Skip to main content 4Q 2021 Earnings Presentation – Callon Petroleum Co. | Shale Experts
Loading...
Pm

4Q 2021 Earnings Presentation – Callon Petroleum Co.

Callon Petroleum Co. · Feb 24, 2022 · 32 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. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 1
    CORPORATE INVESTOR PRESENTATION FEBRUARY 2022
  2. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 2
    Focused On Capital Discipline and Creating Shareholder Value Sustainable Development Focus Committed to ESG Excellence Disciplined Capital Spending Program Focused on Free Cash Flow Dedicated to Improving Balance…
  3. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 3
    Maintaining Focus and Delivering On Commitments Commitments 2021 Achievements1 STRENGTHEN Reduce absolute debt levels Reduced debt levels by 760 million2 BALANCE SHEET Improve leverage metrics PF leverage ratio declined by 2x3…
  4. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 4
    Disciplined Strategy Delivers Results Exceeding Expectations Operating Margin Leverage Ratio 2021 Full Year Highlights per Boe3 net debt / LTM Adj. EBITDA3 Production 96 46% 2x Volumes MBoe/d increase 4.5x multiple decrease (64%…
  5. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 5
    Strong Execution Advances Our Goals 4Q21 by the Numbers Fourth Quarter Accomplishments Metric 4Q21 Result Operational Completed Primexx Integration Total production (MBoe/d) 112.4 (Guidance 110 - 112.5) Successfully integrated two…
  6. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 6
    Committed to Managing Cash Costs for Improved Margins Differentiated All-in Cash Margin1 Permian Basin 3Q21 4Q21 35 30.88 Daily production (MBoe/d) 64.5 84.8 30 29.20 25 % Oil 58% 61% 21.92 Cash G&A 20.61 /Boe 20 Realized…
  7. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 7
    Quality Asset Base That Delivers Strong Margins Permian-Focused Capital Plan Capital Spending Capital Budget 2021 2022 Quality Asset Base Permian Basin Development 15% 25% Contiguous acreage position Multi-bench co-development with…
  8. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 8
    Significant Foundational Reserves Value Proved Reserves Components as of 12/31/21 2021 Highlights Replaced over 100% of production through NGLs Natural extensions and discoveries Gasgas Natural 20% PUD PDP Oil Grew total…
  9. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 9
    High-Quality Inventory Drives Sustainable Cash Flow High-Quality Inventory Significant Upside2 Drives Sustainable Free Cash Flow From 2022 Delineation 1,7601 Years of Inventory Inventory upside based on 50/Bbl 15 Eagle Ford…
  10. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 10
    Peer Leading Inventory Life Position Onshore Inventory Life at Next Twelve Months Forecasted Completion Activity Levels1, 2…
  11. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 11
    Organic Inventory Expansion 2022 Delineation: Delaware Crowheart 10BS & 11BS 3rd Bone Spring Sand Delaware Inventory Upside Potential 5,000 laterals Avg IP-30: 1,845 Boe/d Multiple prospective zones in the Delaware with emerging…
  12. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 12
    Raising the Bar: Setting New Objectives in 2022 Focused Permian Development 85% Operational capital budget allocated to the Permian Basin Setting our sights on new targets Meaningful, Adjusted FCF Generation 500MM FCF generation…
  13. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 13
    Committed to Reducing Our Carbon Footprint: Setting New Targets 2021 Emission Reduction Achievements Completed second series of field Completed pilot test of low-bleed electrification projects and air-actuated pneumatic…
  14. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 14
    Free Cash Flow Yield Strengthens in 2022 Maintaining Capital Discipline Strengthening Free Cash Flow Profile1 2022 Guidance 2022 Free Cash Flow Sensitivities 800 30% Total Production 101-105 MBoe/d (64% oil / 83% liquids) 700…
  15. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 15
    Permian Basin Leads The Way in 2022 2022 Key Program Elements 2022 Operational Capital Allocation1 85% Permian Focused 6-7 Operated Rigs 2 Average Completion Crews Budget: 125 - 130 / 113 - 118 Gross Wells Drilled / Completed…
  16. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 16
    Disciplined Production Growth Normalized 2021 Baseline Production Forecasted 2022 Quarterly Production Profile Natural gas NGLs Oil 120 5% production growth 18.6 105.0 95.6 (5.1) (4.0) 100 4Q actual impact on Divested Full…
  17. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 17
    2022 Guidance 2022 COMMENTARY GUIDANCE Total production (MBoe/d) 101 105 Oil 64% Increasing oil cut as year progresses NGL 19% Increase over 2021 Gas 17% Income statement expenses (MM, except where noted) Flat assumption to 4Q…
  18. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 18
    Efficiency and Cost Control Offsets Inflationary Pressures Continued Focus on Cost Control and Capital Efficiency to Maintain Peer-Leading Well Costs1 Delaware Basin Midland Basin 1,600 1,200 1,400 1,000 1,200 800 1,000 /ft…
  19. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 19
    Delaware South (Primexx) Integration and Optimization Seamless Integration 1H22 Operational Activity Brought three wells on-line within seven days of closing on the properties Wells placed on production / 9 wells Drilling activity /…
  20. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 20
    Dedicated to Leverage Reduction Significantly Reduced Debt Rapidly Improving Leverage Profile1, 2 4.5x 4.2x Two-year deleveraging profile 4.0x is best in the industry Primexx acquisition (760) debt reduction 3.5x Net Debt…
  21. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 21
    Debt Maturity and Free Cash Flow Profiles Strengthen Balance Sheet Highlights and Goals 2.0x leverage improvement in 2021 through combination of cash flow, asset sales, second lien debt equitization, and Primexx transaction No…
  22. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 22
    Market Leading Free Cash Flow Yield At A Discount 2022 Free Cash Flow Yield By S&P Sector 1,2 20% 25.0x 20.0x 2022 EV/EBITDA3 S&P 500 18% 17% 15.0x 13.3x 15% 10.0x 6x 4x 5.0x 0.0x 10% 10% 5% S&P 500…
  23. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 23
    Callon Investment Thesis TOP-TIER Permian Basin & Eagle Ford Shale Portfolio DELINEATED 15 Years of High-Return Drilling Inventory INDUSTRY LEADING Margins + Operational Improvement TOP QUARTILE Free Cash Flow Yields…
  24. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 24
    APPENDIX 25
  25. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 25
    Oil Hedges 1Q22 2Q22 3Q22 4Q22 FY 2022 1Q23 2Q23 3Q23 4Q23 FY 2023 NYMEX WTI (Bbls, /Bbl) Sw aps Total Volumes 1,305,000 1,274,000 1,656,000 1,656,000 5,891,000 450,000 455,000 - - 905,000 Total Daily Volumes 14,500 14,000 18,000…
  26. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 26
    Gas and NGL Hedges 1Q22 2Q22 3Q22 4Q22 FY 2022 1Q23 2Q23 3Q23 4Q23 FY 2023 NYMEX HENRY HUB (MMBtu, /MMBtu) Sw aps Total Volumes 900,000 4,550,000 4,600,000 1,550,000 11,600,000 - - - - - Total Daily Volumes 10,000 50,000 50,000…
  27. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 27
    Non-GAAP Adjusted EBITDA1 (000s) FY 2020 1Q 21 2Q 21 3Q 21 4Q 21 FY 2021 Net Income (loss) (2,533,621) (80,407) (11,695) 171,902 285,351 365,151 Loss on derivatives contracts 27,773 214,523 190,463 107,169 10,145 522,300 Gain (loss)…
  28. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 28
    Non-GAAP Adjusted EBITDA and Adjusted Free Cash Flow1 (000s) FY 2020 1Q 21 2Q 21 3Q 21 4Q 21 FY 2021 Net cash provided by operating activities 559,775 137,665 175,603 294,565 366,310 974,143 Changes in working capital and other 33,993…
  29. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 29
    Non-GAAP Operating Margin Per Boe data FY 2020 1Q 21 2Q 21 3Q 21 4Q 21 FY 2021 Sales price Permian Basin 25.09 42.06 46.04 52.37 59.64 51.05 Eagle Ford 29.20 48.85 54.72 59.63 66.10 57.86 Total sales price 26.45 44.01 48.68 54.93…
  30. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 30
    Non-GAAP All-In Cash Margin Per Boe data 1Q 21 2Q 21 3Q 21 4Q 21 Average realized sales price 44.01 48.68 54.93 61.22 Impact of derivative settlements (8.55) (12.37) (12.09) (14.50) Average realized sales price (including impact of…
  31. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 31
    Non-GAAP PV-10 Reconciliation1 As of December 31, 2017 2018 2019 2020 2021 Standardized measure of discounted future net cash flows 1,557 2,941 4,951 2,310 6,251 Add: present value of future income taxes discounted at 10% per annum…
  32. 4Q 2021 Earnings Presentation – Callon Petroleum Co. – slide 32
    Non-GAAP Net Debt Reconciliation1 ( millions) 12/31/20 3/31/21 6/30/21 9/30/21 12/31/21 Total debt 2,969 2,937 2,865 2,810 2,694 Unamortized premiums, discount, and deferred loan costs, net 44 41 38 48 29 Adjusted total debt 3,013…

From the store

Browse maps, data & reports in the Shale Experts store