Skip to main content 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. Investor Presentation | Shale Experts
Loading...
Database
Slide Database

1Q 2016 Financial and Operating Results – Laredo Petroleum Inc.

Laredo Petroleum Inc. · May 4, 2016 · 26 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. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 1
    2016 FirstQuarter Financial and Operating Results May 2016
  2. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 2
    1Q16 Highlights Produced 46,202 BOE/d, beating midpoint of production guidance by 8% Reduced unit LOE by 36% YoY to 4.88/BOE from 7.58/BOE in 1Q15 and by 16% QoQ from 5.83/BOE in 4Q15 Grew transported oil on the Medallion pipeline…
  3. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 3
    Contiguous Acreage Drives Efficiencies 150,440 gross/129,673 net acres1 1,100 locations capable of generating at least 12% rate of return in current price environment2 80% of acreage supports 10,000 laterals Facilitates…
  4. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 4
    FY16 Budget Expectations Drilling 38 42 Hz Wells 345 MM FY16E Capital Budget 95% targeting the UWC & MWC 35 MM 65% 10,000 laterals 17 MM 96% average working interest 13 MM 280 MM 80% on multiwell pads 55% on existing production…
  5. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 5
    1Q16 Operational Achievements Produced 46 MBOE/d, 48% oil 8% BOE beat to guidance midpoint Invested 90 MM in capital and increased FY16 production guidance Completed 9 Hz wells in multiple zones 99% average working interest…
  6. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 6
    Raising FY16 Production Guidance 18,000 16,000 14,000 Increasing FY16 Production Guidance Production1,2 (MBOE) 12,000 1Q16 production of 46.2 MBOE/d, 8% above midpoint of 10,000 guidance, attributable to Earth Model…
  7. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 7
    Rig Cadence Drives Oil Percentage Number of Gross Hz Completions per Quarter vs. % Oil Production 30 55% Number of Gross Hz Completions per Quarter 20 50% % Oil Production 46% 10 45% 0 40% 1Q14 2Q14 3Q14 4Q14 1Q15…
  8. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 8
    Outstanding, MultiYear Hedge Positions 67.481 100% 100% 80% 80% 3.001 2.651 % Natural Gas Hedged % Oil Hedged 60% 60% 60.001 2.711 40% 40% 20% 60.001 20% 0% 0% 2 2 2 2 2Q16 4Q16 FY17 FY18 2Q16 4Q16 FY17…
  9. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 9
    Financial Flexibility Benefits Stakeholder Value 612 million of liquidity1 No term debt due until 2022 950 million of notes callable at Laredos option in 2017 LPIs 49% Medallion ownership not pledged to borrowing base Debt…
  10. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 10
    Further Improved Drilling and Completions Capital Savings UWC/MWC MultiWell Pad D&C Capital 8 7,500 Lateral 10,000 Lateral 7 D&C Capital Per Well ( MM) 6.8 6 5.9 5.9 5.2 10% 5 11% 4 53% 49% 3 2 1 40% 37% 0 1 1…
  11. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 11
    Drilling Efficiencies Yield Permanent Savings Total Drilling Efficiency Rig Accept. to Rig Release 1,000 900 Efficiency improvement is equivalent to 800 cutting days from an average well 700 (Ft/Day) 600 500 400 300…
  12. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 12
    Enhancing Completions with the Earth Model and More Sand Objective of the Earth Model is to facilitate the landing and steering of Standard the wellbore and optimize the Wellbore completion to maximize oil production…
  13. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 13
    Earth Model and Optimized Completions Benefits 1,200 24 Actual, 132% of Oil Type Curve1 1,000 20 Cumulative Production (MBO) Earth Model Estimate, 115% of Oil Type Curve Oil Type Curve 800 16 of Wells 600 12 400…
  14. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 14
    Enhancing Well Returns 80% Well Returns1 (% Rate of Return) 71% 70% Returns are prior to 60% any Earth Model uplift 51% 50% 44% 40% 33% 30% 24% 18% 20% 10% 0% 35 45 55 Realized Crude Oil (/Bbl) MWC UWC Robust…
  15. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 15
    YE15 Total Proved Reserves by Product YE15 Total % of Total % Oil Proved Reserves Proved Reserves Natural PD (Hz) 42% Gas Oil 29% PD (Vt) 36% 42% Total PD 80% 41% NGL PUD (Hz) 46% 29% PUD (Vt) Total PUD 20% 46% Total…
  16. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 16
    Reducing Cash Costs 20 18 17.01 16 14.07 14 13.52 12.15 12.26 Cash Costs (/BOE) 12 10.26 10 8 6 4 2 0 FY141 1Q15 2Q15 3Q15 4Q15 1Q16 LOE Cash G&A Prod & ad val tax Midstream Continuing to diligently cut cash…
  17. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 17
    Production Corridors Lower Capital and Operational Costs 1Q16 Benefits 2016 Benefits LMS Service Actual ( MM) Estimated ( MM)1 Crude Gathering 2.2 8.9 Centralized Gas Lift 0.2 1.6 Frac Water 0.3 3.9 (Recycled vs Fresh) Produced Water…
  18. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 18
    Medallion Midland Basin Crude Oil System1 500 miles with 290,000 net acres dedicated to system 2 million acres either under AMI or supporting firm commitments Capacity expected to exceed 500,000 BOPD from all current delivery…
  19. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 19
    Premier Pipeline in the Right Basin Permits Issued by County Martin Howard Reagan 9% 5% 11% Upton 58% (397/680) of 1Q16 Texas State permits 9% issued in the Permian Basin were in Medallions six supply counties Midland…
  20. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 20
    Infrastructure Integrated with Complete Development Plan Oil takeaway pipeline Oil gathering station Plains to Midland Oil gathering line Gas lift compression facility Oil takeaway pipeline Medallion to Colorado City…
  21. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 21
    Upper Wolfcamp Type Curves 10,000 Lateral 1,000 EUR: 1,110 MBOE (45% oil) BOE/D 100 180day cumulative: 118 MBOE (61% oil) 365day cumulative: 187 MBOE (58% oil) 10 Months Normalized production1 Type curve 1,000 7,500…
  22. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 22
    Middle Wolfcamp Type Curves 10,000 Lateral 1,000 EUR: 1,000 MBOE (51% oil) BOE/D 100 180day cumulative: 104 MBOE (62% oil) 365day cumulative: 165 MBOE (59% oil) 10 Normalized production1 Months Type curve 1,000 7,500…
  23. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 23
    Oil & Natural Gas Hedges Open Positions as of May 4, 2016 1Q16 4Q16 2017 2018 Total OIL1 Puts: Hedged volume (Bbls) 1,572,000 1,049,375 1,049,375 3,670,750 Weighted average price (/Bbl) 43.09 60.00 60.00 52.76 Swaps: Hedged volume…
  24. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 24
    SecondQuarter 2016 Guidance 2Q2016 Production (MMBOE).... 3.8 4.1 Product % of total production: Crude oil... 45% 47% Natural gas liquids.... 26% 27% Natural gas.. 27% 28% Price Realizations (prehedge): Crude oil (% of…
  25. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 25
    2015 & 2016 (YTD) Actuals 1Q15 2Q15 3Q15 4Q15 FY15 1Q16 Production Production (3Stream) BOE/D 47,487 46,532 44,820 40,368 44,782 46,202 % oil 51% 46% 45% 45% 47% 48% Realized Pricing 3Stream Prices Gas (/Mcf) 2.14 1.82…
  26. 1Q 2016 Financial and Operating Results – Laredo Petroleum Inc. – slide 26
    2014 TwoStream to ThreeStream Conversions 1Q14 2Q14 3Q14 4Q14 FY14 Production (2Stream) BOE/D 27,041 28,653 32,970 39,722 32,134 Production % oil 58% 58% 59% 60% 59% Production (3Stream) BOE/D 32,358 33,829 38,798 46,379…

From the store

Browse maps, data & reports in the Shale Experts store