2019 FOCUS ON VALUE CREATION C O R P O R AT E P R E S E N TAT I O N S E P T E M B E R 2 0 2 0
ABOUT CREW (TSX: CR) Condensate-Focused, NE BC Montney Producer Strong liquidity with continued focus on sustainability and decreasing controllable costs Large, contiguous land base with access to diversified markets and operated…
CORPORATE SUSTAINABILITY STRATEGY Crews Substantive Liquidity will be Maintained Positioned for Uncertainty 1 88% of Q2/20 net debt termed out to 2024 with no financial covenants Active hedging program underpins funds flow and…
Q2 2020 HIGHLIGHTS Hedging, Price Improvements + Increased AECO Exposure Support H2/20 Capex Increase SUPPORTIVE PRICING DRIVES RESTORED PRODUCTION IN JUNE Production 22,074 boe/d & H1/20 volumes of 22,985 boe/d 2,100 boe/d shut-in…
COVID-19 RESPONSE Rapid Action to Ensure Safety of Stakeholders and Value Preservation HEALTH & SAFETY Established temporary work from home protocols in mid-March Implemented training programs to ensure seamless transition to remote…
STRATEGICALLY POSITIONED LAND BASE NE BC Montney Assets are Ideally Situated for the Export of Cleaner LNG Which Could Displace Coal RAILWAY TRANSPORTATION Crews land base is in the natural gas and highly liquids-rich gas window…
CREW INFRASTRUCTURE TRANSACTIONS Cost Reduction Derived From Strategic Agreements NET EFFECT: Cost reduction + debt reduction Capital injection 58.3 MM Additional value creation First closing complete (Feb 2020) = 35 MM of cash…
WEST SEPTIMUS DRILLING PROGRAM H2/20 Crew Montney Acreage 9-5 Liquids Rich Type Curve1,2 9,000 Crew 3-32 9-5 Type Well 100% WI Crew 10-14 West Septimus Sales Gas: 4,822 mcf/d IP365 Gas Plant Gas Sales (Bcf) Daily Gas…
2019 YEAR END RESERVES HIGHLIGHTS(1) 3 Year Average 2P F&D and FD&A Trending Down Meaningful Growth in PDP & 1P Reserves PDP Reserves 9 3 Year 2P F&D +5% 63.1 8.38 7.96 3 Year 2P FD&A 8 7.39 Increase Y/Y MMboe 7 6 6.21…
LOW COST PRODUCTION & RESERVES ADDITIONS P+P Reserves(1) (MMBOE) Montney Organic Production Growth(2) (BOE/D) 450 Condensate bopd Light Oil bopd Liquids mmbbls 411 411 NGLs bopd Natural Gas boepd 400 Gas mboe 370 22,000 350 20,000…
POSITIVE WELL RESULTS UCR ERH Average Exceeds 2P Type Curve(1) West Septimus UCR 15-20 Pad(1)(2)(3), 3-32 Pad 1,000 1.1 900 800 MMboe (1) 700 36% NGLs(4) Sales Condensate (bpd) 62 % 600 500 400 Liquids…
IMPROVING EFFICIENCIES Lower Costs and Longer Wells Reductions in Drilling Cost per Lateral Meter Reductions in UCR Completions Costs per Lateral Meter 1,200 1,057 29% 2017-2019 2,500 26% over 4-21 pad 1,000 1,996 2,000…
ULTRA CONDENSATE-RICH (UCR) AREA Focus at Greater Septimus Crew 3-32 Pad (2019) 4.25 wells completed 4 B zone well average IP90: 1,119 boe/d Initial condensate ratios of 75 - 250 bbls/mmcf UCR Area in area 2,723 mcf/d, 511 bbls/d…
STABLE PRODUCTION BASE Field Operating Netback(3) Capex at Septimus 103 MM 60,000 Septimus Gas Production Field operating netback(3) 100 4.78 16 19 exceeds capex(1), 5.00 4.49 providing funding for UCR growth 50,000 Stable…
MARKET DIVERSIFICATION Q1 2020 Q2 2020 2020(1) 2021(1) 7% 3% 5% 8% 9% 19% 14% AECO 5A 24% 46% NYMEX Henry Hub 16% 15% Chicago 16% Alliance ATP 7% Station 2 15% 58% 57% 49% 32% 1) Estimated market allocations…
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 condensate ATTACHIE extreme overpressured 4 fracs 13-14 Pad Over-pressured 1.5 - 1.8x…
KEY MONTNEY BUILDING BLOCKS ARE IN PLACE Direct access to 3 existing export pipelines, potential LNG exports & rail transportation Ideally Situated Land Base Only 13% of Upper Montney land has reserves assigned by Crews independent…
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 20
APPENDIX 21
CANADA IS THE COUNTRY TO INVEST IN FOR RESPONSIBLE, CLEAN ENERGY Canada is a Top-ranking Global Leader in ESG Canadian-sourced energy is in the The importance of just one worlds best interest(1) Canadian LNG project…
ENVIRONMENTAL LEADERSHIP IS A PRIORITY Reducing Environmental Footprint While Remaining Focused on Returns Fresh Water Used for Hydraulic Fracturing (%) Gas Plant Flaring Performance 0.30% 50% 46% 91% 71% Flare volume % of…
SAFETY & SOCIAL IMPACTS ARE TOP OF MIND Safety - Its all About PEOPLE Crews Safety Performance: 350,000 Average Canadian homes Workforce TRIF* annually could be sourced from 1.5 Crews 2019 natural gas production Injury…
GOVERNANCE PROVIDES STRONG FOUNDATION Keeping Trust and Integrity at the Forefront of our Business Alignment with Shareholders is Key Women Represented Across Workforce Significant officer & director ownership 50% of Crews top 20…
HEDGING SUMMARY (AUG 6 20) Volume Period Derivative Reference Strike Price 10,000 mmbtu/Day Jul Dec 2020 Swap Chicago Citygate Monthly 3.34/mmbtu 2,500 mmbtu/Day Jul Dec 2020 Swap Chicago Citygate Daily 3.23/mmbtu 2,500 mmbtu/Day Jul…
READER ADVISORIES 27
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 and field operating netback to analyze financial and operating performance. This benchmark as presented…
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