Skip to main content The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. Investor Presentation | Shale Experts
Loading...
Pm

The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd.

Advantage Oil & Gas Ltd. · Aug 14, 2017 · 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. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 1
    Strong Glacier Operating Results Generate Surplus Cash & Strengthens Balance Sheet to 0.7x D/CF as of June 30, 2017. Delineation Drilling Commenced on Undeveloped Montney Lands Enercom Presentation TSX / NYSE: AAV August 14, 2017…
  2. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 2
    ADVANTAGE AT A GLANCE TSX, NYSE: AAV Shares Outstanding (basic) 185.9 million Annual Production - 2017 Budget 16% Production Growth 236 mmcfe/d (39,330 boe/d) Current Market Capitalization 1.6 billion As of June 30, 2017: Bank Debt…
  3. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 3
    OUR STRATEGY LONG TERM PROFITABLE & SUSTAINABLE GROWTH (2) 0.94/mcfe Total Corp Cash Cost 0.25/mcfe Operating Costs Strong Balance 180 net Sections Total, Sheet 26 Sections added YTD 2017 0.7x D/CF Q2 2017 (see page 16) Hedging &…
  4. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 4
    LAST 3 YEARS - A SOLID TRACK RECORD OF VALUE GENERATION 2016 RETURN ON CAPITAL /mcfe Natural gas and liquids sales price including realized hedging gains 2.89 Total Corporate Cash Costs (0.66)(1) Total Capital Costs, PDP F&D…
  5. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 5
    2017 BUDGET INCREASED 29 MILLION FOR LAND ACQUISITIONS AND DELINEATION DRILLING AT PROGRESS, VALHALLA AND WEMBLEY ( million) 29 million increase 2017 Highlights (1) 234 Additional Delineation, 22 16% Annual Production Growth Land…
  6. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 6
    PRODUCTIVITY & INFRASTRUCTURE SUPPORTING 2017 THROUGH 2020 GROWTH 17 wells Uncompleted Standing Wells(1) contribute to 2018 growth 150 mmcf/d Plant Expansion to 400 mmcf/d in progress 180 mmcf/d Additional Sales Gas Pipeline Capacity,…
  7. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 7
    NEXT 3 YEARS - 2017 THROUGH 2019 DEVELOPMENT PLAN 2017 thru 2019 Highlights(1) 56% Production Growth (2017 thru 2019) 654 Million Capital Investment Post 2019 720 Million Cash Flow 400 mmcfe/d Average 3yr AECO Cdn 2.80/mcf (2.65/GJ)…
  8. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 8
    ADVANTAGE GROWTH PLAN 2017 THROUGH 2019(1) Annual Average Production 16% Capital Spending Cumulative 654 million CAGR (2) (mmcfe/d) ( millions) 2017-2019 16% 234 316 15% 210 210 16% 272 236 203 128 2016 2017 Budget 2018E…
  9. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 9
    SURPLUS CASH FLOW REDUCES TOTAL DEBT TO CASH FLOW Cumulative Cash Surplus(1) Year-end Total Debt to Cash Flow(1) Ratio 1.0 1.0 66 million surplus 80 2017-2019 0.7 39 25 0.3 2016 2017E 2018E 2019E 2016 2017E 2018E…
  10. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 10
    HEDGING, TRANSPORTATION AND MARKETS Market Diversification Alliance Connection Proceeding 57% AECO exposure 2017 TCPL Henry Hub Basis: 2018 - 25,000 mcf/d U.S. 0.85/mcf Alliance 2019 - 50,000 mcf/d U.S. 0.88/mcf Proceeding with…
  11. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 11
    DEVELOPMENT PLAN IS RELATIVELY RESILIENT TO NATURAL GAS PRICE VOLATILITY & RETAINS UPSIDE TORQUE Total Debt to Trailing Cash Flow Sensitivity (1) 1.5 1.4 1.1 1.1 1.0 1.0 0.9 0.7 0.7 0.5 0.3 - 2017 2018 2019 AECO 3.00/mcf…
  12. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 12
    MAINTENANCE CAPITAL AND SURPLUS CASH FLOW SENSITIVITY ILLUSTRATIVE AT 325 MMCFE/D 3 Year Cumulative 3 Year Cumulative (NO HEDGING INCLUDED) Surplus Surplus 525 million 690 million 360 Million 305 Million Surplus Cash Flow Above…
  13. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 13
    ATTRACTIVE NETBACKS & RECYCLE RATIOS ARE ACHIEVABLE WITHOUT HEDGING Select Montney Natural Gas Producers Total Cost Structure Q4 2016 NO HEDGING INCLUDED /Mcfe 4.50 Illustrative Illustrative AECO Cdn AECO Cdn AAV - 0.83/mcfe…
  14. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 14
    HIGH QUALITY MONTNEY ASSETS, OPERATIONAL EXCELLENCE 14
  15. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 15
    GLACIER SUPPORTS GROWTH THROUGH NEXT DECADE, NEW MONTNEY LANDS PROVIDES ADDITIONAL UPSIDE Progress (30 sections) 100% owned Glacier Gas Glacier Plant 90 net sections Valhalla (32 sections) Successfully assembled 90 net…
  16. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 16
    INDUSTRY ACTIVITY ADJACENT TO PROGRESS, WEMBLEY AND VALHALLA LAND BLOCKS ADVANTAGE TO DRILL DELINEATION WELLS H2 2017 Pipestone/Wembley Licensed Locations Progress Valhalla Pipestone Development Drill 12-18 Months (28…
  17. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 17
    ONLY 7% OF GLACIERS FUTURE WELL INVENTORY REQUIRED FOR 2017 THRU 2019 DEVELOPMENT Only 83 of our 1,100 Future Drill Locations at Glacier is required to achieve growth to 316 mmcfe/d average 2019 Only 307 undeveloped locations booked…
  18. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 18
    ADVANTAGES TECHNICAL EXPERTISE & KNOWLEDGE GAINS WILL FURTHER OPTIMIZE FUTURE DEVELOPMENT GLACIER 8 WELL PAD TESTED 120 MMCF/D(1) 6 longer lateral LM wells on-prod (still restricted) are significantly outperforming average well type…
  19. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 19
    UPPER & LOWER MONTNEY WELL PRODUCTION CONTINUES TO IMPROVE New wells are normally restricted to Production Average (29 wells) 10 mmcf/d for frac sand flowback control during initial 6 months Budget Type Curve (IP30 7.5 mmcf/d & 7.5…
  20. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 20
    GLACIER MIDDLE MONTNEY WELLS EXCEEDING AVERAGE BUDGET TYPE CURVE Wells are exceeding current type curves Ongoing delineation identifies sweet spots within different Middle Montney layers. Frac designs are tailored to further optimize…
  21. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 21
    ROBUST GLACIER MONTNEY WELL ECONOMICS Upper & Lower Montney Middle Montney (Dry Gas) (50 bbls/mmcf (1) C3+, 45% C5+) ROR% HC 108% HC 106% FC 94% FC 93% HC 76% HC 75% FC 67% FC 65% Type Curve Higher IP Type Curve Higher IP &…
  22. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 22
    GROWTH BEYOND 400 MMCF/D CAN BE ACCOMMODATED ON EXISTING PLANT SITE 100% Owned Glacier Gas Plant Positioned for Production Ramp-up Advantage Gas Plant Alliance Sales Gas Line Room for Additional Expansion To be expanded from Beyond…
  23. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 23
    CANADIAN NATURAL GAS TRANSPORTATION & MARKETS - AVAILABLE & GROWING TCPL Oil Sands, Transportation & Markets N.Montney Power Gen +1.4 bcf/d Increasing take-away options N.A. Natural gas demand growth 9 Enbridge TCPL Mainline +1.4 Bcf/d…
  24. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 24
    MONTNEY IS A COMPETITIVE LOW COST SUPPLY SOURCE WITH ADVANTAGE LEADING THE WAY Select Montney and Marcellus Natural Gas Producers Cash Costs 2018 Estimates 2.85 Cdn /Mcfe 2.19 0.99 (1) (2) (3) AAV Montney Marcellus…
  25. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 25
    Clear Vision for Growth Financial Strength Proven Expertise
  26. The Enercom Oil and Gas Conference – Advantage Oil & Gas Ltd. – slide 26
    ADVANTAGE CONTACT INFORMATION Investor Relations 1.866.393.0393 iradvantageog.com www.advantageog.com Listed on NYSE and TSX: AAV Advantage Oil & Gas Ltd. Suite 300, 440 2nd Avenue SW Calgary, Alberta T2P 5E9 Main:…

From the store

Browse maps, data & reports in the Shale Experts store