TVE: TSX-V www.tamarackvalley.ca Establishing Top Tier Sustainable Growth October 2014 1
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…
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…
Year Over Year Delivery 16000 0.70 Completed Completed Oil & liquids Sure Energy Completed Wilson 60 mm equity 14000 acquisition Creek acquisition financing & 0.60 Natural gas Completed 125 mm equity Cash flow per share (debt…
Premier Oil Areas Repeatable, Sustainable, Scalable Viking Oil greater Redwater area Existing TVE Core Areas Play 4 Location confidential 40 net sections Q2/14 Production 1,247 boe/d 190 million barrels OOIP Netback 58-63/boe 60%…
Wilson Creek Transaction Rationale Accretive capture of premier Cardium land position contiguous to existing Tamarack lands, creates seamless integration Leveraging Tamarack advantage Driven CAPEX per well down while achieving top…
Why Wilson Creek is a Premier Acquisition 5000 millions Base Phase 1 Phase 2 Purchase price 168.5 4000 Phase 1 capex (14 wells Q4/14 & Q1/15) 42.0 Phase 2 Drilling Production (boe/d) Infrastructure value (20.0) 3000…
West Central Cardium Summary Accretive Wilson Creek acquisition adds top tier drilling inventory and key facility infrastructure 2014 Farm-in increased net prospective Greater Cardium sections by 900% (132 net Pembina sections)…
Wilson Creek Tamarack Activity and Acquisition Scope Tamarack Program Alder Flats 9-33 currently TVE land Activity has been accelerated producing at restricted rates; Tuck-in land with 9 wells drilled and 10 by June test 750 boe/d…
Wilson Creek Acquisition Infrastructure TVE land Tuck-in land Acquisition land Cardium rights Acquisition land No Cardium rights Legacy TVE wells and Existing Cardium producers acquired wells will enjoy Existing vertical Cardium…
Wilson Creek Tamarack vs. Industry Type Curves 600 Industry avg. oil frac Industry avg. slick water frac 500 TVE Type Curve 2 Based on 2 weeks TVE avg. results to date Calendar day average (boe/d) of prodn TVE Type Curve 1…
Wilson Creek - Cumulative Production by Operator Oil Type Curve (Rate vs Time) First 2 TVE Wells TVE Cum averaged Industry avg. 50,000 bbls in less than 8 months Average Well 48,000 Peers Month 24 31,831 bbls Average Well Month…
Wilson Creek - Drilling & Completion TVE Advantage Drilling & Completion Drilling Completion Cost Per Well Cost Per Meter Cost Per Stage 3,500 600 100 3,260 Completions 14% Drilling 532 3,000 13% 2,868 500 469 1,526 75 72 2,500…
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 Both wells on Licensing Oil well spring break up 2014 prodn mid-July…
Viking Oil Trend Trend is characterized by: High OOIP / sec Virginia Hills Shallow depth TVE 100% North Redwater / Westlock Successful step out well Low gas oil ratios drilled in late 2012 JV with a major (GOR) (TVE 50%) Will…
Growth in Cardium / Viking Drilling Inventory Includes Only Low Risk Locations (85% COS) 600 Wells booked in 2P reserves Total Risked Upside Drilling Locations Risked drilling locations Over 6-8 years of development drilling 500…
Building Credibility - Six Month Review What we said we would do What we did in Objectives for Q214 / Q314 Q214 / Q3 14 Q4 2014 / Q1 2015 Produce 4,700 boe/d average for H1/14; Averaged 4,696 boe/d H1/14; will Exit Q4 /14 9,500…
Summary Tamarack is significantly growing production and reserves with a repeatable predictable program in both the Cardium and Viking plays Well results in 2014 are better than budgeted on both the Cardium and Viking plays Exit…
Why Buy Tamarack Solid track record of per share growth We deliver what we promise 10 consecutive quarters meeting / exceeding guidance A junior company with an intermediate like land base Economically robust drilling inventory…
Appendix 21
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…
Current Hedges as at October 9, 2014 Term Hedge type Counterparty Volume Pricing October 1, 2014 to October 31, 2014 WTI fixed price Macquarie Bank 1,200 bbls/d Cdn 97.85/bbl November 1, 2014 to December 31, 2014 WTI fixed price…
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…
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…
TVE Contact Information Tamarack Valley Energy 3100, 250 6th Avenue SW Calgary AB T2P 3Y7 Tel: 403.263.4440 www.tamarackvalley.ca infotamarackvalley.ca 28
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