TVE: TSX-V www.tamarackvalley.ca Establishing Top Tier Sustainable Growth June 2014 1
Executive Summary & Current Message 2014 Q2/14 Update Accelerated our drilling which resulted in most active quarter ever: 3 to 4 rigs operating intermittently during spring break-up 16 (15.4 net) wells have been drilled this quarter…
The Tamarack Team Management Board of Directors Brian Schmidt, President & CEO Floyd Price, Chairman Current: CAPP Chair, IOGC Board Member Current Directorships: Cimarex Energy, Former: Spearpoint Energy (President), Source Energy…
Year Over Year Delivery 7000 0.45 Completed Natural gas Completed 60 mm equity 0.40 6000 Oil & liquids Sure acquisition financing Cash flow per share (debt adjusted) 0.35 Cash flow per share (debt adjusted) 5000 0.30…
Tamaracks Strategy 1. Select the Right Real Estate Non - Select high hydrocarbon in place Resource Play Conventional (4 mmboe or 25 bcf per section) Tamarack Tight Sands (Cardium, Viking, Demonstrate success in analogs Deep…
Tamarack Perspective and Culture 1. Build a sustainable, predictable and reliable growth company Full cycle rate of return driven Development inventory with payout 1 to 1.5 years maximum (top quartile in the industry) Clear line of…
Premier Oil Areas Repeatable, Sustainable, Scalable Existing TVE Core Areas Play 4 Location confidential Viking Oil greater Redwater area 23 net sections Q1/14 Production 1,015 boe/d 110 million barrels OOIP Netback 58-63/boe 60%…
Overview Large Top well Top tier cost undeveloped/ Sustainable results in core management un-booked growth model assets inventory Cardium (1 to 1.5 mile wells) 3.25-4.4 mm/well Avg. payback 8-14 mo. Over 82,000 undeveloped…
Tuck-in Deals Have Replaced 2014 Drilling to Date Acquisition Estimated Tuck-in Deals Capital / Gross Net Net Area Royalty % Liquids To May 30, 2014 Gross Locations Locations Reserves Acreage Size (mboe) Land acquisition Blue…
Growth in Drilling Scope Risked Development Drilling Locations (85% COS) Wells booked in 2P reserves Risked drilling locations 400 Total Risked Upside Drilling Locations 365 369.3 Over 10 years of development drilling 350…
West Central Cardium Summary Farm in increased net prospective Cardium sections by 900% (132 net sections) Drilling results are exceeding area performance and budgeted Pembina expectations TVE Cardium production is sent to 9…
Greater Pembina Area Results Normalized Average Well Production (boe/d) 600 Budget type curve 500 Actual production ACTUAL PRODUCTION Unconstrained production UNCONSTRAINED PRODUCTION 400 120 day IP budget 252 boe/d…
Alder Flats & Wilson Creek Alder Flats 9-33 producing at TVE farm-in lands Activity has been accelerated restricted rates Increased working interest with 5 wells now drilled and 6 Hz well Licensing by Q3 (4 wells are currently Oil…
Brazeau & Blue Rapids Pad drilling in Blue On prodn Apr/14 TVE farm-in lands Increased working interest Rapids enabled fracing Hz well and drilling through Currently Licensing Oil well spring break up drilling Blue Rapids 15…
Viking Oil Trend Trend is characterized by: Virginia Hills TVE High OOIP / sec 100% North Redwater / Westlock Successful step out well Shallow depth JV with a major drilled in late 2012 Will drill in 2014 without Low gas oil…
Redwater 2014 program was accelerated one quarter due to better spring break-up conditions No additional costs were incurred due to weather in the 2nd quarter 2014 program has 13 (12.2 net) wells drilled to date and drilling last 3…
Redwater Area Results Normalized Average Well Production (boe/d) Includes Three 1-mile Wells 160 Budget 140 Current forecast CURRENT FORECAST 120 120 day IP budget 61 boe/d 120 day actual/estimate 90 boe/d (+48%) Gross…
Upcoming Catalysts TVE finished its most active quarter (Q2/14) in the history of the company; results will be the topic in August / September, 2014 9 (6.3 net) Cardium wells and 7 (6.7 net) Viking wells were put on production to…
Building Credibility - Six Month Review What we said we would do What we did in Objectives for Q413 / Q114 Q4 2013 Q2 / Q3 2014 Produce 4,050+ boe/d average Achieved 2013 production guidance and Produce 4,700 boe/d average for…
Summary Tamarack is growing production and reserves with a repeatable predictable program in both the Cardium and Viking plays Well results are better than budgeted on both the Cardium and Viking plays Guidance is unchanged at…
Booked Farm-in Reserves Will Increase with Production History Alder Flats 9-33 Current Booking 760 mboe 2.8 mmboe of reserves were booked on the farm-in lands PUD Only 6.75 net wells were booked PDP out of the identified 120…
Current Hedges as at May 30 2014 Term Hedge type Counterparty Volume Pricing January 1, 2014 to March 31, 2014 WTI fixed price Macquarie Bank 1,100 bbls/d Cdn 95.70/bbl April 1, 2014 to June 30, 2014 WTI fixed price Macquarie Bank…
Building Credibility - Six Month Review What we said we would do What we did Objectives for Q2/Q3 2013 Q2/Q3 2013 Q413 / Q114 Live within means, keep debt/CF Achieved YE target: Debt/CF dropped to Produce 4,050+ boe/d average for…
Building Credibility - Six Month Review What we said wed do for Q4/12 to Q1/13 What we did Q4/12 to Q1/13 Live within means keep debt at acceptable levels Focused drilling on wells…
Farm-in Analysis Land cost is approximately 1,200/acre (excluding benefit of TVE processing fee advantage) Pay only for land on what you drill, when you drill; efficient way to gain access to a large block of land Using drilling…
TVE Contact Information Tamarack Valley Energy 3100, 250 6th Avenue SW Calgary AB T2P 3Y7 Tel: 403.263.4440 www.tamarackvalley.ca infotamarackvalley.ca 29
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