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Covington Advises SandRidge on Royalty Trust IPO

April 24, 2012

WASHINGTON, DC, April 24, 2012 — SandRidge Mississippian Trust II announced today the closing of its initial public offering of 29.9 million common units, including 3.9 million common units sold pursuant to the exercise of the underwriters’ over-allotment option, representing a 60 percent beneficial interest in the Trust. SandRidge Energy, Inc., as sponsor of the Trust, owns approximately 7.4 million common units and approximately 12.4 million subordinated units convertible into common units. Covington advised SandRidge Energy in the transaction.

Gross proceeds of the transaction, before the underwriting discount, were approximately $628 million. Before payment of offering expenses, SandRidge Energy received approximately $590 million as partial consideration for the conveyance of the royalty interests held by the Trust. This offering is the latest in a series of capital markets transactions that Covington has handled for SandRidge Energy.

SandRidge Energy is an oil and natural gas company headquartered in Oklahoma City, Oklahoma with its principal focus on exploration and production. SandRidge Mississippian Trust II is a Delaware statutory trust formed by SandRidge Energy to own certain royalty interests in oil and natural gas wells in the Mississippian formation in northern Oklahoma and southern Kansas.

The Covington team was led by corporate partner David Engvall. Also advising on the transaction were corporate associates Edward Tsai and Kate Withers. Partner Robert Heller provided tax advice.

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