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  Economics : Break-Even

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Dry Gas Basin Breakeven Analysis Most of the dry gas plays in the U.S. have breakeven prices above the current 2020-2023 strip at 2.48/MMBtu - Dry gas producers will require higher realized prices than the current strip to incentivize the drilling activity needed to deliver new supply - Dry gas rig count has declined 24%, or 34 rigs, since March 15th 6.00 (1) 30 Breakeven (25% ROR) 2020-2023 Strip(2) Dry Gas Rig Count 28 Rigs 108 Dry Gas Rigs Breakeven Price Assuming 25% ROR (/Mcf) 5.00 25 Current Rig Count 3.96 4.00 20 20 3.32 3.40 3.18 3.07 16 3.00 2.48 15 (2020-2023 Strip) 11 2.00 2.43 10 8 8 6 1.00 5 5 3 2 1 0.00 0 0 0 Marcellus Marcellus Haynesville - Marcellus Utica Shale - Eagle Ford - Haynesville - Marcellus Green River Cotton Barnett CoreUinta Basin - Rockies - Shale - NE Shale - SW N LA Core - Shale - WV Dry Gas Dry Gas N LA Core - Shale - Basin - Valley - Lower Piceance PA - Dry PA - Dry Long Dry Ohio Standard Central PA Pinedale Horizontal Mesaverde Laterals Laterals Breakeven analysis source: J.P. Morgan Equity Research estimates. RigData report dated 8/22/19. 1) Breakeven price is defined as half cycle pre-tax ROR of 25%. Excludes rich gas basins; SW Marcellus Rich, SCOOP/STACK, DJ Basin, 2) 2020-2023 average Nymex Henry Hub price. Strip pricing as of 8/30/19. ANTERO RESOURCES NATURAL GAS FUNDAMENTALS 13
Antero Resources
September 2019

Tupper Montney Highlights Top Tier North American Dry Natural Gas Play Henry Hub Dry Natural Gas Break-Even Prices, /MCF 6.00 Operated Well Delivery 5 Wells Online FY 2018 3 Upper Montney, 2 Middle 5.00 Montney, Avg EUR 18 BCF 4.00 Drilled 4 Consecutive Pacesetter Wells 1Q 18 83 Drilling Cost per Foot, 384/CLAT 3.00 1Q 18 Netback C2.20/MCF* vs AECO C2.08/MCF Eagle Ford Gas Tier 1 SW Marcellus Tier 1 SW Marcellus Tier 2 NE Marcellus Tier 1 NE Marcellus Tier 2 Full Cycle Break-Even C1.90/MCF AECO Fayetteville Core 2.00 Terryville / N LA Murphy Tupper Cana Lean Gas Cana Lean Gas Barnett Rich Expansion Project Progressing FEED for 2018 Sanction Haynesville Utica Wet OH Utica Piceance Pinedale PA Utica 1.00 Break-Even C1.75/MCF AECO Over 25% IRR at April 19 AECO Strip Price 0.00 *Including Transportation Costs of C0.27/MCF Source: Tudor, Pickering, Holt & Co. Mitigating AECO Exposure 2018 Montney Natural Gas Sales 2017 Realized & 2018 2020 Forward Sales Price, C/MCF 3.00 2.50 AECO 2.00 40% 24% Hedged Malin 1.50 Emerson 1.00 8% Chicago 0.50 3% 9% Dawn 0.00 16% Oct 2016 Apr 2017 Nov 2017 May 2018 Dec 2018 Jul 2019 Jan 2020 Aug 2020 Feb 2021 AECO Murphy Sales Price As of June 1, 2018 MURPHY OIL CORPORATION www.m urp h yo i lc o rp.c om NYSE: MUR 13
Murphy Oil Corp
June 2018

Horizontal Program Potential Horizontal Well Assumptions Resulting Economics(1) EUR = 20 Bcfe (2.0 Bcfe / 1000) IRR 100% IP (24-hr) = 30.4 MMcfd / 32.2 MMcfed NPV10 = 14.3MM IP (30-day) = 25 MMcfd/ 26.7 MMcfed Discounted Payout = 12 months Oil Yield = 11 Bbls/MMcf Breakeven Price = 1.03/Mcf DC&E Costs = 9 MM (Warbonnet 9-23 A-2H) F&D = 0.56 per Mcfe LOE = 3,000/well/month Recycle Ratio = 4.4x Potential Resource Metrics EUR / 1000 lateral 1.2 3.0 Bcfe/1000 EUR/well (2-mile lateral) 12 30 Bcfe Oil Yield, Bbls/MMcf 10 30 Bbls/MMcf (% oil volume) (6-15%) (% oil revenue) (17-37%) Gross Location Count 1,600 Gross Resource(2), Tcfe 19 48 Tcfe Net W.I. Location Count 700 Net Resource, Tcfe 7 17 Tcfe (1)Economics based on HHUB=3.00/MMBtu & WTI=60.00 /Bbl Ultra Petroleum Corp. NASDAQ: UPL (2)Additional resource incremental to the 39 Tcfe identified in the core of Pinedale 27
Ultra Petroleum Corp.
May 2018
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