Spin Transaction Update Anticipated Separation Into Two Public Companies August 7th LNGG is separating into two stand-alone, publicly traded companies: LNGG, which will initially hold 50% of Roan RVRA will hold mature low decline…
Separation Overview LNGG shareholders on record date will receive 1 share of RVRA common stock for each share of LNGG common stock Distribution of 1 share of RVRA for each share of LNGG Immediately following Spinoff Transaction…
Roans Investment Thesis Strong Offset Activity and Well Results Demonstrates Only pure play operator with large scale, contiguous acreage Asset Quality position in the oil window of the Merge/SCOOP/STACK - Second most active basin in…
Roan Financial Overview Key Metrics / Guidance 1Q18 Adjusted EBITDAX(1) (MM) 74 1Q18 Net Debt(1) (MM) 204 Current DUC count(2) 13 Current Rig Count(2) 7 YE18 Rig Count 8 2018 Estimated Production (MBoe/d) 43 46 2018 Adjusted…
Unique Investment Opportunity 1) Source: FactSet and public filings. Market data as of 7/20/2018. Publicly Traded U.S. E&P Universe filtered for companies with Enterprise Values 500mm and that trade on the NYSE or NASDAQ. 8
Roan Management Team & Initial Board Top-Tier, Handpicked Management Team with Expertise in Mid-Continent Board of Directors Mr. Maranto has 35 years of industry experience, with 21 years at EOG Matthew Bonanno Resources, where he…
Roan Investment Highlights 154,000 net acres located in the Merge, SCOOP and STACK plays in Central Oklahoma Over 110 operated horizontal wells developed as of July 2018, ranking Roan as the dominant developer and producer in the Merge…
Roans Core Business Strategy To be the best-in-class disciplined operator of unconventional resources Maximize value across Roans asset base - Applying best-in-class practices in the development of our resources based on EOG…
Introduction to the Merge Merge Overview: Merge Highlights: The main target zones in the Merge are the Woodford and Mayes (Sycamore) Merge SCOOP STACK The Woodford is between 75 and 175+ feet thick in Porosity 4% - 10% 4% - 8% 3% -…
Roans Premier Merge Acreage Position Woodford Oil Gravity Map Multiple stacked drilling targets throughout acreage position Vast majority of acreage in high-return oil window Significant thickness of Woodford with superior…
Roans Premier Merge Acreage Position Continued Woodford Oil Gravity Map Merge SCOOP STACK Total STACK Operated 206 37 12 255 Sections(1) HBPd Operated 80% 70% 90% 80% Sections Significant operational control through the…
Roans De-Risked Inventory Roan has a deep inventory to be developed Theoretical Merge Density Test(3) Merge operated gross locations(1) at different well assumptions - 12 wells per section = 2,418 gross operated locations - 16…
Key SCOOP Non-Operated Well Results Triple H 2-30-31HS (CLR) Triple H 5-30-31HS (CLR) IP-30: 3,537 Boe/d IP-30: 2,344 Boe/d Oil: 85% Oil: 88% LL / Zone: 9,900; Springer LL / Zone:10,200; Springer Triple H 3-30-31HS (CLR) Pudge 1-7-6XH…
Industry Activity Gravitating to the Merge / SCOOP Active Rigs by Operator in Merge / SCOOP(1) Merge / SCOOP Rig Activity(1) 10 8 8 7 6 4 3 3 3 2 2 2 2 2 2 1 1 1 1 1 1 0 Horizontal Drilling Permits in the Merge(2) 136…
Roans Type Curve Economics Avg. Roan 2018 Mayes Oil Well Performance(1) vs. YE17 Mayes Oil Curve(1) Avg. Roan 2018 Wdfd Oil Well Performance(1) vs. YE17 Wdfd Oil Curve(1) 200,000 Avg. 2018 Mayes wells 200,000 Avg. 2018 Woodford wells…
Operational Advancements: Targeting Geosteering Comparison Lateral targeting has improved 100% dramatically since the Roan team Roan Average 95% 90% assumed operations 80% Advantages to successful targeting 70% Optimizes drilling…
Targeting Results and Subsurface Data Advancements Advantages of Successful Targeting 3D Seismic Overview Evident in Well Results Since assuming operations, Roan has Well Treated Lateral % in Optimal significantly expanded 3D seismic…
Operational Advancements: Drill Times Drill Time Comparison: Spud to Total Depth(1) Since taking over drilling operations in January, Roan has improved program average drill 35 times by 35%+ Improvements have been 30.0 30 achieved by:…
The Roan Mid-Continent Advantage Substantially stronger Mid-Continent price realizations Mid-Continent vs Permian Regional Gas Prices(1) - Oil prices benefit from proximity to Cushing markets 0.00 - Gas takeaway solutions in the…
Roan Midstream & Marketing: Crude Crude Oil Local Takeaway and Sales Optionality Acreage is advantageously located in close Ponca City proximity to Cushing (65 miles) and several refineries - Large number of potential crude…
Roan Midstream & Marketing: Gas & NGLs Natural Gas and NGLs Current Gas Takeaway Infrastructure Acreage dedications to Blue Mountain Midstream (50%) and EnLink Midstream (50%) Similar fixed cost structure and proportional NGL…
Roan Financial Highlights Industry leading balance sheet and credit profile - LQA Leverage of <1.0x - High cash flowing production base Strong credit profile supplemented by high asset quality - Deep inventory of de-risked…
Roans Investment Thesis Investment criteria Roan Pure play operator with large acreage position in 90% of Merge acreage is in Merge oil window oil and liquids-rich windows Ample midstream availability with WTI oil pricing…
Roans Current Hedge Summary Oil Gas Period Swap Swap Swap Swap Basis Basis Volumes (weighted Volumes (weighted Volumes (weighted Hedged average ) Hedged average ) Hedged average ) (MBbls) (MMcf) (MMcf) 2018 3,962 56.70 29,854 2.94…
Non-GAAP Reconciliations Adjusted EBITDAX is a non-GAAP financial measure. Roan defines Adjusted EBITDAX as net income (loss) adjusted for interest expense, depreciation, depletion, amortization and accretion, exploration costs, non-cash…
Reconciliation of Standardized Measure of Discounted Net Cash Flows to PV-10 PV-10 PV-10 represents the present value, discounted at 10% per year, of estimated future net cash flows of reserves. Roans calculation of PV-10 herein differs…
1Q2018 Cash Margin Production Summary 1Q2018 Oil Sales (MBbls/d) 11.6 Natural Gas Sales (MMcf/d) 98.7 NGLs Sales (MBbls/d) 9.7 Total (MBoe/d)(1) 37.7 Cash Margin Summary (in thousands) 1Q2018 / Boe(1) Oil, Natural Gas and…
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