Bank of America Merrill Lynch 2018 Energy Credit Conference June 2018
Concho Resources Strong Track Record of Creating Profitable Growth The Permian Basin Competitive Advantages The Permian Basin: Our home for 30+ years Execution strength & Home-field advantage with HQ in Midland, Texas scale Superior…
Conchos Proven Strategy Yields Unique Advantages People, Assets, Returns and Balance Sheet Execution Strength Depth of High- Superior Capital Financial Strength & Scale Quality Inventory Efficiency Most active driller Prolific…
Delivering Long-Term Differentiated Performance Leading Permian Portfolio Positioned to Win Enhancing our Financial Strength Running our Playbook Long-Term Debt Profile (mm) 3,350 Reduced 600 Leverage 7.0% due 2021 2,722 Superior…
2018 Is Off to a Great Start Concho Delivered Record Performance in 1Q18 1Q18 Highlights High-Margin Growth Production (MBoepd) Delivering Strong, Consistent Execution Oil Gas Added a record 14 MBopd quarter-over-quarter, driving an…
Prioritizing Capital Discipline Differentiated Production Growth & Free Cash Flow 228 80.00 Operating Cash Flow vs. D&C Capital (mm) High-Quality Assets & 211 Disciplined 70.00 Reinvestment Drives 193 Cumulative free 185 Free…
Portfolio Management Executing on Efficient Growth While Building for the Future Leadership Position in the Permian Basin New Mexico Shelf Consolidating the Permian Entered into agreement to acquire RSPP Enhancing Core Positions…
2018 Capital Program Excludes RSPP 2018 Capital Program & Activity Overview CXO Long-Term Outlook Targeting midpoint of 1.9bn - 2.1bn capital program guidance1 2017-2020 93% for D&C activity and 7% for other 20% total production…
Focus on Financial Strength Fortified Balance Sheet Provides Significant Flexibility Long-Term Debt Profile (mm) Key Highlights 3,350 Investment grade credit ratings Reduced total debt by 950mm since 2Q16 600 7.0% due Lowered…
Announced Acquisition of RSP Permian Creating the Largest Unconventional Shale Producer in the Permian Basin Transaction Overview Combined Position 640,000 Net Acres Transaction Timing Acquiring RSPP in All-Stock Transaction for 9.5bn,…
Increased Scale Creates Long-Term Competitive Advantage Solidified and Strengthened Leading Position in the Permian Basin Permian Rig Count 31 24 23 19 18 16 16 9 8 8 7 Market share enhances supply chain and logistics…
Northern Midland Basin Building a Super Block Executing our Consolidation Playbook has Built a Super Block in the Core of the Midland Basin October 2016 July 2017 February 2018 March 2018 CXO Acreage CXO Acreage CXO Acreage CXO…
Operational Value Levers Expands Value Proposition for All Shareholders Key Value Levers Single-Zone Development Comparison Long-lateral development Large-scale, multi-zone Small-Scale Development Large-Scale, Long-Lateral…
Key Investment Thesis Conchos Value Proposition Executing Clear, Disciplined Capital Industry-Leading Scale Cycle-Tested Strategy Allocation and Execution Hire the best Capital spending on Drive productivity gains high-return…
Appendix
Reconciliation of Net Income to Adjusted Net Income and Adjusted Earnings per Share (Unaudited) The Companys presentation of adjusted net income and adjusted earnings per share that exclude the effect of certain items are non-GAAP…
Reconciliation of Net Income to EBITDAX (Unaudited) EBITDAX (as defined below) is presented herein and reconciled from the GAAP measure of net income because of its wide acceptance by the investment community as a financial indicator.…
Costs Incurred (Unaudited) The following table summarizes costs incurred for oil and natural gas producing activities for the periods indicated: Three Months Ended March 31, December 31, September 30, June 30, March 31, December 31,…
Hedge Position The table below provides data associated with the Companys derivatives at May 1, 2018, for the periods indicated: REMAINING 2018 OIL HEDGES 2018 2019 2020 Second Third Fourth Total Total Total 112 MBopd Oil Price…
2018 Operational & Financial Outlook Excludes RSPP 2018 2Q18 Production Guidance Guidance Production Total production growth 18% - 20% 226 to 230 MBoepd Crude oil production growth 20% Price realizations, excluding commodity…
Loading...
