ATHABASCA OIL CORPORATION FOCUSED EXECUTING DELIVERING NOVEMBER 2015 CORPORATE UPDATE
2 REFINED STRATEGY FOR VALUE CREATION Material Core Assets o 1,000+ well inventory in the Duvernay shale play at Kaybob1 o 80,000 bbl/d project potential at the Hangingstone thermal asset WORLD CLASS ASSETS Diverse portfolio…
3 CORPORATE OVERVIEW & GUIDANCE CAPITALIZATION OVERVIEW (Q3 2015) PRODUCTION (BOE/D) 16,000 12,000 - 15,000 Stock exchange listing TSX Gas 14,000 Liquids Trading symbol ATH 12,000 Share Price (November 3, 2015) 1.60 /sh 10,000…
4 FOCUSED ON OUR CORE ASSETS LIGHT OIL: GREATER KAYBOB 2015 program - 184MM budget o Duvernay: Rig released 8 hz & 2 vt wells and completed 5 wells to date, currently completing a 2 well pad in the Volatile Oil window, and recently…
DUVERNAY OVERVIEW
6 THE DUVERNAY IS A WORLD CLASS RESOURCE UNCONVENTIONAL PLAYS IN o Large in place resource NORTH AMERICA WORLD o High liquids yield: 100 -1,000 bbl/MMcf liquids CLASS o Initial results compare favorably to the Eagle Ford…
KAYBOB DUVERNAY EXPOSURE; LIQUIDS AND 7 OVERPRESSURE DRIVES ECONOMICS GREATER KAYBOB DUVERNAY EXPOSURE HIGH QUALITY LIQUIDS KAYBOB Volatile Oil EAST Land: 156,000 acres 8-18 45API Locations: 1,3001 WI: 99% 12 Kaybob East KAYBOB…
8 KAYBOB WEST: WHY COSTS MATTER KAYBOB WEST SOUTH TYPE CURVE1 ANTICIPATED COST LEARNING CURVE (MM) 1,500 Kaybob West South 15 14.5MM Completions 02/2-34-62-20W5 Achieved 08-34-62-20W5 Drilling 1,250 10.6MM (1-36 & 8-36) 1,000 10…
9 PEER LEADING DUVERNAY EXPOSURE HIGHLIGHTS o Athabasca has exposure to 200,000 acres (98% WI) of prospective Duvernay at Kaybob o Majority of the land is held by the Majors with limited near-term expiries o Athabasca offers the…
10 DUVERNAY MILESTONES & TARGETS 2013 2014 2015 2016 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Appraisal & 95% of 200,000 acres held into intermediate term Land Tenure 15 Horizontal and 5 Vertical wells Establish Pad…
11 MONTNEY APPRAISAL AT PLACID PLACID MONTNEY HIGH QUALITY LIQUIDS o Completed a 2 well winter appraisal program aimed at demonstrating well performance similar to offsetting operators PLACID 8-20 o Recently spud 3 wells from the…
HANGINGSTONE OVERVIEW
13 HANGINGSTONE DEVELOPMENT HANGINGSTONE PROJECT 1 (12,000 BBL/D) HANGINGSTONE INFRASTRUCTURE o Achieved first steam at the end of Q1 2015 o Achieved first oil in July; current production 5,200 bbl/d o December tie-in to Enbridge on…
AOC LEARNINGS LEADING TO SUCCESS & 14 EXPECTED RAMP UP PROFILE HANGINGSTONE RAMP UP LEARNINGS APPLIED 12 40 35 Drilled more delineation wells than industry Bitumen Production (mbbl/d) 10 Steam Injection (mbbl/d) 30 KNOW…
SUPPLEMENTAL INFORMATION
INDUSTRY DUVERNAY ACTIVITY LEVELS AT 16 KAYBOB HIGHLIGHTS LICENSES, SPUDS AND ON PRD. WELLS 120 o 530 wells licensed in the play to date Licenses Spuds 100 o Q1 saw a record 32 industry wells placed on On Prd. production 80 o…
18 KAYBOB DUVERNAY ACTIVITY UPDATE 12 14 25,26 6 9 7 8 1 18 5 19 17 15 21-24 10 4 13 11 3 2 0 16 See Slide 24 for a summary of well results Apache Chevron Conoco Encana Hitic Shell Talisman Trilogy XTO Other…
19 CONTROL OF STRATEGIC INFRASTRUCTURE Total Battery Capacity Gas Pipeline Oil Capacity 36,000 bbl/d Up to Gas Capacity 84 MMcf/d, 180 MMcf/d Gas Capacity expandable to 130 MMcf/d Kaybob East AOC 91 km Pipeline Fort…
20 KAYBOB DUVERNAY WELL SUMMARY Duvernay Well Summary Well UWI Key Dates Drilling Summary Completions Summary Production*** Spud On Prod. Spud - RR Lateral Stages** Proppant Loading IP30**** Cum. Production To Date mmm-yy mmm-yy days…
21 DEBT AND CREDIT FACILITY OVERVIEW UNDRAWN CREDIT FACILITIES Q3 2015 INTEREST RATE PRE-PAYMENT TERMS Cdn 125MM senior secured revolving credit facility due 2017* 118 5% Pre-payable without penalty 05/2015 102% US 50MM senior secured…