BAML 2017 GLOBAL ENERGY CONFERENCE November 16, 2017
PDC Energy Strategic Overview Strategic Overview Top-Tier Growth Profile 35% 2,600 3-year Production CAGR Drilling Inventory Capital Efficient Drilling (2016-2019) Technical…
PDC Energy Premier Assets Provide Top-Tier Growth 3.3B Core Wattenberg 95,500 net acres 1,800 identified locations(2) Market Cap(1) 305 MMBoe proved reserves 4.4B Enterprise Value(1) Utica Shale Delaware Basin 60,000…
PDC Energy Track Record of Delivering Value Operating Costs (/Boe) Gross Margin(2) Oil Production (MMBbls) LOE per BOE TG&P Production Taxes G&A 100% Gross Margin NYMEX Oil 100 25 15 80% 80 20 NYMEX Oil (/Bbl) Gross Margin (%)…
PDC Energy Third Quarter 2017 Results 92,500 2017 Third Quarter Highlights Continued execution in Wattenberg drives strong results (Boe/d) 77,580 Boe/d 3Q17 production 47% 46 gross operated spuds (18 SRL; 20 MRL; 8 XRL) 39…
PDC Energy Capital Efficiency in a 50 and 3 World 50/Bbl and 3/Mcf NYMEX Prices Held Flat (Does Not Reflect Effect of Any Securities Offering or Wattenberg Transaction Announced on 9/25/17) 2017 - 2019: Mid-Year 50/3 Case vs. 80…
PDC Energy 2017 Production & Capital Guidance (Does Not Reflect Potential Effect of Wattenberg Transactions Announced on 9/25/17) Wattenberg 2017e Production Mix 2017e Production (MMBoe) Currently operating 3 rigs 30% annual…
PDC Energy 2017 Capital Investment Program and Financial Guidance (Does Not Reflect Potential Effect of Wattenberg Transactions Announced on 9/25/17) Capital Investment Details 2017e Capital Investments 2017e Capital Investment…
Robust Hedge Position Insulates Capital Program Hedges in Place as of 9/30/17 Plus Hedges Entered Into prior to November 3, 2017 CRUDE OIL NATURAL GAS 4Q17 2018 2019 4Q17 2018 2019 Volumes (MMBbls) Volumes (BBtu) Collar 0.6 1.5 -…
PDC Energy Balance Sheet Strength and Liquidity As of September 30, 2017 (Does Not Reflect Effect of Any Securities Offering or Wattenberg Transaction Announced on 9/25/17) Leverage and Liquidity 1,000 836 million liquidity Debt…
ASSET OVERVIEW
Core Wattenberg Asset Overview (Other Than Map, Does Not Reflect Potential Effect of Wattenberg Transactions Announced on 9/25/17) Post-Closings Acreage Map 2017e TIL Breakdown (2) Net Acres SRL 30% XRL 47% Acreage HBP…
Wattenberg Transactions Consolidate Position Increase XRL Development Potential Acreage Trades Closed in November and Bolt-On Acquisition Expected to Close in December 2017 Consolidated acreage positions favorable for XRL development…
Core Wattenberg Drilling Efficiencies Continued improvement in spud-to-spud drill times 2017 Analyst Day 2Q17 Earnings Call SRL = 6 days All numbers approximate SRL MRL XRL SRL MRL XRL MRL = 8 days Lateral Length 4,200 6,900 9,500…
Core Wattenberg Midstream Overview Additional Capacity Enables Future Growth Objectives NATURAL GAS Post-Closings Acreage Map(1) Multiple midstream providers (DCP and Aka-APC) DCP expected to gather and process 72% of 2017e gas…
Delaware Basin Asset Overview & Planned Activity 285 million D&C budget Spud 24 wells 15 spuds in Eastern Net Acres(1) 7 spuds in Central 2 spuds in Western TIL 18 wells including 8 XRLs 35 million midstream infrastructure Add…
Delaware Basin Gaining Operational Momentum Positive well results and steady development ramp lead to strong quarterly production growth Delaware Production (Boe/d) 15,000 Continued improvement in completion operations 12,845…
Delaware Basin Prolific Eastern Area Wolfcamp A Well Results Eastern Area Wolfcamp A Eastern Area Wolfcamp A 500,000 500,000 Keyhole PDC Average (8 wells) Gross Cumulative 2-Phase Production per 5,000' (Boe) Sugarloaf Type…
Delaware Basin Initial Eastern Area Wolfcamp B Well Results Early Data on Limited Sample Size Eastern Area Wolfcamp B Elkhead & Kenosha Daily Performance Comparison 250,000 10000 Triangle Hermit 1000 Elkhead Kenosha Elkhead…
Delaware Basin Recent Central Area Wells Exceeding Type Curve Central Area Well Highlights Central Area Wolfcamp A/B 300,000 Liam State cumulative production on trend to outperform 1,050 MBoe EUR normalized type curve Gross…
Marketing & Midstream Gas Throughput and Processing Overview Gas Delivered to Both El Paso and Waha Markets Added 40,000 MMBtu/d firm transportation basin to Waha through 2020 3rd Party Midstream Western Central Central Delivery…
Long-Term Delaware Midstream Vision Roadmap to Incremental Value Creation Key Objectives Create separate fee structures for in-field midstream services Build out PDC midstream assets & infrastructure to support development plans…
PDC Energy Key Takeaways Strategic Overview Top-Tier Growth Profile 35% 2,600 3-year Production CAGR Drilling Inventory Capital Efficient Drilling (2016-2019) Technical…
Investor Relations Mike Edwards, Senior Director Investor Relations michael.edwardspdce.com Kyle Sourk, Manager Investor Relations kyle.sourkpdce.com Corporate Headquarters PDC Energy, Inc. 1775 Sherman Street Suite 3000 Denver,…
APPENDIX
Kersey Area Growing Oil Volumes Based on Previous Analyst Day Type Curves Oil volumes per well continue to grow Oil Volume per Well(1) 350 GOR typically stabilizes after 18-36 months (MBbls) 305 MRL and XRL wells represent recent…
Reconciliation of Non-U.S. GAAP Financial Measures (1) Other includes the impact of provisions for the uncollectible notes receivable in the three and six months ended June 30, 2017, and the six months ended June 30, 2016. Adjusted…
Reconciliation of Non-U.S. GAAP Financial Measures Adjusted Net Income (Loss) Three Months Ended Nine Months Ended September 30, September 30, 2017 2016 2017 2016 Adjusted net loss: Net loss (292.5) (23.3) (205.1) (190.3) (Gain)…
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