Skip to main content 3Q 2019 Earnings Presentation – Denbury Resources Inc. | Shale Experts
Loading...
Pm

3Q 2019 Earnings Presentation – Denbury Resources Inc.

Denbury Resources Inc. · Nov 7, 2019 · 26 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 1
    3Q 2019 Earnings Presentation November 7, 2019
  2. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 2
    Agenda Introduction John Mayer, Director of Investor Relations Overview Chris Kendall, President & Chief Executive Officer Operational Update David Sheppard, Senior Vice President Operations Financial Review Mark Allen,…
  3. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 3
    Overview Chris Kendall, President & Chief Executive Officer NYSE:DNR 4
  4. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 4
    Denbury What We Are Unique Energy Business Rocky 60% of production via CO2 enhanced oil recovery (EOR) Mountain Vertically integrated CO2 supply and distribution Region Cost structure largely independent from industry 3Q19 Production…
  5. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 5
    On Track to Accomplish all Key 2019 Goals Operational Financial Operate Safely and Responsibly Generate Significant Free Cash Flow Improve on record-levels of health, safety Free cash estimate of 140-150 million for and…
  6. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 6
    Sustained Strong Operating Margin 49% Operating Margin in 3Q19 3Q19 2Q19 3Q18 69.73 60.80 Revenue per BOE(1) 56.46 Operating Margin per BOE(2) 27.93 32.70 40.53 Transportation, Marketing and Taxes per BOE 5.83 6.40 6.70…
  7. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 7
    Generating Significant Free Cash Flow in 2019 2019E Free Cash Flow Range, Including Hedges(1) 2019E Sources & Uses 55 oil(3) In millions, unless otherwise noted 2019E 190 In millions 180 Adjusted cash flow from operations(4) 490…
  8. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 8
    The Denbury Difference CO2 EOR Reduces Carbon Footprint 25-30% of our CO2 is industrially sourced We Operate Responsibly and Safely We Minimize Environmental Impact Consistently Improving Safety Revitalizing Legacy Oil Fields…
  9. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 9
    Operational Update David Sheppard, Senior Vice President Operations NYSE:DNR 10
  10. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 10
    FY19 Capital Spend On Track with Guidance 2019E Development Capital(1) Significant 2019 Capital Projects In millions Tertiary Timing YTD 2019 189 million FY 2019E Bell Creek Field Phase 6 Development 1Q-3Q 240 - 260 million 72 56…
  11. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 11
    FY19 Production On Track to Midpoint of Guidance Average Daily Production by Area (BOE/d) 2019E Guidance (BOE/d) Field 3Q19 2Q19 3Q18 YTD 2019 Delhi 4,256 4,486 4,383 4,405 3Q19 below 2Q19 primarily due to CO2 supplier maintenance,…
  12. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 12
    FY19 Operating Cost Expected in Lower Half of Guidance Range Full-year 2019 expected to average in lower half of 22-24/BOE original guidance range Total Operating Costs 3Q19 2Q19 3Q18 YTD 2019 (MM) (/BOE) (MM) (/BOE) (MM) (/BOE) (MM)…
  13. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 13
    Bell Creek Update Continuing Field Development Total Bell Creek Production Recent (Net Bbl/d) Phase 5 production level post Initial phase response in 2018 3Q19 planned Capital spend 28 million with 2019 average maintenance Phase…
  14. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 14
    CCA Exploitation Program Continued Mission Canyon & Charles B Success Mission Canyon Cedar Creek Anticline Drilled 12 wells to date with total program economics 90% ROR 7 successful wells drilled 2017-2018, average IP30 800 Bbl/d…
  15. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 15
    Heidelberg Christmas Horizon Redevelopment Redevelopment Overview Targets Yellow and Brown Christmas sands Dedicated injector-producer patterns Repeating proven Heidelberg down-dip injection/up-dip production configuration 3 MMBbl…
  16. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 16
    Financial Review Mark Allen, Executive Vice President & Chief Financial Officer NYSE:DNR 17
  17. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 17
    Adjusted Net Income Reconciliation Reconciliation of Net Income (Loss) (GAAP Measure) to Adjusted Net Income (non-GAAP Measure)(1) 3Q19 2Q19 YTD 2019 Per Diluted Per Diluted Per Diluted In millions, except per-share data Amount…
  18. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 18
    Generating Significant Free Cash Flow Cash Flow Reconciliation In millions 3Q19 2Q19 YTD 2019 Reconciliation of Cash Flows from Operations (GAAP Measure) to Adjusted Cash Flows from Operations (Non-GAAP Measure)(1) Cash flows from…
  19. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 19
    Positive Oil Differentials for Eight Consecutive Quarters NYMEX Oil Differentials per barrel 3Q19 2Q19 1Q19 4Q18 3Q18 Tertiary oil fields 1.81 3.39 2.96 3.45 2.37 Gulf Coast region 2.88 4.66 4.07 5.20 3.01 Rocky Mountain region…
  20. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 20
    Selected Expense Line Items 3Q19 2Q19 YTD 2019 In millions, unless otherwise noted () (/BOE) () (/BOE) () (/BOE) Lease operating expenses(1) 118 22.70 118 21.70 361 22.64 General and administrative expenses 18 3.52 18 3.22 55 3.43…
  21. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 21
    Hedge Positions as of November 6, 2019 Downside Protection with Significant Upside Potential 2019 2020 4Q 1H 2H FY Volumes Hedged (Bbls/d) 2,000 2,000 2,000 2,000 WTI NYMEX Fixed Price Swap Price(1) 60.60 60.59 60.59 60.59…
  22. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 22
    Continuing to Improve Debt Profile Debt Principal - Pro Forma(1) 9/30/19 Maturity Window - Pro Forma(1) 9/30/19 (In millions) (In millions) 3,571 1.2B debt reduction 395 since 2014 510 million of Bank Line Availability at 9/30/19…
  23. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 23
    Q&A NYSE:DNR 24
  24. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 24
    Appendix NYSE:DNR 25
  25. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 25
    Non-GAAP Measures Reconciliation of net income (loss) (GAAP measure) to adjusted cash flows from operations (non-GAAP measure) to cash flows from operations (GAAP measure) 2018 2019 In millions Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 TTM Net income…
  26. 3Q 2019 Earnings Presentation – Denbury Resources Inc. – slide 26
    Non-GAAP Measures (Cont.) Reconciliation of net income (loss) (GAAP measure) to adjusted EBITDAX (non-GAAP measure) 2018 2019 In millions Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 TTM Net income (loss) (GAAP measure) 40 30 78 174 323 (26) 147 73 368…

From the store

Browse maps, data & reports in the Shale Experts store