Enerplus overview Concentrated position in the Bakken core High quality drilling inventory with large remaining opportunity set Solid financial position with strong liquidity CDN WATERFLOODS 8,580 BOE/d (93% oil) Low leverage: 0.6x…
REDUCED 2020 CAPITAL BUDGET Prioritizing balance sheet strength and free cash flow Immediate reduction to 2020 capital budget WELL POSITIONED TO NAVIGATE RAPID DECLINE IN OIL PRICES Capital spending (C millions) 40% reduction to capital…
BALANCE SHEET & LIQUIDITY POSITION Balance sheet strength a competitive advantage Resilient financial position Significant liquidity US millions - Cash, credit facility and senior notes (Dec 31, 2019) Only debt outstanding is senior…
DISCIPLINED CAPITAL SPENDING Significant operational flexibility to respond to market volatility Production to decline in 2020 due 2020 production outlook based on reduced capital budget(1) to 47% y-o-y reduction in capital spending…
COMMODITY HEDGING SUMMARY Price risk management CRUDE OIL HEDGES (WTI)(1) Swaps Put Spreads Three-way Collars Period Volume Sold Swap Volume Sold Put Purchased Put Volume Sold Put Purchased Put Sold Call (Mbbl/d) (US/bbl) (Mbbl/d)…
TRACK RECORD High return growth, free cash flow and low leverage High return oil growth Focus on free cash flow Return of capital Low financial leverage Production, MBOE/d Free cash flow(1), C millions C millions Net debt to adjusted…
ENVIRONMENTAL, SOCIAL & GOVERNANCE Material focus areas Water Management Manage water use by deploying technology to reduce and reuse freshwater. Targeting a 15% reduction in freshwater use per well Greenhouse Gas Emissions…
WILLISTON BASIN OVERVIEW North Dakota and Montana Bakken / Three Forks FORT BERTHOLD, ND WILLISTON BASIN OVERVIEW Tier 1 acreage position Divide Sheridan Burke Attracting 72% of 2020e capital Williams Q4 2019 production: 51…
FORT BERTHOLD BAKKEN / THREE FORKS OVERVIEW Tier 1 acreage position ERF BAKKEN POSITION FORT BERTHOLD, ND Acreage position concentrated in the core of the play 66,300 net acres Mckenzie FORT BERTHOLD INDIAN RESERVATION Top…
FORT BERTHOLD CAPITAL EFFICIENCY IMPROVEMENTS Strong execution delivering capital efficiency gains Track record of continued efficiency gains Aiming to deliver further improvement in 2020 with targeted well costs US400K lower…
FORT BERTHOLD DRILLING INVENTORY Running room to support high return growth Low existing well density and large remaining opportunity High quality drilling inventory(1) Gross operated inventory locations Low Existing Well Density(2) 500…
FORT BERTHOLD WELL PERFORMANCE Maintaining strong well performance at lower cost Cumulative oil production per well Well economics(1) Enerplus two-mile lateral well performance WTI Oil Price 50/bbl 60/bbl Payout: 2.2 yrs 1.3 yrs 500…
MARCELLUS OVERVIEW Core acreage position in the Marcellus dry gas window Non-operated position in Marcellus dry gas core MARCELLUS POSITION NE PENNSYLVANIA 34,000 net acres Q4 2019 production: 233 MMcf/d Bradford Susquehanna Low…
MARCELLUS MARGIN Cash margin supported by low cost structure, competitive basis Low cost structure and Marcellus cash margin US/Mcf competitive natural gas price differential is supporting margins 3.50 3.11 3.08 despite lower NYMEX…
MARCELLUS WELL RESULTS Capital efficient and highly productive drilling inventory Marcellus well performance 2017-2019 Average cumulative production per well(1) 8 40 wells Well economics(2) Lateral Length < 5,000 ft 7 NYMEX Gas…
MARCELLUS NATURAL GAS PRICING Enerplus 2020 Marcellus Pricing Exposure Weak winter natural 2020e pricing exposure Enerplus realized Marcellus differential (2) gas demand YTD is % of expected Marcellus sales(1) US/Mcf, average portfolio…
CANADIAN OIL WATERFLOOD PORTFOLIO Large oil in place, low decline production CANADIAN WATERFLOODS Assets under water or polymer flooding Significant resource: 0.8 bn bbls OOIP(1) ANTE CREEK Low decline oil production Portfolio…
EMERGING OPPORTUNITY DJ BASIN Northern extension of Wattenberg field DJ BASIN 40,000 net acres in NW Weld County WYOMING Low entry price achieved through leasing and farm-in activity COLORADO Significant oil in place through all…
EMERGING OPPORTUNITY DJ BASIN Well performance tracking expectations 2019 wells tracking expectations Enerplus DJ Basin well performance Cumulative oil production per well (bbl), 2-mile lateral wells Various completion designs tested…
INVESTMENT HIGHLIGHTS Returns and value focused Concentrated acreage footprint in the Bakken core CDN WATERFLOODS 8,580 BOE/d (93% oil) Large remaining development opportunity Low financial leverage and strong liquidity BAKKEN…
SUPPLEMENTAL INFORMATION 23
2020 guidance 2020 guidance Capital allocation and drilling & completion activity(3) Original Revised (March 16, 2020) Capital Net wells Net wells Asset allocation drilled onstream Capital Spending C520 - 570MM C325MM North Dakota…
RETURN ON CAPITAL EMPLOYED Track record of outsized returns vs. S&P 500 Return on capital employed(1) 25% Enerplus 23% Enerplus goodwill impairment adjusted(2) S&P 500 20% S&P 500 Energy 18% 15% 12% 10% 10% 8% 8% 8% 7% 7% 5%…
The Board of Directors Hilary A. Foulkes (Director since February 2014) Elliott Pew (Director since September 2010) Compensation & Human Resources Committee Board Chair Corporate Governance & Nominating Committee Reserves Committee…
ESG - Board oversight Greenhouse Gas Water Health & Stakeholder Culture Board Expertise Emissions Management Safety Engagement & Engagement ESG oversight by the Board of Directors with material focus areas mapped to the applicable…
Sustainability reporting 5 YEARS OF SUSTAINABILITY REPORTING 28
Loading...
