3rd Annual Global Investment Conference Euro Pacific Capital Investor Presentation September 10, 2013 0 NYSE: PVA
Current Geographic Footprint Emerging Oil and LiquidsRich Plays Plus Optionality in Significant Gas Plays Eagle Ford and Other Regions Appalachian Region MidContinent Cotton Valley Marcellus/Other Proved reserves: 12.5 MMBOE Proved…
Eagle Ford Shale Operators Eastern Volatile Oil and Condensate Rich Gas Windows(1) Volatile Oil Condensate Rich Gas EFS Operators Gonzales PVA BHP San Antonio CHK Wilson COG Bexar COP Lavaca CRK CRZO Atascosa EOG DeWitt…
PVAs Eagle Ford Shale Position Emerging Presence in Leading U.S. Oil Shale Play 109,900 gross (62,300 net) acres in Gonzales and Lavaca Counties, TX Gonzales Operator of 96,600 (55,800 net) acres 58% WI Nonoperator of 13,300…
Eagle Ford Shale Operational Update Recent Eagle Ford Shale Well Activity and Results GonzoHunter 3H:WOC ElkHunter 4H:WOC 1H:IP1,625BOE/D 2H:IP1,303BOE/D GonzoSouth1H 3H:IP1,520BOE/D IP752BOE/D StagHunter(cleaningup)…
Recent Eagle Ford Shale Acquisitions MHR Acquisition and Active Leasing Effort Have Significantly Expanded Our Position Acreage Acquisition History Fayette Leasing Gonzales Magnum Hunter (2013) Hunt / MHR (2013) Bozka (2012)…
Attractive Economics in Volatile Oil Window Compelling Economics & Value at Varying Oil Prices Peach Creek Field (Gonzales and Lavaca Counties)(1) Assumptions 80 WTI 100 WTI Key Takeaways Longer lateral lengths in 2013 vs. PUD…
Attractive Economics in Volatile Oil Window Compelling Economics & Value at Varying Oil Prices Shiner Field (primarily Lavaca County)(1) Assumptions 80 WTI 100 WTI Key Takeaways Longer lateral lengths in 2013 vs. PUD assumption…
Current Position Post Acquisition Significant Eagle Ford Shale Acreage and Drilling Inventory Due to both acquisitions and leasing efforts over the past two years, our acreage position is now 109,900 gross (62,300 net) acres…
Current Drilling Inventory Pro Forma PVA Has a Healthy Inventory of Drilling Locations Total inventory of up to 1,244 gross undrilled locations (1,063 horizontal locations) Up to 881 gross horizontal drilling locations in the…
Updated 2013 Capital Plan 2013 Capital Spending Focused on Eagle Ford Drilling Fullyear 2013 capital expenditures expected to be approximately 490MM Four operated rigs (after mid2013) Two nonoperated rigs 2013 capital spending is…
Outlook Oil Production Growth We expect 30 to 40% oil production growth over the next couple of years(1) In 2014, there may be some lumpiness with respect to sequential growth due to the utilization of pad drilling which ultimately…
Outlook Revenue and Cash Flow Growth We also expect 23% revenue and 27% Adjusted EBITDAX growth in 2014 over 2013(1) Revenues include expected cash derivative settlements on oil and gas hedges We expect to become free cash flow…
Strong Margins vs. Peers Adjusted EBITDAX has more than doubled since mid2010 when we shifted our strategy to oil Cash margin per BOE has also improved significantly due to the increase in oil prices and declining operating costs…
Hedging Strategy Protect Cash Flow Maintain an active hedging program to help support capital spending program and ensure strong coverage metrics Hedges in place to protect cash flow Natural gas hedging is currently 67% of…
Peer Comparison Valuation and Leverage Extremely Undervalued; Leverage Ratio in Line With Peers PVAs price to CFPS (2014E) multiple is the lowest among peers(1) Despite market concerns about PVAs leverage and the lack of nearterm…
Investment Highlights Excellent and sizeable position in the volatile oil window of the Eagle Ford Shale Tremendous investment leverage to this leading oil resource play Approximately 140 MMBOE of pro forma 3P reserves in the Eagle…
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Capitalization and Credit Statistics As of and for the Three and Twelve Months Ended June 30, 2013 Capitalization ( in millions) 6/30/13 Working capital (deficit) (18.6) Debt Revolving credit facility 67.0 7.25% senior notes…
NonGAAP Reconciliation Year ended December 31, LTM 2008 2009 2010 2011 2012 2Q13 Adjusted EBITDAX dollars in millions Net income (loss) from continuing operations 93.6 (130.9) (65.3) (132.9) (104.6) (128.9) Add: Income tax…
Penn Virginia Corporation 4 Radnor Corporate Center, Suite 200 Radnor, PA 19087 6106878900 www.pennvirginia.com 22
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