S a n c h e z E n e rg y C o r p o r a t i o n Corporate Presentation October 2012
Summary Highlights Pure Play Eagle Ford 95,000 net acres in oil portion of the Eagle Ford Shale, one of the fastest growing plays in North America Company Low risk drilling opportunities in Atascosa, Fayette, Frio, Gonzales, Lavaca and…
Sanchez Energy Corporation Overview (NYSE: SN) Company Overview Financial and Operational Summary Sanchez Energy Corporation is an independent E&P company Financial Summary focused on the exploration, acquisition, and development of…
Areas of Operation Eagle Ford Update Eagle Ford Shale Area Map The Prost 1H and 2H wells (both 100% W.I.) in the Marquis area recently came Marquis Area online with 24 hour IP rates of 1,120 57,100 Net Acres Boe/d and 1,369 Boe/d,…
Pure Play Eagle Ford Operator SN offers significant direct exposure to the Eagle Ford oil shale; more heavily weighted than any other company on an enterprise value basis Net Eagle Ford Acres / Enterprise Value (1) 160 140…
Eagle Ford Overview 7
Eagle Ford Shale Palmetto Area Palmetto Area Overview 9,500 net acres in Gonzales County with a 50% / 50% area of mutual interest with Marathon 9 PDP wells with one well completing (Ward E 1), two wells waiting on completion…
Eagle Ford Shale Marquis Area Marquis Area Overview 57,100 net acres (100% W.I. / 100% operated) 50,600 net acres in Southwest Fayette & Northeast Lavaca Counties 6,500 net acres in Atascosa, Webb, and DeWitt Counties Two PDP wells…
Marquis Area Activity Prost B 1H Drilling GEOI Prost B 2H & B 3H Spud: 4Q12 Sante A 1H Completing Prost 1H & 2H MHR Prost C 1H & 2H Prost C 3H Spud: 4Q12 Spud: 4Q12 Hunt PVA 11
Eagle Ford Shale Maverick Area Maverick Area Overview 28,500 net acres in Zavala and Frio Counties (80% to 100% W.I. / 100% operated) Nine PDP wells including five Eagle Ford horizontal wells and two Eagle Ford vertical wells (1)…
Maverick Area Activity Ray 1H Mark & Sandra 2H Hauser Lease 6,100 Net Acres Alpha Ware 1H Mark & Sandra 3H Spud: 4Q12 Mark & Sandra 1V Goodwin 1V Petro Pards 1H & 2H Petro Pards 3H & 4H Spud: 4Q12 13
Improving Well Results Maverick Area Horizontal Well Results 1,000 931 30 24H IP (Boe/d) Frack Stages 800 25 600 (Boe/d) 450 456 400 312 20 214 20 200 19 18 0 16 16 15 Alpha Ware 1H (7/8/11) Ray 1H (5/19/12) Petro Pards…
Operational Summary Average Net Daily Production (Boe/d) Hedged Volumes Through 2013 6,000 2,500 125 Oil Hedge Volume (Bbl/d) 4,000 - 5,000 Swap Price 2,000 100 4,500 Oil Volume Hedged (Bbl/d) Hedge Price 1,500 75…
Summary Highlights Pure Play Eagle Ford Operator Significant De-Risking Underway Recent Well Results Exceed Expectations Seasoned Management Team Strong Financial and Operating Performance 18
Appendix 19
Non-GAAP Reconciliations Reconciliation Of Net Income (Loss) To Adjusted EBITDA (M) 6 Months 6 Months Ended Ended LTM 2010 2011 6/30/11 6/30/12 6/30/12 Net Income (Loss) (2,758) 1,968 1,326 (18,691) (18,049) Plus: Unrealized Loss…
Explanation Of Non-GAAP Measures We include in this presentation the non-GAAP financial measure Adjusted EBITDA and provide reconciliations of Adjusted EBITDA to net income (loss) and net cash provided by (used in) operating activities,…