TRANSFORMATIONAL ENTRY INTO THE PERMIAN BASIN Encana Corporation Doug Suttles President & CEO September 29, 2014
Athlon Energy The Best of the Permian Transformative Acquisition in World Class Basin 7.1B acquisition of Athlon Energy Inc. 5.93B cash plus assumption of 1.15B of long-term debt Midland Basin pure play, headquartered in Fort Worth, TX…
Why We Like the Permian Basin Massive, High-Quality Resource Potential Exposure to Multiple Potential Permian viewed as the most prolific onshore oil Producing Horizons basin in North America Basin production 1.7 MMbbls/d 30 Bbbls of…
Why We Like Athlon Tremendous Running Room in the Core of the Midland Basin Athlon Well-Positioned Relative to Highest Industry 24 hr Test Rates Value driven, pure-play producer with top-tier margins High performing team with track…
Enhancing and Accelerating Value Leveraging Our Strengths to Add Value in the Permian Athlon Well-Positioned Relative to Hitting the ground running in 2015: Producing Horizons At least 1B capital program Initiate pad drilling program…
Permian Basin Market Fundamentals Close Proximity to Markets, Extensive Infrastructure in Place Well-developed transportation network Cushing Pipeline expansions underway are Centurion North & South expected to alleviate current…
Permian Assets - Five Year Outlook Delivering Significant High Margin Growth 4,000 Strong operating cash flow growth Permian Pre-Tax Operating Cash Flow Operating Cash Flow (MM) 3,500 50.00/boe netback at 90/bbl WTI, 4/Mcf NYMEX…
Consistent with Vision, Strategy & Goal Transaction Accelerates Key Targets VISION: Leading North American oil and gas resource play company Acquisition in core of North Americas largest unconventional oil play Accelerates rebalancing…
Leveraging our Winning Core Competencies Why This Asset is a Great Fit for Encana TOP TIER MARKET RESOURCE FUNDAMENTALS Multiple stacked productive Established infrastructure in close oil horizons proximity to markets 10+ year…
2014 Transactions High-Grade Asset Base Portfolio Transition Accelerated by A&D Activity 12,000 20/Boe 55/Boe netback margin netback margin 10,000 Permian Focused on Value vs. Cash* 3x Volumes 8,000 Margin Jonah Proceeds from…
Focused on Growing Value Growth Assets Deliver Superior Margin Portfolio Transition Increases Margin Contribution From Growth Assets GROWTH ASSET PRODUCTION PRODUCTION 40.00/Boe in 2015 previously 25.00/Boe 8.00/…
Transaction Accelerates Strategy Liquids Production Outlook of 250 Mbbls/d by 2017 Transaction contributes significant Total Encana Total Encana CFPS growth from 2013 2017 Liquids Production Cash Flow Targeting 250 Mbbls/d…
Acquisition Aligned With Scorecard Delivering on the Plan Portfolio Operational Balance Sheet Transition Excellence Strength Expect original 2017 target of Mega oil play in early days of Funded with expected cash at 75% of operating…
Scorecard - 12 Month Highlights Exceeding Expectations Portfolio Operational Balance Sheet Transition Excellence Strength Major shift in capital allocation to Base production outperforming Maintained investment grade growth plays…
Leading North American Resource Play Company Robust Portfolio with Visible Long Term Growth Options Positions in the heart of the top 2 Canadian resource plays (Montney and Duvernay) and top 2 U.S. resource plays Montney (Eagle Ford…
Disciplined Focus on Profitable Growth VISION: Leading North American oil and gas resource play company High quality rocks Scale and running room Operational excellence Portfolio optionality STRATEGY: Disciplined focus on…
Loading...
