2Q 2025 Earnings Conference Call & Webcast August 7, 2025 www.talosenergy.com NYSE: TALO 1
Talos Overview LA TX FL High margin oil weighted production Offshore Gulf of America High quality and stable asset base Infrastructure focused Gulf of America Short cycle offshore drilling inventory Capital discipline MEXICO…
Taloss Enhanced Strategy Transforming Into a Leading Pure-Play E&P Company Three Strategic Pillars Disciplined Capital Allocation Framework INVEST in projects that generate robust returns IMPROVE OUR BUSINESS EVERY DAY throughout…
2Q 2025 Accomplishments Delivering on Our Commitments Announced Taloss Enhanced Strategy Delivered Strong Financial Results Delivered on Major Operational Milestone Advanced Optimal Performance Plan for Cash Delivering Flow…
2Q 2025 and Recent Financial and Operational Highlights 2Q 2025 93.3 MBOE/D 294 MM 126 MM Average Daily Production Adj. EBITDA(1) CAPEX(2) 69% / 77% 35/BOE 99 MM Oil / Liquids Adj. EBITDA/BOE(1) Adj. FCF(1)(3) 0 DRAWN…
Improve Our Business Every Day Optimal Performance Plan for Cash Flow Enhancements CAPITAL MARGIN COMMERCIAL ORGANIZATIONAL EFFICIENCY ENHANCEMENT OPPORTUNITIES IMPROVEMENT Optimize capital planning process and Maximize profit…
Optimal Performance Plan for Cash Flow Enhancements Improving Our Business Every Day Established Early Momentum Targeted Cash Flow Improvement Executing on Planned Opportunities Advancing 2026 Initiatives Estimated Category Breakdown…
Consistently Achieve Top Quartile Ranking for EBITDA Margin One of the highest EBITDA/BOE margins in the E&P sector(1) 2Q 2025: 35 per BOE 2Q 2025E EBITDA Margin 2025E EBITDA Margin Consensus /BOE Consensus /BOE 0 5 10 15 20 25 30 35…
Delivering Operationally KATMAI WEST 2 Initiated Production SUNSPEAR Initiated Production(1) DAENERYS Drilling operations underway MONUMENT Project on track (1) In July, production from Sunspear was temporarily shut in…
Katmai West 2 On-Line and Flowing Tarantula Strategic Elements Lower Miocene Structure Map Talos: 100% WI Katmai West 2 Katmai West 2 tied into and flowing to Tarantula Project delivered on under budget and Katmai West 1 ahead of…
Sunspear Discovery Strategic Elements Structure Map Prince Sunspear tied into the Prince facility Sunspear Initial productive capacity at high-end of 350 Pay Sand expectations and well is still in cleanup A Acres phase Sunspear…
Prioritizing Safety and Environment in Everything We Do Employee Safety TRIR and SIFR Performance 0.35 TRIR 1.0 0.8 In 3.46 MM work hours GOA Average TRIR 0.6 Significantly below GOA average of 0.51 Talos TRIR 0.4 Talos SIFR…
2025 Capital Budget Highlights Robust development projects economic at an average price of 35 per barrel Lowered Upstream CAPEX: 490 - 530 MM P&A 17% Investment in Mexico P&A, Decommissioning on track: 100 - 120 MM 2% Balanced…
Revised 2025 Operational and Financial Guidance Improved full-year 2025 guidance reflects higher production, lower operating expenses and capital expenditures 3Q 2025 production guidance 86 - 90 MBOE/D Previous Revised 2025E…
2025 Production Guidance Considerations 2025E Average Daily Production (MBOE/D) Taloss 2025 guidance accounts for expected production impacts, including maintenance, third-party 100.0+ projects, and timing-related (5.0)…
Talos is Well Hedged Average Daily Hedged Oil Volumes MBO/D Hedge positions help protect 72.62 cash flow in a volatile commodity Realized w/ Hedging 69.86 Realized w/ Hedging 71.42 price environment WTI 63.68 WTI 72.22…
Deliver Shareholder Value Through Disciplined Capital Allocation INVEST in projects that generate robust returns throughout the commodity cycles GROW RETURN via selective accretive up to 50% of growth opportunities annual FCF…
Strong Balance Sheet and No Near-Term Maturities Cash Balance and Debt Maturities Millions Paid down 550 MM of debt in 2024 since closing QuarterNorth 700(2) acquisition, accreting over 3.00 Availability per share to…
Returning Cash to Shareholders Cumulative Value of Shares Repurchased Millions 100 TOTAL 33 6% 67 (1) TOTAL 22 22 45 TOTAL Of OUTSTANDING STOCK 45 45 45 REPURCHASED for 100 MM 2024 1Q 2025 2Q 2025 (1) 10.1 MM…
Daenerys High-Impact Subsalt Miocene Exploration Opportunity Strategic Elements Lower Miocene Structure Map TBD Currently Drilling 23,000 gross acres Large Middle and Lower Miocene 4-way turtle structure Evaluating several host…
Monument High-Impact Subsalt Wilcox Discovery Acquisition of Major Discovery with Material Resource Life Strategic Elements Wilcox Structure Map 2P Reserves Shenandoah Wilcox discovery with two well penetrations (FID Feb 2024) Good…
Ewing Bank 953 Strategic Elements Structure Map Megalodon Discovered 127 ft of net hydrocarbon pay Excellent rock properties and collected pressure and fluid samples Expect production in mid-2026 Current plan is for a short tieback…
Non-GAAP Reconciliations Three Months Ended ( Thousands) June 30, 2025 March 31, 2025 December 31, 2024 September 30, 2024 Reconciliation of Net Income (Loss) to Adjusted EBITDA: Net Income (loss) (185,937) (9,868) (64,508) 88,173…
Non-GAAP Reconciliations Three Months Ended ( Thousands) June 30, 2025 Reconciliation of Adjusted EBITDA to Adjusted Free Cash Flow (before changes in working capital): Adjusted EBITDA 294,247 Capital expenditures (124,061) Plugging &…
Non-GAAP Reconciliations Three Months Ended ( Thousands) June 30, 2025 Reconciliation of General & Administrative Expenses to Adjusted General & Administrative Expenses: Total General and administrative expense 39,430 Transaction and…
Non-GAAP Reconciliations Three Months Ended, June 30, 2025 ( Thousands, except per share amounts) Basic per Share Diluted per Share Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss): Net Income (loss) (185,937) (1.05)…
Non-GAAP Reconciliations ( Thousands) June 30, 2025 Reconciliation of Net Debt: 9.000% Second-Priority Senior Secured Notes due February 2029 625,000 9.375% Second-Priority Senior Secured Notes due February 2031 625,000 Bank Credit…
Talos Hedge Book as of June 30, 2025 Instrument Type Avg. Daily Volume W.A. Swap W.A. Floor W.A. Ceiling Crude WTI (BBLs) (Per BBL) (Per BBL) (Per BBL) July September 2025 Fixed Swaps 25,370 71.57 October December 2025 Fixed Swaps…
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