Enerplus Overview TSX, NYSE ERF Market Cap C2.7 billion Canadian Oil Waterfloods Net Debt(1) C0.4 billion Production(2): 11,900 BOE/d Enterprise Value C3.1 billion Key Messages Williston Basin Production(2): 32,240 BOE/d Top…
Production Growth Three Year Outlook Disciplined, Profitable Growth 30% total company production Annual Production Outlook MBOE/day growth through 2019(1) 10% CAGR(1) 115 70% liquids growth(1) 85% of capital allocated to crude oil…
2017 Capital Program Driving Crude Oil Production Growth Budget focused on high rate-of-return North Dakota crude oil growth Strong liquids growth entry to exit (25%) 2017 Capital Allocation Forecast Liquids Production C millions…
Margin Improvement Lower Costs and Tighter Differentials Driving Margin Expansion Strong cost focus and divestment of higher cost assets driving cost structure reductions Narrowing Bakken and Marcellus differentials supporting…
Step Change in Cash Flow Generation Structural Cost and Pricing Improvements Delivering Strong Cash Flow 2017 cash netback (before hedging) is equivalent to Q4 2014 when WTI was 70/bbl and NYMEX 4/Mcf 25 WTI 80 73.15 25/bbl…
Balance Sheet & Liquidity Position Significant Financial Strength Strong liquidity position: no significant debt maturities until 2020 Net debt reduced by 75% since 2015(1) Cash balance: 385 MM, Senior notes outstanding: 693 MM(2),…
Balance Sheet Strength Financial Position Among the Strongest In Peer Group Significant financial flexibility Enerplus is committed to maintaining a strong balance sheet Net Debt / 2017E Cash Flow(1) 10.0x 9.0x 8.0x 7.0x…
Continued Capital Efficiency Improvement Generated Strong F&D and Capital Efficiencies Consistently delivering top quartile F&D costs driven by North Dakota and the Marcellus Capital efficiencies expected to improve through 2017 80%…
Williston Basin North Dakota & Montana - Light Oil Assets Fort Berthold, ND Acreage concentrated in the core Low well density vs surrounding acreage Two operated rigs in 2017 Q2 2017 production: 28,050 BOE/d Fort Berthold…
Fort Berthold, North Dakota Bakken / Three Forks Tier 1 Acreage Position Key Details Net Acreage (operated) 65,500 acres 2P Reserves(1) 139 MMBOE Contingent Resources(2) 120 MMBOE Future Drilling Locations(3) 524 Gross (457 Net)…
Fort Berthold Efficiencies Focused on Continuous Improvement Total well cost (10MM lbs. of proppant) down 40% since 2014 Cost performance driven by efficiencies and supply chain savings Sustainable costs with 75% of 2017 North…
Enerplus Completion Evolution High Intensity Completions Driving Strong Well Results Continued focus on completions optimization Completion design guided by economic returns and capital efficiency Enerplus Well Performance Enerplus…
North Dakota Well Performance Top Quartile Well Performance Enerplus core acreage position and completion design are delivering among the best well performance in the basin Cumulative Oil Production per 1,000 Lateral Feet Barrels of…
Fort Berthold Type Curves and Well Economics Fort Berthold Type Curves Well / Economic Assumptions Barrels of oil per day Lateral length 10,000 ft. 1,800 1,600 1,200 MBO Type Curve (1,400 MBOE) Proppant loading 1,000 lbs/lateral ft 1,400…
Fort Berthold Well Density and Inventory Significant Resource Opportunity Current development plan based on 10 wells per drilling spacing unit (DSU) Well spacing and completions design tests ongoing to optimize development Maximize…
Fort Berthold Significant Running Room Low existing well density Large remaining opportunity set is well defined Gross Locations(1) Wells Drilled & Future Drilling Locations 33% of remaining locations 800 700 46% of remaining…
Industry Bakken Oil Production & Takeaway Capacity Pipeline takeaway and refining exceeds existing basin production by over 200,000 bbls/day Forecasting approximately US(3.50)/bbl differential to WTI for H2 2017 North Dakota…
Marcellus Core Acreage Position in NE Pennsylvania Key Details Net Acreage 39,000 acres 2P Reserves(1) 895 Bcf Contingent Resources(2) 837 Bcf Future Net Drilling Locations(3) 129 Net Acreage located in NE PA dry gas core…
Marcellus Well Results Continued Strong Performance Well performance continuing to track at or above type curve expectations Average Cumulative Gas Production(1)(2) Bcf 10 Lateral Lat. length Length…
Marcellus Type Curves & Well Economics Marcellus Type Curves Well / Economic Assumptions MMcf of gas per day Lateral Length 5,500 ft. 12 15 Bcf Type Curve Proppant Loading 1,600 lbs/lateral ft. 10 10 Bcf Type Curve 8 Well Cost…
Marcellus Pricing Improvement and Increasing Free Cash Flow Generation Regional natural gas prices had been reconnecting to NYMEX Delays announced in late May to Rover pipeline project weakened regional gas prices Expect pricing to…
NE Pennsylvania Pipeline Projects Significant Takeaway Expansion Planned Large slate of projects planned to further debottleneck NE PA production NE Pennsylvania Pipeline Projects 2019 MMcf/day 2018 1.0 Bcf/day 3.1 Bcf/day…
Marcellus Marketing Portfolio Marcellus Marketing Portfolio Expected Pricing Exposure(1)(2) MMcf/d Based on Q2 2017 production volumes 250 Thousands TZ6 Non-NY Gulf Coast ERF Q2 2017 Gross Marcellus Production 200 Other…
Canadian Waterflood Portfolio Large Oil in Place, Low Decline, Stable Production Key Details Discovered OOIP(1) (bbls) 0.9 billion 2P Reserves(2) (MMBOE) 51 Contingent Resources(3) (MMBOE) 34 Average Decline Rate (%) 14 ANTE CREEK…
Canadian Waterflood Portfolio Cost Structure Enhancements Supporting Strong Cash Flow Generation Cost focus, efficiencies, and portfolio optimization are driving improved cost structure Modest capital to maintain production levels,…
Why Invest in Enerplus Focused on profitable, sustainable growth Strong balance sheet High quality asset base Top quartile capital efficiencies Margin expansion Attractive valuation 28
Supplemental Information
Reducing Leverage and Abandonment Liabilities Net debt reduced 75% since YE 2015(1) Senior notes outstanding: 693 MM(2) and cash of 385 MM Divestment activity has reduced ARO by 62% since YE 2014 Debt, net of cash Asset Retirement…
2017 Guidance(1) Capital Spending C450 million Annual Average Production 84,000 86,000 BOE/d Q4 Average Production 86,000 91,000 BOE/d Annual Average Liquids Production 39,500 41,500 bbls/d Q4 Average Liquids Production 43,000 48,000…
Loading...
