ANTERO: A PURE PLAY ON THE MARCELLUS / UTICA Marcellus is one of the largest gas fields in the world today Critical Mass In Two Largest gas field in the U.S. producing over 14 Bcf/d today World Class Shale Plays Antero has 35 Tcfe of…
PREMIER UNCONVENTIONAL RESOURCE PLATFORM TOTAL 12/31/13 RESERVES(1) A MARCELLUS SHALE Pure Play Appalachian-Focused Shale Company In Ethane Rejection Net Proved Reserves(1) 7.2 Tcfe 100% operated Net Proved Reserves(1) 7.6 Tcfe Net…
STRONG TRACK RECORD OF GROWTH NET PROVED SEC RESERVES (Bcfe)(2) AVERAGE NET DAILY PRODUCTION (MMcfe/d) (3) Woodford Piceance Marcellus Utica Woodford Piceance Marcellus Utica Guidance 10,000 1,200 8,000 7,632 1,000 950 Sold…
MULTI-YEAR DRILLING INVENTORY SUPPORTS LOW RISK, HIGH RETURN GROWTH PROFILE MARCELLUS SSL WELL ECONOMICS(1) UTICA WELL ECONOMICS(1) 125% 665 858 1000 1,000 200% 250 817 201 211 Total 3P Locations 100% 664 800 85 187% 180 200…
LOWEST FINDING & DEVELOPMENT COST AMONG U.S. PRODUCERS Antero ranks as the most efficient finder of reserves, on a per Mcfe basis, based on a recent 2011-2013 average all-in F&D cost analysis prepared by Credit Suisse 3-Year All-In…
LOW DEVELOPMENT COST DRIVES BEST IN CLASS RECYCLE RATIOS With industry leading F&D costs, Antero also has the highest 3-year average recycle ratio based on a recent analysis prepared by Credit Suisse 3-Year Average Recycle Ratio…
POSITIONED FOR GROWTH & PROFITABILITY Highest Growth & Highest Margin Large Cap E&P Focused On Marcellus & Utica 2014 Projected Growth (%)(1) 1Q 2014 EBITDAX/Mcfe(2) 90% 4.00 80% 3.50 70% 3.00 60% 2.50 50% 2.00 40% 3-Year…
INTEGRATED FIRM PROCESSING & GAS TAKEAWAY Firm Gas Takeaway by 2016(1) Infrastructure and commitments in place to handle strong natural gas, NGL and oil production growth Portfolio of firm transportation and sales and West Virginia…
LONG HAUL PIPELINE & TRANSPORTATION NETWORK Antero has a leading firm transportation capacity position and is well-positioned in the southern portion of the Marcellus and Utica Shale from a gas takeaway perspective Chicago Leidy…
FIRM TRANSPORTATION REDUCES APPALACHIAN BASIS EXPOSURE Anteros firm transportation (FT) portfolio increases visibility on production growth and increases exposure to Gulf Coast and Midwest pricing, with little incremental cost per Mcf…
SIGNIFICANT LONG-TERM COMMODITY HEDGE POSITION NATURAL GAS HEDGES 5/6/2014 BBtu/d /MMBtu Hedged Volume Average Index Hedge Price (/MMBtu)(1) NYMEX Strip (5/6/2014) (/MMBtu) 800 7.00 6.00 4.87 600 4.80 4.71 4.60 4.41 4.33 5.00…
2014E REALIZATIONS ESTIMATED 2014 NATURAL GAS REALIZATIONS (/MCF) 2014E Average Average Average Estimated Average 2014E Average Region % Sales NYMEX Price(3) Differential(2),(3) BTU Upgrade Hedge Gain(3) Realized Gas Price(4) Premium…
INTEGRATED PORTFOLIO OF NGL TAKEAWAY & MARKETS Firm Liquids Takeaway by 2016(1) In addition to local markets, Antero has entered into a number of agreements to diversify its NGL marketing: 51,500 Bbl/d NGL transport, terminaling…
BIGGEST BANG FOR THE BUCK Antero has the highest price realizations and operating cash flow per Mcfe combined with the lowest all-in F&D cost among its large cap Appalachian peers based on 1Q 2014 results Driven by liquids-rich…
ASSET OVERVIEW 17
WORLD CLASS POSITION IN THE CORE OF THE MARCELLUS AND UTICA LIQUIDS-RICH FAIRWAYS ANTERO LIQUIDS-RICH UTICA SHALE Marcellus Utica Shale 115,000 Net Acres Shale Liquids-Rich 27 Horizontals Completed Southwestern Fairway 5 Rigs…
WORLD CLASS MARCELLUS SHALE DEVELOPMENT PROJECT Antero Has Delineated And De-Risked Its Large Scale Acreage Position 100% operated DOTSON UNIT MHR WEESE UNIT BLANCHE UNIT 360,000 net acres in 30-Day Rate 30-Day Rate 30-Day Rate…
MARCELLUS SIMPLE STRUCTURE Several regional anticlines in core area Predictable layer cake geology No faults at Marcellus level Over 1.8 million feet (350 miles) drilled horizontally without crossing a fault 3-D seismic not…
ANTEROS MARCELLUS SHALE TYPE CURVE SUPPORT Antero has over four years of production history to support its 1.5 Bcf/1,000 type curve (non-SSL) Anteros SSL type curve has been increased to 1.7 Bcf/1,000 with only 10% to 15% higher well…
MARCELLUS SINGLE WELL ECONOMICS IN ETHANE REJECTION Assumptions Marcellus SSL Well Economics and Total Gross Locations(1) Natural Gas Current strip 125% 665 1,000 Oil Current strip for 2014/2015, 90 817 858 flat thereafter 100%…
LARGE UNBOOKED ANTERO UTICA DRY GAS POSITION Utica dry gas resource underlies Anteros Marcellus leasehold in WV / PA 139,000 Utica dry gas net acres in West Virginia and Ohio Chesapeake 1,080 locations underlying current Marcellus…
EXCITING CORE UTICA SHALE POSITION DELIVERS CONDENSATE AND NGLS Utica Shale Industry Activity(1) 100% operated GULFPORT 115,000 net acres in the core rich gas / 24-Hour IP Wagner 1-28H, condensate window Shugert 1-1H, 1-12H Average…
ANTERO UTICA SHALE WELLS 30-DAY RATES Outstanding 30-day average rates with high liquids content Anteros wells produced against 1,100 psi line pressure until late January 2014 due to lack of compression facilities First 120 MMcf/d…
UTICA SINGLE WELL ECONOMICS IN ETHANE REJECTION Assumptions Utica Well Economics and Gross Locations(1) Natural Gas - Current strip 200% 250 201 211 Oil Current strip for 2014/2015, 90 Total 3P Locations 150% 85 187% 180 200…
LARGE MIDSTREAM FOOTPRINT Antero Midstream estimated cumulative YE 2014 total capital investment in midstream 1.5 billion Includes gathering lines, compressor stations and water distribution infrastructure Proprietary water…
HEALTH, SAFETY, ENVIRONMENT & COMMUNITY Antero Core Values: Protect Our People, Protect The Environment Strong West Virginia Presence Keys to Execution 79% of Antero Marcellus Antero has more than 4,500 contract employees working…
ANTERO KEY ATTRIBUTES 475,000 Net Acres in the Core Marcellus and Utica Shales Triple Digit Historical Production and Reserve Growth Low Cost Leader / High Return Projects Significant Processing and Takeaway Capacity…
APPENDIX 31
PRO FORMA CAPITALIZATION CAPITALIZATION PF 600 MM Senior Notes ( in millions) 3/31/2014 3/31/2014 (2),(3) Cash 13 13 Senior Secured Revolving Credit Facility 745 431 7.25% Senior Notes Due 2019 260 0 6.00% Senior Notes Due 2020…
ANTERO 2014 GUIDANCE Key 2014 Operating & Financial Assumptions(1) Key Variable 2014 Guidance Range Natural Gas Realized Price Premium to NYMEX (/Mcf)(2) 0.00 - 0.10 NGL Realized Price (% of WTI) 53% - 57% Oil Realized Price…
ANTERO FIRM TRANSPORTATION AND FIRM SALES Columbia Tennessee Momentum III EQT 7/26/2009 9/30/2025 11/1/2015 9/30/2030 9/1/2012 12/31/2023 8/1/2012 6/30/2025 REX/MGT/ANR Firm Sales 1 Firm Sales 2 Firm Sales 3 7/1/2014 12/31/2034…
LOW DEVELOPMENT COST DRIVES BEST IN CLASS RECYCLE RATIOS 3-Year Proved Development Costs (/Mcfe) through 2013 /Mcfe 6.00 Antero Appalachia-Focused Peers Other Peers 5.00 4.00 3.00 2.00 1.60 1.15 1.18 1.21 1.00 0.00…
ANTERO UTICA SHALE WELLS 30-DAY RATES Anteros wells produced against 1,100 psi line pressure until late January 2014 due to lack of compression facilities First 120 MMcf/d compressor station started up in late January 2014 with a…
CONSIDERABLE RESERVE BASE WITH ETHANE OPTIONALITY 40 year proved reserve life based on 2013 production Reserve base provides significant exposure to liquids-rich projects 3P reserves of over 2.2 BBbl of NGLs and condensate in ethane…
MARCELLUS SHALE RICH GAS LIQUIDS AND PROCESSING UPGRADE Marcellus Shale rich gas and highly-rich gas acreage provides a significant advantage in well economics assuming 4.25/MMBtu NYMEX, 90.00/Bbl WTI and current spot NGL…
1Q 2014 REALIZATIONS 1Q 2014 NATURAL GAS REALIZATIONS (/MCF) 1Q 2014 Average Average Average Average 1Q 2014 Average Region % Sales NYMEX Price(3) Differential(2),(3) BTU Upgrade Realized Gas Price(4) Premium Appalachia 90% 4.94…
POSITIVE RATINGS MOMENTUM Moodys / S&P Historical Credit Ratings Moodys Upgrade Criteria S&P Upgrade Criteria An upgrade could be considered if debt / average daily production is The positive outlook reflects the potential for a…
BALANCE SHEET POSITIONED FOR LONG-TERM GROWTH The recent bond offerings, at progressively lower coupons, have allowed Antero to reduce its cost of debt to approximately 5.0% and enhance liquidity while extending the average debt…
MARCELLUS & UTICA ADVANTAGED ECONOMICS Low cost, liquids-rich Utica and Marcellus Shales will remain attractive in most commodity price environments U.S. INCREMENTAL GAS SUPPLY BREAK-EVEN PRICE CURVE(1) Over 2,700 Antero…
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