Strong Balance Sheet Forecast at or below 1.0x net debt/cash flow for 2017 Strong growth funded by cash flow Forecast 18% production growth through 2017 Deep inventory of future growth opportunities 480 economic drilling…
TSX Listed GXE Shares Outstanding 193 million Average Daily Trading Q2 253k Insider Ownership 15% basic Current Production Estimate 6,700 boe/d, 86% Liquids Estimated 2017 Q4 Production 7,300 boe/d 2017 Q2 Net Debt 43.4 million 2017 Q2…
Low debt provides strategic optionality and insurance against future price volatility Current prices support the strategy to exit the year at or under 1.0x net debt to cash flow 2017 Estimate of approximately 1.0x net debt to…
Gear is forecasting a return to competitive value growth per debt adjusted share through 2017 at current oil prices Cash flow metric is the non-GAAP cash flow from operations Share count is debt adjusted in 2017 using an estimated…
Future growth focused on horizontal development of low risk, low cost, heavy and light oil resources 480 Management identified drilling locations 153 booked in P+P by GLJ (32%), P+P RLI = 9.7 yrs Heavy Oil 4,200 boe/d 74 booked in TP…
Development capital efficiencies of 13,500 to 15,000/boe/d forecasted from 2015 through 2017 a 60% improvement over the previous four year average 2014 2015 2016 2017 Estimate 35,900/boe/d 13,500/boe/d 24,000/boe/d 15,000/boe/d…
Oil Futures for 2017 (Aug 2, 2017) WTI US 49.50/bbl WTI CAD 64.25/bbl Resulting in 2017 estimates of: 41.50/boe Revenue Based on 63% heavy oil, 23% light/medium oil & NGLs and 14% gas 17.50/boe Cash Flow (after hedging) Based…
2017 total costs are forecast to be down 15/boe, 40% lower than 2013 9
Gears capital budget targets production growth of approximately 18% Q4 2017 versus Q4 2016 while maintaining low net debt at current prices 2017 Guidance 2017 H1 Actual 2016 Actual Production 6,600 boe/d 6,210 boe/d 5,152 boe/d…
Future estimated cash flow provides a solid foundation and significant leverage to oil price improvement 24% increase in estimated cash flow 10% price increase US38/bbl WTI estimated price to maintain 7,000 boe/d…
Heavy Oil Program (30 wells) Wildmere Area, Alberta 5 Cummings multi-lateral horizontals (quads and triples) 7 General Petroleum (GP) multi-lateral horizontals (duals) Paradise Hill Area, Saskatchewan 15 McLaren horizontal wells…
Multi-lateral unlined horizontal drilling has been very successful in the Cummings and GP 2017 plan is to drill 12 wells; 5 into the Cummings and 7 into the General Petroleum (GP). 5 drilled to date Approximately 60 multi-lateral wells…
Cummings Risked Estimates Capital 900k IP 365 72 bopd Reserves 66 mbbls Economics ROR (BT) Payout US50 WTI 55% 1.4 years The 2017 Cummings program includes 2 full section quads 2 shorter quads and 1 triple GP Risked Estimates…
Horizontal McLaren drilling has been very successful in the Paradise area. Current 2017 plan is to drill 15 wells, with 11 drilled to date and only 2 of those on production in Q2 Approximately 100 horizontal wells in inventory with…
Gear has established a potential new core area in southern Saskatchewan with a 16 section foothold. Historical drilling in the area has been successful in producing heavy oil from the Success and the Bakken formations 12-10 The 2017…
The 2017 plan is to drill 4 full section Basal Belly River horizontal light oil wells in Wilson Creek. One more well remains to be drilled in 2017. Gear has 5 full section wells currently producing at approximately 3 times the rates…
Risk management strategy is to target 50% protection for 2017 and 2018 (net of royalties) Gear also has the WCS differential hedged at CAD21.40/bbl for 400bbl/d in 2017 18
Executive Ingram Gillmore VP Engineering - ARC Energy Trust, Talisman President & CEO, Director Yvan Chretien VP Land - ARC Energy Trust, CNRL VP Land Bryan Dozzi Engineering Manager - Gear Energy, Rock Energy VP Engineering David Hwang…
Analysts Altacorp Thomas Matthews Beacon Securities Lyndon Dunkley Canaccord Genuity Sam Roach Cormark Garett Ursu GMP FirstEnergy Bob Fitzmartyn Haywood Christopher Jones National Bank Brian Milne Peters & Co Dale Lewko 20
Price forecast of US50 flat WTI with 0.80 CAD/US foreign exchange, a heavy oil differential of 30% off WTI with an additional heavy oil quality discount of CAD5.50, and a light oil realized price estimate of WTI minus CAD6.00…
Loading...
