UBS Global Oil and Gas Conference May 19, 2015 NYSE: DVN devonenergy.com
Devon Today Superior Execution Delivering Shareholder Value A leading North American E&P Building operational momentum Oil driving production growth Disciplined capital allocation Financial strength and flexibility…
A Leading North American E&P Heavy Oil Focused and balanced asset portfolio Proved reserves: 2.8 billion BOE Net production: 685 MBOED Upstream revenue: 64% oil Deep inventory of opportunities Rockies Oil Highquality Permian…
A Leading North American E&P Strategy For LongTerm Success Premier and sustainable asset portfolio Highreturning projects Positioned in toptier basins Balanced between oil and gas Deep inventory of opportunities Focused on…
Oil Driving Production Growth Revised 2015 Oil Production Guidance Q1 production exceeded guidance (3rd qtr in a row) U.S. Oil Production Growth MBOD 168 Delivered Q1 U.S. oil production growth of 72% 98 Prolific Eagle Ford…
Disciplined Capital Allocation Revised 2015 Capital & Operating Cost Outlook 2015 E&P Capital Guidance E&P capital reduced by 6% 3.9 4.1 Billion Land/Tech. Barnett 250 million decline vs. previous guidance Rockies Acceleration…
Financial Strength & Flexibility Strong investmentgrade ratings Accretive EnLink Transactions 870 Million of Value Cash balances: 1.9 billion 215 MM 215 MM (1) VEX Dropdown Oil Net debt(1): 7.5 billion (excluding EnLink) Gas…
Advantaged Midstream Business EnLink Overview Devons equity ownership interest Market Value of EnLink Ownership 32% of MLP (ENLK: 95 MM units) May 2015 70% of GP (ENLC: 115 MM units) Distributions to reach 270 MM in 2015…
HEAVY OIL ROCKIES OIL Oil Assets LiquidsRich Gas Assets ANADARKO BASIN Asset Overview PERMIAN BASIN BARNETT SHALE Premier North American Portfolio EAGLE FORD 10
E&P Operations Delivering Superior Execution Maximize base production Minimize controllable downtime Enhance well productivity Capture Full Leverage midstream operations Value Reduce operating costs Optimize capital…
Permian Basin Overview Industry leader in basin Permian Oil Production Growth 5Year CAGR (As of Q1 2015) 1.2 million net surface acres with stacked pay Q1 net production: 102 MBOED Liquids 78% of production mix Deep inventory…
Delaware Basin Driving Results in Permian Basin Delaware Basin delivering prolific growth Q1 net production: 53 MBOED 250% growth since 2010 B O N E S P R I N G S L O P E Activity focused on Bong Spring play Lea Eddy Basin:…
Delaware Basin Bone Spring Results Continue to Improve Cumulative Production Bone Spring Basin New completion design enhances results MBOE 160 New Designs Tested on 60 wells since mid2014 Old Design 120 60% Activity focused in…
Delaware Basin Significant & Growing Resource Opportunity Net risked acres: 500,000 Identified 5,000 risked locations Eddy Lea Assumes 4 5 wells per risked section Bone Spring 70% of inventory Significant upside potential…
Eagle Ford Overview Toptier acreage position 78,000 net acres focused in DeWitt Co. Q1 net production: 122 MBOED Oil 62% of production mix Gonzales Lavaca Highest returning asset in portfolio Delivering industryleading well…
Eagle Ford WorldClass Development Results in DeWitt County Production up 140% over past year Eagle Ford Production Growth MBOED 122 Driven by worldclass results in DeWitt Co. 51 Q1 wells: 30day IP avg. 2,100 BOED (79 wells)…
Heavy Oil Overview Located in best part of oil sands 6 Miles Low geologic risk Jackfish 1 T76 Jackfish 2 Thick and continuous reservoir Industry leading operating results Jackfish 3 T75 Massive risked resource: 1.4 BBO Pike…
Heavy Oil Developments Delivering Visible Oil Growth Heavy Oil Production Jackfish 1 delivering toptier results MBOD 104 Q1 gross production: 35.2 MBOD 78 Jackfish 3 Capacity utilization 100% for 5th Jackfish 2 straight quarter…
Anadarko Basin Stacked Pay Potential Woodford & Meramec Best position in CanaWoodford play 280,000 net risked acres Meramec Oil & Liquids Window Q1 net production: 66 MBOED 60,000 Net Risked Acres 2015 plans: 75 development…
Rockies Oil Powder River Basin Devon Acreage Strong Q1 development results Recently Acquired 42,000 net acres 11 wells: 30day IP 1,400 BOED Driven by 9,600 extended reach laterals Campbell 2x length of previous design…
Why Own Devon A leading North American E&P Building operational momentum Oil driving production growth Disciplined capital allocation Financial strength and flexibility Advantaged midstream business 22
Thank you.
Appendix
Permian Basin Overview Industry leader in basin Bone Spring, Delaware, Leonard & Wolfcamp 1.2 million net surface acres with stacked pay Gaines Dawson Borden Wolfcamp Q1 net production: 102 MBOED Eddy Lea Andrews Martin…
Barnett Shale LiquidsRich Gas Development Significant gas optionality Net acres: 620,000 Wise Denton Best position in play Q1 net production: 191 MBOED Liquids 28% of production mix Dry Gas LiquidsRich Capital efficient…
Potential Drop Down Asset Access Pipeline Three 180 mile pipelines from JACKFISH & PIKE Sturgeon Terminal to Devons thermal acreage 16 Diluent Line (Edmonton to Jackfish) 24 Diluent Line 30 miles of dual pipeline from…
Key Modeling Statistics Bone Spring Basin (Delaware Basin) Bone Spring Slope (Delaware Basin) Working interest / royalty: 71% / 21% Working interest / royalty: 71% / 21% 30day IP rate: 900 BOED 30day IP rate: 500 BOED EUR: 600 MBOE…
Key Modeling Statistics Eagle Ford (DeWitt County) Rockies: Powder River Basin (Parkman) Working interest / royalty: 48% / 22% Working interest / royalty: 58% / 18% 30day IP rate: 1,650 BOED 30day IP rate: 1,300 BOED EUR: 900 MBOE…
Key Modeling Statistics CanaWoodford Shale Meramec Working interest / royalty: 51% / 21% Working interest / royalty: 34% / 18% 30day IP rate: 1,200 BOED 30day IP rate: 1,500 BOED EUR: 1.7 MMBOE EUR: 1.4 MMBOE Oil / NGLs as % of…
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