WELLS FARGO SECURITIES 4TH ANNUAL WEST COAST ENERGY CONFERENCE Carrizo Oil & Gas June 11-12, 2019 CRZO
Carrizo Overview NASDAQ Symbol CRZO Market Capitalization 1.0 BN Enterprise Value 2.8 BN Net Debt/EBITDA1 2.4x Delaware Basin 1Q19 Total Production (MBoe/d) 62.0 1Q19 Crude Oil Production (MBbls/d) 40.7 Eagle Ford Shale YE…
Strategic Goals Maximize Allocate capital to highest-return assets Corporate Target double-digit ROCE Returns Generate Target free-cash-flow-positive development program Free Cash Use free cash flow for leverage reduction, share…
Strategic Evolution Transitioning to a Sustainable Free Cash Flow Program Generate Focus on Deliver Growth Synergies and Highest-margin within Operational Plays Cash Flow Efficiencies Jan-17 Jan-18 Jan-19…
Proved Reserves Provide Strong Value Support Proved Reserve Growth PV-10 Growth 350 4.5 75 25% Total 4.0 70 300 200% PV-10 3.5 65 20% PV-10 250 PDP 55/Bbl 3.0 60 30% Reserves (MMBoe) WTI Oil Price (/Bbl) WTI…
Recent Growth Driven by High-margin Oil Plays Total Production Crude Oil Production 80 50 17% 45 18% 70 Total Total 40 22% 60 28% Core Core 35 Net Daily Prod. (MBoe/d) Net Daily Prod. (MBbl/d) 50 30 40 25 20…
History of Top-tier Margins Oil-focused Assets Drive Outperformance EBITDA Margin1 Advantage CRZOs focus on the core of plays it targets 10 results in margins that consistently exceed peers CRZO vs. Peers (/Boe) Seaborne-based…
Returns Matter Targeting Double-digit ROCE Historical ROCE1 CRZOs ROCE ranks in the top tier of E&P peers 15% Capital is focused on projects that deliver a double-digit corporate-level return assuming a Targeting mid-50s oil price…
Balance Sheet Improvement Remains a Focus Free Cash Flow Targeted for Debt Reduction Historical Leverage Metrics1 Revolving Credit Facility 3.5x Targeting 1.25 billion borrowing base commitment Leverage Net Debt / Adjusted…
Hedging Program Disciplined Strategy Protects Cash Flows 2019 Program 2020+ Program Goals Swaps Collars Hedge 50%-75% of crude oil production Hedge 50% of crude oil production Target floor price 50/Bbl Target floor…
2019 Development Plan Paving the Way to Free Cash Flow 525-575 Million Budget Plan Details Eagle Ford Shale Drill 55-60 gross / 45-50 net operated wells Complete 75-80 gross / 70-75 net operated wells Drive development-scale…
Well Economics Overview Core Assets Generate Compelling Returns Eagle Ford Shale Type Curve Range Delaware Basin Type Curve Range 35 90 80 30 MBoe per 1,000 ft. Lateral MBoe per 1,000 ft. Lateral 70 25 60 20 50 15 40 30…
Eagle Ford Shale High-return, Free-cash-flow-positive Core Position Overview Acreage almost entirely in the volatile oil window Crude oil receives premium seaborne-based pricing, contributing to strong returns Ample oil and gas…
Eagle Ford Shale Strong Performance from Pena and RPG Multipads Total Oil Production 20,000 45 18,000 Gross Oil Production 40 No. of Wells Online 16,000 No. Wells Online 35 14,000 30 Bbls/d 12,000 25 10,000 20 8,000…
Eagle Ford Shale Program Focused on Multipad Projects Upcoming Multipad Projects Well Total Frac Average Area Count Stages Lateral Brown Trust 13 413 6,400 ft. Irvin 14 481 6,900 ft. Arnold 9 420 9,300 ft. Arnold Irvin…
Delaware Basin High-return, Stacked-pay Potential Overview Loving Blocky acreage position that supports efficient long-lateral development Ward Potential to provide decades of drilling inventory Infrastructure in place to…
Delaware Basin High-quality Stacked Pay with Large Inventory Upside Up to 10 potential targets across a 3,800 section from the Avalon Gross Section Net Derisked Thickness Drilling through the Wolfcamp D (ft.) Locations 5 of 6…
Delaware Basin Conducting Cube Tests to Optimize Development St. Clair Pad Crowley Pad Frac Sequencing Design WCA WCA WCA Bounded Unbounded Bounded 11H WCA 11H WCBU WCBU Bounded Unbounded 11H 11H WCB WCBL 12H Upper WCBL WCBL…
Delaware Basin Encouraging Early Results from Initial Cube Test Total Production1 Summary Highlights 12,000 Early peak rate of 10,600 Boe/d 10,000 60% oil, 78% liquids 8,000 Strong performance seen from Wolfcamp A wells Boe/d…
Delaware Basin Target Horizon by Operator Percentage of Drilled Wells by Zone CRZO is at the forefront of multi-layer Peer 9 development in the Delaware Basin Peer 15 Peer 3 CRZOs early focus on testing multiple Peer 4 horizons…
Investment Highlights Premier 120,000 net acres across the Eagle Ford Shale and Acreage Delaware Basin, two of the highest-return plays in North America Positions Significant Deep inventory of locations that generate strong Growth…
Eagle Ford Shale API Gravity 1Q19 Net Sales Revenue by Product 4% 4% Zavala Frio Atascosa Oil Gas NGL 92% Dimmit La Salle McMullen 1Q19 Volumes by API Gravity Source: DrillingInfo initial completion reports. 50…
Eagle Ford Shale Midstream Ample Takeaway Capacity Crude Oil Significant Infrastructure and Optionality Houston Market Company-owned in-field and third-party gathering move 70% of oil on pipelines; Gardendale projects in-progress…
Delaware Basin Successful Wells in Multiple Wolfcamp Horizons CRZO CRZO CRZO CRZO CRZO CRZO CRZO CRZO CRZO Well 1 Well 2 Well 3 Well 4 Well 5 Well 6 Well 7 Well 8 Well 9 BS3 A A X/Y WCA WCBU WCBL WCC WCD…
Delaware Basin Ford West Area Strong Well Results Along the Culberson/Reeves Border XEC California Chrome XEC Venetian Capitan Dorothy 30-day rate: 1,404 Boe/d 30-day rate: 1,573 Boe/d 30-day rate: 1,021 Boe/d (48% oil) (51% oil)…
Delaware Basin Midstream Ensuring Certainty of Flow Crude Oil Significant Infrastructure and Optionality Cushing Crude Oil Houston/ MEH Oryx system has 650 MBbl/d capacity to Crane and Midland Corpus Christi 25 MBbl/d capacity on…
Social Responsibility at Carrizo Striving to be a Good Corporate Citizen 190 MM paid to fund Responsibility education, safety, 7 MM and infrastructure in our projects for local donated through communities Carrizos Corporate…
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