Whitecap Resources Details Q3 2019 Results

Whitecap has shown continued strength on its operating and financial results in the third quarter of 2019, delivering average production volumes of 68,255 boe/d on capital investment of $153.8 million. Production was within our expectation of 67,000 – 69,000 boe/d and capital investments were much lower than our anticipated $180 - $200 million due to optimization and timing of capital spending. For full year 2019, we continue to anticipate achieving our average production guidance of 70,000 – 72,000 boe/d on much lower capital spending of approximately $400 million compared to our budget capital estimates of $425 - $475 million which was press released on December 18, 2018.

Whitecap had a very active third quarter drilling a total of 104 (89.8 net) horizontal oil wells. We have been consistently able to meet ournear-termbudget expectations with the efficient execution of our capital program while focusing on the organic, low cost expansion and enhancement of our existing asset base to increase shareholder value and thelong-termsustainability of our dividend and growth model.

We are pleased to advise shareholders that we successfully negotiated a joint venture with a progressive private company with a large land footprint located in the optimal oil rich Montney window in the Alberta Deep Basin. The joint venture includes provisions that will result in Whitecap, over a2-yearperiod, earning an interest in 34 (21.5 net) sections of Montney development lands that have potential for 144 (84.2 net) drilling locations across numerous separate Montney zones.Post-earningWhitecap will operate 88% of the lands with a 65% working interest while having a 50% working interest in the remainingnon-operatedlands. We look forward to reporting back on our progress with this project as it advances.

Northwest Alberta & British Columbia

We had a very active third quarter in our Wapiti Cardium oil play drilling 16 (12.5 net) horizontalmulti-frac(“HZMF”) wells of which 13 (12.1 net) wells were operated. Most of these wells have been completed and are commencing production with early results exceeding expectations. We have also been focused on optimizing our enhanced oil recovery (“EOR”) strategies and, as a result, will be commencing a Wapiti Cardium gas flood injection pilot on one of our oil pools in November 2019. The cost of the pilot is approximately $1 million, and our simulation models indicate that the gas flood has the potential to significantly increase current proved plus probable (“2P”) ultimate oil recovery.

West Central Alberta

We drilled a total of 5 (4.9 net) Cardium HZMF wells in the third quarter of which 4 (4.0 net) were in the Ferrier area. Of significance, Whitecap drilled its longest HZMF well to date at 5,907 meters total length and 3,481 meters of horizontal length in the Cardium formation. The well was completed with a high intensity fracture (“HIF”) stimulation, and initial results are excellent with initial productivity (length normalized) 46% above the average analog wells in the area. The HIF fracture stimulation increased drill, complete, equip andtie-incost by only $1.0 MM or 25%. This technology will provide the opportunity for us to enhance the well economics of approximately 27 (20.2 net) locations on our existing lands.

West Central Saskatchewan

Whitecap drilled a total of 62 (56.3 net) Viking HZMF oil wells in the third quarter of which 53 (47.7 net) were extended reach horizontal (“ERH”) wells. On average these wells are performing as per our budget production expectations. In addition, the program unlocked a new area for Whitecap and validated upwards of 80 (80.0 net) additional locations to our drilling inventory. We also drilled a very successfulre-developmenthorizontal well in a historical waterflood area that has the potential to add more than 20 (20.0 net) locations to our drilling inventory.

Southwest Saskatchewan

In Southwest Saskatchewan, we drilled 21 (16.1 net) horizontal oil wells including 7 (5.7 net) wells developing the Atlas formation and 7 (5.8 net) wells extending and developing our Lower Shaunavon acreage.

Our Atlas results continue to exceed expectations. This quarter has been exciting as we also stepped out and validated a new area. For the Atlas wells drilled in the quarter, the production rates have been strong with average IP(30) rates of 198 bop/d or 30% higher than the budget production expectations.

The results in the Lower Shaunavon continue to outperform and, as a result, we have initiated construction of a central battery that will increase our operating netbacks in this area by $3.50/boe when completed in the first quarter of 2020.

We will be restarting our Southwest Saskatchewan program later in the fourth quarter and expect to drill 6 (4.3 net) wells for the remainder of the year.

Southeast Saskatchewan

Production in Weyburn has fully recovered from third party CO2 downtime earlier in the year, and we are commencing our fourth quarter drilling program of 6 (3.7 net) wells. In addition, we continue our technical analysis to optimize the reservoirs in preparation for additional capital spending in late 2019 and 2020.

Third Quarter Highlights

For the nine months ended September 30, 2019, we generated funds flow of $491.1 million and efficiently executed on $305.2 million of capital investments resulting in free funds flow of $185.9 million. In addition, we paid $103.3 in dividends and repurchased 4.6 million shares, returning a total of $122.9 million to shareholders year to date.

Whitecap’s balance sheet remains in excellent shape with net debt at $1.2 billion on credit capacity of $1.77 billion, providing significant financial flexibility. We have fixed $795 million of ourlong-termdebt at very attractive interest rates averaging 3.5% per annum. The remaininglong-termdebt is revolving and variable which allows Whitecap to continue to allocate our free funds flow towards strengthening our balance sheet.

Q3 Financials

•Maintained capital discipline and delivered exceptional operational results with a year to date total payout ratio after capital spending and dividend payments of 83% compared to 82% in the prior year. This was achieved despite an 10% decrease to average realized commodity prices over the same period in 2018.

•Production averaged 68,255 boe/d in Q3/19 compared to 75,529 boe/d in Q3/18, a decrease of 10% due to a defensive and prudent reduction to our capital budget in 2019 in response to ongoing commodity price volatility and the Alberta Government’s production curtailment program. Capital expenditures for the nine months were $305.2 million compared to $364.0 million for the same period in 2018, a decrease of 16%.

•Operating netbacks remained strong at $28.17/boe compared to $32.78/boe in the prior year, a decrease of 14% primarily due to an 18% decrease to average realized commodity prices, offset by lower realized hedging losses over the same period in 2018.

•Funds flow for the quarter was $154.3 million ($0.37/share) compared to $205.0 million ($0.49/share) in the prior year, a 25% decrease, due to lower commodity prices and production volumes over the same period in 2018.