ATHABASCA OIL CORPORATION FOCUSED EXECUTING DELIVERING MARCH 2019 CORPORATE UPDATE
ATHABASCA PREMIER RESOURCE EXPOSURE INTERMEDIATE OIL WEIGHTED PRODUCER ASSETS IN CANADAS TOP RESOURCE PLAYS o 40,000 boe/d (90% liquids) Hangingstone o 10% corporate decline o Liquids rich shale at Greater Kaybob THERMAL OIL o…
ATHABASCA THE TRANSFORMATION PRODUCTION 2P RESERVES 75% DARPS CAGR 85% DAPPS CAGR 2015 2018 2015 2018 CONTROLLABLE COST STRUCTURE RESERVE VALUE (NPV10) 6,000 Proven Significant value growth across Probable all reserve…
ATHABASCA DRIVE TO FREE CASH FLOW FUNDS FLOW & FCF OUTLOOK FINANCIAL RESILIENCY Funds Flow (US65 WTI & 17.50 WCS diff) o Low sustaining capital to hold production Funds Flow (US60) Funds Flow (US55) 300 Sustaining Capital o 95…
MARKET ACCESS AND RISK MANAGEMENT DIVERSIFIED PORTFOLIO MITIGATES RISK ALBERTA CRUDE INVENTORIES 80 201317 Range 2018 o Both business divisions contribute to the bottom line 201317 Average 2017 75 o 275MM 2019 operating income (40%…
ATHABASCA BEST IN CLASS FOR OIL EXPOSURE LIQUIDS WEIGHTED PORTFOLIO CASH FLOW & LEVERAGE SENSITIVITY o Athabasca a standout producer for oil exposure o 90% liquids o Runrate annual unhedged funds flow sensitivity o C80MM for US5…
LIGHT OIL MONTNEY & DUVERNAY
PLACID MONTNEY HIGHLIGHTS AOC OPERATED 70%WI PLACID DEVELOPMENT MAP 1630 Pad o 80,000 gross prospective acres 7 DUCS o 48,000 high graded acres Future Pad o 200 well development inventory1 o 20/boe 2019 operating netback (US60…
KAYBOB DUVERNAY JOINT VENTURE HIGHLIGHTS (30% WI) o Partnered with Murphy Oil in May 2016 o 2019 activity o Cash/carry structure minimizes financial exposure 280MM gross (20MM net) 1B gross 4 yr program; 75MM net to retain 30%WI…
DUVERNAY COMPETITIVE SHALE PLAY WHAT MAKES THE DUVERNAY COMPETITIVE o High liquids yields 200 1,000 bbl/mmcf initial yields (C5+) 40 55 API condensate o Royalty advantage (5% for 3yr vs. 25% US Shale Plays) o 34/boe 2019 operating…
LIGHT OIL NETBACK BENCHMARKING HIGHLIGHTS o Athabasca Light Oil boasts the top netback relative to its Montney/Duvernay peers (last 4 quarters) o Strong liquids weighting (50%) o High quality product (condensate and light oil)…
THERMAL OIL LEISMER & HANGINGSTONE
THERMAL OIL ASSET OVERVIEW LEISMER TOP TIER OIL SANDS PROJECT REGIONAL MAP o 20,000 22,000 bbl/d; 3.5x SOR Hangingstone 2015 project startup o 40,000 bbl/d AER approval o 675 mmbbl 2P reserves1; 90 year 2P RLI o US43 WTI…
THERMAL OIL LEISMER ACTIVITY L7 SUSTAINING PAD (40MM CAPITAL) LEISMER DEVELOPMENT o Rig released 5 wellpairs in February o Encountered higher reservoir quality than predicted o Wellpair design o 1,250m laterals (50% longer) &…
THERMAL OIL OUTLOOK OPTIMIZATION INITIATIVES CONTROLLABLE COSTS o Significant cost savings across Hangingstone & Leismer o 40MM in runrate annual savings from 2017 (nonenergy op. costs & Norlite diluent sourcing) o Savings more…
SUPPLEMENTAL INFORMATION
CORPORATE SNAPSHOT & HEDGING CAPITALIZATION OVERVIEW (ATHTSX) Basic Shares Outstanding 516 MM Market Capitalization 516 MM Q4/18 Pro Forma Net Debt 292 MM Total Enterprise Value 808 MM Term Debt (9.875% due Feb 2022) US450…
2019 BUDGET OVERVIEW CORPORATE 2019 OUTLOOK (60 WTI & 17.50 WCS DIFF) o Minimal capital: 95 110MM o Maintain production: 37,500 40,000 boe/d (88% liquids) Interest, G&A, o Nimbleness to accelerate high return projects…
LEISMER INFRASTRUCTURE TRANSACTION STRATEGIC TRANSACTION WITH ENBRIDGE Unlocking Value Bolstered Liquidity o 265MM cash consideration o 30 year term with an annual toll of 26MM o Priority service on pipelines & dilbit/diluent…
THERMAL OIL INFRASTRUCTURE Illustrative map not to scale 8 Diluent Line HANGINGSTONE CHEECHAM Tank Farms LEISMER 12 Dilbit Line 150mbbl Dilbit 40mbbl Dilbit 150mbbl Diluent 100mbbl Dilbit 6mbbl Diluent 10mbbl Diluent…
LIGHT OIL INFRASTRUCTURE Flexibility with takeaway options; Gas Pipeline (gross) scalable for future growth Up to Gas Capacity 180 MMcf/d Dually connected to regional gas plants Kaybob East AOC 91 km Pipeline Fort Kaybob…
MANAGEMENT TEAM AND BOARD MANAGEMENT TEAM BOARD OF DIRECTORS Robert Broen, P.Eng. Ronald Eckhardt President & Chief Executive Officer Chair of the Board, member of the Reserves Committee Kim Anderson, CA Robert Broen, P.Eng. Chief…
Loading...
