong operational and Geological Expertise Effective cost management

AFLG has defined successful E&P investment in 4 key components

AFLG Investments I Fund

Proven Geology/ Estimated

Unrecovered Reserves

Geologic/Technical Expertise

Quick Payback

Disciplined M&A StrategyAlpha returns

• Securities & Exchange

Commission (SEC)

• Financial Industry Regulatory

Authority (FINRA)

• Federal Reserve System

(FED)

• U.S. Department Of The

treasury (USDT)

• The Office of Foreign Assets

Control (OFAC)

Custodian/Compliance/Regulators/Admin/Auditors

AFLG Investments I Fund

• JP Morgan Chase

USA

• HSBC Bank

Offshore

• W/G/K Law Group

USA

• Cott Law Group

USA

• KPMG

USA/Offshore

• Smeets Law

Offshore

• LS & Company

USA

• Amicorp

Offshore

• Delaware USA

• Cayman Island

Offshore

Midcontinent: The Future of E&P is Horizontal Development

AFLG Investments I Fund

The exponential growth of Mississippianproduction is driven by horizontalproduction and has increased productionfive-fold since 1975.

AFLG is focused on experienced operatorswith technological expertise to exploitthe vast resources within theMississipian, Woodford, and Osageregions

Midcontinent

0

100

200

300

400

500

600

700

0

1,000

2,000

3,000

4,000

5,000

6,000

Avg

Mb

oe

pe

r M

on

th

Ho

rizon

tal Wells

with

First Pro

du

ction

Horizontal drilling has reshaped the E&P landscape to allow for revitalization and recapture of resources

AFLG Investments I FundAFLG targets the Midcontinent region: an

area of vast oil reserves, technology is key

to unlocking these resources – Part I

Dual Stacked lateral drilling

improves ability to maximize

production and increase

recovery inefficient

AFLG Investments I FundAFLG targets the Midcontinent region: Part II

Coplanal dual lateral improves

ability for operators to access

stacked and overlapping

horizontal targets

Targeted drilling in Mid-Continental

regional formations are very thick

and high oil-bearing sections

Upper Mississippian

Middle Mississippian

Lower Mississippian

Woodford

AFLG Investments I FundAFLG targets the Midcontinent region: Part III

Northern Midcontinent: Exploration with Superior Yield

AFLG Investments I Fund

• Lower relative Drilling & Completion costs

• Ample acreage

• Stacked and overlapping horizontal targets

• High concentration of oil producing regions

• Good infrastructure

• Solid operations management

Midcontinent delivers:

0%

10%

20%

30%

40%

50%

60%

70%

80%

Arkoma Basin AnadarkoBasin

South OK. NorthernMidcon

Barrels Of Oil/Barrels Of Oil Expected

The Northern Midcontinent has proven

to hold the highest concentration of

hydrocarbons relative to other regions.

AFLG focuses on this region as well

as maximizing economies of scale.

Direct Participation Economics - I

AFLG Investments I Fund

Our development plan assumes drilling approximate 2 wells a month between

September 2014 and August 2015;

Within 16 months of our investment the project has demonstrated positive cash

flow

We focus on the most inefficient and underserved market segment, projects with

capital needs up to $40 million

We seek to acquire leaseholds in low-risk non-producing acreage in repeatable,

low cost, development areas

Targets projects are either in existing production or are proven undeveloped

reserves (PUD)

Direct Participation – Non-working interest $40MM Investment

E&P Production Metrics

AFLG Investments I Fund

Land Rig Count - Oklahoma US Rig Trajectory % Utilization

0%

20%

40%

60%

80%% DIR. % HORIZ. % VERT.

0

50

100

150

200

250

Oklahoma Horizontal Mississippian &

Woodford Shale Project

Joint Venture /Strategic Partner

AFLG Investments I

Joint Venture /Strategic Partner

Oklahoma Horizontal Mississippian &

Woodford Shale Project

“Stack Play” Orion Project Area

Joint Venture / Strategic Partner

AFLG Investments I

Joint Venture / Strategic Partner and its predecessors, have been actively

engaged in Oil and Gas exploration, development and production since 1988.

Based in Oklahoma City, OK. They are focused on developing and drilling Oil

and Gas prospects in Oklahoma, Kansas and Texas.

Joint Venture / Strategic Partner

AFLG Investments I

Strategic Partner continues to acquire

additional acreage in the “Stack Play”

for future development drilling

Project has a concentrated acreage

position in seven separate project areas

Orion Project has a gross initial

reserve potential of 96 MMBOE

(Million Barrels of Oil Equivalents) from

a total of 128 wells

Project risk has been reduced by the

successful drilling of 18 Mississippian

and 6 Woodford Horizontal wells

Project plans to drill 13 wells in the

2014-15 time period on its Orion Project

acreage

Recently large private equity players have entered themarket mostly via corporate deals, changing the landscapeof E&P deals for private equity.

I. Horizontal Wells Drilled on 640and 1280 acre units with 5,000’ to10,000’ lateral wellbore lengths

II. “Stack Play” Encompasses 3,200sq. miles in a 5 county area ofcentral Oklahoma

III.Well Developed infrastructure forOil & Gas operations

AFLG Investments I

IV.Favorable regulatory environment

The “Stack Play” in Oklahoma

Recently large private equity players have entered themarket mostly via corporate deals, changing thelandscape of E&P deals for private equity.

• Target Horizon for Marathon and

• Initial Otter Creek Target

The “Stack Play” in Oklahoma

AFLG Investments I

MISSISSIPPIAN MERAMEC

• Target Horizon for AFLG, Maverick

and ValPoint

• Initial Orion Target

MISSISSIPPIAN OSAGE

• Target Horizon for Continental, Devon

Marathon and Newfield

• Future Development target in Orion for

the Joint Venture

MISSISSIPPIAN WOODFORD SHALE

The “Stack Play” in Oklahoma

AFLG Investments I

“Stack Play”Orion Project

AFLGWarner 9-1H Drilled WOC

MAVERICK HORIZ. MISS.

Wells 7 Wells Prod.

1 Permit

ValPoint1 Well Prod. 1 Drilling

Maverick

ValPointChesapeake

2014-15 “Stack

Play” wells Total 13 wells

Maverick & Valpoint

9 “Stack Play” wells

Drilled to date

AFLG

The “Stack Play” Orion Project

AFLG Investments I

Orion Project Data

• Completed Horizontal well cost: $6MM Each.

• Reserves averaged approximately of 24.0

Bcf of Gas & 510 MBBLs of Oil per section

well with a 4,000’ horizontal lateral length*

• Potential for up to 13 wells per drilling unit

• Initial rates of 2000 Mcfd &185 BOEPD per

well.

• Joint Venture/Strategic Partner has potential

to drill 128 horizontal wells on company

controlled units

*Independent Geological reserve study.

The “Stack Play” Orion ProjectAFLG Investments I

Economic One-Liners (As of Date: 08/01/2014)

Phase I (13 wells to be drilling in 2014 & 2015)

*Independent Geological reserve study.

The “Stack Play” Orion ProjectAFLG Investments I

Economic One-Liners (As of Date: 08/01/2014)

Phase II (12 wells to be drilling in 2016)

*Independent Geological reserve study.

The “Stack Play” Orion ProjectAFLG Investments I

Economic One-Liners (As of Date: 08/01/2014)

Phase III (13 wells to be drilling in 2017)

*Independent Geological reserve study.

AFLG Investments IThe “Stack Play” Orion Project

*Independent Geological reserve study.

Economic One-Liners (As of Date: 08/01/2014)

Phase I, II, III

Gross Reserves Net Reserves Net Revenue Expense Cash Flow

Oil Gas Oil Gas Oil Gas Other & Tax Invest. Non-Disc. Disc. CF

(Mbbl) (MMcf) (Mbbl) (MMcf) (M$) (M$) (M$) (M$) (M$) (M$) (M$)

Grand Total 5,130.05 133,165.37 1,369.67 23,109.65 115,028.05 95,286.38 81,754.93 58,754.93 80,833.40 152,421.88 33,561.46

AFLG Investments I

Internal Rate of Return (IRR)

23.74%

The “Stack Play” Orion Project

*Independent Geological reserve study.

Economic One-Liners (As of Date: 08/01/2014)

Phase I, II, III

Economic evaluation of the total project development yields

Internal Rate of Return (ROI)

Net Future Cashflow(Discounted at 8%)

2.89:1ROI

33,561 MM$

APPENDIXAFLG Investments I

PAGE 17

. . .

Simplified Legal Structure

Limited Partners

American Family Legacy Group,

LLCManagement

CompanyJoint Operating

Venture 1

Joint Operating Venture 3

AFLG Investments I

American Private Equity Fund, LLC

General Partner

Joint Operating Venture 2

. . .

Fund Management /Energy Advisory Committee

Fund Management

OUR TEAM

Robert HartfordPrivate Equity

Advisor

Matthew ByrdExecutive VP

Wayne FernowExecutive VP

Henry ManayanExecutive VP

Darren FarlowVice President

Agustin Perez-AndradeVice President

Giovanni FordVice President

Michael ScholtesAdvisor

Freddy RussianPresident/CEO

Marlon DavilaVice President / IT

Dan McGettiganAssistant Vice President

Thomas KnightlyVice President

Energy Advisory Committee

OUR TEAM

Richard HensleyCEO / Landman Data Push, Inc

Ross KirtleyCOO / Gulfport Energy, Inc

Steve SlawsonOperations Manager / Engineer

Slawson Exploration

John Brett, IIIPetroleum Geologist / Engineer

for Brett Exploration LLC.

Sims BeelerManaging Engineer / PF

Beeler LLC.

David HerfordVP, Oil & Gas Asset

Manager / Landman

David MayfieldCPA / CFO of Tri-State

Industrial Group

David A WhittenSenior Petroleum

Landman / Consultant

Regionals Offices

WHERE ARE WE

AFLG Headquarters

MetWest International One

4030 W Boy Scout Blvd. Ste 135,

Tampa FL 33544.

• OFFICE: (813) 443-8203

• FAX: (813) 443-8300

• TOLL FREE: (855) AFLG320

AFLG Regional Office

Sonic Building "OKC Bricktown"

300 Johnny Bench Drive, Suite

112 Oklahoma City, Oklahoma

73104

• OFFICE: (405) 272-0393

• FAX: (405) 272-0394

AFLG LATAM

Miami Tower

701 Brickell Avenue, Suite

1550 Miami, Florida 33131

• OFFICE: (305) 570-4312

• FAX: (813) 443-8300

AFLG Asia / EU

Rockefeller Center

45 Rockefeller Plaza, 630 Fifth

Ave. 20th floor New York NY

10111

• OFFICE: (855) AFLG320

• FAX: (813) 443-8300

AFLG Asia / EU / ME

Silicon Valley

500 S. Winchester Blvd., Suite

500 San Jose, CA 95128

• OFFICE: (408) 609-3638

• FAX: (813) 443-8300

PE.AFLGInvestments.com