Rosetta Resources Inc. First Quarter 2012 Earnings Review May 9, 2012 REDEFINED BUILDING VALUE IN UNCONVENTIONAL RESOURCES
Earnings Call Agenda Opening Comments Randy Limbacher Financial Update John Hagale Operations Update Jim Craddock Asset Development Update John Clayton Closing Remarks Randy Limbacher 2
Overview Randy Limbacher Continued high-grading of assets Pure Eagle Ford shale play with option in Southern Alberta Basin Inventory of 500 MMBOE with 13 years of drilling opportunities Less than 10% of Eagle Ford inventory drilled…
Financial Update John Hagale Net income growth reflects increased production, higher realized prices, more favorable commodity mix, lower unit costs Liquids sales generated 79 percent of revenues* Strong cash position; 28%…
Expense Guidance 2012 Full Year (Guidance Range) Direct Lease Operating Expense 1.30 - 1.45 Workover Expenses - Insurance 0.10 - 0.11 Ad Valorem Tax 0.75 - 0.85 Treating and Transportation 3.85 - 4.25 Production Taxes 1.50 - 1.65…
Operations Update Jim Craddock Spent 133 million in first quarter 2012 capex; drilled 15 gross wells with 100% success rate and completed 12 Averaged quarterly production of 33,800 Boe/d; 52 percent liquids Operated four rigs, two…
Asset Development Update John Clayton Accelerating Eagle Ford shale development activity Operating two rigs in Gates Ranch, three others in Briscoe Ranch, Central Dimmit County and Karnes Trough Participated in 10 successful wells…
Eagle Ford Shale Activity Level Net Area Window Acreage Gates Ranch Liquids 26,500 Non-Gates Ranch Liquids 23,500 Encinal Area Dry Gas 15,000 TOTAL 65,000 Current Drilling Activity Area 9
Gates Ranch Well-Spacing Performance Gates Ranch Daily Production with Downspaced Wells 6 Gates Ranch North wells spaced 425 to 565 feet apart (50 to 65 acres per well). Note: In order to compare like well performance, the well…