IN PARTNERSHIP WITH. The Research Magazine Guide to. NaturalGas. Research: Investing Guide INVESTING. S u p p l e m e n t to Research: Mag a z i n e

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1 Research: Investing Guide IN PARTNERSHIP WITH The Research Magazine Guide to NaturalGas INVESTING 2013 S u p p l e m e n t to Research: Mag a z i n e

2 Delivering on the Promise of Natural Gas Questar Corporation (NYSE:STR) is an integrated natural gas company that develops, produces and delivers clean energy in the heart of the Rockies. Questar Gas has consistently earned its allowed return (currently 10.35%) as it delivers natural gas to a Utah/Wyoming customer base of 930,000 that s growing about 2% annually. The next five year s, we ll invest $1 billion overall, resulting in 7%-9% growth in rate base. ID Operations Questar Gas Questar Pipline Wexpro Production Principal Cities Served Other Interstate Pipelines WY Wexpro earns about 20% return on investment for developing low-cost natural gas for our utility customers. The next five year s, we ll invest $450 million to $600 million in this business. Questar Pipeline s five-year average return has been 12.5% as it transports natural gas in the Rockies through 2,600 miles of pipe and operates the region s largest storage field. The next five year s, this company is expected to continue to generate cash flow well in excess of capital requirements. Questar Fueling was created in 2012 to provide consulting, design, packaging, construction and maintenance of NGV-fueling stations for privately owned companies. The company is building, and will own and operate, one of the nation s largest CNG fueling facilities in Houston to provide NV fuel for Swift Transportation and Central Freight Lines. Questar Fueling has also been chosen to build facilities for Frito-Lay in Kansas and Connecticut. Cedar City St. George Logan Rock Springs Ogden Salt Lake City UT Park City Vernal Provo Price Richfield Moab Overthrust Pipeline CO Net Income $212.0 million Millions CA Assets $3,757.1 million Millions/Year-End Return on Equity Net Income/Average Equity 20.5% 20.1% AZ 17.4% 17.0% 17.7% NM 22% Wexpro $ % Wexpro $ % Questar Gas $47.1 Questar Pipeline $ % Questar Gas $1,579.1 Questar Pipeline $1, % Corporate and other ($3.7) 36% Corporate and other ($82.9)

3 Delivering the Promises of Natural Gas By Ron Jibson Chairman, American Gas Association; Chairman, President & CEO of Questar Corp.* I am going to tell you about the role natural gas currently plays in the United States and the role it can, and should, play in America s future. The United States of America sits on one of the planet s most abundant energy sources. It can be the key to our continued security and prosperity for generations. Natural gas utilities make peoples lives better. We deliver essential energy. Our companies are at the forefront of an energy revolution a sound investment for our customers and our shareholders. The United States is the largest producer of natural gas in the world. Continuing to develop and deliver this resource in a responsible manner and ensuring public confidence in our demonstrated ability to do so will provide an opportunity to transform the energy industry. One of the great advantages of gas shales in the lower-48 states is that this Jibson abundant natural gas resource is located near existing infrastructure. Shale plays such as the Marcellus in New York, Pennsylvania and West Virginia, and the Haynesville shale in East Texas and North Louisiana, are located near pipelines and markets that are getting this gas quickly, reliably, and cost effectively. Total dry natural gas production averaged 53.3 billion cubic feet (Bcf) per day from 2000 to During 2012, it averaged nearly 64 Bcf per day. The AGA believes it is possible for the United States to produce more than 80 Bcf per day by Future of Market Stability For the next decade and beyond, domestic natural gas supplies are expected to be sufficiently robust to meet even significant growth in demand across all sectors. Furthermore, there is room to grow natural gas demand at May 2013 The Research Guide to Natural Gas Investing 1

4 FS Energy and Power Fund: An Alternative Investment in U.S. Energy and Power Offering Size: 150,000,000 Common Shares Current offering price of $10.60 per share* Current annual distribution rate 6.10%** FS Energy and Power Fund (FSEP) provides investors access to U.S. private debt and equity investments in the energy and power industry through a publicly registered Business Development Company (BDC). The Fund s investment objectives are to generate current income and long-term capital appreciation. The Fund is managed by FS Investment Advisor, LLC and sub-advised by GSO Capital Partners LP.*** For more information or to request a prospectus, please call our Sales Desk at or visit Sample portfolio holdings as of 12/31/12 include:**** FS 2 Capital Partners, LLC I 2929 Arch Street, Suite 675 I Philadelphia, PA Toll free I Distributed by FS 2 Capital Partners, LLC I Member FINRA/SIPC Franklin Square Capital Partners is not affiliated with Franklin Resources/Franklin Templeton Investments or the Franklin Funds. * Offering price is as of 4/1/2013 and is subject to change as described in the prospectus. ** The distribution rate represents the annualized, semi-monthly distribution rate based on an offering price of $10.60 per share as of April 1, This is prior to any deductions of selling commissions or dealer manager fees. To date, this rate has not included any distributions paid from offering proceeds or borrowings. If distributions are paid from offering proceeds or borrowings, a portion of FSEP s distributions to stockholders may be deemed a return of capital due to the nature of certain distributions received by FSEP. *** FSEP is managed by FS Investment Advisor, LLC, a registered investment adviser and affiliate of FSEP. FS Investment Advisor, LLC has engaged GSO Capital Partners LP to act as FSEP s sub-adviser. **** Holdings as a percentage of total portfolio: Brand Energy and Infrastructure 3.2%, Chaparral Energy Inc. 2%, Panda Temple Power 8%, Rice Drilling 5%, Willbros United States Holdings, Inc..8%. Investors should carefully consider the information contained in FSEP s prospectus before investing, including FSEP s investment objectives, risks, charges and expenses. To receive a prospectus, contact your financial advisor. Alternatively, a copy of the prospectus is available free of charge by contacting FS 2 Capital Partners. Investing in FSEP may be considered speculative and involve a high level of risk, including a substantial loss of investment. The fund invests in securities rated below investment grade, also referred to as junk. These types of securities are speculative with respect to the issuer s capacity to pay interest and repay principal. They may be difficult to value and have limited liquidity. An investor should not expect to be able to sell all shares of the fund at any time. The fund offers a share repurchase program. The fund does not intend to list shares on any securities exchange during the offering period and a secondary market is not expected to develop. Only a limited number of shares will be eligible for repurchase and an investor should understand that they will not have access to their investment for an indefinite period of time. An investment in the fund is not suitable if the investor will need access to the money invested. This is neither an offer to sell nor a solicitation of an offer to buy the securities described herein. An offering is made only by the prospectus. This sales and advertising literature must be read in conjunction with the prospectus in order to fully understand all of the implications and risks of the offering of securities to which the prospectus relates. A copy of the prospectus must be made available to you in connection with any offering. A prospectus relating to the securities of FSEP and containing this and other information about FSEP has been filed with the Department of Law of the State of New York and the Securities and Exchange Commission. Neither the Securities and Exchange Commission, the Attorney-General of the State of New York nor any other state securities commission has approved or disapproved of these securities or determined if the prospectus is truthful or complete. Any representation to the contrary is a criminal offense. FS 2 Capital Partners, LLC (FS 2 Capital) is the dealer manager for the public offering, is an affiliate of the investment adviser and serves or has served as the dealer manager for the public offerings of shares by other entities sponsored by Franklin Square Capital Partners. These relationships may create conflicts in connection with FS 2 Capital s due diligence obligations under the federal securities laws. FS 2 Capital is entitled to compensation in connection with this offering, including receiving selling commissions (which are generally are-allowed to selling broker-dealers) and a dealer manager fee based on the gross offering proceeds of shares sold in the offering. FS 2 Capital may also be reimbursed for accountable due diligence expenses based on the gross offering proceeds of shares sold in the offering. In addition, the investment adviser and its affiliates may face conflicts of interest as a result of compensation arrangements, time constraints and competition for investments, which they will attempt to resolve in a fair and equitable manner.

5 reasonable and relatively stable prices. Many of the identified but not developed shale gas resource plays and more traditional production models become economically available to the market at a projected development cost of $5 $6 per million metric British thermal unit (MMBtu). Even significant increases in demand can be supported by North America s robust and diverse natural gas resource base. We envision relative natural gas market stability during the next ten years and possibly beyond. There are new markets for U.S. natural gas with significant potential for expanding its domestic use in homes, businesses, power generation, industrial plants and vehicles, as well as the export of liquefied natural gas. The goal of all stakeholders should be creating opportunities to better optimize our nation s energy resources. The low cost of energy due to the use of natural gas in an industrial capacity is bringing a manufacturing base back to U.S. We are seeing this with the chemical and steel industries, among others. We are still a few years away from any liquefied natural gas (LNG) exports from the U.S. and further still from a significant impact on the market. At present, Cheniere s terminal at Sabine Pass is the only facility that has been approved by our Federal Energy Regulatory Commission for exports to free-trade-agreement and non-free-trade-agreement countries. It is not expected to be operational until 2015 and will begin by exporting up to 1.2 Bcf per day. Reliable Service, Safety From the market forces that surround the price, to the pipeline network that delivers this commodity, natural gas is reliable. Even during unprecedented storms like we saw with Superstorm Sandy, natural gas service continued, uninterrupted, for hundreds of millions of Americans. I would especially like to recognize some of our member utilities. They faced the challenges of Sandy and did an outstanding and, in many cases, heroic job in taking care of their customers and restoring the delivery of natural gas they include New Jersey Natural Gas, Public Service Electric and Gas, Con Edison and National Grid. Safety is the top priority for the American Gas Association and our members. My top priority as AGA chairman is ensuring that our customers, regulators, elected officials and investors are confident in our ability to safely deliver our product. We have the largest integrated pipeline system in the world, with 2.4 million miles of natural gas pipelines. In order to continue to improve the safety of our systems we are consistently working to upgrade and expand that infrastructure, and while the financial commitment is significant, helping ensure the safety and reliability of our systems is paramount. Initiatives in the year ahead include a continued focus on the integrity of our nation s transmission pipeline infrastructure and continuing to work to modernize the distribution pipelines, which deliver gas directly to homes and businesses. Cyber-security has become an increasing focus of safety programs across all industries. During my time as chairman, natural gas utilities in this country will raise the bar for protecting our nation s critical infrastructure from those who seek to harm it. We are working closely with the government to seek legislation, regulation, processes and procedures that will help enhance our ability to protect our infrastructure in a common sense and effective way. AGA is committed to helping its membership reduce the risk of cyber-security attacks that could significantly affect our businesses and the nation s energy infrastructure. Public-private partnerships are the foundation for effective critical infrastructure protection, and timely, trusted information sharing among stakeholders is essential. Cyber-security legislation should focus on what industry vitally needs: more robust information sharing between the government and private industry bolstered with liability protections. Policies that change the existing and successful cyber-security public/ private partnerships could potentially undermine productive working relationships already in place. Cleaner & Greener Methane emissions from systems operated by America s natural gas utilities are low and getting lower, according to U.S. Environmental Protection Agency and the U.S. Energy Information Administration. Greenhouse gas emissions from the natural gas system were lower in 2010 than in 1990 due to a more efficient natural gas distribution system. Ninety-two percent of energy produced at the wellhead is delivered to customers, reducing environmental impact and lowering energy bills. Households that use natural gas appliances for heating, water heating, cooking and clothes-drying spend an average of $518 less per year than homes using electricity for those applications. I believe that every single American should have access to the promises of natural gas. We can see greater benefits from natural gas if we: Promote the expansion of the natural gas delivery infrastructure and enhance the operation of the energy network to provide real-time information to customers about their energy use. Deploy energy efficiency programs that fully leverage the efficient use of natural gas for space and water heating. Expand the use of combined heat and power in commercial and industrial applications to unlock the potential for fuel cells, micro-grids and future energy innovation using natural gas. Encourage public-private partnerships to expand the network of refueling options for natural gas vehicles Growing Infrastructure Expanding our natural gas infrastructure is a capital-intensive process, and we have to find ways to balance the needs of our investors, our customers and our regulators. America s natural gas utilities are working with policymakers at every level to develop innovative models for making the capital investments necessary to enable the expansion of the natural gas delivery network. Several states have developed innovative rate designs, working with their natural gas utilities, to build and maintain an advanced energy delivery system while continuing to deliver natural gas at affordable prices. May 2013 The Research Guide to Natural Gas Investing 3

6 Combined heat and power (CHP) generates electricity and captures useful heat simultaneously to increase the overall efficiency of an energy system. This proven technology should be included in state renewable portfolio standards and federal clean energy standards. CHP can help enhance reliability, as we saw when New York University and Princeton University both kept the lights on during Sandy due to their use of CHP. Driving a More Secure Future On average, natural gas is 57% less expensive than an equivalent gallon of gasoline and 64% less expensive than an equivalent gallon of diesel. Compared to gasoline and diesel powered vehicles, natural gas vehicles (NGVs) can reduce tailpipe greenhouse gas emissions by 20 to 30 percent. Natural gas producers and utilities are working together to build refueling stations throughout the country and spur advances in home refueling technology. We are seeing major progress in the medium and heavy duty markets with companies such as Waste Management, UPS, AT&T, Comcast, Sysco and Ryder, which have made significant commitments to NGVs in their national fleets. One-fifth of city transit buses run on natural gas today, and market share of is growing. More than 35 U.S. airports use NGVs in their fleets or encourage NGVs in private fleets operating on natural gas. The governors of 22 states are teaming up to start replacing thousands of fleet vehicles with ones that run on natural gas. The time is right for a low-cost home compressor unit for vehicles. Fueling Economic Growth Natural gas delivers jobs. In June, IHS Global Insight projected that unconventional gas development in the United States will support nearly 1.5 million jobs in 2015, and more than 2.4 million jobs in And natural gas benefits our economy as a whole, both now and in the long run. By 2015, unconventional gas activities will contribute nearly $50 billion in federal, state, and local government tax and federal royalty income. This is projected to rise to almost $85 billion by From helping to create economic growth and increasing energy security to improving our environment, securing a role for natural gas as a foundation fuel in a national energy policy will help address many of our national priorities. We are pleased that the American Taxpayer Relief Act addressed one of our highest advocacy priorities and will preserve and make permanent 15 percent tax rates for dividends and capital gains for individuals earning up to $400,000 or couples earning up to $450,000, while dividends and capital gains for families who earn more than $450,000 will be taxed at 20 percent. The importance of low tax rates for dividends and parity with capital gains is significant. Keeping the taxes on dividends low will help utilities expand and rebuild our infrastructure, in turn, helping to meet the nation s energy needs. to order fact sheets from this company, Please call s Started 1949; growth through expansion and acquisitions s Delta has paid cash dividends on its common stock each year since Since that time, the dividends have increased to the current annualized level of $.72 per share, a 3.7% yield when the stock price is $ These amounts have been adjusted to reflect Delta s 2-for-1 stock split distributed on May 1, s Distributes, stores, transports, gathers, produces natural gas s Subsidiary companies buy and resell gas; operate production properties Delta Natural Gas Company, Inc. Listed OTC: NASDAQ Symbol: DGAS DELTA S MISSION STATEMENT Delta will provide premier natural gas services while having a positive impact on customers, employees and shareholders. s Facilities located in 23 counties in central and southeastern Kentucky; approximately 2,500 miles of pipeline and 36,000 customers s 25,000 acres leased and 9,000 acres owned in fee, of which 11,000 acres used for storage and 23,000 acres used for production s Fiscal 2012 annual throughput of 18.4 bcf (2.4 bcf - sales; 16.0 bcf - transportation) s Quarterly gas cost recovery filings recover gas costs in rates For More InForMatIon ContaCt: Emily P. Bennett, Director - Corporate Services Delta Natural Gas Company, Inc., 3617 Lexington Road, Winchester, KY ebennett@deltagas.com, P: (859) , F: (859) The Research Guide to Natural Gas Investing May 2013

7 Tax rate parity between dividends and capital gains creates a level playing field and allows investors to make decisions rather than creating a tax-code-driven bias for one over the other. Only through a comprehensive agreement to address the long-term deficit, can we reassure the financial markets, restore public confidence and create the foundation for long-term economic growth and prosperity that our industry, the business community and the American people need. Positive Financial Health Our industry continues to demonstrate a strong record of creating shareholder value. This past year, shareholders invested in our industry are happy that we continue to pay strong dividends. As you know, most of our energy utilities have paid dividends continuously for more than 50 years. Moreover, our industry s bond ratings continue to reflect the positive financial health of energy utilities. These ratings are generally in the BBB/BBB+ range or higher which is significantly higher than the average ratings of the rest of corporate America with the average natural gas utility rating at the BBB+/Ajust as strong or greater. For overall investment performance, the shares of our investor-owned AGA member companies, as measured by the performance of the AGA Stock Index, has performed very strongly against the S&P 500 and Dow Jones Utilities Average. Based on the AGA Stock Index, the Gas Utility Index Fund, managed by Hennessy Funds, has provided strong returns over the 3, 5, and 10-year period. Of course, past performance does not guarantee future results. Conclusion The country has experienced a transformational shift in the perceived role of natural gas from an energy source sometimes seen as unreliable and scarce 10 years ago, to one that is now recognized as a foundation fuel for a clean and secure energy portfolio. Since there s been so much focus on Abraham Lincoln lately, I d like to agree with Abe when he said: I am a firm believer in the people. If given the truth, they can be depended upon to meet any national crisis. The great point is to bring them the real facts. For years, we ve been stressing that natural gas is the most promising solution to our nation s energy, economic and emissions challenges. I m more optimistic about our energy future today than I ve ever been. *These remarks were delivered before the New York Society of Security Analysts on Jan. 30, 2013, in New York, and were expressed by Jibson in his capacity as chairman of the board of the American Gas Association and not in his role with Questar. The AGA represents more than 200 local energy companies that deliver clean natural gas to 177 million Americans throughout the United States. to order fact sheets from this company, Please call Exelon Corporation NYSE: EXC Performance that drives progress. At Exelon, we believe that our high-performance energy is the engine of progress. As the nation s leading competitive energy provider, we believe that clean, affordable energy is the key to a brighter, more sustainable future where our customers succeed, our communities thrive and our nation prospers. Smart Investment Scale and scope across the energy value chain provides unique platform to perform and grow Unparalleled upside to power market recovery and robust dividend yield Realizing the benefits of 2012 merger between Exelon and Constellation Energy with $550 million of annual cost synergies beginning in 2014 Strong pipeline of growth opportunities, including smart meter/smart grid investments at Exelon Utilities and renewable generation Exelon Corporation, 2013 exeloncorp.com Clean Energy Generation Capacity by Fuel Type (35,000 megawatts) 55% Nuclear 28% Gas 3% Oil 6% Hydro Stock Highlights 4% Coal 4% Wind/Solar/Other Date As of 2/28/13 Ticker EXC Price $30.99 Dividend per share $1.24 Yield* 4.0% Market Cap $26.5 billion 52-week low $ week high $39.95 Fortune 500 Rank** 145 * Annualized yield calculated using $1.24 dividend per share. **Based on 2011 revenue and does not reflect impact of merger. May 2013 The Research Guide to Natural Gas Investing 5

8 We make things work for you. InvestorFACTsheet 2013 PUBLIC SERVICE ENTERPRISE GROUP Delivering value by meeting the needs of customers and shareholders Public Service Enterprise Group (NYSE: PEG) is a publicly traded, diversified energy holding company headquartered in Newark, New Jersey. With over $31 billion in assets, PSEG is among the nation's leading wholesale energy producers and most reliable electric and gas transmission and delivery utilities. PSEG's three main subsidiaries are PSEG Power, Public Service Electric & Gas (PSE&G), and PSEG Energy Holdings. PSEG Power owns a 13,226 megawatt fleet of diverse, low-cost generating assets in the Northeast and Mid-Atlantic regions of the U.S. that is geographically well positioned and environmentally responsible. PSE&G provides electric and gas distribution and transmission service to 2.2 million electric and 1.8 million gas customers in a 2,600 square mile service territory in New Jersey, covering approximately 70% of the state's population. Energy Holdings manages a portfolio of lease investments and generation projects, and is positioned to pursue attractive renewable generation opportunities. PSEG is pursuing an investment program that would advance New Jersey's energy and economic goals. PSE&G's Energy Strong proposal to modernize and fortify its electric and gas delivery systems will help communities to better withstand and recover from severe weather events. PSE&G, under Energy Strong, would invest $3.9 billion over 10 years and create over 5,800 jobs. In addition, PSE&G plans to spend $1.5 billion over the next 10 years on transmission projects to harden and further improve the resiliency of the grid. These potential programs are a complement to PSEG's existing $6.1 billion planned capital spending program ( ). PSEG's strong balance sheet and cash flow support this full capital program without the need to issue equity. Assets (as of 12/31/12): $31.7B Market Capitalization (as of 12/31/12): $15.5B REGULATED ELECTRIC & GAS T&D Assets: $19.2B Power LLC WHOLESALE ENERGY Assets: $11B Energy Holdings Assets:* $1.5B B = BILLIONS *INCLUDES PARENT FINANCIAL HIGHLIGHTS Year Ended December 31, ($ in millions, except per share data) Operating Revenues $9,781 $11,079 $11,793 Operating Earnings (non GAAP) 1,236 1,389 1,584 Net Income 1,275 1,503 1,564 Per Share (Diluted) EPS from Operating Earnings (non GAAP) $2.44 $2.74 $3.12 EPS as Reported Dividend Paid Per Share Book Value Per Share Shares Outstanding (in millions) Ratios (%) Debt to Capital Return on Equity** Return on Invested Capital** Dividend Payout Ratio Earnings Contribution** (%) PSEG Power PSE&G PSEG Energy Holdings & Other Stock Performance Price Per Share High $34.07 $35.48 $34.93 Low Year-End Operating Earnings* ($ in millions) PSEG Power $644 $845 $1,091 PSE&G PSEG Energy Holdings *See Operating Earnings to GAAP reconciliation in Presentations under the Investor tab at **Calculation based on Operating Earnings for 12-month period ended THIS DOCUMENT CONTAINS FORWARD-LOOKING INFORMATION. ACTUAL RESULTS MAY DIFFER FROM THOSE ANTICIPATED. INFORMATION DESCRIBING THE SIGNIFICANT FACTORS THAT COULD CAUSE RESULTS TO DIFFER FROM THOSE ANTICIPATED ARE DESCRIBED IN PUBLIC SERVICE ENTERPRISE GROUP S FILINGS WITH THE SEC, WHICH ARE AVAILABLE ON OUR WEBSITE INFORMATION PROVIDED IS AS OF APRIL 1, 2013, ANY FORWARD--LOOKING STATEMENTS INCLUDED HEREIN REPRESENT OUR ESTIMATES AS OF THIS DATE, AND WE DISCLAIM ANY OBLIGATION TO UPDATE THE INFORMATION PROVIDED.

9 NYSE: PEG PSEG FOCUS COMBINES OPERATIONAL EXCELLENCE, DISCIPLINED INVESTMENT, AND FINANCIAL STRENGTH, OPTIMIZED BY A DEDICATED AND ENGAGED WORKFORCE...PSEG HAS A 106-YEAR HISTORY OF RETURNING CASH TO SHAREHOLDERS THROUGH THE COMMON DIVIDEND, WITH OPPORTUNITY FOR FUTURE GROWTH 2008 $2.91 $ % (planned 1 ) $866 $0 $0 1.6% 29.3 TWh $0 $1.29 PSEG FOCUS ($millions, except as noted) Operating Earnings Per Share PJM West RTC ($/MWh) O&M Growth per year Transmission Rate Base Utility Cap Stimulus Spending Utility Solar & EE Cap Exp EFORd Rate CCGT Nuclear Generation Holdings Solar Investment Common Dividend Per Share $2.44 $ % (actual 2 ) $2,500 $955 $ % 29.8 TWh $240 $1.42 (1) PLANNED COMPOUND ANNUAL GROWTH RATE (2) ACTUAL COMPOUND ANNUAL GROWTH RATE (3) 2013 INDICATED ANNUAL DIVIDEND RATE IS $1.44 PER SHARE. PROPOSED UTILITY INVESTMENT PLAN WOULD GROW CURRENT CAPITAL PLAN BY UP TO 50% Capital Expenditure Forecast Existing Plan $6.9 Billion 64% 34% 2% Existing Plan & Proposed Filings $10.6 Billion 1% 6% 8% 18% 42% 22% 21% Distribution Transmission Approved Solar/ Energy Efficiency Distribution ES Filing* Transmission Hardening* Solar/Energy Efficiency Filings *Distribution ES and Transmission Hardening extend 10 years WELL POSITIONED GENERATING ASSETS IN THREE COMPETITIVE MARKETS Power LLC Fuel Diversity ISO NEW YORK 8% 28% Bethlehem Energy Center ISO NEW ENGLAND 45% 18% 1% Keystone PJM Conemaugh Peach Bottom PA Yards Creek Burlington National Park Hope Creek Salem NY NJ CT Bergen Hudson Kearny Essex Linden Sewaren Edison Mercer New Haven Bridgeport Total MW: 13,226 Energy Produced (12 months ended 12/31/2012) 32% 11% 57% Total GWh: 52,511 Nuclear Pumped Storage Coal Gas Oil Public Service Enterprise Group, (PSEG), 80 Park Plaza, Newark, NJ Investor Relations:

10 Electric & Natural Gas Utilities E & P Regulated Pipeline & Energy Services RESOURCES Group, Inc. 34% 33% Company Highlights: Provide value-added natural resource products and related services essential to energy and transportation infrastructure One-year total annual shareholder return 15% at March 31, 2013 Solid balance sheet with equity 60% of total capital at December 31, consecutive years of uninterrupted quarterly common stock dividend payments Dividend increased Nov. 2012, marking the 22nd consecutive year of dividend increases Member of S&P MidCap 400 Index 2012 Earnings* Regulated 33% Exploration & Production Construction * Excludes discontinued operations, noncash write-downs of oil and natural gas properties and a net benefit related to natural gas gathering operations litigation. Building A Strong America Construction Materials & Services Contact Information: Phyllis Rittenbach, Director Investor Relations MDU Resources Group, Inc. P.O. Box 5650 Bismarck, ND Phone: Investor@mduresources.com to order fact sheets from this company, Please call ONEOK, INC. (NYSE: OKE) OKE ONEOK Partners ONEOK Partners Growth Projects ONEOK Natural Gas Distribution ONEOK Energy Services (contracted capacity) Annual Dividends Paid Per Share* $1.48 $0.70 $0.78 $0.82 $0.91 $1.08 $1.27 Key Investment Considerations n Strategic assets connecting prolific supply basins and key markets n Focused on creating value for all of our stakeholders n Significant growth potential n Safe, reliable and environmentally responsible operator n Talented workforce dedicated to providing value-added services to all of our customers For more than 100 years, ONEOK has delivered quality products and services to our customers. As we've evolved from a traditional natural gas distributor into a diversified energy company, we've embraced new technologies and ideas, but we've kept the fundamentals that have worked all along sound business decisions, commitment to growth and solid returns. 100 West Fifth Street, Tulsa, Oklahoma ** *Split-adjusted **Based on announced guidance; ONEOK, Inc. board approval required 8 The Research Guide to Natural Gas Investing May 2013

11 Exploiting Attractive Resources By Ed McCarthy, CFP The 2013 Natural Gas Roundtable of Investment Experts Natural gas continues to attract favorable attention as a key energy source for the United States. To better understand what trends are affecting the market for natural gas and stock in the sector, we turned to four industry experts: Kent Croft, chief investment officer of Croft Funds in Baltimore; Ted Davis, co-portfolio manager of the Fidelity Select Natural Gas Fund in Denver; Mark Hanson, CFA, an energy-sector strategist with Morningstar in Chicago; and Jason Wangler, senior vice president of Wunderlich Securities in Houston. Research: Natural gas is often cited as a key factor in America s quest for energy independence. Do you agree with that assessment? And what potential upside do you see for the gas sector for short- and intermediate terms? Kent Croft, Croft Funds: We are very bullish on the prospects for natural gas as a key source of domestic energy consumption going forward for the following reasons: We have an immense domestic supply, and it is attractive to both sides politically to assist the industry and reduce foreign energy dependence. Natural gas is cleaner than coal and cleaner and cheaper than oil and should take share in power generation and transportation. Domestic energy production will generate significant jobs directly and even more indirectly by making U.S. industries more competitive due to cheaper input costs. We have always seen natural gas as a long-term trend that will take time to fully play out. In the short-term, we believe natural gas prices and the stock prices of companies operating in the space will continue to be volatile. But we are mostly bullish, as we believe that the price of the commodity remains depressed versus the long-term fair value. Rig counts are expected to be down about 40% in 2013 and are currently about 75% lower than the previous highs seen in Natural gas has taken major share of the power generation market from coal, and industry experts expect this to persist. Transportation infrastructure continues to be built out, and there has been good news flow regarding natural gas infrastructure builds on major highway corridors. Cheap natural gas prices have made it more difficult for expensive alternative energy solutions to gain a significant foothold in the U.S. Ted Davis, Fidelity: We believe [the answer is] yes. We ve discovered an enormous resource in shale gas in North America over the past, call it, 10 to 15 years. It s very economic. It s low cost, so it can be extracted at very competitive prices compared to any other gas resource in the world. So, as a function of that, we are believers that natural gas will play a very important part in the energy renaissance in the United States. Mark Hanson, Morningstar: I disagree with the sentiment in the short- and medium-term, but believe it could be credible that natural gas ultimately helps America become energy independent in a decade or more. A lot rests on incentives. For example, if the U.S. consumes 18 million barrels of oil a day, most within the transportation sector, the heat equivalent would be more than 100 billion cubic feet of natural gas a day. The infrastructure required to handle not only the interstate transportation of natural gas, but also the last-mile transportation pipelines and the fueling stations themselves, would require tens if not hundreds of billions of dollars of investment. If demand could be incentivized by government tax credits, for example May 2013 The Research Guide to Natural Gas Investing 9

12 either for consumers to buy natural gas-powered vehicles, or manufacturers to build them, or infrastructure providers to construct pipelines and fueling stations it could help catalyze the transition to natural gas. But it would be a long process, regardless of the amount of money thrown at the problem (think of how many years would need to pass before the existing gasoline-powered auto/ truck fleet would churn). So I m far less bullish on the wide-scale substitution of natural gas for crude oil in our economy. Jason Wangler, Wunderlich Securities: I don t know about energy independence, [since] that would [likely] be a long time, ten-plus years at least, away if ever. But certainly, it could be a huge driver in reducing the importing of energy into our country. The upside is basically four-fold in that it allows the U.S. to use resources that are sourced from our country (keeps money in the country by reducing imports), would reduce energy costs given the huge spread between natural gas and oil pricing, likely would reduce emissions and pollution, and could also create some stability in natural gas prices that would be a welcomed sight given the huge inventory of the commodity we now have. In the short- and intermediate-terms, I don t believe there is much in the way of tangible upside, in that actual sizeable demand increases like natural gas-fired plants, cars running on compressed natural gas (CNG), exporting liquefied natural gas (LNG), or other things would take years to develop. But longer term, it could be a huge economic driver for the country. How do you expect the gas sector to perform in the intermediateand long-term? Croft: We believe that natural gas will see very large domestic demand increases over the medium to long term for the following reasons: Cheap energy: Despite the recent increase in price, 1 mcf of natural gas still trades at about a 75% discount to a barrel of oil on a British thermal unit (BTU) basis, and we see this spread falling over time. Power generation: Power plant s consume roughly 36% of the country s natural gas production now versus less than 20% in the early 2000s. This jumped 20% in 2012, and the International Energy Agency (IEA) estimates that natural gas will add 36.6 gigawatts (GW), while coal loses 25.6 GW by Transportation: As the infrastructure is built out, we expect natural gas to see increased penetration beyond just municipal fleets and into long-haul trucking and consumer vehicles. (Only about 1% of vehicles in the U.S. were equipped to run on natural gas in 2012). Domestic manufacturing: As industrials see the competitive benefits of cheaper energy costs in the U.S., we expect growth in domestic manufacturing and hiring. Exports will be a key driver of increased demand as LNG facilities become operational later in the decade. It was estimated that LNG exports could make up roughly 20% of the U.S. and Canadian s annual natural gas production. Natural gas sells for over $16/mcf in Japan and $11.70/mcf in Europe as of February Croft Davis Hanson Davis: In the short and intermediate terms, we do believe that we found the bottom in natural gas prices this past year. And directionally, we think that prices ought to be supported by improving supply and demand pictures. We re reasonably sanguine on prices. And from a supply standpoint, looking at some of the more attractive natural gas names out there with attractive resources that are low cost, we think some of those could be very interesting investments going forward. What it really is going to require now is to honestly create the demand for the resource, and that adjustment is slowly being made. We re moving towards building export terminals. We are moving towards adding chemicalprocessing capacity that uses natural gas as a feedstock and various other methods through which our manufacturing sector can take advantage of this resource. So, longer term, we think that the demand will be created but it takes some time. We think that, broadly speaking over a long-term picture, natural gas will be well supported by increased demand over time. Hanson: I estimate the marginal cost to produce natural gas in the United States at $5.40 per mcf. Under normalized demand conditions, this implies significant price upside for natural gas over the next few years. I see incremental demand from power generation driving a pickup in consumption over the next few years. I believe that supply can generally respond within one to two quarters once prices pick back up, but with a limited number of rigs in operation. Also, with many E&Ps continuing to chase liquids-rich plays, the lag between a pickup in natural gas prices and a pickup in supply could be longer than many expect. Wangler: I would expect the intermediate- and long-term natural gas sector to benefit from longer-term demand increases through the [greater] assimilation of the product by the public, given it is a cheaper and cleaner fuel that is actually produced here in the US. These are all strong points for the commodity to be used more and more here in the U.S., as in my view it can be the production that weans us off of oil and transitions us to even cleaner, potentially reusable fuels in the future. How do you recommend investors position themselves to make profits from natural gas stocks for the intermediate and long term? Croft: Our main focus is to use near-term volatility to make investments in companies exposed to natural gas at attractive prices in the following areas. We tend to focus on low-cost producers with significant reserves who can stay above break-even at depressed prices and manage their business until the natural gas-demand function improves We look for value in companies with hybrid models that may have some acreage for exploration and production but also other businesses that offer some diversification benefits We also like companies that provide natural gas services such as pipeline construction or operations. Davis: It s [about] holding the stocks that have control over the most attractive 10 The Research Guide to Natural Gas Investing May 2013

13 resources. What we do is try to research the individual assets for each one of these companies and understand who owns the low-cost resource and who can effectively exploit and bring that resource to production to take advantage of natural gas demand in the future; and as a function of that, investors who are positioned in the companies with those strong resources ought to benefit over time. Hanson: Focus on the low-cost producers with lots of runway for growth and a balance sheet that should be able to survive the inevitable volatility in natural gas prices that will occur over the next few years. Wangler: Investors who have a long-term view and can withstand near-term issues, I think, would be wise to get into natural gas names with strong balance sheets (so they can also withstand the tough times), as there is simply too much of the product for us to ignore it as a beneficial resource. That means we should focus on how to better use the product (i.e., increase demand for it), which would result in a better price for it as well. Obviously, both more stability and better prices for the product would benefit natural gas stocks. Could you share any issues that you think investors should be aware of that could influence natural gas prices and, hence, the sector on the upside and downside over the next 12 months? Croft: The overall strength of the U.S. economy and that of North America as a whole will have a significant effect on natural gas prices as more economic activity means more near-term consumption. Davis: Weather is always a factor. As much as weather played a negative impact this past year, it s actually playing a positive impact in cleaning up the supply and demand balance over the past couple of months. March [2013] is shaping up to be one of the coldest March s on record. People always have to be mindful natural gas is a very volatile Wangler commodity, and weather does play an important part in the shortterm supply and demand picture, which can have a meaningful impact on pricing of the commodity but also [on] the equities themselves. Hanson: The upside if rig count doesn t pick up soon, based on historical rig count-supply-price cycles (we ve identified five distinct cycles since the early 1990s), supply should fall and provide a boost to prices. Any move by the Environmental Protection Agency to oversee hydraulic fracturing could increase costs and therefore prices, as would any unfavorable change to the current federal tax code for oil & gas producers. The downside weather is a huge wildcard for natural gas demand, and therefore prices. Wangler: Overall, I look for the next 12 months to be more of a stabilization period for natural gas as it settles at (low) prices and the growth of the production begins to slow; and then as we proceed out the natural gas supply likely is more tempered while demand could incrementally grow. to order fact sheets from this company, Please call pepcoholdings.com Pepco Holdings, Inc. is one of the largest energy delivery companies in the Mid-Atlantic region, serving about 2 million customers in Delaware, the District of Columbia, Maryland and New Jersey. PHI subsidiaries Pepco, Delmarva Power and Atlantic City Electric provide regulated electricity service; Delmarva Power also provides natural gas service. PHI provides energy efficiency, thermal, and underground transmission and distribution construction services through Pepco Energy Services. As of 12/31/2012 Share Price: $19.61 Annualized Dividend: $1.08 Dividend Yield: 5.5% Market Capitalization: $4.5B Atlantic City Electric Delmarva Power Pepco NYSE: POM May 2013 The Research Guide to Natural Gas Investing 11

14 AGA Publicly Traded Members The American Gas Association includes about 200 energy companies, of which some 64 are publicly traded Company Name Ticker Symbol Stock Price Shares Outstanding Market Cap ($ Mil) AGL Resources, Inc. GAS $ ,896,378 $4, Allete ALE $ ,918,329 $1, Alliant Energy Corp. LNT $ ,990,924 $5, Ameren AEE $ ,634,671 $8, Atmos Energy Corp. ATO $ ,517,509 $3, Avista Corp. AVA $ ,876,355 $1, Berkshire Hathaway BRK-A $156, ,650,895 $258, Black Hills Corp. BKH $ ,426,907 $1, CenterPoint Energy, Inc. CNP $ ,671,739 $10, CH Energy Group, Inc. CHG $ ,955,990 $ Cheniere Energy, Inc. LNG $ ,513,095 $6, Chesapeake Utilities Corp. CPK $ ,598,674 $ CMS Energy Corp. CMS $ ,935,441 $7, Consolidated Edison, Inc. ED $ ,877,396 $17, Corning Natural Gas CNIG.OB $ ,227,021 $ Company Name Ticker Symbol Stock Price Shares Outstanding Market Cap ($ Mil) Delta Natural Gas DGAS $ ,849,709 $ Dominion D $ ,673,217 $33, DTE Energy DTE $ ,146,350 $11, Duke Energy Corp. DUK $ ,653,826 $51, Empire District Electric Co. EDE $ ,411,176 $ Enbridge, Inc. ENB $ ,724,968 $38, Energen Corp. EGN $ ,222,552 $3, Energy Transfer Equity, LP ETE $ ,955,608 $16, Entergy ETR $ ,444,349 $11, EQT Corp. EQT $ ,347,211 $10, Exelon EXC $ ,019,272 $29, Gas Natural, Inc. EGAS $ ,368,627 $ Integrys Energy Group, Inc. TEG $ ,400,008 $4, Kinder Morgan KMI $ ,036,711,859 $40, Laclede Group, Inc. LG $ ,572,787 $ to order fact sheets from this company, Please call The Research Guide to Natural Gas Investing May 2013

15 Company Name Ticker Symbol Stock Price Shares Outstanding Market Cap ($ Mil) MDU Resources, Inc. MDU $ ,830,529 $4, MGE Energy MGEE $ ,113,638 $1, National Fuel Gas Co. NFG $ ,490,445 $5, National Grid NGG $ ,838,993 $42, New Jersey Resources Corp. NJR $ ,810,073 $1, NiSource, Inc. NI $ ,188,068 $9, Northeast Utilities NU $ ,554,799 $13, Northwest Natural Gas NWN $ ,937,683 $1, Northwestern Corporation NWE $ ,242,547 $1, NV Energy, Inc. NVE $ ,515,172 $4, ONEOK, Inc. OKE $ ,994,065 $9, PEPCO Holdings, Inc. POM $ ,195,075 $5, PG&E Corp. PCG $ ,460,515 $19, Piedmont Natural Gas PNY $ ,520,220 $2, PPL Corp. PPL $ ,846,910 $18, Public Service Enterprise Group PEG $ ,961,739 $17, Questar Corp. STR $ ,168,790 $4, RGC Resources, Inc. RGCO $ ,698,913 $ Company Name Ticker Symbol Stock Price Shares Outstanding Market Cap ($ Mil) SCANA SCG $ ,100,523 $7, Sempra Energy SRE $ ,404,025 $19, South Jersey Industries, Inc. SJI $ ,744,916 $1, Southwest Gas Corp. SWX $ ,305,296 $2, Spectra Energy Inc. SE $ ,159,333 $20, TECO Energy, Inc. TE $ ,255,694 $3, Transcanada Corp. TRP $ ,971,810 $34, UGI Corp. UGI $ ,177,890 $4, UIL Holdings Inc. UIL $ ,665,114 $2, Unitil UTL $ ,803,494 $ UNS Energy Corp. UNS $ ,459,272 $2, Vectren Corp. VVC $ ,261,871 $2, WGL Holdings, Inc. WGL $ ,668,012 $2, Williams Companies, Inc. WMB $ ,532,705 $25, Wisconsin Energy Corp. WEC $ ,726,456 $9, Xcel Energy, Inc. XEL $ ,284,020 $14, Source: AGA, 4/1/13 to order fact sheets from this company, Please call WGL Holdings, Inc. is a leading source for clean and efficient energy solutions Washington Gas is a regulated natural gas utility which serves over one million customers in the District of Columbia, Maryland and Virginia Washington Gas Energy Systems manages a portfolio of distributed generation, energy efficiency and solar solutions across the United States Capitol Energy Ventures invests in and optimizes natural gas pipelines and storage facilities in the Midwest and Eastern United States Washington Gas Energy Services is one of the largest natural gas and electricity retail marketing suppliers in the Mid-Atlantic NYSE Symbol WGL Share Price (3/29) $44.10 Annualized Dividend $1.68 Dividend Yield 3.8% Market Capitalization $2.3B Increased dividend 37 consecutive years Paid dividend 162 consecutive years S&P Credit Rating A+ Washington Gas Washington Gas Energy Services A Washington Gas Affiliated Company Washington Gas Energy Systems A Washington Gas Affiliated Company May 2013 The Research Guide to Natural Gas Investing 13

16 They have plenty of energy for the future. Fortunately, so do we. Did you know that the U.S. has enough domestic natural gas to meet America s diverse energy needs for nearly 100 years? Or that natural gas offers tremendous value, having saved residential consumers $35 billion over the past three years? Natural gas is clean, affordable, and most importantly it s an abundant, domestic resource for our country. And it s one that s safe, reliable and can improve our environment while enhancing energy security. Natural gas fuels more than 70 million American homes and businesses. Learn more at aga.org.