Skip to main content Investor Upate – Whitecap Resources Inc. Investor Presentation | Shale Experts
Loading...
Pm

Investor Upate – Whitecap Resources Inc.

Whitecap Resources Inc. · Jan 15, 2015 · 29 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. Investor Upate – Whitecap Resources Inc. – slide 1
    SUCCESS FOCUS = + + MOTIVATED PEOPLE QUALITY ASSETS SUSTAINABLE LIGHT OIL GROWTH + INCOME PLATFORM January 2015
  2. Investor Upate – Whitecap Resources Inc. – slide 2
    Whitecap Profile TSX: WCP Shares outstanding (MM) Basic 253.5 Fully diluted 258.6 Market capitalization (B) 2.7 Annual dividend (/share) 0.75 2015 average production (boe/d) 37,500 % oil + NGLs 76% 2015 netback (/boe) Operating…
  3. Investor Upate – Whitecap Resources Inc. – slide 3
    Managing the Current Low Price Environment Balance Sheet Strength Managing Production Growth Rate Capital Discipline Monitoring Cost of Services Total Payout Ratio Focus Long Term Sustainability Objective 3
  4. Investor Upate – Whitecap Resources Inc. – slide 4
    Total Shareholder Return 10% / Annum MOTIVATED PEOPLE + QUALITY ASSETS + FOCUS = SUCCESS Founding Principles Employees are shareholders Light oil focus Per share growth (cash flow, production, reserves and NAV) Execution…
  5. Investor Upate – Whitecap Resources Inc. – slide 5
    WCP Employee Share Ownership Total Employee Ownership 9,000,000 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 2009 2010 2011 2012 2013 2014 Since 2009 insiders increased…
  6. Investor Upate – Whitecap Resources Inc. – slide 6
    Results and Track Record Production/Share Growth 2P Reserves/Share Growth 40,000 180 250,000 2013 F&D Costs 900 144 TP P+P 793 35,000 160 Incl. FDC 20.31 16.96 746 800 137 130 140 200,000 P+P Recycle Ratio = 2.3x 700 643 30,000…
  7. Investor Upate – Whitecap Resources Inc. – slide 7
    Results and Track Record Cash Flow/Share Growth 600.0 2.50 500.0 2.03 1.78 1.84 2.00 1.68 400.0 (Cash Flow / share fd) 1.34 1.50 300.0 (MM) 480.0 461.0 1.00 200.0 0.48 278.8 0.50 100.0 193.9 87.2 11.3 0.0…
  8. Investor Upate – Whitecap Resources Inc. – slide 8
    7 Key Attributes to WCP Growth + Dividend Strategy Focus on organic per share growth (3 - 5% per year) within cash flow, supplement with accretive acquisitions Conservative total payout ratio and strong balance sheet Provide…
  9. Investor Upate – Whitecap Resources Inc. – slide 9
    Growth Within Cash Flow Sustainable Asset Base 2015 Free Cash Flow by Area 175 150 125 100 78 38 50 75 5 129 108 50 73 92 51 58 78 25 54 0 Saskatchewan SW AB Pembina NW AB/BC Operating Income Development Capital…
  10. Investor Upate – Whitecap Resources Inc. – slide 10
    2015 Development Capital 2015 Capex by Area (%) 2015 Well Count (gross) Saskatchewan 100 SW AB 90 22% 21% Other 80 3% 70 55 60 50 30% 40 24% 20 30 15 20 11 NW AB/BC 10 0 Pembina Sask SW AB Pembina NW AB/BC 2015e…
  11. Investor Upate – Whitecap Resources Inc. – slide 11
    Predictable and Stable Production Base Base and new well production is predictable and repeatable High level of certainty of achieving forecasted volumes Key characteristics: Areally consistent reservoirs Large resource in place,…
  12. Investor Upate – Whitecap Resources Inc. – slide 12
    Financial Prudence and Risk Management C98.61 C98.61 C97.15 C97.15 15,000 100.00 12,500 95.00 Oil Hedges 10,000 90.00 C/bbl WTI 7,500 bbls/d 85.00 5,000 Objective: 80.00 2,500 1) Mitigate price volatility -…
  13. Investor Upate – Whitecap Resources Inc. – slide 13
    Sensitivities 2015 Cash Flow Sensitivities and Assumptions Parameter Annual Base Sensitivity Impact (000s) Oil price (USWTI) 65.00 +/- 1.00 4,700 Gas price (C/GJ AECO) 2.50 +/- 0.10 1,200 Production (boe/d) 37,500 +/- 100…
  14. Investor Upate – Whitecap Resources Inc. – slide 14
    2015 Whitecap Sustainability Oil (USWTI) 45.00 55.00 65.00 75.00 Edm Par Diff (USWTI) (7.00) (7.00) (7.00) (7.00) FX (C/US) 0.81 0.83 0.85 0.87 AECO (C) 2.50 2.50 2.50 2.50 CF netback (/boe) 26.75 29.90 33.00 35.70 Average…
  15. Investor Upate – Whitecap Resources Inc. – slide 15
    Core Areas of Operations Development Inventory 2,229 Boundary Drilling inventory 115 2014/15 wells 0/8 Oil New well netback (/boe) 43 100% Light Oil 10+ Years inventory Drilling inventory 60 Montney 2014/15 wells 2/0 BRITISH…
  16. Investor Upate – Whitecap Resources Inc. – slide 16
    Elnora Nisku Oil Acquisition Recently consolidated to 100% WI Operated, 35o API light sweet oil, focused asset Largest Nisku oil discovery in the past 20 years Elnora Free Cash Flow 70 Nisku zone at 1,900m depth, 18 30m thick…
  17. Investor Upate – Whitecap Resources Inc. – slide 17
    Cardium Horizontal Resource Play Cardium oil resource play repeatable and expandable Edmonton Light sweet oil (39 API) West Pembina East Pembina Strong operating and cash flow netbacks (47 - 51/boe) Low risk optimization of 7…
  18. Investor Upate – Whitecap Resources Inc. – slide 18
    West Pembina Cardium Legacy Characteristics Unitized waterfloods, 38o API light oil, 1,700m depth 6 Units (46 100% WI) Industry Hz Wells Acquired Hz Wells 83% oil + NGLs WCP Drilling CPDU1 79.1% Non-Unit Lands Average base decline…
  19. Investor Upate – Whitecap Resources Inc. – slide 19
    Exceptional Type Curve Economics East Pembina Garrington Garrington West Pembina Type Well Economics Cardium Cardium (Standard) Cardium (ERH) Cardium DCE&T (MM) 2.50 3.00 3.60 3.00 Production, IP30 (boe/d) 230 320 476 317…
  20. Investor Upate – Whitecap Resources Inc. – slide 20
    Western Saskatchewan Viking Oil Light oil (36 API) Viking resource play Type Well Economics Lucky Hills/Viking Strong capital efficiencies, short payout periods Decline mitigation via waterflood SASKATCHEWAN Type A Type B Improving…
  21. Investor Upate – Whitecap Resources Inc. – slide 21
    Deep Basin Dunvegan Oil Dunvegan light oil (39 - 42 API) Recently expanded opportunity base Dunvegan Type Curves 500 Play characteristics 416 boe/d 400 IP30 Large OOIP of 6 to 15.5 MMboe/section Exceptional reservoir quality:…
  22. Investor Upate – Whitecap Resources Inc. – slide 22
    Exceptional Type Curve Economics Elmworth Karr/Simonette Type Well Economics Dunvegan Dunvegan DCE&T (MM) 3.25 4.30 Production, IP30 (boe/d) 293 543 Production, IP365 (boe/d) 174 264 P+PA Reserves (Mboe) 431 514 Year 1 Oil +…
  23. Investor Upate – Whitecap Resources Inc. – slide 23
    Boundary Lake Asset Characteristics Operated, 35o API light oil, focused land base Boundary Lake WI Production Avg 54% WI in 3 operated units Boundary Lake zone at 1,300m depth 43/boe netback (91% oil + NGLs) 5% decline Current: 254…
  24. Investor Upate – Whitecap Resources Inc. – slide 24
    Exceptional Type Curve Economics Boundary Boundary Type Well Economics Vertical Horizontal DCE&T (MM) 1.20 1.80 Production, IP30 (boe/d) 32 80 Production, IP365 (boe/d) 30 74 P+PA Reserves (Mboe) 107 214 Year 1 Oil + NGLs (%)…
  25. Investor Upate – Whitecap Resources Inc. – slide 25
    Economic Sensitivities to WTI US/bbl Profit to Investment Ratio Rate of Return 2.5 400% 2.3 2.0 350% 1.8 300% 1.5 1.3 250% 1.0 200% 0.8 150% 0.5 0.3 100% 0.0 50% -0.3 -0.5 0% 50 60 70 80 90 100 50 60 70 80 90 100…
  26. Investor Upate – Whitecap Resources Inc. – slide 26
    2015 Outlook 2013 2014e 2015e Operational Average production (boe/d) 19,769 32,050 37,500 Development capital (MM) 190 330 245 Wells drilled (gross) 100 167 101 Financial Cash flow netback (/boe) 38.64 41.00 33.00 Cash flow (MM) 279…
  27. Investor Upate – Whitecap Resources Inc. – slide 27
    The Whitecap Investment Opportunity Visible growth per share; CF, production, reserves, NAV Growth 10+ years high netback light oil development drilling locations Meaningful and consistent monthly dividends without DRIP Income…
  28. Investor Upate – Whitecap Resources Inc. – slide 28
    Research Coverage Current Price Targets AltaCorp Capital Inc. 15.00 GMP Securities 17.50 Barclays 18.00 Macquarie Equity Research 19.00 BMO 13.00 National Bank Financial 18.00 CIBC World Markets Inc. 18.50 Peters & Co. 15.00…
  29. Investor Upate – Whitecap Resources Inc. – slide 29
    TSX:WCP www.wcap.ca January 15, 2015 29

From the store

Browse maps, data & reports in the Shale Experts store