Accelerating Shareholder Value Transformational Acquisition of Premier DJ Basin Assets February 2025 Prairie Operating Co. 1
Disclaimers and Forward Looking Statements Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities…
Accretive Acquisition Accelerates Shareholder Value Prairie to acquire high-quality DJ Basin Assets from Bayswater for 602.75mm for cash and stock. Transaction Highlights1 Substantial increase in oil-weighted production Provides…
Transformational in Scale, Consistent in Strategy Transaction builds on proven track-record of executing value-accretive acquisitions and represents the logical next step in the continuation of Prairies growth-oriented shareholder value…
Complementary Assets Significantly Increase Production Highly-Attractive Combined Asset Profile1 Liquids-rich production in rural Weld County Blocky position with access to infrastructure and midstream Low-breakeven inventory…
Accelerates High-Return Development in Attractive DJ Basin Prairie Operating Co. Pro Forma Asset Overview Map1,4 DJ Basin Development Cube Target Reservoirs Approx. 1 mile section Pierre Shale Development Cube Niobrara A…
Expanded Footprint with Access to Midstream Takeaway Commodity Midstream Agreement NGL Oil Transport and Sales Agreement Oil Taproot Energy Partners Oil Gathering Agreement Rimrock Energy Partners G&P Agreement Gas Summit…
Optimizes Capital Structure and Improves Liquidity Consideration and Funding Structure Structure Highlights 602.75mm headline purchase price (12/1/2024 effective date) RBL Funding Estimated 500mm cash due to seller at close1 after…
Cements Prairies Differentiated Value Proposition Strategic, Contiguous, Oily Acreage Position in the Heart of the DJ Basin in Rural Weld County DJ Basin Advantage: Low-Cost Operations and Highly-Predictable Well Results…
and Propels Prairies Growth Strategy into its Next Chapter Continued Execution of Organic Growth Based on Accretive Acquisitions Maximizing Returns and Focused on the DJ Basin Capital Efficiency Across Targeting liquids-rich,…
Appendix Prairie Operating Co. 12
Acquisition Significantly Expands PDP Base to Support Development Low base decline supports stable cash flow profile and reduces capex need. Proved Reserves by Commodity (Mmboe) Pro Forma Net Reserves1 Oil NGL Gas Total Liquids…
High-Quality Inventory with Long-Dated Duration Gross Operated Inventory (Locations) Approximately 10 years of inventory runway1 Portfolio of 2 to 3-mile laterals 40-60 626-646 69 586 517 Existing Locations1 Acquired…
Best-in-Class Predictability Drives Dependable, Repeatable Results P10 / P90 Ratio1,2 (x) 13.6x 10.4x 7.4x 6.8x 6.0x 5.0x DJ Permian Powder River Eagle Ford Anadarko Williston Consistency of DJ Basin versus…
Prairies Financial Strategy Focuses on Maximizing Shareholder Value Maximize Margins Focus on Financial Active Hedging Efficiently Allocate & Efficiency Flexibility Program Capital Unbundle AFE costs Maintain conservative Protect…
Assets Strategically-Located in Energy-Friendly / Rural Weld County Advantaged rural locations in Weld County Weld County is the epicenter of Colorado energy ecosystem, responsible for 82%1 of the states oil production…
Responsibly Delivering Energy to the Community Responsible Development Starts at the Leadership That Prioritizes Safety and Wellhead Communication Laying the foundation for producing the Safety starts at the top; has implemented…
Experienced Management Team with Significant Oil & Gas Expertise Edward Kovalik Over 25 years of industry experience Co-Founder, Founder and managing member of KLR Group, an energy merchant bank Chairman & CEO KLR Group founded River…
Non-GAAP Reconciliations Adjusted EBITDA This presentation contains Adjusted EBITDA, which is a financial measure not presented in accordance with U.S. GAAP. Adjusted EBITDA is used by management to evaluate the performance of our…
Adjusted EBITDA Reconciliation The following table reconciles Adjusted EBITDA to net income, which is the most directly comparable financial measure prepared in accordance with GAAP: Prairie Bayswater Total ADJUSTED EBITDA Operating…
PV-10 Reconciliation The following table reconciles PV-10 to the standard measure of discounted future net cash flows, which is the most directly comparable GAAP financial measure: Proved Proved Proved Developed Developed Not Total…
Leverage Reconciliation The following table reconciles our Leverage to expected total short-term and long-term debt outstanding at the closing date, which is the most directly comparable financial measure prepared in accordance with…
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