2014 Barclays CEO Energy/Power Conference September 2, 2014 New York, NY
W&T Offshore Overview (NYSE: WTI) Financial Summary Track Record of Growth Financial Overview Twelve M onths Ended 6/30/14 12/31/13 Revenue 1,007.0 984.1 Production Adjusted EBITDA Adjusted EBITDA (1) 637.0 606.7 (MMBoe) ( in…
Premium Assets in Three Prolific Basins Deepwater Gulf of Mexico 575,000 gross acres (287,000 net acres) 38% of daily production 1P reserves of 25.2 MMBoe + 1.9 MMBoe of 1P reserves for Neptune (from Woodside) 2P reserves of 41.5…
Incremental Cash Flow Associated with Probable and Possible Reserves (1) Probables and Possibles provide hidden value and significant upside PV-10 of Probable and Possible Reserves 2,894 3,000 902 Million PV-10 Created Possibles…
Proved Reserve Bookings Example 5
3P Reserves of 222 MMBoe Provides Long Term Value Yet to be included in this analysis are all of the reserves from recent discoveries such as Dantzler and Troubadour, multiple target benches for Permian acreage or the Neptune…
Net Asset Value Estimate Current stock price is 14.40 (as of 8/25/14 close) Our estimate of Net Asset Value per share (1) is substantially greater than the current stock price More upside in full probable and possible value and all…
High Impact Projects Drive Long-Term Growth Deepwater success will add significant value over next several years Recent large discoveries yield multi-year reserve additions Provides increased visibility of future growth Planned…
2014 Capital Expenditures Budget Increased to 635 million Revised Capital Budget Allocation Increased Budget For Quality, High Impact Projects ____________________ Deepwater GOM development at Big Bend and Dantzler. Revised budget…
Deepwater Gulf of Mexico 10
Deepwater Acquisitions Drives Growth Through acquisitions and lease sales, W&T now holds interests in 575,000 gross / 287,000 net acres in the deepwater of the Gulf of Mexico - 40% of total net offshore acres Newfield Woodside…
Significant Growth in the Deepwater GOM Between 2009 and 2013, average deepwater production has grown nearly 700% and proved reserves(1) are up 320%. Gross Acres have increased 378% from 2009 to now. (1) 2013 year-end proved…
Well Positioned in the Deepwater GOM MC 538/582 Medusa VK 822/823 Virgo VK 783/784 Tahoe Cum Gross Prod: 62.8 MMBoe Cum Gross Prod: 21.4 MMBoe Cum Gross Prod: 95.3 MMBoe Aver Gross Prod: 6.3 MBoepd Aver Gross Prod: 2.4 MBoepd Aver…
Deepwater Success MC 698 Big Bend MC 698 Big Bend (working interest 20%) Located about 165 miles SSE of New Orleans, LA Gross resource estimate of 30 to 65 MC 698 Big Bend MMBoe with potential additional 30 Sub-sea tie back 50…
Deepwater Success MC 782 Dantzler MC 782 Dantzler (working interest 20%) Located about 160 miles SSE of New Orleans, LA Two oil discovery wells MC 699 The Dantzler 2 appraisal well encountered Troubadour 122 net feet of crude oil…
Exploration Opportunities at MC 538 Medusa Medusa (MC 538/582) acquired in 2013 (WI: 15%; NRI: 15%*) Current daily production of roughly 1,100 Boepd net to W&T (85% oil) Medusa spar is also the host facility for the W&T owned…
Neptune Field Neptune Field (WI: 20.0%, NRI: 17.5%) Atwater Valley 574, 575 and 618 Current estimated daily production rate of 1,700 Boe, net to W&Ts interest Water depth of 6,200; TLP is situated on Block 574 where the water depth…
Neptune Field and Other Woodside Acquisition Upside Neptune Upside Additional Woodside Acquisition Upside Drilling Northern half of field has never been tested Additional drilling potential exists on other due to salt overhang.…
Multi Well Potential at Ewing Bank 910 EW 910 Field Current Drilling Plans Water depth of 560 feet Initial two well drilling program in a 50% / 50% JV, Cumulative field production of 15 with potential for third well thereafter, in…
Deepwater GOM Production Growth Outlook 25 Deepwater production, predominantly oil, is expected to grow over 50% to 20 a rate of 23,500 Boe per day in January 2016(2) 15 Repeatable deepwater growth Mboe per day We anticipate…
Gulf of Mexico Shelf 21
Well Positioned on Shelf SS 208 Cum Gross Prod: 453.1 MMBoe Aver Gross Prod: 7.3 MBoepd MP 98 & MP 108 HI 111 Company Operated Cum Gross Prod: 50.4 MMBoe Cum Gross Prod: 80.0 MMBoe Aver Gross Prod: 5.6 MBoepd Aver Gross Prod: 2.5…
GOM Shelf Exploration at Ship Shoal 349 SS 349 Mahogany 2014 Activity at SS 349 Continued Sub-Salt Exploration & Development Success SS 349 A-17 SS 349 A-6 (WI: 100%, NRI: 83.3%) Exploration well targeting new P-sand Recomplete…
Development GOM Shelf SS 359 A14 Log SS 349 Mahogany A-16 Well SS 349 A Platform A Bring forward production from M sand zones identified above the T-sand in the A-14 well (WI: 100%, NRI: 83.3%) N sand A4 ST Targets the M, N, O, and P…
Mahoganys prolific P & T Sand Mahogany's primary field pay P Sand has cumulatively produced 22.5 MMBO since 1997 from multiple wells T Sand is 3,000 feet deeper and better quality than P Sand Upside potential up-dip from incremental…
Mahogany A-14 T-Sand Strong Production Current Rate is 3,192 Boe net (3,830 gross) Production is 75% crude oil Cumulative production 1,130,000 Boe net Steady production indicates strong water drive and/or large reservoir Bottom hole…
Exploration GOM Shelf EC 321 A & B platforms EC 321 A-2 ST (WI: 100%, NRI: 83.3%) EC 321 A-2 ST Summary Targeting new reserves in the Lentic 1 sand by drilling a side- track from the existing A-2 well bore Target well depth…
Permian Basin (Yellow Rose) 28
Permian Basin: Overview of Asset and Activity Permian Basin (WI: 100%, NRI: 78%) 32,000 net acres with 26,000 highly contiguous net acres in the heart of the Northern Midland Basin portion of the Permian Basin 2014 Capital Budget…
Permian Basin Northern Midland Basin Portion W&Ts approximately 28,000 gross acre leasehold in the Yellow Rose Field is located in the Northern Midland Basin, slightly east of the basin axis. Deep position allows for higher…
Stacked Lateral Drilling W&T is moving towards multi-well pad drilling with stacked laterals to efficiently unlock the value of the stacked pay resource potential. 31
Significant Activity Near W&T Acreage WELLS DRILLED AND TESTED HORIZONTAL PERMITS SM Energy Tatonka 1H 549 Boepd (6,400 lateral) FANG Bumble Unit 1H (awaiting completion) Diamondback Energy Kent County School 1701H SM Energy UL…
Permian Basin Horizontal Well Fracture Stimulation Currently evaluating both hybrid and slickwater fracture stimulation treatments to stimulate our horizontal wells On the last five horizontal wells we have performed two slickwater…
Liquidity Available for Further Growth Revolving bank credit facility of 1.2 billion with an 750 million borrowing base Borrowing base(1) at 750 million with facility maturity of Nov. 2018 Improved terms on the credit facility…
Drilling Within Cash Flow Historically, we have not borrowed money for drilling ( in millions) 36
Returning Cash to Investors W&T has paid three Dividends and Yield normal quarterly dividends of 0.10 per 4 year average yield is 5.0% share in 2014 (Paid in March and June 2014 and declared for September 2014) Four year average…
How We Provide Value to Our Investors Continued focus on organic growth activity Active exploration program providing significant potential for reserve additions Disciplined approach: drill within cash flow Balanced Asset Development…
Net Asset Value Estimate Current stock price is 14.40 (as of 8/25/14 close) Our estimate of Net Asset Value per share (1) is substantially greater than the current stock price More upside in full probable and possible value and all…
Reconciliation of Net Income to EBITDA The following table presents a reconciliation of our consolidated net income to consolidated EBITDA to Adjusted EBITDA: Twelve Months Ended Six Months Ended June 30, Year Ended December 31, (…
2014 Guidance ( in millions) Third Quarter Full Year Estim ated Production 2014 2014 Oil and NGLs (MMBbls) 1.9 - 2.1 8.7 - 8.9 Natural Gas (Bcf) 9.4 - 10.4 47.0 - 48.4 Total (Bcfe) 21.1 - 23.3 99.0 - 102.0 Total (MMBoe) 3.5 - 3.9…
2013 Year End Proved Reserves Classification of Proved Oil Natural Gas Reserves Oil NGLs Natural Gas Equivalent Equivalent % of Proved PV-10 (1) (MMBbls) (MMBbls) (Bcf) (MMBoe) (Bcfe) Reserves (Millions) Proved developed producing…
Financial Commodity Derivatives (1) 2014 Swaps Brent Swaps WTI Swaps LLS Swaps Barrels Per Avg Swap Barrels Per Avg Swap Barrels Per Avg Swap Month Day Price Day Price Day Price September 1,800 97.38 - - 9,000 97.69 October 1,700…
Nine Greenway Plaza, Suite 300 Houston, TX 77046 Main line: 713-626-8525 Fax: 713-626-8527 Investor Relations: 713-297-8024 www.wtoffshore.com www.investorrelationswtoffshore.com
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