Case LSS Doc 654 Filed 09/28/15 Page 1 of 12 IN THE UNITED STATES BANKRUPTCY COURT FOR THE DISTRICT OF DELAWARE

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1 Case LSS Doc 654 Filed 09/28/15 Page 1 of 12 IN THE UNITED STATES BANKRUPTCY COURT FOR THE DISTRICT OF DELAWARE In re:, et al., 1 Debtors. Chapter 11 Case No (LSS) Jointly Administered FOURTH MONTHLY FEE STATEMENT FOR COMPENSATION FOR SERVICES RENDERED AND REIMBURSEMENT OF EXPENSES OF DELOITTE TRANSACTIONS AND BUSINESS ANALYTICS LLP TO PROVIDE (I) JOHN LITTLE TO SERVE AS THE DEBTORS STRATEGIC ALTERNATIVES OFFICER AND (II) SERVICES RELATED THERETO FOR THE PERIOD OF JULY 1, 2015 THROUGH JULY 31, 2015 Name of Applicant: Authorized to Provide Professional Services as: Date of Retention: Period for which Compensation and Reimbursement is Sought: Deloitte Transactions and Business Analytics LLP Strategic Alternatives Officer and Related Services Effective Nunc Pro Tunc to March 17, 2015 by Order Entered May 6, 2015 July 1, 2015 through July 31, 2015 Amount of Compensation Sought as Actual, Reasonable, and Necessary $ 213, Amount of Expense Reimbursement Sought $ 1, Total Amount of Fees and Expense Reimbursement Sought as Actual, Reasonable and Necessary (100%): $ 215, This is the Applicant's Fourth Monthly Fee Statement. 1 The Debtors in these chapter 11 cases, along with the last four digits of the Debtor s federal tax identification number are: Quicksilver Resources Inc. [6163]; Barnett Shale Operating LLC [0257]; Cowtown Drilling, Inc. [8899]; Cowtown Gas Processing L.P. [1404]; Cowtown Pipeline Funding, Inc. [9774]; Cowtown Pipeline L.P. [9769]; Cowtown Pipeline Management, Inc. [9771]; Makarios Resources International Holdings LLC [1765]; Makarios Resources International Inc. [7612]; QPP Holdings LLC [0057]; QPP Parent LLC [8748]; Quicksilver Production Partners GP LLC [2701]; Quicksilver Production Partners LP [9129]; and Silver Stream Pipeline Company LLC [9384]. The Debtors address is 801 Cherry Street, Suite 3700, Unit 19, Fort Worth, Texas

2 Case LSS Doc 654 Filed 09/28/15 Page 2 of 12 Prior Monthly Fee Applications Summary Date Filed Period Covered Requested Fees Requested Expenses Paid Fees Paid Expenses 07/17/15 3/17/2015-4/30/2015 $ 552, $ 2, $ 552, $ 2, /21/15 5/1/2015-5/31/2015 $ 346, $ 4, $ 346, $ 4, /04/15 6/1/2015-6/30/2015 $ 240, $ 1, $ - $ - TOTAL $ 1,139, $ 8, $ 898, $ 6, CUMULATIVE TIME SUMMARY For the Period of July 1, 2015 through July 31, 2015 Professional Hwang, Mandy Lew, Matt Shrestha, Amit Gutierrez, Dalia Level Rate Hours Fees Partner/Principal $ $23, Partner/Principal $ $29, Director $ $1, Senior Manager $ $70, Senior Manager $ $2, Manager $ $21, Senior Consultant $ $ Consultant $ $24, Project Controller $ $2, Fixed Fee: Strategic Alternatives Officer Duties Professional Subtotal : Partner/Principal $ $40, $216, Adjustment Non-Working Travel Reduction Adjusted Total: ($2,600.00) $213,731.25

3 Case LSS Doc 654 Filed 09/28/15 Page 3 of 12 CUMULATIVE FEES BY CATEGORY SUMMARY For the Period of July 1, 2015 through July 31, 2015 Categories Hours Analysis of Executory Contracts 1.5 Cash Flow Projections 89.7 Cash Management, Payment Processing and Payment Tracking 56.0 Claims 42.6 Debtor Interaction 0.8 Due Diligence Request 53.1 First Day Motions 26.0 Monthly Operating Report 29.2 Preparation of Fee Applications 27.3 Strategic Alternatives Officer Duties 45.0 Fees $ $39, $25, $21, $ $24, $12, $14, $8, $29, Fixed Fee: Strategic Alternatives Officer Duties Fixed Fee: Strategic Alternatives Officer Duties - Remaining Fixed Fee 32.0 $40, Fees Category Subtotal : $216, Adjustment Non-Working Travel Reduction Adjustment Total : ($2,600.00) $213, Average Hourly Rate $ CUMULATIVE EXPENSE SUMMARY For the Period of July 1, 2015 through July 31, 2015 Expense Categories Total Expenses for the Period M ileage $ Parking $35.00 Airfare $ Hotel $ M eals $ Telephone, Conference $7.77 Taxi $91.55 Expense Category Subtotal : $1,877.21

4 Case LSS Doc 654 Filed 09/28/15 Page 4 of 12 IN THE UNITED STATES BANKRUPTCY COURT FOR THE DISTRICT OF DELAWARE In re:, et al., 1 Debtors. Chapter 11 Case No (LSS) Jointly Administered FOURTH MONTHLY FEE STATEMENT FOR COMPENSATION FOR SERVICES RENDERED AND REIMBURSEMENT OF EXPENSES OF DELOITTE TRANSACTIONS AND BUSINESS ANALYTICS LLP TO PROVIDE (I) JOHN LITTLE TO SERVE AS THE DEBTORS STRATEGIC ALTERNATIVES OFFICER AND (II) SERVICES RELATED THERETO FOR THE PERIOD OF JULY 1, 2015 THROUGH JULY 31, 2015 ( DTBA ) or ( Applicant ), which has been engaged to provide (i) John Little to serve as the Debtors strategic alternatives officer and (ii) services related thereto, to the debtors and debtors in possession in the above-captioned cases (collectively, the Debtors ) in this chapter 11 case, hereby seeks allowance of compensation and reimbursement of expenses pursuant to sections 105(a) and 363 (b) of the United States Code (the Bankruptcy Code ), for the period commencing July 1, 2015 through and including July 31, 2015 (the Application Period ) consistent with the Retention Order (as defined below). In support of this Fourth Monthly Fee Statement (the Application ), DTBA respectfully represents as follows: JURISDICTION 1. The Court has jurisdiction over this matter pursuant to 28 U.S.C. 157 and This is a core proceeding within the meaning of 28 U.S.C. 157(b)(2). 2. Venue in this Court is proper pursuant to 28 U.S.C and The Debtors in these chapter 11 cases, along with the last four digits of the Debtor s federal tax identification number are: [6163]; Barnett Shale Operating LLC [0257]; Cowtown Drilling, Inc. [8899]; Cowtown Gas Processing L.P. [1404]; Cowtown Pipeline Funding, Inc. [9774]; Cowtown Pipeline L.P. [9769]; Cowtown Pipeline Management, Inc. [9771]; Makarios Resources International Holdings LLC [1765]; Makarios Resources International Inc. [7612]; QPP Holdings LLC [0057]; QPP Parent LLC [8748]; Quicksilver Production Partners GP LLC [2701]; Quicksilver Production Partners LP [9129]; and Silver Stream Pipeline Company LLC [9384]. The Debtors address is 801 Cherry Street, Suite 3700, Unit 19, Fort Worth, Texas 76102

5 Case LSS Doc 654 Filed 09/28/15 Page 5 of 12 STATUTORY BASIS 3. The statutory predicates for the relief requested herein are Bankruptcy Code sections 105 (a) and 363 (b). BACKGROUND 4. On March 17, 2015 (the Petition Date ), each of the Debtors filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code in this Court. The Debtors continue to operate their business and manage their properties as debtors in possession pursuant to Bankruptcy Code sections 1107 (a) and These chapter 11 cases have been consolidated for procedural purposes only and are being jointly administered pursuant to Federal Bankruptcy Rule of Procedure 1015 (the Bankruptcy Rules ) and Rule of the Local Bankruptcy Rules of Bankruptcy for Court for the District of Delaware (the Local Rules ). On March 25, 2015, the U. S. Trustee appointed the Official Committee of Unsecured Creditors. No request for the appointment of a trustee or examiner has been made in these chapter 11 cases. RETENTION OF DELOITTE TRANSACTIONS AND BUSINESS ANALYTICS LLP 5. On April 15, 2015, the Debtors filed the Debtors Motion for Order Pursuant to Bankruptcy Code Sections 105 (a) and 363(b) Authorizing and Approving, Nunc Pro Tunc to the Petition Date, the Agreement with to Provide (I) John Little to Serve as the Debtors Strategic Alternatives Officer and (II) Services Related Thereto ( Retention Application ) [Docket No. 219]. On May 6, 2015, this Court entered an order approving (the Retention Order ) [Docket No. 314]. On August 12, 2015, the Debtors filed the Debtors Motion for an Order Pursuant to Bankruptcy Rode Sections 105 (a) and 363 (b) Authorizing and Approving, Nunc Pro Tunc to July 15, 2015, the Amended Agreement with to Provide John Little to Serve as the Debtors SAO on an hourly basis (the Supplemental Application ) [Docket 5

6 Case LSS Doc 654 Filed 09/28/15 Page 6 of 12 No.553]. On August 31, 2015, this Court entered an order approving the before mentioned supplemental application [Docket 603]. RELIEF REQUESTED 6. By this Application, DTBA seeks 100% of its reasonable and necessary fees incurred, in the amount of $213, together with reimbursement of its actual and necessary expenses incurred in the amount of $1,877.21, for the Application Period. DTBA submits this Application in accordance with the Retention Order. All services for which DTBA requests compensation were performed for, or on behalf of, the Debtors. BASIS FOR RELIEF 7. This Application is the fourth monthly fee statement filed by DTBA in this case. In connection with the professional services rendered, by this Application, DTBA seeks compensation in the amount of $213, A detailed statement of hours spent rendering professional services to the Debtors, in support of DTBA s request for compensation for fees incurred during the Application Period is attached hereto as Exhibit A. Exhibit A (i) identifies the professionals and paraprofessionals who rendered services in each project category; (ii) describes each service such professional or paraprofessional performed; and (iii) sets forth the number of hours in increments of one-tenth of an hour spent by each individual providing the services for all but Mr. John Little, the Debtors Strategic Alternatives Officer, whose time is recorded in hourly increments consistent with the Retention Order. 10. By this Application, DTBA also seeks expense reimbursement of $1, A summary of actual and necessary expenses incurred by DTBA is attached hereto as Exhibit B. DTBA does not charge for photocopying, out-going facsimile transmissions, or long distance telephone calls on faxes. DTBA customarily charges for conference call expenses. 6

7 Case LSS Doc 654 Filed 09/28/15 Page 7 of 12 DESCRIPTION OF SERVICES RENDERED 11. DTBA provides below an overview of the services rendered by John Little as Strategic Alternatives Officer and services related thereto provided by DTBA professionals to the Debtors during the Application Period. Detailed descriptions of these services, the amount of fees incurred, and the amount of hours spent providing services throughout the Application Period are also provided in the attached exhibits. 12. DTBA served or advised the Debtors in the following areas throughout the Application Period: 13. Analysis of Executory Contracts: During the Application Period, Applicant coordinated collection of Executory Contracts and performed analysis thereof for cost saving opportunities for the Debtors. This included obtaining contract copies, reviewing contract terms and conditions, analyzing terms against current cost environment, meeting with Debtor personnel to review analysis and understand business case, and ensuring Executory Contracts are included in Schedule G. In addition, the Applicant prepared a presentation to update the Debtor s management team and its creditors on opportunities for additional cost savings from rejecting contracts (Project Beyond). The Applicant also assisted the Debtors in estimating potential contract rejection damage claims. DTBA seeks compensation for 1.5 hours of reasonable and necessary services with the fees incurred for such services totaling $ Cash Flow Projections: During the Application Period, Applicant assisted the Debtors to coordinate, prepare, and report cash flow projections which included (i) preparing cash forecast models, (ii) identifying key assumptions, (iii) meeting with Debtor personnel to review and update assumptions, (iv) preparing restructuring cash forecast overlays to adjust baseline forecast, (v) preparing management reports and documentation of assumptions by line item, (vi) preparing cash balance bridges to document key changes between forecasts. DTBA seeks 7

8 Case LSS Doc 654 Filed 09/28/15 Page 8 of 12 compensation for 89.7 hours of reasonable and necessary services with the fees incurred for such services totaling $39, Cash Management, Payment Processing and Payment Tracking: During the Application Period, Applicant assisted the Debtors with maintaining cash management controls, which included assisting with: (i) detailed and specific payment request documentation; (ii) process flow from a vendor inquiry through and including the Debtors issuance of a check or initiation of a wire transfer; (iii) evaluation and documentation of a vendor s eligibility to receive a payment on account of its pre-petition claim; (iv) classification of a vendor within a certain category of first day motion; and (v) tracking and reporting of vendor payments, both pre- and post-petition, by specific category. Additionally, Applicant assisted the Debtors with tracking payments with respect to pre-petition claims made pursuant to Court orders, and with monitoring relevant spending caps placed on certain categories of pre-petition first day motions. DTBA seeks compensation for 56.0 hours of reasonable and necessary services with the fees incurred for such services totaling $25, Claims: During the Application Period, Applicant assisted the Debtors with developing a claims reconciliation process, which included assisting with: (i) review of claims reports, (ii) creation of preliminary claims summary reports, and (iii) attending meetings with the Debtors to discuss the claims process. DTBA seeks compensation for 42.6 hours of reasonable and necessary services with the fees incurred for such services totaling $21, Debtor Interaction: During the Application Period, Applicant had periodic meetings and calls with the Debtors to discuss, among other matters: (i) payment procedures; (ii) the bankruptcy process and practical solutions for issues arising on account of bankruptcy; (iii) vendor management strategy; (iv) reporting requirements to the U.S. Trustee and the Committee; (v) revenue and expense allocations; and (vi) preparation for 341 meeting. DTBA seeks compensation for.8 hours of reasonable and necessary services with the fees incurred for such services totaling $

9 Case LSS Doc 654 Filed 09/28/15 Page 9 of Due Diligence Request: During the Application Period, Applicant coordinated due diligence requests from secured and unsecured lender advisors and counsel. This included tracking due diligence requests, meeting with Debtor personnel to allocate resources to support response, reviewing response materials with Debtor personnel, and providing responses to the applicable parties. DTBA seeks compensation for 53.1 hours of reasonable and necessary services with the fees incurred for such services totaling $24, First Day Motions: During the Application Period, the Applicant worked with the Debtors and counsel, to create lienholder and critical vendor agreements consistent with the requirements under each first day motion. DTBA seeks compensation for 26.0 hours of reasonable and necessary services with the fees incurred for such services totaling $12, Monthly Operating Report: During the Application Period, Applicant assisted and coordinated the preparation of Monthly Operating Reports which included (i) meeting with Debtor personnel to obtain data, (ii) addressing Debtor inquiries on requirements and explaining the process, (iii) establishing the template for which items to report, (iv) coordinating timeline for delivery, (v) preparing the reporting package, and (vi) reviewing reporting package with the Debtors and counsel. DTBA seeks compensation for 29.2 hours of reasonable and necessary services with the fees incurred for such services totaling $14, Preparation of Fee Applications: During the Application Period, Applicant downloaded fees and expenses in preparation of supporting schedules and exhibits of fee applications, and attended to Chapter 11 administration in connection with such fee application preparation. DTBA seeks compensation for 27.3 hours of reasonable and necessary services with the fees incurred for such services totaling $8, Strategic Alternatives Officer (SAO) Duties: During the Application Period, John Little assisted the Debtors with (i) generally, the tasks outlined in the engagement letter dated September 22, 2014, (ii) participating in management discussions regarding vendor management, cash management, contract rejections and negotiations, leading SAO committee 9

10 Case LSS Doc 654 Filed 09/28/15 Page 10 of 12 updates, working with counsel and financial advisors on restructuring matters, participating in stakeholder calls and meetings, assisting with developing communications for various stakeholders, assisting with issues associated with the Quicksilver Resources Canada Inc. and other matters. DTBA seeks compensation for 32.0 hours of reasonable and necessary services with the fixed fee for such services totaling $40,000.00, and 45.0 hours of reasonable and necessary services with the hourly fees incurred for such services totaling $29, On August 31, 2015, this Court entered an order approving to Provide Mr. John Little to serve as the Debtors SAO on an hourly basis effective as of July 15, 2015 [Docket 603]. ALLOWANCE OF COMPENSATION 23. Reimbursement of Expenses. DTBA has disbursed, and requests reimbursement for $1,877.21, which represents actual, necessary expenses incurred in the rendition of professional services in these cases. 24. No agreement or understanding exists between DTBA and any other nonaffiliated or nonrelated person or persons for the sharing of compensation received or to be received for professional services rendered in or in connection with these cases. 10

11 Case LSS Doc 654 Filed 09/28/15 Page 11 of 12 WHEREFORE, DTBA respectfully requests that the Court: (i) grant it allowance of compensation in the amount of $213, for professional services rendered to the Debtors during the Application Period, (ii) grant it reimbursement of $1, for reimbursement of 100% of the actual and necessary costs and expenses incurred by DTBA in these cases during the Application Period, and (iii) grant such other and further relief as is just and proper. DATED: September, 2015 Respectfully submitted, DELOITTE TRANSACTIONS AND BUSINESS ANALYTICS LLP By: /s/ John Little John Little Principal 2200 Ross Avenue, Ste 1600 Dallas, TX Telephone:

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13 Case LSS Doc Filed 09/28/15 Page 1 of 2 IN THE UNITED STATES BANKRUPTCY COURT FOR THE DISTRICT OF DELAWARE ) In re: ) Chapter 11 ), et al., 1 ) Case No (LSS) ) Debtors. ) Jointly Administered ) ) Obj. Deadline: October 19, 2015 at 4:00 p.m. (EDT) NOTICE OF FEE STATEMENT PLEASE TAKE NOTICE that Deloitte Transaction and Business Analytics LLP has today filed the attached Fourth Monthly Fee Statement for Compensation for Services Rendered and Reimbursement of Expenses of Deloitte Transaction and Business Analytics LLP to Provide (I) John Little to Serve as the Debtors Strategic Alternatives Officer and (II) Services Related Thereto for the Period of July 1, 2015 Through July 31, 2015 (the Fee Statement ) with the United States Bankruptcy Court for the District of Delaware (the Bankruptcy Court ). PLEASE TAKE FURTHER NOTICE that objections, if any, to the Fee Statement must be made in accordance with the Order Pursuant to Bankruptcy Code Sections 105(a) and 363(b) Authorizing and Approving, Nunc Pro Tunc to the Petition Date, the Agreement with to Provide (I) John Little to Serve as the Debtors Strategic Alternatives Officer and (II) Services Related Thereto [Docket No. 314]. 1 The Debtors in these chapter 11 cases, along with the last four digits of each Debtor s federal tax identification number, are: [6163]; Barnett Shale Operating LLC [0257]; Cowtown Drilling, Inc. [8899]; Cowtown Gas Processing L.P. [1404]; Cowtown Pipeline Funding, Inc. [9774]; Cowtown Pipeline L.P. [9769]; Cowtown Pipeline Management, Inc. [9771]; Makarios Resources International Holdings LLC [1765]; Makarios Resources International Inc. [7612]; QPP Holdings LLC [0057]; QPP Parent LLC [8748]; Quicksilver Production Partners GP LLC [2701]; Quicksilver Production Partners LP [9129]; and Silver Stream Pipeline Company LLC [9384]. The Debtors address is 801 Cherry Street, Suite 3700, Unit 19, Fort Worth, Texas

14 Case LSS Doc Filed 09/28/15 Page 2 of 2 PLEASE TAKE FURTHER NOTICE that in the event an objection is timely raised and not consensually resolved, the Bankruptcy Court will review the Fee Statement and consider such objection. Wilmington, Delaware Date: September 28, 2015 /s/ Rachel L. Biblo RICHARDS, LAYTON & FINGER, P.A. Paul N. Heath (DE 3704) Amanda R. Steele (DE 5530) Rachel L. Biblo (DE 6012) One Rodney Square 920 North King Street Wilmington, Delaware Telephone: (302) Facsimile: (302) and AKIN GUMP STRAUSS HAUER & FELD LLP Charles R. Gibbs (admitted pro hac vice) Sarah Link Schultz (admitted pro hac vice) Travis A. McRoberts (DE 5274) 1700 Pacific Avenue, Suite 4100 Dallas, Texas Telephone: (214) Facsimile: (214) Ashleigh L. Blaylock (admitted pro hac vice) Robert S. Strauss Building 1333 New Hampshire Avenue, N.W. Washington, DC Telephone: (202) Facsimile: (202) COUNSEL FOR DEBTORS AND DEBTORS IN POSSESSION 2

15 Case LSS Doc Filed 09/28/15 Page 1 of 30 Exhibit A Professional Fees for the Period July 1, 2015 through July 31, 2015

16 Case LSS Doc Filed 09/28/15 Page 2 of 30 Analysis of Executory Contracts 07/07/ /22/2015 Meet with D. Kunko (KWK) to discuss vendor payment, contract inquiry. Review updated claims report provided by L. Mulhern (GCG). $ $ Subtotal for Analysis of Executory Contracts: 1.5 $ Cash Flow Projections 07/01/ /02/2015 Perform analysis on historical cash forecast trends to refresh forecast. Review professional fee timing, invoice periods covered to refresh cash forecast. Update cash forecast bridge from version 42 to version 43. Research variances on prior week cash forecast to actual. $ $1, $ $ $ $ Analyze data for encumbered properties. $ $ /06/2015 Review Canadian cash forecast refresh assumptions, model. Review analysis on general and administrative expense for update to the cash forecast refresh. Call with C. Bowers (KWK) regarding capital update to cash forecast. Meet with A. Lacroix, J. Smith, D. Barret (KWK) regarding capital update to cash forecast. Meet with A. Lacroix, J. Smith, K. Floroplus (KWK) regarding capital update to cash forecast. Review updated check-run to refresh cash forecast. Update cash forecast assumptions for new financial model (version 44). Update cash collateral report for weekly package distribution. Review assumptions on joint venture capital funding in new financial model (version 44). $ $ $ $ $ $ $ $ Update cash forecast version 42 to version 43 bridge. $ $

17 Case LSS Doc Filed 09/28/15 Page 3 of 30 Cash Flow Projections 07/06/ /07/ /08/ /09/2015 Call with A. Lacroix, J. Smith (KWK) to discuss the version 43 cash forecast bridge. correspondence with KWK treasury team to finalize the cash bridge. Research cash forecast bridge for royalty distribution change, update commentary. Prepare cash forecast materials for weekly rollforward. Research cash forecast variance for weekly cash collateral report. Review Canada cash forecast and variance report for weekly package. Meet with A. Lacroix (KWK) to discuss cash forecast, encumbered well analysis. Meet with A. Lacroix (KWK) to discuss updated Canadian cash forecast. Research cash forecast variance for weekly cash collateral report. $ $ $ $ $ $ $ $1, Review May and June monthly fee estimate for R. Massey (KWK). $ $ Review cash forecast updates for US cash flows. $ $ Update variance reports for weekly cash collateral report. Update cash collateral package for weekly package distribution. Finalize weekly cash collateral report, send to V. Gomez (KWK). $ $ /13/ /14/ /15/2015 Review preliminary variance report for cash collateral report. Research cash forecast variances to update weekly report. $ $ Meet with R. Oster (Deloitte) to discuss periodic updates to cash management reports and data requests. $ $ Review Canadian cash forecast variance report. $ $

18 Case LSS Doc Filed 09/28/15 Page 4 of 30 Cash Flow Projections 07/15/ /16/ /20/2015 Review Canadian update for cash forecast for weekly cash collateral report. Review US cash forecast update for weekly report in advance of meeting with company. Update cash forecast variance report for prior week actuals with commentary. Analyze professional fee schedule to gain understanding of accrual process. Reconcile professional fee schedule with 13-week cash flow estimates. Revise professional fee reconciliation with changes requested by C. Kennedy (Deloitte). Meet with L. Morr (KWK) to discuss professional fee accrual. Meet with J. Smith (KWK) to discuss cash forecast variance inquiry. Create well performance report at the request of A. Lacroix (KWK). Finalize cash collateral report, send to V. Gomez (KWK). $ $ $ $ $ $ $ $ $ $ $ $ $ $ Review U.S. Trustee payment invoices. $ $ /21/2015 Update US accounts receivable/accounts payable summaries for periodic reporting. $ $ Update weekly cash forecast for current week. $ $93.75 Meet with R. Myers (KWK) to discuss cash forecast variance for cash collateral report package. Research cash forecast variance for weekly cash collateral report. Research inquiry on June 2015 accounts receivable in preparation for cash collateral report. Correspond with B. McGregor (KWK) to update cash collateral reports. Review US cash forecast update for weekly report in advance of meeting with company. Review aging reports for US, Canada in preparation for inclusion in cash collateral package. Meet with R. Ahmed (Deloitte) to review updated analysis from periodic well reports. 3 $ $ $ $ $ $333.75

19 Case LSS Doc Filed 09/28/15 Page 5 of 30 Cash Flow Projections 07/22/2015 Build professional fees weekly payment schedule in cash flow budget for the months of October to December. $ $ Update weekly variance report for submission. $ $ Review updated cash forecast variance report from R. Myers (KWK). Meet with R. Myers, A. Lacroix (KWK) to discuss cash variance report, forecast refresh. Meet with V. Gomez, A. Lacroix, J. Smith, R. Myers (KWK) to discuss cash forecast variance, go forward plan. Review Canadian cash forecast variance report in advance of meeting with CFO. $ $ /23/2015 Develop capital expenditure variance analysis. $ $ Review Capital Build out projections in cash flow template. Create variance summary for West Texas Well Site payments. Revise variance summary for West Texas Site payments to contain additional projected weeks. Revise Canadian 13-Week variance reconciliation for reporting letter. Update Consultation exhibit for week ending July 24th to reflect pre-petition payments made in excess of $25k. Discussion with C. Kennedy (Deloitte) regarding necessary changes to 13-week variance reconciliation. Discuss accounting matters with V. Gomez (KWK), J. Little (Deloitte), and S. Schultz (Akin). Meet with A. Lacroix, J. Smith, R. Myers (KWK), R. Oster (Deloitte) to discuss cash forecast refresh work plan. Meet with C. Green, A. Lacroix, J. Smith (KWK) to discuss gas and liquids pricing, sales volumes. Prepare for meeting with KWK Treasury regarding cash forecast refresh. Finalize cash collateral report for forecast variance, accounts payable aging, accounts receivable aging, reporting letter. Review updated professional fees in cash forecast model. $ $ $ $ $ $93.75 $ $93.75 $ $ $ $93.75 $ $ $ $1,

20 Case LSS Doc Filed 09/28/15 Page 6 of 30 Cash Flow Projections 07/23/ /24/ /27/2015 Work session with R. Ahmed (Deloitte) regarding capital build out variance analysis. Discuss with R. Oster, C. Kennedy (Deloitte) regarding work plan for the following week. Roll forward debtor in possession template for the upcoming week. Update Capital Expenditure Variance Analysis for the current week. Meet with R. Ahmed, R. Oster (Deloitte) to discuss work plan for cash forecast refresh, payment consultation, transition. Discuss with R. Ahmed, C. Kennedy (Deloitte) regarding work plan for the following week. $ $ $ $ $ $ $ $ Work session with R. Oster (Deloitte) regarding capital build out variance analysis. $ $ Review vendor payment file for week ending 7/27. $ $ /28/2015 Revise Capital Build-Out in debtor in possession budget to correspond with actuals. Work session with R. Ahmed (Deloitte) regarding capital build out variance analysis. $ $ Update payment tracker with wire transfer analysis. Compile accounts payable check payments and wire information for cash flow actuals. Review updated financial model forecast for general and administrative payments. Review updated financial model forecast for operating expenditure payments. $ $ $ $ $ $93.75 $ $93.75 Prepare U.S. cash flow for weekly variance report. $ $ /29/2015 Review cash forecast variance report for weekly cash collateral package. Update weekly variance report letter with variance analysis from Canada and U.S. Update general and administrative variance analysis with updated financial model forecast. Update general and administrative variance analysis with actuals for the month of July. $ $ $ $ $ $

21 Case LSS Doc Filed 09/28/15 Page 7 of 30 Cash Flow Projections 07/29/2015 Update operational expenditure variance analysis with updated financial model forecast. Update operational expenditure variance analysis with actuals for the month of July. $ $ $ $ Review support data for cash variance report. 07/30/ /31/2015 Update Capital Expenditure Variance Analysis with final accounts payable checks paid file for the month of July. Review results from update of Capital Expenditure Variance Analysis for upcoming cash flow forecast update. Meet with KWK Treasury and R. Oster (Deloitte) regarding general and administrative and operating expenditure variance analysis. Revise general and administrative variance analysis with adjustments to accounts payable checks issued. Revise operating expenditure variance analysis with adjustments to accounts payable checks issued. Update capital buildout forecast for monthly cash flow forecast update. Update week 1 accounts payable checks paid in capital variance analysis. Research cash forecast variance items to update commentary for weekly report. $ $ $ $ $ $ $ $ $ $ $ $ $ $93.75 $ $ Update Quarter 2 checks paid and wire log. $ $ Review proposed capital schedule for the August cash flow forecast update. $ $ Subtotal for Cash Flow Projections: 89.7 $39, Cash Management, Payment Processing and Payment Tracking 07/01/2015 Incorporate accounts payable data into the capital forecast. Discuss the capital schedule with R. Myers (KWK) to determine adjustment required to assumptions. Meet with R. Myers (KWK) to discuss weekly variance reports, as well as the cash flow refresh. $ $ $ $ $ $

22 Case LSS Doc Filed 09/28/15 Page 8 of 30 Cash Management, Payment Processing and Payment Tracking 07/01/ /02/ /06/ /07/2015 Discuss the distribution of forecasted general and administrative expenses with A. Lacroix (KWK) for the forecast refresh. Implement the ENI cash call data into the cash flow. Update the Canada (CAN) cash flow for the weekly reporting package. Update the CAN variance exhibit for the weekly reporting package. Edit the data request tracker with third party requests. Analyze adjustments to the general and administrative forecast assumptions. Research, response to address inquiry from landowner regarding royalty receipts. Address vendor concern with performing postpetition work for KWK. Correspond with C. Bowers (KWK) regarding vendor payment for post-petition completion work. Review the capital schedule to check the timing and amounts. Review the professional fees schedule to check the timing and amounts. Update the CAN cash flow with additional footnotes based on discussions with controller. Modify the ENI cash call schedule based on discussions with operations. Update the capital schedule based on discussion with operations. Add capital expenses to the capital schedule to reflect facilities budgets. Edit the professional fees analysis with additional invoices that were submitted. Research vendor inquiry to confirm payments were made. Call with J. Sharp (Akin) to address vendor payment inquiry. Review the data request tracker for items related to statements and schedules. $ $

23 Case LSS Doc Filed 09/28/15 Page 9 of 30 Cash Management, Payment Processing and Payment Tracking 07/07/ /08/2015 Update the payment tracker for pending items to be forecasted to be paid weeks 1-4. Analyze the payment tracker to determine if there are any pending payments. Build a report of prepetition payments paid in June. Update the reporting letter with Canada's variance exhibit. Modify the Canada cash flow for the reporting letter. Prepare a presentation that overviews the claims review process. $ $ $ $ $ $ Update encumbrance analysis for changes suggested during discussion. Prepare a presentation that overviews the claims review process. Update the payment tracker to reflect actuals from prior week. Include the revenue check run from June in the payment tracker. $ $ $ $ Edit the wires for June in the payment tracker. Update the data request tracker with request made by third-party. Analyze upcoming professional fee payments in order to trend payment timing. Prepare a presentation that overviews the claims review process. $ $ $ $ Attend variance meeting with the Company. 07/09/2015 Research payments which appear duplicate prior to finalizing check-run. Research pre-petition payments in weekly checkrun for payment authority. Edit the reporting letter based on feedback received during the variance meeting. Add additional pending professional fee payments to analysis. Update the payment tracker with the week's actual accounts payable run. Prepare a presentation that overviews the claims review process. $ $ $ $ $ $ $ $

24 Case LSS Doc Filed 09/28/15 Page 10 of 30 Cash Management, Payment Processing and Payment Tracking 07/14/ /15/2015 Update the data request tracker with third party requests. Edit the payment tracker with the week's proposed payments. $ $ Meet with R. Ahmed (Deloitte) to discuss periodic updates to cash management reports, data requests. Analyze encumbered wells for Treasury. 07/16/2015 Modify the Canada cash flow for the reporting letter. Add the Canada variance exhibit to the reporting letter. $ $ Modify the Canada exhibit based on feedback from the Company. Update the payment tracker for the week's actual check run. Update the payment tracker for the week's wires. 07/21/ /22/ /23/2015 Meet with R. Oster (Deloitte) to review updated analysis from periodic well reports. Meet with R. Myers (KWK) to discuss transportation payment timing, vendor terms. Perform analysis of a well report to determine which well are encumbered. Prepare a presentation that overviews the claims process/workflow. Modify the Canada cash flow for the week's reporting letter. Modify the Canada exhibit for the week's reporting letter. Update professional fees tracker to show additional fee applications. Begin analysis of July expenditures for the August refresh. Meet with K. Forbes (KWK) to discuss payment to transportation vendor. $ $ $ $

25 Case LSS Doc Filed 09/28/15 Page 11 of 30 Cash Management, Payment Processing and Payment Tracking 07/23/ /24/2015 Research OCP provider invoices, payments for US Trustee report. Meet with Treasury to discuss the plan for August refresh. Analyze capital expenditures for July to begin modeling payments for August refresh. Review vendor terms for high dollar capital payments by reviewing invoice details. Calculate prepetition component of the July revenue check run. Build a consultation file for revenue payments higher than $25,000. Prepare a presentation that overviews the claims process/workflow. $ $ $ $ Review invoice details for ordinary course professionals to support quarterly fee summary for US Trustee report. Call with S. Crow (Akin) to discuss ordinary course professional payments. Research post-petition payments for ordinary course professional payment summary. Meet with M. McIlroy (KWK) to discuss vendor invoice details in support of ordinary course professional analysis. $ $ Roll forward the 13-week cash flow for the US. 07/27/2015 Update the payment tracker for the week's actual check run. Review pending prepetition payments for the week. Discuss contract prepayment calculations with R. Myers (KWK). Review capital actuals for the prior week. Adjust capital payment model for the upcoming cash flow refresh. Add professional fees to fee application/invoice tracker. Review the US variance details with R. Myers. 07/28/2015 Discuss capital schedules with operations team. 10

26 Case LSS Doc Filed 09/28/15 Page 12 of 30 Cash Management, Payment Processing and Payment Tracking 07/28/2015 Meet with the A. Lacroix, R. Myers, J. Smith to discuss cash flow refresh status. Analyzed G&A updated financial model forecast as it compares to prior FP&A forecasts. Conduct variance analysis between financial planning and analysis/accounts payable actuals for general and administrative. Conduct variance analysis between financial planning and analysis/accounts payable actuals for operating expenditures. Update the capital schedule based on current RigView report. $ $ $ $ $ $ Compile a data request response for Blackstone. 07/29/2015 Begin to update the cash flow assumptions document for next week's forecast update. Work with the J. Smith to determine the change in assumptions for oil receipts. Prepared the US cash flow for next week's cash flow forecast update. $ $ Incorporate the ENI schedule to the US cash flow. 07/30/2015 Review the financial planning and analysis/accounts payable variance analysis with the Treasury team. $ $ Met with the A. Lacroix, R. Myers, J. Smith, V. Gomez to discuss the cash forecast variance for the prior week. Met with the R. Ahmed (Deloitte), A. Lacroix, R. Myers, J. Smith to discuss proposed updates to Opex for the cash flow forecast update. $ $ $ $ Update the professional fees tracker for new invoices. Approve the final prepetition payments to be paid the week of 7/31. Finalize the week's reporting letter to be sent to V. Gomez. Discuss cash flow refresh updates with R. Myers. Continue to analyze the professional fees timing/amount trends. Utilize past, current week pay runs to update the capital model. 11

27 Case LSS Doc Filed 09/28/15 Page 13 of 30 Cash Management, Payment Processing and Payment Tracking 07/30/ /31/2015 Adjust capital payment model for the upcoming cash flow forecast update. Review accounts payable cash run data to identify other accounts where actuals were booked for operating expenses. Review accounts payable cash run data to identify other accounts where actuals were booked for general and administrative expenses. Create a report of the information technology line item in the updated financial model forecast to be reviewed by KWK information technology. Prepare the assumptions document to be updated by the Treasury department for the forecast update. Modify the accounts payable analysis to adjust for production and actual month variances. Analyze the professional fees timing/amount trends. Prepare a report of several potential model options for capital payments. $ $ Claims Subtotal for Cash Management, Payment Processing and Payment Tracking: 56.0 $25, /01/ /02/ /06/2015 Reconcile claim categories with claims summary schedule. Review claims summary report to be produced for meeting with auditors. Prepare claims summary for initial meeting with auditors. Prepare draft presentation outlining work flow, processes, business owner responsibilities for claim review. Review draft claims reconciliation presentation prepared by GCG for meeting with KWK management team sent by S. Crow (Akin). Provide comments to S. Crow (Akin) regarding the initial claim presentation to be shared with KWK management. $ $ $ $93.75 $ $ $ $1, $ $1, $ $

28 Case LSS Doc Filed 09/28/15 Page 14 of 30 Claims 07/07/ /17/ /21/ /22/ /23/2015 Lew, Matt 07/24/2015 Meet with J. Little, C. Kennedy (Deloitte) to discuss claims process. Call with S. Crow (Akin) to discuss claims reconciliation process at KWK. Call with J. Little, A. Jackson (Deloitte) to address claims process related to external auditors, collaboration with third party advisors. Call with J. Little (Deloitte) to discuss accounting work related to claims process needed by R. Massey (KWK). Review updated claims report from GCG in preparation for upcoming bar date, company liabilities to disclose on quarterly report. Update claims summary to reflect claims submitted as of July 20. Revise summary tables to automatically group claims according to claim category. Review claims detail for claims over $600k to determine process to develop company estimates. Call with S. Schultz, S. Crow, A. Blaylock (all Akin), M. Lew (Deloitte), I. Baumgarten (GCG) to discuss claim reconciliation process. Call with I. Baumgartner (GCG) to discuss claims process, report preparation. Call with S. Schultz, S. Crow, A. Blaylock (all Akin), A. Jackson (Deloitte), I. Baumgarten (GCG) to discuss claim reconciliation process. $ $ $ $ $ $ $ $ $ $ $ $ $ $1, $ $ Download unliquidated claim images for FAS 5 Accrual Analysis. $ $ Analyze claims summary report as of 7/21/15. $ $93.75 Meet with R. Massey, C. Rich (KWK), M. Lew, J. Little (Deloitte) to discuss estimation of claim liabilities for claims over $600k. $ $ Review claims over $600k to determine steps for review. Meet with C. Kennedy (Deloitte) to discuss claims reconciliation process. $ $1, $ $

29 Case LSS Doc Filed 09/28/15 Page 15 of 30 Claims 07/24/2015 Review claim summary to determine work flow in preparation for audit report. Call with A. Jackson (Deloitte) to discuss claims preparation/reporting for auditor review. Lew, Matt Meet with R. Massey, C. Rich (KWK), A. Jackson, J. Little (Deloitte) to discuss estimation of claim liabilities for claims over $600k. Lew, Matt Lew, Matt Lew, Matt Review population of unliquidated claims to assess types of claims filed. Review net present value (NPV) calculations provided by KWK staff for prospective rejection damage claims. Review population of claims over $600k to assess number of claims filed by-type to prioritize review process. $ $ $ $ $ $ $ $ /26/2015 Lew, Matt 07/27/2015 Lew, Matt 07/28/2015 Hwang, Mandy Shrestha, Amit Prepare template with appropriate columns for management review to assess potential accruals for unliquidated claims filed. Review unliquidated claim images to collect details regarding the basis of each claim. Prepare unliquidated royalty payment claims schedule for S. Edwards (KWK) to reconcile outstanding balances. Review analysis of unliquidated claims prepared by R. Ahmed (Deloitte). Review unliquidated claims summary report to address next steps to identify value of claim. Review initial review comments prepared by KWK management related to unliquidated claims, including claims for unpaid royalties. Analyze outstanding balances for royalty interest owners from S. Edwards (KWK). Update unliquidated claims analysis for changes made by S. Edwards (KWK). Discuss with A. Shrestha regarding data structure of CAS for claim register. Call with R. Massey (KWK) to discuss requirements of their auditor related to the claims reconciliation process. Discuss with M. Hwang (Deloitte) on data structure for tracking claim details. $ $ $ $ $ $ $ $ $ $ $ $93.75 $ $ $ $ $ $ $ $

30 Case LSS Doc Filed 09/28/15 Page 16 of 30 Claims 07/29/ /31/2015 Review unliquidated claims summary report to address next steps to identify value of claim. Update claims summary to reflect claims submitted as of July 31. Revise unliquidated claims analysis template to reflect changes suggested by Deloitte team. Hwang, Mandy Meet with L. Mulhern, I. Nickelsberg (GCG), A. Shrestha to discuss claim data intake from GCG. Shrestha, Amit Meet with L. Mulhern, I. Nickelsberg (GCG), M. Hwang to discuss claim data intake from GCG. $ $ $ $ $ $ $ $ Subtotal for Claims: 42.6 $21, Debtor Interaction 07/20/2015 Call with R. Massey (KWK) to discuss additional accounting support needed going forward. $ $ Subtotal for Debtor Interaction: 0.8 $ Due Diligence Request 07/01/ /03/ /06/ /07/2015 Research due diligence request from unsecured creditors. Correspond with R. Wright (Capstone) regarding preference analysis. Review due diligence inquiries from creditors in preparation for company's 341 meeting. $ $ Compile various data requests in support of 341 creditor meeting preparation. $ $ Meet with C. Rich (KWK) to discuss monthly operating report process, due diligence request from unsecured creditors. Call with T. McRoberts (Akin) to discuss unsecured creditors' data request regarding Quicksilver management fees. 15

31 Case LSS Doc Filed 09/28/15 Page 17 of 30 Due Diligence Request 07/08/ /09/ /10/ /13/2015 Meet with C. Rich (KWK) to discuss due diligence request from unsecured creditors. Coordinate response to secured lender diligence request. Coordinate response with A. Self (KWK) regarding general and administrative inquiry. Research equipment rental details in response to unsecured creditors data request. Meet with K. Floroplus (KWK) to discuss equipment rental inquiry. Prepare equipment rental summary for discussion with company. Prepare response for unsecured creditors regarding Canadian cash forecast. Coordinate with accounting staff resolution of due diligence request from unsecured creditors. Research outstanding due diligence from secured lenders. $ $ $ $ $ $ Finalize due diligence items pertaining to Canadian cash forecast for unsecured creditors. Attend due diligence update meeting with V. Gomez (KWK). Research outstanding due diligence for unsecured creditor investment bankers. Prepare summary report of all diligence open items in advance of meeting with company. Coordinate new diligence request with F. Villamar (KWK). Prepare due diligence responses based on support provided from the company. Confirm with advisors data release to requesting parties. Research inquiries on assumptions in company's updated 12 month forecast model. $ $1, $ $ $ $ /14/2015 Research due diligence request from secured creditors. $ $1,

32 Case LSS Doc Filed 09/28/15 Page 18 of 30 Due Diligence Request 07/15/ /17/ /20/ /21/ /22/ /23/2015 Meet with V. Gomez, D. Erdman (KWK) to discuss due diligence open items. Meet with V. Gomez, S. Page, D. Erdhmad to discuss lender data request pertaining to general and administrative expenses. Research outstanding due diligence items with business owners. Meet with C. Rich (KWK) to discuss data inquiry regarding overhead recovery/capitalization. Prepare due diligence responses for secured lenders. Meet with D. Erdman (KWK) to discuss general and administrative expense data inquiry from Blackstone. Research additional support pertaining to unsecured creditor committee advisor request regarding equipment rentals, liabilities subject to compromise. Research responses to Blackstone general and administrative inquiries. Respond to UCC data request regarding unencumbered assets, May monthly operating report inquiries. Update data request tracker to reflect requests as of July 22nd. Meet with R. Massey (KWK) to discuss Blackstone data request response regarding general and administrative capital allocation. various KWK employees to close out Blackstone data request response. Update Blackstone data request response package in preparation to send externally. Meet with C. Rich (KWK) to discuss data request for historical monthly production revenue. Meet with V. Gomez (KWK) to discuss Blackstone data request response. Update data request tracker to reflect requests as of July 23rd. $ $ $ $ $ $ $ $ $ $ $ $1, $ $