2019 FOCUS ON VALUE CREATION C O R P O R AT E P R E S E N TAT I O N - J A N U A R Y 2 0 2 0
ABOUT CREW (TSX: CR) Condensate-focused, NE BC Montney producer Large, contiguous land base with a material resource 16 billion boe(1) Access to diversified markets with operated infrastructure footprint, increasing liquids…
CAPITALIZING ON IMPROVED FORECAST GAS PRICES Nine-month budget expected to enhance well economics while balancing capex with AFF through 1H 2020 54MM planned for investment Q4/19 through Q2/20 Forward Nine-Month while maintaining…
LOW COST PRODUCTION & RESERVES ADDITIONS With increasing condensate P+P Reserves(1)(5) (MMBOE) Montney Organic Production Growth(2) (BOE/D) 450 Focus on Liquids mmbbls 411.0 Condensate bopd Light Oil bopd 400 Gas mboe 370.2 NGLs…
CONDENSATE PRODUCTION GROWTH Material leverage to condensate: a 1,000 bbls/d increase drives AFF increase of 25%(1) Crew Condensate Volume & Value Continues Western Canada Condensate Market to Increase Supply vs Demand(3) UCR 1P…
SIGNIFICANT LAND POSITION Acreage prospectivity & land value affords material optionality Montney (2007) Montney (2010) Montney (2019) Date Area Divested Value (mm) Production (boe/d) Land (acres) Apr 2010 Edson (Cardium) 126 1,700…
OVER 100 TCFE OF TPIIP* ON CREW LANDS Montney is a siltstone, not a shale Montney Attributes: Exceptionally thick: up to 1,000 feet Permeability 20 - 80x greater than comparable resource plays in North America Flatrock Excellent…
OPTIMIZING DRILLING PERFORMANCE Cost per Lateral Length Continues to Improve Drilling Days vs Depth Days 35% 0 4 8 12 16 1,200 0 2016-2019 500 1,000 64% 1,000 1,500 Increased lateral length 800 2019 vs 2016/2017…
POSITIVE WELL RESULTS 4-21 Pad Transition Wells Exceeding Type Curve(2) 15-20 Pad UCR Wells Exceeding Type Curve(2) West Septimus 4-21 Pad(1)(3) West Septimus UCR 15-20 Pad(1)(3) 300,000 300,000 250,000 250,000 Estimated…
ULTRA CONDENSATE-RICH (UCR) AREA Focus at Greater Septimus Focus on UCR development Initial condensate ratios of 75 - 250 Crew 3-32 Pad Q4 completions 4 B zone wells UCR Area bbls/mmcf in area Crew 15-20 Pad (2018/19) 5 wells…
STABLE PRODUCTION BASE Field operating netback(4) Capex at Septimus 94MM Septimus Gas Production 100 60,000 4.78 Field operating netback(4) forecast 5.00 90 4.49 16 19(1) exceeds capex, providing funding for UCR growth…
STRATEGICALLY POSITIONED LAND BASE NE BC Montney assets are ideally situated for export RAILWAY TRANSPORTATION Uniquely positioned land base with direct access to three existing export pipelines, potential LNG exports & rail…
MARKET DIVERSIFICATION Q3 2019(2) Q4 2019(1) 2020(1) 2021(1) 2% 7% 7% 7% 20% 16% 18% Chicago 21% 6% Dawn(2) 7% 15% 16% 17% Malin(2) 28% 8% NYMEX Henry Hub AECO 5A Alliance ATP 56% 53% 52% Station 2 44% (1)…
POSITIVE IMPACT OF GAS MARKET DIVERSITY Ideally positioned with access to 3 major export pipelines 4.00 Commencement of Alliance Pipeline service 3.50 and initiation of diversified contract portfolio 3.00 Natural Gas Prices…
OTHER OPPORTUNITIES Attachie, Groundbirch and Tower development B13-26 Pad 6 Miles Crew 10-22 CGR: 350 bbls/mmcf 10.5 mmcf/d IP30: 665 bbls/d condy ATTACHIE extreme overpressured 4 fracs 13-14 Pad Over-pressured 1.5 - 1.8x with…
ENVIRONMENTAL LEADERSHIP IS A PRIORITY Recycled Water Used for Hydraulic Fracturing (%) Gas Plant Flaring Performance 95% 0.25% 100 93% 0.20% 0.21% 52% reduction 2015 to 2018 Flare Volume % of Plant Inlet 80 0.18% 67% 61%…
INNOVATION LEADS TO IMPROVED SAFETY & REDUCED EMISSIONS Identifying opportunities to improve efficiencies & reduce environmental impact Positive Impacts from Using Natural Gas in Positive Impacts from Shipping Drilling & Completions…
KEY MONTNEY BUILDING BLOCKS ARE IN PLACE 16+ billion boe TPIIP(1) with 5,380 identified locations(1) on 277,000 net acres Massive Montney Resource Only 13% of Upper Montney land has reserves assigned Condensate, Light Oil & Focus…
Suite 800, 250 - 5th Street SW Calgary, Alberta T2P 0R4 Telephone: (403) 266-2088 Email: investorcrewenergy.com Dale O. Shwed President & CEO John G. Leach Executive Vice President & CFO CONTACT INFO 21
APPENDIX 22
2019 CAPEX PROGRAM & FORECAST 2019 Hedging Summary as of January 1, 2020 AFF(1) (mm) 75-85 Volume Period Derivative Reference Price Net Capex (mm) 95-100 Natural Gas 12,500 mmbtu/Day 2020 Swap Chicago C3.32/mmbtu Assumptions:…
READER ADVISORIES 24
NON-IFRS MEASURES General References are made in this presentation to use terms that are commonly used in the oil and natural gas industry, but do not have any standardized meaning as prescribed by IFRS and therefore may not be…
NON-IFRS MEASURES Operating Netback and Field Operating Netback Management uses certain industry benchmarks such as operating netback to analyze financial and operating performance. This benchmark as presented does not have any…
NE BC MONTNEY RESOURCE EVALUATION - 2016 Dec. 31, Dec. 31, Reserves and Risked and Unrisked Economic Contingent Chance of Best Estimate Best Estimate 2016 2015 Resource (1)(2)(3)(6)(7)(8) Development Unrisked Risked Conventional…
NE BC MONTNEY RESOURCE EVALUATION - 2016 CONTD Chance of Prospective Resources (1)(2)(3)(4)(5)(6)(7) Commerciality Best Estimate Unrisked Best Estimate Risked Conventional Natural Gas (Tcf) 66% 10,311 6,774 NGL (MMbbl) 66% 327 215…
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