PHX LISTED NYSE 1 CORPORATE PRESENTATION - MAY 2019
PANHANDLE OIL AND GAS OVERVIEW Investment Highlights Market Overview New York Stock Exchange PHX Focused on perpetual mineral ownership Shares Outstanding (1) 16.6 MM Share Price (2) 14.44 Ownership in multiple top tier resource plays…
CORPORATE STRATEGY Manage Mineral Ownership as a Portfolio to Maximize Value and Generate Optimal Free Cash Flow o Actively lease our mineral acreage o Acquire additional mineral rights on accretive basis o Sell mineral rights when…
WHY MINERALS 1927 1949 1970 1978 1990 2019 & Beyond Electrical Logging Hydraulic Seismic Measurement Shale Future Fracturing Technology While-Drilling Fracturing Technology Perpetual option to benefit from future development and…
MINERAL AND LEASEHOLD POSITION BAKKEN/THREE FORKS SCOOP/STACK PERMIAN FAYETTEVILLE BASIN ARKOMA WOODFORD - PHX MINERALS - PHX LEASEHOLD - PHX OWNERSHIP COUNTIES EAGLE FORD 6 CORPORATE PRESENTATION - MAY 2019
SCOOP / STACK POSITION 10,600 net mineral acres Current Net Production (1) 140 bbl of oil, 288 bbl of NGL and 4,168 Mcf of gas per day Acquired 374 net mineral acres for 1.8 million during first half of fiscal 2019 13 rigs…
BAKKEN/THREE FORKS POSITION 2,700 net mineral acres Current Net Production (1) 162 bbl of oil, 16 bbl of NGL and 311 Mcf of gas per day On May 6, 2019 entered into definitive agreement to acquire 319 net mineral acres for 3.48…
EAGLE FORD POSITION 1,800 net acres (leasehold) o Non-op working interest position in the oil window of the Eagle Ford TEXAS play o 100% HBP o 86 undeveloped locations with average WI of 16% and NRI of 12% in the AMI Current Net…
ARKOMA WOODFORD POSITION 11,800 net mineral acres Current Net Production (1)(2) 52 bbl of NGL and 5,340 mcf of gas per day 1 rig operating on PHX acreage and 6 rigs operating within 2.5 miles of PHX acreage 30 permits filed on PHX…
PERMIAN BASIN POSITION 33,000 net mineral acres Current Net Production (1) 77 bbl of oil, 10 bbl of NGL and 62 Mcf of gas NEW MEXICO per day 2 rigs operating on PHX acreage and 16 rigs operating within 2.5 miles of PHX acreage…
FAYETTEVILLE POSITION 10,000 net mineral acres ARKANSAS Current Net Production (1) 5,860 Mcf of gas per day No rigs currently operating Recent leasehold transactions involving Flywheel and Merit could generate renewed interest in…
NET MINERAL ACREAGE (1) Over 70% of Panhandles net mineral position is currently open o Provides opportunity to generate additional cash flow from bonus payments and royalties without spending additional capital; and participate as a…
SEC PROVED RESERVES(1) PDP Proved Developed Producing Reserves PDNP Proved Developed Non-Producing Reserves PUD Proved Undeveloped Reserves (requires capital to develop) (1) As of March 31, 2019 14 CORPORATE PRESENTATION -…
PROVED, PROBABLE & POSSIBLE RESERVES(1) Total Proved, Probable and Possible reserves represent less than 26% of total acreage o Conservative undeveloped reserve bookings in premier resource plays o Additional reserve potential outside…
MINERAL REVENUE: ROYALTY & LEASE BONUS Actively focused on leasing open acres to generate additional lease bonus revenue and future royalty revenue Notes: (1) Average exclude 219 YTD (2) 2019 YTD represents first six fiscal months…
CASH MARGIN PER MCFE Revenues generated from mineral ownership generate compelling cash margin across various hydrocarbon pricing scenarios Notes: (1) Averages exclude 219 YTD (2) 2019 YTD represents first six fiscal months ended…
DRILLING & COMPLETION CAPEX Panhandle plans to apply higher return requirements for its future investment in working interest assets and focus primarily on minerals Notes: (1) Average exclude 219 YTD (2) 2019 YTD represents first…
RISK MITIGATION THROUGH HEDGING Hedging program designed to protect investment returns and help provide consistency to cash flows Notes: (1) Average exclude 219 YTD (2) 2019 YTD represents first six fiscal months ended Mach 31,…
HEDGE POSITION AS OF MAY 9, 2019 Calendar Collar Average Collar Average Year Product Volume Mcf/Bbl Swap Price Floor Price Ceiling Price 2019 Natural Gas 3,400,000 2.99 2020 Natural Gas 1,260,000 2.81 2019 Crude Oil 58,000 59.31…
FINANCIAL HIGHLIGHTS For the Six Months Ended March 31, 2019 2018 Working Interest Sales 13,505,476 18,668,088 Royalty Interest Sales 7,926,562 6,485,367 Lease bonus 723,303 596,157 Total revenue(1) 33,965,207 23,911,784 Lease…
CONDENSED BALANCE SHEET Targeted debt to TTM Adjusted EBITDA < 2.0x Currently 1.50x as of quarter end March 31, 2019 March 31, 2019 September 30, 2018 Current assets 8,928,739 8,246,176 Net property and equipment 196,571,271…
INVESTMENTS HIGHLIGHTS Focused on perpetual mineral ownership o PHX generates revenue whether we participate with a Working Interest or take a Lease Bonus plus a Royalty Interest o Mineral rights provide a perpetual option to benefit…
Appendix 24 CORPORATE PRESENTATION - MAY 2019
PORTFOLIO MANAGEMENT Fiscal YTD (1) 2018 2019 Mineral Portfolio Management Minerals Leased Out Net Acres 2,304 1,092 Bonus Payment Received per Acre 679 676 Average Royalty 23.4% 20.1% Total Lease Bonus 1,564,225 737,812 Minerals…
MINERAL OWNERSHIP IN A DRILLING UNIT Working Interest Participation 640 acres - 100% Panhandle Working Interest - 100% Panhandle Revenue Interest - 100% 640 Acre Drilling Unit Lease out Mineral Acreage Negotiated Upfront Cash…
DEFINITIONS Mineral Ownership o The right to extract all minerals below the surface at any depth Working Interest o Responsible for capital investments and operating expenses o Receives revenue from natural gas, oil and NGL sales o…
Loading...
