AUGUST 21, 2023 A Premier Delaware Basin Independent
Transaction Highlights Delaware Basin New P Enhances Position as Premier Delaware Basin Independent Combined business has 400,000 Permian net acres and 300 MBoe/d1 Eddy Mexico Texas P Complementary Core Northern Delaware…
Transaction Overview 223,000 Permian net acres Acquisition 56,000 net acres in the Delaware Basin Overview 167,000 net acres in the Midland Basin Total net production of 133 MBoe/d (41% oil)1 Transaction Value: 4.5 Bn2 All…
Earthstone Acquisition Meets and Exceeds All Investment Criteria Purchased at near PDP value, while adding high-quality Disciplined acquisition strategy inventory Attractive valuation relative to recent private transactions and…
Disciplined Acquisition Strategy Has Led to Enhanced Shareholder Value During the past twelve months, Permian Resources has evaluated 70 transactions, totaling 20 Bn in value. The Earthstone acquisition checks all the boxes of our…
Earthstone High Quality Northern Delaware E&P Undervalued by the Market 1 ESTEs market valuation does not fully reflect the high-quality 3 Earthstones Core Northern Delaware Position Northern Delaware Basin inventory and its strong…
Significant Proven Delaware Basin Value with Material Upside Expanded Core Northern Delaware Position with Upside West Eddy ESTE Acreage Hat Mesa PR Acreage Hat Mesa Primary: Wolfcamp A / XY is well Primary: 1st, 2nd and 3rd Bone…
Substantial Synergies Across Combined Platform Primary Synergies Synergies Timing / Value Category Commentary Timing Annual Value Go-forward D&C savings driven by PRs peer-leading costs DC&F Begins at closing Permian Resources…
Leveraging Delaware Scale and Optimized Operations to Drive Synergies Prioritizing Low-Cost Operations across a Broader Portfolio for Total Expected Operational, G&A and Financial Synergies of 175 Million Annually Drilling…
Strong Balance Sheet with Enhanced Credit Profile Overview Average Senior Unsecured Note Yield to Worst1 Maintains a strong pro forma balance sheet with significant 10% financial flexibility 150 bps YTW spread Potential…
Framework for 2024 Capital Allocation Operational Overview Combined company operating 11 rigs, primarily focused on Delaware Basin Key Priorities Plan to continue Earthstones plan of having 1 of the 2 rigs currently in the Midland…
Business Combination Magnifies Operating Scale Creating One of the Largest Producers in the Permian Basin PR ESTE Pro Forma PR Current Permian Basin Production (MBoe/d) Q2 2023 Enterprise Value (Bn) (2) 9.5 4.5 14.0 800 Total…
Compelling Value Proposition Continues with Premier Assets & Increased Scale EV / 2024E EBITDAX1 12.8x Potential for Multiple Expansion vs. Premier asset quality and inventory depth Permian Pure-Play Peers Significant…
Appendix
Continuing The Plan For Organized, Thoughtful Sponsor Ownership Pro Forma Ownership Sponsor Ownership (%)1 Average Daily Trading Value ( MM) Transaction provides for increased liquidity and trading Similar Sponsor Ownership % Increased…
Continued Execution on Capital Return Strategy Permian Resources is committed to distributing 50% of its quarterly FCF after the base dividend through Total Return of Capital Q223 variable dividends and share repurchases (s in…
Combined Company is Well Positioned for Additional Index Inclusion Total Market Capitalization 1 (Bn) 159 76 Potential Benefits to Increased Index Exposure: 57 56 Increased Visibility 48 Enhanced Credibility Increased Liquidity…
Pro Forma Hedge Book Overview1 Hedge Position Detail Bal. 2023 FY 2024 FY 2025 Q3 Q4 2023 Q1 Q2 Q3 Q4 2024 Q1 Q2 Q3 Q4 2025 WTI Fixed Price Swaps Total Volume (Bbl) 2,240,000 2,401,200 4,641,200 2,011,100 1,974,500 1,978,000…
Reconciliation of Free Cash Flow and Adjusted Free Cash Flow Free Cash Flow Reconciliation1 Based on Cash Capital Expenditures Three Months Ended June 30, ( in thousands) 2023 2022 Net cash provided by operating activities…
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