Overview Zargon is a small-intermediate technologically focused oil and gas company working in the Western Canadian and Williston sedimentary basins. Our core competency relates to improving reservoir recovery factors and production volumes from existing oil and natural gas reservoirs.

Historical Record Throughout our fifteen-year history, Zargon has successfully focused on a value creation strategy. With only an $81 million equity investment, Zargon has delivered $257 million of accumulated earnings of which $167 million (as of February 2009) has been returned to unitholders in the form of distributions.

Business Model Both before and after the December 2010 trust sunset date, Zargon remains committed to a partial cash flow distributing model as we believe that the commitment to deliver regular cash distributions or dividends provides the economic tension that encourages efficient capital programs in our relatively mature sedimentary basins.

Outlook Zargon enters 2009 with a strong balance sheet and a large unrealized positive hedge position. Zargon plans on capitalizing on this enviable position through accretive acquisitions that provide the oil and natural gas feedstocks for efficient exploitation capital programs during future periods of improved commodity pricing.