Skip to main content August 2014 Investor Presentation – Bonanza Creek Energy, Inc. | Shale Experts
Loading...
Pm

August 2014 Investor Presentation – Bonanza Creek Energy, Inc.

Bonanza Creek Energy, Inc. · Aug 19, 2014 · 28 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. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 1
    Integrity Teamwork Transparency August 2014 Investor Presentation
  2. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 2
    Bonanza Creek Overview Wattenberg Field Market Cap : (1) 2.3 billion (Niobrara & Codell) Enterprise Value(1): 3.0 billion 49 MMBoe 1P(2) Public Float: 78% 66% Oil Rapidly growing 50% YoY forecasted in 2014(2) Strong…
  3. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 3
    Strong Growth and Cash Flow Track Record Proved Reserves(1) (MBoe) Production(1) (Boe/d) 70,000 25,000 60,000 20,000 50,000 40,000 Oil & NGLs 15,000 Natural Gas 30,000 10,000 20,000 5,000 10,000 0 0 2007 2008 2009 2010 2011 2012…
  4. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 4
    Strong Organic Growth Inventory 25 years of Wattenberg 3P inventory (3,500 gross locations) at current drilling pace Niobrara A Bench: first test well scheduled in 2014 Wattenberg Wattenberg Niobrara B Arkansas Cotton Valley North…
  5. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 5
    Wattenberg Niobrara a Premier Oil Resource Play Basin IRRs 80% 74% 71% 70% 66% 65% 63% 62% 60% 55% 53% 51% 51% 50% 43% 41% 39% 40% 35% 32% 32% 32% 29% 29% 28% 27% 27% 30% 26% 25% 24% 20% 10% 0% Futures Strip as of…
  6. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 6
    2014 CapEx Accelerating Wattenberg Value Wattenberg Field HZ Wells Drilled 2014 Capex (MM): 575 625(1) 140 2014 Drilling Program 121 Operated Wells Non-Operated 120 19 Non-Operated Wells 14% Niobrara A 100 80 ERL 9% 60 Codell…
  7. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 7
    2014 Completion Schedule & Annual Guidance Wattenberg HZ Well First Production Schedule(1) Q2 Production on plan: 22,849 Boe/d 40 35 30 Steady completions schedule in Q2 Q4 25 promotes linear growth 20 15 Annual guidance…
  8. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 8
    Wattenberg Field BCEI 70,000 net acres in Extension Area 60% crude oil; liquids-rich natural gas Contiguous acreage attractive for long laterals Two significant acquisitions since 2012 Prospective for Up to Five Stacked Pay…
  9. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 9
    Building Scale in the Wattenberg Field LEGEND Current BCEI Leasehold 126,400 gross (70,100 net) acres Horizontal Wells North Block: 25,700 net BCEI BBG/EOG NBL CRZO Central Block: 35,500 net PDCE OTHER South Block: 8,900…
  10. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 10
    Increasing Value through Innovation Dramatically Improved 40-Acre IPs NEW 28-Stage Completion 500 480 463 400 21% 396 300 305 52% 200 100 IP30 IP60 IP30 IP60 - Avg. Nio B: 18 Stage Nio B: 28 Stage 2014 MRL & XRL Strong…
  11. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 11
    Reserve Life Grows by Acquisition & Technology (1) 308 MMBoe Net HZ Risked 3P Reserves 30% Increase in 3P Reserves over 2012 No 3P reserves currently associated with recent acquisition Inventory life of 25 years at current…
  12. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 12
    Wattenberg Hz Niobrara B Target Type Well Type Well Economics EUR 313 MBoe; 62% crude oil(1) Initial 30-day Rate 458 Boe/d Cost per Well 4.2 MM NPV-10 at 90/BO 4.2 MM Payout 1.5 years ROR Sensitivity to Oil Price(2) (1) EUR…
  13. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 13
    Mid-Continent Operations (Arkansas) Provides free cash flow; allocated to Wattenberg ERA SYSTEM SERIES GROUP FORMATION CENOZOIC EOCENE Claiborne PALEOCENE Wilcox Cotton Valley: 6,500 8,800 feet TERTIARY CRETACEOUS GULFIAN Midway…
  14. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 14
    Dorcheat-Macedonia Economics Type Well Economics 10-acre 5-acre EUR(1) 148 MBoe 118 MBoe % Oil & Liquids 65% 65% Cost per Well 1.8MM 1.8MM NPV-10 1.8MM 1.3MM Payout 1.6 years 1.8 years Risked Locations 110 gross(2) 262 gross(2)…
  15. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 15
    Cotton Valley Lenticular Oil Sands Pin-Point Fracture Technology Focused completion technology Improved recovery of OOIP Highly repeatable Dorcheat Unit 37 25-30 sand/shale sequences Each zone individually pressured Potential…
  16. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 16
    Financial Overview 17
  17. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 17
    Oil Weighted Production Result in High Margins Unit Cash Operating Costs (/Boe) Unit Revenue & Cash Margins (/Boe) 25 80 77.54 4.34 71.85 72.95 20 6.06 68.93 68.47 7.82 60 4.98 15 8.63 4.61 7.51 6.86 40 6.87 10 6.34 57.74…
  18. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 18
    Current Hedge Positions 2014 2015 2016 Crude Oil 11,400 Bbl/d 90.65 10,000 Bbl/d 88.21 5,500 Bbl/d 85.00 Natural Gas 28,000 Mcf/d 4.19 15,000 Mcf/d 4.00 Volume Fixed Price Volume Floor Price Ceiling Price (1) 1,753 Bbl/d in…
  19. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 19
    BCEI Attractive Relative to Basin Peers Unit EBITDAX 2014 Production Growth 70 60% Consensus Production EBITDAX / Boe (MRQ) 60 Peer Group 50% Peer Group Avg: 40% Avg: 50 41.76 25% 30% Growth 40 20% 30 10% 20 0%…
  20. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 20
    Investment Recap 25 years of drilling inventory in Wattenberg Field Peer leading production growth rates Accelerating development with increasing activity levels Ability to fund acceleration while maintaining a strong balance…
  21. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 21
    Corporate Information Company Headquarters Investor Relations 410 17th Street, Suite 1400 James Masters Denver, Colorado 80202 Investor Relations Manager (720) 440-6100 Main (720) 440-6121 jmastersbonanzacrk.com (720) 305-0804…
  22. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 22
    Appendix 23
  23. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 23
    Wattenberg Horizontal Niobrara Economics(1) Target 313 MBoe Type Curve 600 30-day Avg: 458 boepd 550 60-day Avg: 400 boepd 90-day Avg: 355 boepd 500 450 400 350 Boe/d 300 250 200 150 100 50 0 0 12 24 36 48 60…
  24. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 24
    Legacy Acreage Correlation to Wells Ranch Niobrara A Bench Thinner and resistivity less developed A Niobrara B Bench Similar thickness and resistivity A Niobrara C Bench Slightly thinner lower chalk bench; similar resistivity…
  25. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 25
    DJ Basin Midstream Infrastructure Capacity Crude Pipelines and Rail Projects Operator Origination Termination Hub Timing (Bbl/d) White Cliffs Pipeline SemGroup 75,000 Platteville, CO Cushing, OK Existing White Cliffs Expansion SemGroup…
  26. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 26
    Easing High Line Pressures in Wattenberg BCEI Considerations High line pressures caused by constrained gas processing capacity Legacy vertical wells impacted more than newer horizontal wells 95% of BCEI production in Q2 2014 came…
  27. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 27
    Dorcheat-Macedonia Type Curve(1)(2) 120 Recompletions opening additional Cotton Valley oil pay zones up hole 100 80 Boe/d 60 40 20 0 0 12 24 36 48 60 Months 10-acre 5-acre (1) The type curve shows the…
  28. August 2014 Investor Presentation – Bonanza Creek Energy, Inc. – slide 28
    Reconciliation to Adjusted EBITDAX Adjusted EBITDAX is a supplemental non-GAAP financial measure that is used by management and external users of the Companys consolidated financial statements, such as industry analysts, investors,…

From the store

Browse maps, data & reports in the Shale Experts store