Skip to main content 2017 JP Morgan Energy Equity Conference – Silverbow Resources Investor Presentation | Shale Experts
Loading...
Pm

2017 JP Morgan Energy Equity Conference – Silverbow Resources

Silverbow Resources · Jun 27, 2017 · 41 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. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 1
    SilverBow Resources J.P. Morgan 2017 Energy Equity Conference June 2017
  2. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 2
    Company Overview NYSE Symbol: SBOW Market Cap(1): 333 million Enterprise Value(1): 516 million Strip PV-10 Value(2): 643 million 1Q17 Production(3): 136 MMcfe/d Production Mix(4): 83% Gas 2016 Proved Reserves: 744 Bcfe % Proved…
  3. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 3
    SilverBow Resources Transformation THEN ACTION NOW STATUS Diversified Portfolio Exited Louisiana and Divested Small Pure Play Eagle Ford Including Conventional Assets Non-Core Fields Rightsizing Initiatives G&A reduced 55%…
  4. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 4
    Strong Leadership Team YEARS IN EXECUTIVE TEAM INDUSTRY PREVIOUS EXPERIENCE Sean Woolverton Chief Executive Officer Former COO Samson Resources 24 Former VP at Chesapeake Also held leadership roles at Encana and Burlington Bob…
  5. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 5
    Underexploited Eagle Ford Gas Fairway 1,400 1,171 New Eagle Ford Gas Wells Per 1,200 1,087 965 1,000 818 Annum(1) 800 557 600 391 400 200 121 0 2010 2011 2012 2013 2014 2015 2016 7,000 6,062 6,000 5,446 5,669…
  6. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 6
    Top Tier Gas Well Performance 3,000,000 SilverBow Other Top 50 Wells Average Benchmarks First Six-Months Cumulative Gas Production (MCF) 2,500,000 2,000,000 Top 10% Average 1st Quartile Average 1,500,000…
  7. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 7
    Best Gas Takeaway Market in the US Sources of Demand Growth(1) +3-4 Bcf/d +7-10 Bcf/d +3 Bcf/d Increasing Demand from Petrochemical Complex, LNG Exports, and Mexico Exports (1) Source: EIA; expected demand growth from…
  8. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 8
    Portfolio Overview SilverBow has a superior Eagle Ford Uno Mas acreage position located in parts AWP of the core gas and condensate windows Artesia % Avg Net Locations(1) % Producing % 1Q17 Area Working Acres 2/28/17 Gas…
  9. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 9
    Strong Returns Across Portfolio SINGLE WELL IRR BY AREA (FLAT 3.00/50) 139% 81% 48% 47% 43% 31% 30% Fasken Artesia Oil Oro Grande Uno Mas Gas AWP Gas Fasken AWP Oil Lower EF Gas Upper EF Producing Wells 62 40 0 0 20 1…
  10. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 10
    Enhanced Completion Increases Well Productivity Newest Generation of 4 wells exceeding GENERATION 1 (15 WELLS) expectations Cumulative Gas Production (Bscf) GENERATION 2 (11 WELLS) Gen 3 GENERATION 3 (25 WELLS) Completion 3…
  11. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 11
    Culture of Continuous Cost Optimization DRILLING WELL COST (MM)(1)(2) DRILLING COST PER FOOT(1) 5.0 350 4.561 290 4.5 300 64% Decline 67% Decline 4.0 250 3.5 3.085 184 200 3.0 141 2.317 150 2.5 99 95 2.0 1.717 100 1.650 1.5…
  12. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 12
    Top Quartile on Operating Expenses TOTAL OPERATING EXPENSES 2017 1st QUARTER 3.00 2.50 2.00 Peer Group Avg: 1.64 Pre-G&A, /Mcfe 1.50 1.00 0.50 - Peer A Peer B Peer C Peer D Peer E Peer F Peer G Peer H Peer I…
  13. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 13
    Accelerated Capital Budget 2017 Capex: 190 200 million Fasken 16% 145 - 155 Mmcfe/d of average Artesia 20% Oro Grande 9% production for full year 2017 Oro Grande: 3 wells drilled and 1 completed 73% Uno Mas 5% D&C Uno Mas: 1…
  14. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 14
    Financial Overview KEY HIGHLIGHTS NYSE Symbol SBOW Share Price(1) 29.05 Credit facility only debt 600 million commitment Shares Outstanding 11.479 Equity Market Capitalization 333.5 330 million borrowing base Pricing at L…
  15. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 15
    Hedging Position(1) SilverBow actively hedges to protect project returns and support planned capital expenditures Bias towards swaps and collars 2017 weighted average natural gas and crude oil hedges of 3.05 and 48.12,…
  16. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 16
    Why Invest in SilverBow Resources Pure Play Eagle Ford Operator with Premier Record of Drilling Gas Wells Best Gas Takeaway Market in USA Restructured Balance Sheet, Cost Structure, and Midstream Contracts Positions as Low Cost…
  17. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 17
    Compelling Potential Valuation Acquisitions Leasing Probable Reserves Uno Oro Mas Capital Grande Constrained PUDs 201 Current Enterprise Value: 516 million 442 SEC PV10 Strip PV10 Current Enterprise Value Value and…
  18. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 18
    Operations & Asset Overview CORPORATE PRESENTATION PAGE 19 6/26/2017
  19. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 19
    Fasken Lower Eagle Ford Overview FASKEN LOWER EAGLE FORD LEASEHOLD Net Acres: 5,197 Fasken State 12H Well Spacing: 660 Avg IP: 10.4 MMcf/d Lower EF Locations at 2/28/2017: 11 Fasken State 93H Avg IP: 7.6 MMcf/d Avg Working Interest:…
  20. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 20
    AWP Eagle Ford Gas Overview AWP EAGLE FORD GAS LEASEHOLD Net Acres: 21,102 McMullen Well Spacing: 660 Live Bracken JV EF 24H Oak Remaining Locations at 2/28/2017: 20 Avg IP: 4,771 Boe/d Bracken JV EF 23H Working Interest: 50% -…
  21. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 21
    Oro Grande Overview ORO GRANDE EAGLE FORD GAS LEASEHOLD Net Acres: 24,485 Well Spacing: 880 Locations at 2/28/2017: 112 1st Oro Grande Well Working Interest: 100% 2Q17 Net Revenue Interest: 75% LaSalle McMullen RECORD SETTING…
  22. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 22
    Financial Summary CORPORATE PRESENTATION PAGE 23 6/26/2017
  23. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 23
    Financial Strategy Preserve Financial Flexibility Maintain Strong Liquidity Position Refinanced RBL with New Syndicate of Lenders Conservative Target Leverage Persistent Focus on Driving Down Costs Continually Hedge to Protect…
  24. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 24
    Summary Terms: Revolving Credit Facility Borrower SilverBow Resources, Inc. All existing or future direct or indirect wholly-owned U.S. Guarantors subsidiaries of the Borrower Facility 330 million Borrowing Base Maturity April 2022…
  25. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 25
    Guidance ACTUAL GUIDANCE 1Q17 2Q17 FY17 Production Volumes: Oil (bbls/d) 1,624 1,150 1,200 2,175 2,325 NGL (bbls/d) 2,267 2,300 2,400 2,660 2,840 Gas (MMcf/d) 112.3 117.5 122.5 116 - 124 Total Production (MMcfe/d) 135.6 138 - 144…
  26. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 26
    Appendix CORPORATE PRESENTATION PAGE 27 6/26/2017
  27. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 27
    A Premier Eagle Ford Gas Operator Assets ASSETS Eagle Ford pure play Focus on gas & condensate fairway Consolidated & operated leaseblocks 63,103 net acres, 380 locations, 1Q17 prod 136 MMcfe/d Strategy PEOPLE Breadth & depth at…
  28. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 28
    Maintaining Safety While Driving Down Costs CORPORATE TOTAL RECORDABLE INCIDENT RATE SOUTH TEXAS LEASE OPERATING COSTS (/MCFE) 2.0 1.00 0.96 1.8 0.91 1.8 1.6 0.90 1.6 1.4 0.80 1.2 0.67 1.0 1.0 0.70 1.0 0.8 0.60 0.52 0.48 -…
  29. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 29
    Highly Experienced Board of Directors YEARS IN BOARD OF DIRECTORS INDUSTRY PREVIOUS EXPERIENCE Marc Rowland Chairman, Nominating & Strategy Committee Founder and Senior Managing Director of IOG Capital, LP Former CEO of FTS Intl. 40…
  30. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 30
    Proved Reserves Growth PROVED RESERVES GROWTH 2016 YEAR-END RESERVES HIGHLIGHTS Natural Gas Price 744 Reserve volumes increased 76% year-over-year despite drop Bcfe in SEC pricing 2.61 +76% 2015 Bankruptcy filing triggered…
  31. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 31
    Adjusted EBITDA Reconciliation ( thousands) 2016 2017 Q2(1) Q3 Q4 Q1 Net Income 810,312 394 (7,081) 17,710 Adjustments to EBITDA DD&A 16,528 13,287 9,815 9,715 Accretion of ARO 1,151 1,099 947 564 Interest, net 9,538 5,880…
  32. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 32
    Reconciliation of PV-10 to Standardized Measure Estimates of future net revenues from our proved reserves, Standardized Measure and PV-10 (PV-10 is a non-GAAP measure defined below), as of December 31, 2016 is made in accordance with…
  33. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 33
    Type Curves CORPORATE PRESENTATION PAGE 34 6/26/2017
  34. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 34
    Fasken Lower Eagle Ford Gas Single Well Economics Type Curve(1) Summary 16,000 Drilling Locations(1) 11 14,000 Target D&C (mm) 5.4 Gas Rate (Mcf/d) 12,000 NPV 10 (mm) 5.8 10,000 IRR (%) 139% 8,000 Type Well Assumptions 6,000…
  35. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 35
    Fasken Upper Eagle Ford Gas Single Well Economics Type Curve(1) Summary 15,000 Drilling Locations(1) 63 Target D&C (mm) 5.4 12,000 Gas Rate (Mcf/d) NPV 10 (mm) 2.2 IRR (%) 31% 9,000 Type Well Assumptions 6,000 Completed Lateral…
  36. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 36
    AWP South Eagle Ford Gas Single Well Economics Type Curve(1) Summary 9,000 Drilling Locations(1) 20 Target D&C (mm) 6.9 7,500 NPV 10 (mm) 5.7 IRR (%) 43% 6,000 Mcfe/d 4,500 Type Well Assumptions Completed Lateral Length (ft)…
  37. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 37
    AWP North Eagle Ford Oil Single Well Economics Type Curve(1) Summary 600 Drilling Locations(1) 42 Target D&C (mm) 5.3 500 NPV 10 (mm) 2.1 400 IRR (%) 30% BOE/D 300 Type Well Assumptions Completed Lateral Length (ft) 6,300 200…
  38. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 38
    Artesia Eagle Ford Oil Single Well Economics Type Curve(1) Summary 1,100 Drilling Locations(1) 43 1,000 Target D&C (mm) 5.5 900 800 NPV 10 (mm) 7.8 700 BOE/D IRR (%) 81% 600 500 Type Well Assumptions 400 Completed Lateral Length…
  39. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 39
    Oro Grande Eagle Ford Gas Single Well Economics Type Curve(1) Summary 15,000 Restricted Rate Drilling Locations(1) 112 Target D&C (mm) 8.8 12,000 NPV 10 (mm) 4.0 Mcfe/D IRR (%) 48% 9,000 Type Well Assumptions 6,000 Completed…
  40. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 40
    Uno Mas Eagle Ford Gas Single Well Economics Type Curve(1) Summary 15,000 Drilling Locations(1) 7 Target D&C (mm) 7.3 12,000 NPV 10 (mm) 4.9 IRR (%) 47% 9,000 MCFD Type Well Assumptions 6,000 Completed Lateral Length (ft) 7,000…
  41. 2017 JP Morgan Energy Equity Conference – Silverbow Resources – slide 41
    Corporate Information CORPORATE HEADQUARTERS SilverBow Resources, Inc. 575 North Dairy Ashford, Suite 1200 Houston, Texas 77079 (281) 874-2700 or (800) 777-2412 www.sbow.com CONTACT INFORMATION Doug Atkinson, CFA Senior Manager…

From the store

Browse maps, data & reports in the Shale Experts store