A Deeper Look into the Williston Basin June 18, 2014 ERF TSX & NYSE
Significant Increase in Asset Value More Resource: 50% increase in original oil in place (OOIP) driving increase of 97 MMBOE of new contingent resource More Locations: 127% increase in drilling inventory Better Economics: Capital…
Fort Berthold A Core Asset 22% of 2014 corporate production* 26% of 2P reserves 40% of 2014 capital spending* * Based on 2014 guidance estimates 3
Fort Berthold Significant Value Creation Original Acquisition (2009/2010) 600 MM Production 3 year CAGR +100% Net Capital Investment * 425 MM Reserves 3 year CAGR 70% Total Investment 1,025 MM 2P NPV10% Dec. 31, 2013 1,500 MM…
Fort Berthold: Increasing Resource
Top Tier Oil Asset: Fort Berthold, North Dakota Key Facts at December 31, 2013 Net Acreage 73,000 acres (114 sections) 2P Reserves 105 MMBOE Producing Wells: Bakken wells 74 TF1 25 Total 99 Future Net Drilling Locations: PUD…
Detailed Evaluation Increases OOIP New assessment includes evaluation of 155 wells with log data and 50 wells with core data across acreage and surrounding area OOIP increase driven by: higher oil saturation in both the Bakken…
250% Increase in Contingent Resource Original 2014 Assumption Evaluation Increase OOIP per DSU* Bakken 8 12 MMbbls 8 16 MMbbls TF1 8 10 MMbbls 10 16 MMbbls TF2 n/a 2 20 MMbbls Total 16 22 million bbls 20 42 million bbls 4 20…
Fort Berthold: Increasing Drilling Inventory
Well Density Schematic 6 / 7 Well Density* 8 Well Density* TF 2 &3 Upside** No Lower Three Forks Lower Three Forks TF3 & Additional Stand-Alone Locations Productive TF Wells * Assumes 15% recovery factor. 10 ** Super unit…
Successful Industry Downspacing Over 175 DSUs with 6 Enerplus Snakes wells or more have been Downspacing Test drilled in North Dakota No decrease in industry performance in 7 well density tests (4 Bakken/ Enerplus Furbearers…
Encouraging Enerplus High Density Tests Snakes Pad High Density Well Performance 8 Well Density & TF2 150 Prairie Dog 150-94-04A-09H Fox 150-94-04A-09H 140 Bobcat 150-94-04A-09H 130 Hognose 152-94-18B-19H TF2 Ribbon…
Increasing to Average 7 Wells/DSU Enerplus Hognose Successful TF2 Northwest Enerplus Highest estimate of OOIP Butterflies TF2 Drilling Includes TF2 8 8 well density Central/West Well density ranging from 6 8 wells 6,7,8…
127% Increase in Drilling Inventory Original View New View 184 new locations added 4 wells/ Avg. 7 wells/ Two thirds of locations are Locations DSU DSU long laterals BakkenLong 53 124 Three ForksLong 66 89 Average 7 wells per DSU…
Completion Evolution Increasing Production Rates Completion Costs/Stage Despite larger fracs, the switch to sand and effective USK cost management has helped reduce completion costs 30 Day Cum. Oil BKN TF Oil…
Improving Capital Efficiencies* Reduction in well 15,000 costs and significant 12,000 increase in IP rates 10,000 driving top quartile capital efficiencies Capital Efficiency* 10,000 (US/BOE/day) 8,500 7,000 6,000…
Completions Enhancements Leading to Best in Basin Well Results Peak Calendar Month Production* Enerplus Bakken / Three Forks wells drilled without high volume completions Enerplus Bakken / Three Forks wells drilled with high…
Fort Berthold: Improving Economics
149N 93W Improving Economics New Completion vs. Old Completion Direct Offsets, Same Formation Cum. Oil Per 1000 Lateral Feet +70% increase Bakken Three Forks 30 60 90 120 150 180 210 240 Days 148N 93W Cum.…
Improving Economics New Completion vs. Old Completion High Direct Offsets, Same Formation Volume Completions 150N 94W +90% increase Cum. Oil Per 1000 Bakken Feet Three Forks Drilling/ WOC 30 60 90 120 150…
Completion Performance Driving Shift in Type Curves Year 1 Type Curve Adjustment: Increase in IP rates allows earlier capture of NPV 23
Improving Economics* from Completion Modifications Old EUR Old EUR New EUR New EUR 800 Mbbls 500 Mbbls 800 Mbbls 530 Mbbls (950 MBOE) (600 MBOE) (950 MBOE) (635 MBOE) 30 Day Cum. Prod, bbls 23,000 15,000 43,000 31,000 NPV 10%, MM…
Fort Berthold: Future Development Options
Future Growth Potential FTB NOI and Prod 2010-2019 26
Further Upside Potential Exists Further upside potential through: Continued evolution of completions Lower Three Forks benches Cost improvements and efficiencies Higher recovery factor Increased down spacing on non-operated…
Fort Berthold: Gathering, Transportation and Differentials
U.S. Crude Marketing Total Industry Bakken Production Take-Away Capacity: 550,000 bbls/day of regional pipe capacity currently Available Capacity available and another 400-450,000 bbls/day coming into service after 2015 Pipe 32% Rail…
Optionality Provided by Over-Capacity Build Enerplus seeks to maintain a balanced approach to marketing commitments 13,500 bbls/day of firm regional egress commitments currently in place 8,500 bbls/day of pipeline commitments to…
Accessing Breadth of Market to Optimize Netback, Reduce Pricing Risk Pipe to Clearbrook and Guernsey gives us access to buyers that can access markets in Eastern Canada, Wood River, and Cushing Rail gives us access to markets in…
Realized Differentials (inclusive of field gathering) -25 -20 85% of Fort Berthold oil production is connected Forecast US(13.00)/bbl -15 to third party gathering US/bbl at wellhead system with balance trucked to pipe or…
Natural Gas and NGL Production Fort Berthold (2013 BOE/day) 643 816 Gas and NGLs are gathered and marketed by our gatherer at market netback pricing Realized natural gas price is higher than NYMEX because of higher heat content…
Fort Berthold: Summary
Significant Value Created Plus Future Opportunity 329 well inventory: 98 2P UD locations; 231 locations in contingent resource assessment Over 16 years of inventory at 2 rig development Potential to accelerate drilling 136 MMBOE of…
Investor Relations Contacts Jo-Anne M. Caza 1-800-319-6462 Vice-President, Corporate & Investor Relations investorrelationsenerplus.com 403-298-2273 jcazaenerplus.com www.enerplus.com The Dome Tower Suite 3000, 333 7th Ave SW…
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