VERMILION ENERGY GLOBAL GAS PRODUCER FREE CASH FLOW FOCUSED INVESTOR PRESENTATION FINANCIAL DISCIPLINE JUNE 2025
VERMILION AT A GLANCE H2/25E PRODUCTION(2) Market Summary VET Trading Price (June 5, 2025) 9.55 (TSX), US6.97 (NYSE) Oil 9% Shares Outstanding (May 31, 2025) 154.2 MM Average Daily Trading Volume (shares) 0.8 MM (TSX), 1.2 MM…
GLOBAL GAS ADVANTAGE Global gas producer with 30 years operating in Europe and North America Diversified portfolio delivers outsized FCF(1) through direct exposure to global commodity prices and enhanced capital allocation…
KEY UPDATES Deep Basin Closed Westbrick acquisition in Q1/25, adds 50,000 boe/d of production and 0.8 million net acres o Identified 100MM NPV10(1) of incremental synergies post-acquisition, anticipate further synergies Montney…
DIVESTMENT UPDATE Announced sales of Saskatchewan and Wyoming assets for total cash proceeds of 535 million o Assets consist of 16,000 boe/d (84% liquids) with 40 mmboe of PDP reserves Net proceeds from the divestments to be…
UPDATED GUIDANCE ORIGINAL 2025 POST-WBE 2025 CURRENT 2025 CATEGORY GUIDANCE(1) GUIDANCE(1) GUIDANCE(1) Production (boe/d) 84,000 88,000 125,000 130,000 117,000 122,000 % Natural gas 56% 62% 65% E&D capital expenditures (MM) 600…
GLOBAL GAS PRODUCER: GROWTH ASSETS 7
ADVANCING OUR GLOBAL GAS STRATEGY Deep Basin 4th largest Alberta Deep Basin producer Incremental Westbrick synergies post-close 100MM (NPV10)(1) (15+ years of inventory) Inventory to grow production to 80,000 boe/d, maintain for 15+…
DOMINANT ALBERTA DEEP BASIN POSITION Prominent Deep Basin producer, over 1.1 million net acres of land with 15+ years of inventory Source: Land information sourced from XI Technologies Asset Book. 9
WESTBRICK SYNERGIES Closed Westbrick acquisition in February 2025, integration progressing ahead of plan Identified incremental 100 million (NPV10)(1) of operational and development synergies to date o Anticipate additional…
PREMIUM MONTNEY ACREAGE VET owns 22% of CEI.V* Oil Wet Gas Dry Gas A significant and contiguous premium acreage block in the oil window of the Montney Source: Land information sourced from XI Technologies Asset Book *…
MONTNEY DEVELOPMENT Long-term development plans target production base of 28,000 boe/d with majority of future development occurring in BC Infrastructure largely in place 4-3 Battery 8-33 Battery o Constructed 16,000 boe/d 8-33…
MONTNEY COST OPTIMIZATION BC MONTNEY AVERAGE WELL COST DCET(1) cost reduced to 9.0MM (from 14 9.6MM), line of sight to further cost improvements 12 o Improves project economics, represents 50 10 million (NPV10)(2) in future…
GERMANY EXPLORATION POTENTIAL Identified 9 structures to date and Deep Gas Exploration have drilled 3, potential for up to Type Well (1.0 Net) 30 total locations with success Vertical Depth (m) 5,000 DCET Cost (MM) 40 50 EUR…
GERMANY 2024 EXPLORATION SUCCESS PRODUCTION FROM CURRENT DISCOVERIES 2024 Exploration Program Results 6,000 Three prospects drilled to date: 5,000 o Osterheide (100% WI) - tested at 17 mmcf/d(1), currently on BOE/D ( NET)(4)…
OSTERHEIDE PRODUCTION Osterheide well was brought on stream at the end of Q1/25 Produced at restricted rate of 1,200 boe/d(1) during the first month on production o Above original constrained expectations Expect production to…
WISSELSHORST DEVELOPMENT UPSIDE Wisselshort is the largest structure Vermilion has discovered in Europe o Estimated to contain 380 Bcf gas in place (240 Bcf net)(1) Discovery well Multi-year development plan with 2P reserves 68…
CAPITAL ALLOCATION 20 20
CAPITAL ALLOCATION PRIORITIES Provide Target long-term Maintain Strong Maintain Robust Compounding value-add acquisition Balance Sheet Asset Base Shareholder Returns opportunities Rolling 10+ year Sustainable base dividend Focus…
FINANCIAL LIQUIDITY HISTORICAL NET DEBT TO FFO CURRENT CREDIT CAPACITY(2) 4.0x 3.5x 575MM 3.0x Available Liquidity NET DEBT TO FFO RATIO(1) of 1,021MM 2.5x 575MM 2.0x Committed to returning to 1.5x 1.0x leverage 329MM…
FFO GENERATION NET DEBT VS FFO(1) 1,500 150 117 122 mboe/d 1,250 125 PRODUCTION (000 BOE/D) 1,000 100 MM 750 75 500 50 250 25 0 0 2023 2024 2025e Net Debt to Trailing FFO 0.9x 0.8x 1.3x FFO (/basic share) 6.98 7.63…
STRONG HEDGE POSITION 2025 2026 PERCENTAGE OF PRODUCTION HEDGED (%)(1) PERCENTAGE OF PRODUCTION HEDGED (%)(1) 100% 100% 90% 90% 80% 80% 70% 70% 60% 60% 50% 50% 40% 40% 30% 30% 20% 20% 10% 10% 0% 0% Crude Oil…
COMPOUNDING RETURN OF CAPITAL ANNUAL DIVIDEND PER SHARE VS. SHARE COUNT 0.80 165 SHARES OUTSTANDING (MM) DIVIDENDS PER SHARE 0.60 160 0.40 155 0.20 150 0.00 145 2022 2023 2024 2025e Annualized Dividend per Share…
GLOBAL GAS PRODUCER ADVANTAGE 26
ADVANTAGES OF GLOBAL GAS Q1 2025 PF REALIZED NATURAL GAS PRICE(1) 6 TOP DECILE REALIZED PRICES REALIZED NAT. GAS PRICE (/MCF) 5 4 AVERAGE (EXCL VET) = 3.24 DIRECT EXPOSURE TO PREMIUM PRICING 3 2 OPPORTUNITY TO ACQUIRE…
EUROPEAN GAS OPERATING NETBACKS VERMILION 2025E OPERATING NETBACK 100 80 60 / BOE* 40 20 0 Ireland Netherlands Croatia Germany (100% Gas) (99% Gas) (100% Gas) (69% Gas) European gas assets generate strong…
EUROPEAN GAS PRICE ADVANTAGE HISTORICAL AND FORWARD PRICING OF EUROPEAN GAS 60 50 Euro Gas 2025 2026 TTF GAS PRICES (C/MMBTU) % Hedged 54% 49% 40 Average Floor 17 14 30 20 10 0 2017 2018 2019 2020 2021 2022 2023 2024…
EUROPEAN GAS FUNDAMENTALS EUROPEAN SUPPLY/DEMAND BALANCE HISTORY** 80 Winter 2023 demand down 10 Bcf/d Europe* consumes 40 Bcf/d per annum, with 30 Bcf/d due to 2nd warmest winter, government policy, and extremely high prices swing…
CANADIAN GAS FUNDAMENTALS West Coast Canadian LNG(1) North American Power Demand Natural gas demand for Canadian LNG is expected to Increased power associated with datacenter development increase notably by end of decade (6.0 bcf/d)…
GAS MARKETING SUMMARY GAS PRODUCTION BY REGION* NATURAL GAS PRICE EXPOSURE** Europe Europe 23% 23% AECO 34% Alliance 7% North America 77% N.A. Hedges 36% AECO N.A. HEDGES ALLIANCE EUROPE (TTF/THE/NBP) Global gas…
NORTH AMERICAN LIQUIDS-RICH GAS ADVANTAGE REALIZED PRICING (DEEP BASIN + MONTNEY) 60 Vermilions liquids-rich gas assets offer Over the past decade, Vermilions Deep Basin and Montney assets significantly higher realized price and…
ASSET OVERVIEW 34
EUROPE NETHERLANDS 2 onshore gas producer IRELAND 700,000 net acres of undeveloped land 56.5% operated interest in the Corrib Natural Gas Project Q1 2025 production = 4,020 boe/d (99% gas) Corrib represents 100% of Irelands…
AUSTRALIA 100% operated interest in Wandoo, an offshore oil field approximately 80 km N.W. off the coast of Australia (55m water depth) Horizontal well development with 23 producing wellbores and five dual lateral sidetracks tied…
NORTH AMERICA CANADA Q1 2025 production = 69,721 boe/d (38% liquids) Q1 2025 PF production = 104,236 boe/d (33% liquids) MONTNEY DEEP BASIN Targeting liquids-rich gas in the Targeting light oil and Peace River Arch straddling the…
ESG & SUSTAINABILITY 38
ENVIRONMENT, SOCIAL AND GOVERNANCE EMISSIONS INTENSITY TREND Vermilions Purpose: 0.030 Scope 1&2 tCO2e per BOE To responsibly produce essential energy 0.025 while delivering long-term value to our people, shareholders, customers,…
REDUCED WELL COUNT TOTAL WELL COUNT 6,000 5,000 Total well count has been reduced by 50% since 2022 through asset high-grading and WELL COUNT (NET)(1) 4,000 asset retirement obligation expenditures Average production per…
SUSTAINABILITY PROJECTS Advancing environmental projects in communities where we live and work PARENTIS SUSTAINABILITY PARTNERSHIP LA TESTE ECO-NEIGHBOURHOOD Our oil operations provide 40 GWh of Our oil operations provide 1.2 GWh of…
SUMMARY Global gas producer with 30 years operating in Europe and North America Diversified portfolio delivers outsized FCF(1) through direct exposure to global commodity prices and enhanced capital allocation optionality Robust…
Loading...
