Corporate Snapshot & Select Guidance Q2 2017 average production 64,636 boe/d Estimated 2017 annual average production 67,000 68,000 boe/d % oil and NGL 21% Estimated Q4 2017 annual average production 79,000 80,000 boe/d % oil and…
Q2 2017 HIGHLIGHTS Record quarterly average production of 64,636 boe/d, a 64% increase from 39,513 boe/d in Q2 2016 Cash flow of 88.6 million (0.33/basic common share), a 568% increase from 13.3 million (0.09/basic common share) in…
INVESTMENT HIGHLIGHTS Focused assets in the Peace River Arch Area of Alberta on the Montney/Doig Resource Play Essentially 100% working interest; 99% of production is operated Large, contiguous undeveloped land base with an average…
KEYS TO SUCCESS Executives with proven track record, continuity since inception and significant ownership Management Highly experienced Management Team with excellent technical knowledge and a long history with the company 338 (332.7…
PRODUCTION HISTORY 80,000 67,000 70,000 68,000 Average Production (boe/d) 60,000 Compound annual growth of 30% per year since 2005 49,236 50,000 38,950 40,000 33,734 30,000 25,829 22,802 20,000 18,136 13,079…
CORPORATE RESERVES 1,000,000 PDP TP 880 MMboe 900,000 2P 800,000 On a per share basis PDP, 1P and 2P 700,000 reserves have increased at a compound annual growth rate of 14%, 22% and 23% Reserves (Mboe)(1) 600,000 per year…
CORPORATE NPV10 (BT) 7,000 PDP TP 5.8 Billion 6,000 2P PDP and 2P NPV10 (BT) increased by 5,000 66% and 50% year over year, respectively 4.1 Billion NPV10 (million) 4,000 3,000 1.9 Billion 2,000 1,000 0…
PROVEN TRACK RECORD AS A LOW COST PRODUCER 5 Year Profitability Breakdown: 2012 2013 2014 2015 2016 Average Average AECO (CAD/GJ) 2.27 2.99 4.27 2.55 2.05 2.83 Average WTI (USD/bbl) 94.21 97.97 92.99 48.80 43.32 75.46 P&NG Revenue…
2017 CAPITAL PROGRAM 2017 CAPITAL PROGRAM(1) Difference in Gross Wells Net Wells Capital (millions)(1) Capital (millions) (1) Drilling & Development New Old New Old New Old Pouce Coupe Montney D1 HZ Gas Wells 26 22 26.0 22.0 113.9…
2017 CAPITAL PROGRAM Given our completed and planned dispositions for 2017, our board of directors has approved an increase to our capital expenditure budget for 2017 to approximately 404 million, up from 355 million that was…
BORROWING BASE DETAILS Birchcliff has extendible revolving credit facilities in the aggregate principal amount of 950 million, which are comprised of an extendible revolving syndicated term credit facility of 900 million and an…
MONTNEY/DOIG RESOURCE PLAY A Significant Position in a World Class Play
MONTNEY/DOIG - A WORLD CLASS RESOURCE PLAY Resource density. Stacked resource up to 300 metres thick. Large areal extent. Extends over 50,000 square miles. Exceptional fracability. Low clay Birchcliff Montney/Doig content, low Poissons…
MONTNEY/DOIG MINEROLOGY LEADS TO EXCELLENT FRACABILITY The Montney/Doig Resource Play rock type is composed of a Some other Resource Plays have a high percentage of clays high percentage of hard minerals, and a low percentage of and…
BIRCHCLIFF MONTNEY/DOIG The Gordondale Acquisition adds a fourth commercial development interval in the Montney D2 Large contiguous land base with 441 sections prospective for the Montney/Doig as at December 31, 2016 Birchcliff…
PROXIMAL TO INFRASTRUCTURE WITH LONG TERM EXPOSURE TO LNG EXPORT Montney/Doig Birchcliff Pouce Coupe Production Montney/Doig & PC Gas Plant Owned Infrastructure PC Gas Plant Nova Pipeline System North American Market…
POUCE COUPE OVERVIEW Proven asset in development phase Wells show high initial deliverability, low terminal decline and stable long term production Predictable results with improving rates & liquids yields 100% owned and operated…
POUCE COUPE LOWER MONTNEY (D1) PERFORMANCE VS. TYPE CURVE 7,000 6,000 Deloitte Tier 0 Type Curve IP (un-choked): 6.9 MMcf/d 5,000 IP (choked): 4.0 MMcf/d 2P Reserves: 8.2 Bcfe(1) Gas Rate (Mcf/d) 4,000 3,000…
GORDONDALE ACQUISITION HIGHLIGHTS Completed the Gordondale Acquisition on July 28, 2016 for a purchase price of 613.5 million, after final adjustments Consolidated a sizeable and contiguous land base within Birchcliffs existing…
GORDONDALE BASE PRODUCTION HISTORY Montney D2 40,000 discovery well 2015 2014 Last well drilled in 2014 (on-stream 2015) 2013 2012 with peak production of 35,000 boe/d 35,000 2011 2010 2009 2008 and Earlier 30,000 AltaGas Deep…
GORDONDALE OVERVIEW Drilled 6 (6.0 net) Montney horizontal oil and natural gas wells in 2016 including three Montney D2 oil wells and three Montney D1 natural gas wells; early results from all 6 wells are meeting or exceeding…
GORDONDALE KEY INFRASTRUCTURE Key Natural Gas Processing Infrastructure Existing infrastructure has already AltaGas Gordondale CNRL Progress Sour Deep Cut Gas Plant Sour Shallow Cut Gas Plant supported peak production of…
ELMWORTH DEVELOPMENT Received regulatory approval for an acid gas injection well in August 2016 Second Exploration Preliminary planning underway for a Horizontal 100% owned and operated 40 MMcf/d natural gas processing plant;…
CONCEPTUAL MONTNEY/DOIG FIELD DEVELOPMENT MODEL STATUS OF MODEL CALLIBRATION AND DERISKING FACIES & PETROPHYSICAL GEOLOGICAL, GEOPHYSICAL, GEOMECHANCAL HYDRAULIC FRAC & MICRO SEIS. RESERVOIR MODEL OPTIMIZED DCC & PRODUCTION BASAL…
POUCE COUPE DRILLING PERFORMANCE Drill Cost Efficiency Yearly Average Drill Speed ( Spud Rig Release) 700 300 650 250 600 550 mD/Day /mD 200 500 450 150 400 35% decrease in /mD from 2007 Drilling twice as fast as…
POUCE COUPE LOWER MONTNEY (D1) CORE AREA COMPLETION EVOLUTION Completion Cost per Stage vs. Number of Stages Proppant Intensity 300 30 1.00 200 Completion Cost Per Stage (000's) Average Proppant Intensity (t/m) Average Number…
ENGINEERED COMPLETIONS FOR MONTNEY/DOIG FULL FIELD DEVELOPMENT Industry Range Birchcliff Best Practices Oil Birchcliff Best Practices Gas Liner type Openhole or Cemented Openhole Openhole Inter-well spacing 100 400 m (300 1,200 ft)…
TERMINAL DECLINE CHANGES Due to strong historical performance from both Birchcliff and industry Montney/Doig wells, Deloitte has reduced their forecast TP and 2P terminal declines to 11% and 9%, respectively Deloittes Tier 0 type…
MONTNEY NORMALIZED VINTAGE PLOT Historical Pouce Coupe Montney D1 Performance(1) 8,000 7,000 2016 Engineered completions and improved drill placement have led 6,000 to substantial year over year 2015 increases in well results…
PC GAS PLANT The Engine for Future Growth
Production Processed through the PC Gas 2012 2013 2014 2015 2016 H1 2017 Plant Average daily production, net to Birchcliff: Natural gas (Mcf) 59,327 91,666 132,808 163,641 168,444 169,040 Oil & NGLs (bbls) 204 527 1,065 1,287 960…
Corporate Operating Costs vs. % of Natural Gas Sales Volumes Processed at the PC Gas Plant KEY STRATEGIC 10.00 100% Corporate Operating Cost (/boe) Volume Through PC Gas Plant ADVANTAGES 8.00 6.00 80% 60% 100% owned…
PC GAS PLANT HIGHLIGHTS Current processing capacity of 180 MMcf/d Expect Phase V expansion will be completed in early September 2017, adding 80 MMcf/d bringing total processing capacity to 260 MMcf/d 57% 43% Expect Phase VI…
BUILDING ON OUR PAST Over 10 Years of Success
Record annual average Birchcliffs average daily production was 49,236 boe/d in production of 49,236 2016 compared to 2,793 boe/d in 2005, a compounded boe/d in 2016 annual growth rate of 30% per year over that span. 2,793 boe/d 1…
Production Growth 60,000 300 boe/d/million wtd. avg. shares 50,000 250 Birchcliff has increased production at a 40,000 200 compound annual growth rate of boe/d 30,000 150 20,000 100 30% since 2005. 10,000 50 0 0…
Reserves Growth 1000 4,000 800 3,200 Birchcliff has added significant low cost reserves boe/1,000shares 600 2,400 since commencing operations in 2005. On a per MMboe 400 1,600 common share basis, PDP, 1P and 200 800 2P…
APPENDIX
2016 MONTNEY/DOIG RESOURCE ASSESSMENT Reserves and Resource Volumes (Bcfe)(1)(2) Resource Class Raw/Sales Low Estimate Case Best Estimate Case High Estimate Case Cumulative Production(3) Sales 696.7 696.7 696.7 Remaining…
2016 YEAR END MONTNEY/DOIG 900,000 RESERVES Drilled 20 HZ M/D wells and acquired 87 (82.5 net) HZ M/D wells 295 (289.7 net) Montney/Doig horizontal 800,000 Drilled 29 HZ wells drilled as of Dec 31, 2016 including M/D wells 87…
SERIES A PERPETUAL PREFERRED SHARES Preferred Share Details Series A Number of Shares 2 million Issue Date August 8, 2012 TSX Trading Symbol BIR.PR.A Issue / Par Price 25.00 per share Quarterly Dividend 0.5000 per share Yield at…
SERIES C PREFERRED SHARES Preferred Share Details Series C Number of Shares 2 million Issue Date June 14, 2013 TSX Trading Symbol BIR.PR.C Issue / Par Price 25.00 per share Quarterly Dividend 0.4375 per share Yield at Issue 7.0%…
EXECUTIVE OFFICERS Mr. Tonken is the President, Chief Executive Officer and Chairman of the Board of Birchcliff. He has more than 36 years of A. Jeffery experience in the oil and natural gas industry and is one of the Corporations…
EXECUTIVE OFFICERS Mr. Carlsen is the Vice-President, Engineering of Birchcliff and is a Professional Engineer. He previously served as Asset Christopher A. Team Lead and Senior Exploitation Engineer with Birchcliff. Mr. Carlsen is a…
BOARD OF DIRECTORS A. Jeffery Tonken See Mr. Tonkens biography under Executive Officers. President, CEO and Chairman of the Board Mr. Shaw is a director of Birchcliff and has more than 29 years of experience in the oil and natural…
THANK YOU TEAM BIRCHCLIFF Jeffrey Akeroyd, Bradley Alexander, Karen Allen, Laura Armstrong, Camille Ashton, Rainer Augsten, Gates Aurigemma, Bryce Baloun, Alan Basnett, Angela Belbeck, Charmaine Belley, Tyrus Bender, Tim Berg, Perry…
Loading...
