Vision 20/20 Transforming Our Business MEG IS FOCUSED ON 5 STRATEGIC PRIORITIES TO BUILD A MORE ROBUST, SUSTAINABLE BUSINESS BY 2020 Optimize balance sheet 2-3x Net Debt/EBITDA* Lower SOR, minimized operating costs Advance…
Optimize Balance Sheet STRONGER BALANCE SHEET ENABLES ADVANCEMENT OF KEY GROWTH PROJECTS, PROVIDES GREATER STRATEGIC OPTIONALITY AND SUPPORTS ORGANIC DE-LEVERING THROUGH TO 2020 Actions Taken Vision 20/20 Refinanced Fully funded…
Advance Technologies THE APPLICATION OF NEW TECHNOLOGY HAS TRANSFORMED OUR BUSINESS TO A LOW-COST, CONTINUOUS GROWTH MODEL, WITH ADDITIONAL UPSIDE AS eMSAGP AND eMVAPEX PROGRESS INVESTOR PRESENTATION 2018 7
High-Return, Short-Cycle Growth FULLY FUNDED PLAN TO GROW CHRISTINA LAKE PRODUCTION TO 113 KBPD IN 2020 WITH RUNNING ROOM TO PERMITTED 210 KBPD BEYOND 2020 Growth Projects Delivering 113 kbpd in 2020 Phase 2B eMSAGP 20,000 bpd 340MM…
Free Cash Flow Generation MEG IS WELL-POSITIONED TO DELIVER LONG-TERM SHAREHOLDER VALUE THROUGH A COMBINATION OF GROWTH AND FREE CASH FLOW Free Cash Flow Forecast Free Cash Flow Optionality Surplus cash flow may be directed to any…
2018 Capital Investment Plan WITH THE TURNAROUND AND ESSENTIALLY ALL eMSAGP GROWTH CAPITAL COMPLETE, 2H18 WILL FOCUS ON PHASE 2B BROWNFIELD EXPANSION Revised Capital Investment Plan millions eMSAGP growth capital 100 330MM eMVAPEX…
Strong Operational Performance ACHIEVED RECORD PRODUCTION OF 98,000 BPD IN JULY 2018 WITH INDIVIDUAL DAYS EXCEEDING 100,000 BPD, SUPPORTING IMPROVED GUIDANCE Historical Production Operational Guidance 4.50 to 5.00 per barrel…
Reservoir Enhancement with eMSAGP* A MODIFICATION OF SAGD Inject non-condensable gas (NCG) Warmed bitumen Freed-up steam 1 2 3 to maintain reservoir pressure, is pushed toward is re-diverted to reducing steam injection by 50%…
Phase 1 and 2 eMSAGP Performance eMSAGP INCREASES RECOVERY AT LOWER SORS Phase 1 has resulted in a 50% SOR reduction and an estimated 10% increase in Phases 1 and 2 Recovery Average Overall Performance to Date SOR recovery relative…
eMVAPEX Conceptual Model A MODIFICATION OF eMSAGP Inject condensable gas (CG) to: Warmed bitumen Freed-up steam 1 2 3 Maintain reservoir pressure, mixed with light is re-diverted to reducing steam injection to near zero…
Maximizing Revenue Per Barrel MEGS HUB & SPOKE MARKETING STRATEGY USES A NETWORK OF PIPELINES, RAIL AND STORAGE FACILITIES TO ACCESS WORLD MARKETS & MITIGATE EGRESS RISK Marketing Network U.S. Gulf Coast Secure transport on…
Growing Canadian Heavy Imports to USGC CANADIAN HEAVY CRUDE IS GAINING MARKET SHARE AT USGC, PROVIDING STABLE VOLUMES TO GLOBAL MARKET Canadian Heavy Crude Oil Imports to PADD III Market Share at USGC Source: U.S. Energy…
MEGs Gulf Coast Advantage MEG RECEIVES SUPERIOR NETBACKS AT USGC WITH FIXED TRANSPORT OF 50,000 BPD DOUBLING TO 100,000 BPD IN MID-2020 Prices shown USD discount vs WTI All values shown are per barrel v *Indicative pricing as of…
Environmental Performance MEGS FOCUS ON TECHNOLOGY AND ITS COMMITMENT TO ENVIRONMENTAL STEWARDSHIP HAS RESULTED IN REDUCTIONS TO GHG EMISSIONS, WATER USE AND OPERATIONAL FOOTPRINT *MEGs net GHG data has been third-party verified.…
Continued Efficiency Gains Drive Lower Costs HIGHLY-ECONOMIC GROWTH EXPECTED TO FURTHER REDUCE CASH COSTS BY 3 PER BARREL BY 2020 Per barrel costs and netbacks are calculated based on sales volume ** Net finance expense includes net…
Appendix INVESTOR PRESENTATION September 2018
Balance Sheet Management FOCUSED ON FURTHER STRENGTHENING THE BALANCE SHEET TO BE WELL-POSITIONED THROUGHOUT THE CYCLE Debt Maturities C564MM Cash Position US2,782MM Total Debt INVESTOR PRESENTATION 2018 21
Hedging Program WITH CASH RESERVES, HIGHER COMMODITY PRICES AND LOWER ANTICIPATED LEVELS OF CAPITAL SPEND IN 2019, THE PERCENTAGE OF BARRELS HEDGED IS EXPECTED TO BE SUBSTANTIALLY LOWER GOING FORWARD Crude oil hedges in place as of…
Substantial Reserves and Resources REGULATORY APPROVAL IN PLACE OR IN PROCESS FOR NEARLY 500,000 BPD OF POTENTIAL RESOURCE DEVELOPMENT * 2018 production guidance Proved Probable 1,399 1,437 Proved and Probable Evaluated by…
Notes INVESTOR PRESENTATION 2018 24
Investor Relations September 2018 Helen Kelly Director, Investor Relations 403.767.6206 helen.kellymegenergy.com John Rogers VP, Investor Relations and External Communications 403.770.5335 john.rogersmegenergy.com…
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