Skip to main content January 2016 Corporate Presentation – Northern Blizzard Resources Inc | Shale Experts
Loading...
Pm

January 2016 Corporate Presentation – Northern Blizzard Resources Inc

Northern Blizzard Resources Inc · Jan 4, 2016 · 34 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 1
    January 2016 Corporate Presentation
  2. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 2
    Corporate Highlights Common Shares TSX: NBZ Reserves Public Float 29.8 million shares / 27% DOIIP (net)(3) 2.0 billion bbl Management(1) 4.9 million shares / 4% 2P Reserves(4) 158 million boe NGP / Riverstone 78.1 million shares /…
  3. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 3
    Investment Highlights Approximately 2.0 billion bbl DOIIP(1) with 12% recovered World-Class Oil Low corporate decline rate of 17% trending lower Resource Base Long reserve life index (2P = 19 years; PDP = 7.2 years) Large inventory (…
  4. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 4
    World-Class Oil Resource Base Significant high-quality oil resource Approximately 2.0 billion bbl DOIIP(1) with 12% recovered Large inventory ( 2,000) of low risk drilling locations with good capital efficiencies Long-life low…
  5. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 5
    Oil Production Decline 46% 46% 45% 43% 50% 43% NBRI has one of the 39% 39% 39% 39% 37% 36% 35% 35% 35% 40% lowest decline rates 33% 33% Decline Rate (%) 32% 32% 32% 30% 29% 29%…
  6. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 6
    Credit Capacity & Liquidity Debt Composition Bank Credit Facility Dec 31, 2015 475 million borrowing base, currently undrawn Next borrowing base review in May 2016 NBRI is in compliance with financial covenants: Dec 31, 2015(1) Dec…
  7. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 7
    Active Hedging Program Hedge program supports predictable cash flows 2016 4.2 mmbbls C79.50/bbl WTI & C19.59/bbl WCS differential 2017 730 mbbls C91.00/bbl WTI & C19.88/bbl WCS differential Hedge target is +C60/bbl WCS 70%…
  8. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 8
    Operating In A Low Oil Price Environment Optimize Optimize asset integrity asset Manage decline rates low decline rate requires less sustaining integrity capital Committed to long life projects (i.e. Polymer flood, SAGD) Rigorous…
  9. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 9
    Operating & Capital Cost Improvements Operating cost improvements Operating costs of 16.77/boe (9 months 2015) are 20% lower than for same period in 2014 Northern Blizzard continues to work to reduce production costs Capital…
  10. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 10
    2016 Guidance & Sensitivities Guidance(1) Sensitivities WTI (US/bbl) 50.00 45.00 40.00 WCS differential (US/bbl) (15.00) (14.50) (14.00) CAD/USD 1.330 1.340 1.350 Average production (boe/d) 20,000 20,000 20,000 Capital expenditures 100…
  11. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 11
    Focus Assets Cactus Lake, Winter & Coleville DOIIP of 407 mmbbls(1) 13% recovered to date Cactus Lake Drilling inventory of 311 locations(1) 179 booked(2), 132 unbooked Upside from infill drilling, waterflood and polymer flood…
  12. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 12
    Represents Industrys Top Project Economics 160 140 Preliminary 2016 Guidance(2) 2016 WTI Strip Price(1) 120 Before Tax Rate of Return (%) 100 80 60 40 20 0 35 40 45 50 55 60 65 70 75 WTI (US/bbl)…
  13. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 13
    Breakeven Oil Price (C/bbl Ed. Par) 0 100 10 20 40 50 70 80 90 30 60 RMP (Ante Creek) - Montney Oil 31 ARC (Tower) - Montney Oil 38 WCP - Viking 39 Source: CIBC Research. (2017E)thereafter. TVE - Cardium…
  14. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 14
    Cactus Lake Corporate Presentation January 2016 15
  15. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 15
    Cactus Lake Overview Highlights DOIIP(1) 407 mmbbls bbl Recovered to date 13% 2P Reserves(2) 49 million boe Est. 2015 production +7,000 boe/d 2015 Drilling Wells drilled to Dec 31, 2015 380(3) Drilling inventory 311 locations 33%…
  16. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 16
    Cactus Lake Bakken Infill Drilling Rex/Bakken Type Curve - Rate vs Time 40 35 30 Calendar Day Oil Rate (bbl/d) 25 20 15 10 5 0 Drill Timing Flood Type Section Well Count 0 12 24 36 48 60 Month 2011 WF 35 37 30…
  17. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 17
    Cactus Lake Infill Drilling Opportunity 380(1) production wells drilled (Rex/Bakken and Sparky) 311 remaining inventory locations identified Conservatively booked, 132 unbooked locations Average DOIIP in remaining sections expected to…
  18. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 18
    Cactus Lake Polymer Update Bakken / Sparky polymer performance update Largest North American non-horizontal polymer flood by injection volumes Phase 3A commissioned in March 2015 115 active polymer injectors Current polymer…
  19. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 19
    Cactus Lake Why Polymer Flood Works Normalized comparison between polymer flood 35 Oil Rate (PF) and waterflood (WF) areas 30 25 Oil Rate (bbl/d) 20 Oil rates are 15 comparable 10 5 PF WF 0 0 10 20 30 40 50 700 Water…
  20. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 20
    Cactus Lake Polymer Flood vs Waterflood Economics BT ROR Sensitivity to WTI Price Polymer flood economics highlight: 70 60 60% improvement in reserves 50 30% improvement in NPV BT ROR% 40 Strong F&D 30 No degradation of…
  21. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 21
    Cactus Lake Reduced Operating Costs, Strong NOI(1) 2015 annualized production growth Average Daily Production and Operating Costs achieved through: 10,000 20 Polymer response 9,000 8,000 16 2014 infill program flush 7,000…
  22. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 22
    Winter Corporate Presentation January 2016 23
  23. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 23
    Winter Overview Highlights DOIIP(1) +600 mmbbls bbl Recovered to date < 8% 2P Reserves(2) 22 million boe Est. 2015 production +3,450 boe/d Wells drilled to Dec 31, 2015 191 gross +400 gross locations NBRI Drilling inventory (40%…
  24. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 24
    Winter Value Creation Repeatable Horizontal Drilling Consistent performance 182 horizontal wells drilled for production on 25 meter spacing since 2010 (Dec 31, 2015) Superior economics Winter development provides better economics…
  25. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 25
    Winter Reduced Operating Costs, Strong NOI(1) Operating costs continue Average Daily Production and Operating Costs to decline 8,000 24 7,000 21 Operating Costs (/boe) Production (boe/d) 6,000 18 Flat year over year 5,000 15…
  26. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 26
    Coleville Corporate Presentation January 2016 27
  27. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 27
    Coleville Viking 10,000 Acres in Proven Fairway Raging River Whitecap Novus Teine Ish Crescent Point Penn West Other Operators Company Land Smiley and Whiteside are expected to provide average peak production rates of 60…
  28. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 28
    Coleville Development Opportunity One of the largest tight oil plays in western Canada NBRI drilled 48 wells from Jan 2014 to Dec 2015 1,100 boe/d estimated for 2015 Over 35.00 per boe field netback estimated for 2015 7.60 per…
  29. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 29
    SAGD Corporate Presentation January 2016 30
  30. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 30
    SAGD Development Repeatable Opportunities Large oil in place Strong economics Technology-driven recovery Significant advantages from existing Long life assets infrastructure Est DOIIP 150 mmbbls Corporate Presentation January…
  31. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 31
    Plover North SAGD Well Cumulative Oil-Steam Plot 250,000 200,000 Cumulative Oil (bbl) 150,000 100,000 50,000 0 0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 Cumulative Steam (bbl) A3P A4P A5P…
  32. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 32
    2016 Plover North SAGD Plant Expansion 50M 50M BTU BTU Steam Steam Gen Gen A3P A3I A4P A8P A4I A8I A5P A7P A7I A6P A5I A6I Corporate Presentation January 2016 33
  33. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 33
    Plover North SAGD Expansion Economics Calculated Indicators WTI Price (US/bbl) 40 45 50 55 60 65 70 Monthly Discount (BT-ROR) 12.9 20.6 28.0 35.0 41.8 48.4 54.8 BT PV 10% 1,404 5,328 9,236 13,130 17,016 20,898 24,775 Recycle Ratio…
  34. January 2016 Corporate Presentation – Northern Blizzard Resources Inc – slide 34
    Corporate Information AUDITOR KPMG LLP ENGINEERING CONSULTANTS Ryder Scott Company - Canada INVESTOR CONTACTS John Rooney, Chairman & CEO Michael Makinson, VP Finance & CFO 1900, 421 7 Avenue SW, Calgary, AB T2P 4K9 (403)…

From the store

Browse maps, data & reports in the Shale Experts store