Skip to main content ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. Investor Presentation | Shale Experts
Loading...
Pm

ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp.

Magnum Hunter Resources Corp. · Aug 12, 2013 · 40 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 1
    MAGNUM HUNTER RESOURCES CORPORATION EnerComs The Oil and Gas Conference 18 August 12, 2013
  2. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 2
    Who We Are Magnum Hunter Resources is an exploration and production company focused in three of the most prolific unconventional shale resource plays in North America, namely the Marcellus, Utica and Williston/Bakken Shale Current…
  3. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 3
    Where We Operate A well-balanced and concentrated asset base in large shale plays Secure footholds in West Virginia, Ohio, Kentucky, and North Dakota 190,000 Net Acres 81,000 Net Marcellus Acres 80,000 Net Utica Acres…
  4. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 4
    Production Growth 2012 production increased 139% to 13,152 Boepd compared to 5,510 Boepd in 2011 Year-end 2013 exit rate guidance reaffirmed 23,000 - 25,000 17,814 16,889 14,145 14,587 12,984 12,624 9,124 5,270 (1)…
  5. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 5
    Proved Reserve Growth Consistency Track record of proved reserve growth Approximately 57.8 MMBoe at June 30, 2013 (50.5% oil/liquids) Anticipate continuing to add proven reserves with an equal mix of oil/liquids and natural gas…
  6. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 6
    Proved Reserves Summary Proved Reserves Summary Net Proved Reserves as of June 30, 2013 (SEC PRICING) Liquids Gas Total Category (MMBbls) (Bcf) (MMBoe) % PDP 16.8 111.6 35.4 61.3% PDNP 0.6 3.8 1.2 2.1% PUD 11.8 56.4 21.2 36.6%…
  7. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 7
    Operational Efficiency Improvements (/Boe) 61.95 5.01 34.43 30.18 3.72 21.23 13.36 3.13 7.43 22.51 13.10 10.67 2010 2011 2012 LOE Recurring Cash G&A Production Taxes 7
  8. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 8
    Growth Plan Continues EBITDAX Revenue 300 271.0 250 200 168.6 ( MM) 150 129.2 100 50.4 50 32.7 5.4 6.8 4.2 0 2009 2010 2011 2012 Year Note: Current management team started in May 2009 8
  9. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 9
    Substantial Leasehold Inventory Developed Undeveloped As of May 1, 2013 Acreage (1) Acreage (2) Total Acreage Gross Net Gross Net Gross Net Appalachian Basin (3) Marcellus Shale 63,198 62,490 24,978 18,511 88,176 81,001 Utica Shale…
  10. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 10
    Future Growth and Profitability Drivers To achieve consistent growth, we are committed to the following: Focus on developing and growing core assets in areas with the highest rate of return using our proven development expertise…
  11. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 11
    2013 Accomplishments to Date Our long-term strategic growth plan is reflected in recent events: January June: New wells drilled: Marcellus 13 Gross (7.5 Net) North Dakota 33 Gross (8.7 Net) Saskatchewan 1 Gross (.9 Net) April:…
  12. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 12
    A Focused Company on the Right Path Proven management and technical team in place committed to proper capital allocation for future growth Geographically diversified asset base in three of the most prolific shale plays in the US…
  13. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 13
    Appendix 13
  14. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 14
    Appalachia Overview Overview Areas of Operation Proved Reserves MHR areas of operations Total proved reserves of 37.8 MMBoe as of 6/30/13 Proved producing reserves of 24.8 MMBoe as of 6/30/13 Acreage Position 490,000 net acres…
  15. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 15
    Marcellus Operations Marcellus Well Results IP 24-hr avg. rate (Mcfe/d) IP 30-day avg. rate (Mcfe/d) Frac Stages () 10,500 10,400 10,000 9,700 9,700 9,600 9,500 9,471 9,563 8,340 7,998 7,078 6,542 6,337 6,361 5,800 5,618…
  16. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 16
    NGL Uplift in Appalachia Following the startup of the Mobley Processing Plant in December 2012, Magnum Hunter has realized an uplift in NGLs on a per wellhead Mcf basis between 0.75 - 1.25 The Company has 200 MMcf/d of dedicated…
  17. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 17
    Economic Sensitivity of Marcellus CAPEX: 6.5MM per well EUR: 7.8 Bcfe (includes natural gas liquids) 14.0 IRR: 108% 12.0 IRR: 98% 10.0 3.70/MMBtu(1) IRR: 87% Single Well NPV-10 ( MM) 8.0 IRR: 77% IRR: 67% 6.0 IRR: 57%…
  18. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 18
    Marcellus Shale Note: MHR owns approximately 81,000 net acres in the Marcellus Shale 18
  19. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 19
    Utica Shale Overview The Utica Shale extends approximately 170,000 square miles throughout the Total Organic Carbon Appalachia Basin in the United States and Canada Ordovician-aged organic rich black shale with interbedded limestone…
  20. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 20
    Potentially Best Shale Play in US Play Comparison Chart Ohio / West Va. / Penn. Wyoming/Colorado Texas N. Dakota Utica Shale / Parameter Point Pleasant DJ Basin Niobrara Eagle Ford Bakken Lithology Calcareous Shale Chalk/marl…
  21. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 21
    Lithology The Point Pleasant Formation is actually a series of very Point Pleasant Core Photomicrograph thin, high-permeability carbonate stringers encased in organic-rich source rock Large gross interval provides huge amount of…
  22. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 22
    First Utica Pad Farley First Utica horizontal well in Washington County spud April 10, 2013 Farley Pad is designed to handle 4 horizontal wells Pilot Well has recently reached TD vertically at 8,164 feet, logged and cored Lateral…
  23. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 23
    Farley Pad Drilling Locations MARCELLUS - West Virginia Marcellus MHR - Farley Pad Four Planned Laterals Washington County Noble County 0 2000 4000 Magnum Hunter Acreage 23 0 2,000
  24. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 24
    Stalder Pad Drilling Locations MARCELLUS - West Virginia Marcellus MHR - Stalder Pad Eighteen Planned Laterals 0 2000 Magnum Hunter Acreage Marcellus Horizontal Well Utica Horizontal Well 0 2,000 FEET PETRA…
  25. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 25
    Alpha Hunter T500XD Rig On May 7, 2013 Alpha Hunter took possession of a new state of the art robotic drilling rig Will be used to drill all 16 - 18 wells on the Stalder Pad over the next 18 months First well spud July 1, 2013 25
  26. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 26
    BROOKE W Utica Shale Recent Well Results OHIO GUERNSEY BELMONT Antero - Miley 5HA Gulfport - Stutzman 1-14H MUSKINGUM IP Rate: 3200 boe/d 4 Hour Rate: 9450 bbls NGL/d 1250 BTU Gas Well Not Rested +21.0 mmcf/d (4060…
  27. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 27
    Williston Hunter Overview Areas of Operation Overview Proved Reserves Total proved reserves of 19.5 MMBoe as of 6/30/13 Proved producing reserves of 10.6 MMBoe as of 6/30/13 Acreage 190,000 net acres in the Williston Basin…
  28. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 28
    Ambrose/Divide County 2013 Activity Areas of Operation Overview 2013 Drilling Program 30 gross, 10 net wells Targeting Three Forks Sanish and Middle Bakken Prolific Two-mile Lateral Wells IP 24-hour rates up to 1,200 Boepd IP…
  29. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 29
    Williston Hunter Recent North Dakota Well Results Williston (North Dakota) MHR results 24-Hour IP Rates 30-Day IP Rates of Frac Stages 1,770 1,549 1,352 1,166 1,085 1,076 910 910 922 923 872 913 836 833 867 820 813 776 781…
  30. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 30
    Williston Basin Economics Sensitivity North Dakota West (High Case) North Dakota West (Base Case) Saskatchewan (1 mile lateral) CAPEX: 7.1 million per well CAPEX: 7.1 million per well CAPEX: 3.5 million per well EUR: 730 MBOE EUR: 550…
  31. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 31
    Eureka Hunter Midstream Overview Strategically Positioned Assets Pipeline strategically located in the heart of Marcellus wet gas corridor of WV 90 miles of 20 1135 MAOP gathering system currently in the ground 350+ MMcf per day…
  32. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 32
    Eureka Hunter Pipeline Geographical Map Constructed Line 32
  33. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 33
    Eureka Hunter Gathering Volumes Eureka Hunter Pipeline, LLC 2012 Avg. Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 High Pressure Reservation Volume (MMBtu/d) Triad 40,000 87,950 87,950 87,950 91,117 92,950 92,950 Third-Parties 6,667…
  34. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 34
    Eureka Hunter Pipeline Three pipe solution at Carbide Challenging West Virginia Terrain Ohio River Bore into Ohio (McCormick & Evans) 34
  35. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 35
    Mobley Processing Plant Processing complex consists of three trains: 200 MMcf/d + 200 MMcf/d + 120 MMcf/d 200 MMcf/d plant came online during November 2012 Equitrans feed Eureka Hunter began deliveries December 20, 2012 35
  36. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 36
    Financial Overview 36
  37. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 37
    Capitalization September 30, December 31, March 31, June 30, ( in millions) 2012 2012 2013 2013 Cash 22.0 57.6 91.2 32.7 Debt: Revolving Credit Facility due 2016 175.0 225.0 325.0 0.0 Senior Unsecured Notes due 2020 444.1 600.0…
  38. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 38
    Adjusted EBITDAX Reconciliation (MMs) Full Year Full Year Full Year Full Year 2009 2010 2011 2012 Net income (loss) (15.1) (22.3) (76.7) (139.4) Unrealized (gain) loss on derivatives, net 7.7 3.1 4.2 (10.9) Interest expense, net 2.7 3.6…
  39. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 39
    Crude Oil and Natural Gas Hedges Crude Oil 2013 2014 2015 (1) NYMEX Average 89.44 86.45 84.12 Weighted-Average Hedge Price With Ceilings 100.38 100.90 115.93 Weighted-Average Hedge Price With Floors 87.33 85.00 85.00…
  40. ENERCOMS THE OIL AND GAS CONFERENCE – Magnum Hunter Resources Corp. – slide 40
    Equity Research Coverage / Contact Information Magnum Hunter Resources (NYSE: MHR) Equity Research Analyst Coverage: BMO Capital Markets KLR Group Canaccord Genuity MLV Partners Capital One Southcoast RBC Capital Markets Citigroup…

From the store

Browse maps, data & reports in the Shale Experts store