Highpeak Energy, Inc. · NASDAQ:HPK
Highpeak Energy — Q2 2023 Earnings Presentation
16 slides from Highpeak Energy's earnings presentation, Aug 8, 2023
Slide 1: HighPeak Energy Investor Presentation August 2023
HighPeak Energy Investor Presentation - August 2023
Slide 2: Disclaimer
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Slide 3: Disclaimer (Cont'd)
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Slide 4: HighPeak Overview
HighPeak Overview @nycHeeak KeyHighlights Acreage Map Recent Production and Cash Flow Milestones: Fj = Q3’23 quarter to date production avg. >50.0 MBoe/d = Reached free cash flow from operations"! Capital Discipline: = Currently running 2 rigs, 1 frac crew Dawn ee = >12 years of premium WCA and LS i
Slide 5: Demonstrated History of Delivering Consistent, Organic Growth
Demonstrated History of Delivering Consistent, Organic Growth @vnicHreak jo a nae see 0 sig High Ci r Asset Base 1 Lo--ee wee eee 50,000 Boe/d, 84% oil, 93% liquids >50 MBoe/d Sustained peer leading margins g 5200 producing horizontal wells Qs/20 Qazi Qa/2d_ 3/21. a/2i_ | QA/22_—a/22_QB/Z2_—QH/Z2_—Q
Slide 6: HighPeak's Margins Continue to Outpace Peers
HighPeak’s Margins Continue to Outpace Peers Bz HIGHPEAK st structure, and continued scaling of production lead to HPK’s peer leading margins = Q2 margins are 38% above nearest peer 1 HPK Q2'23 margin ($49.48/Boe) is ~59% higher vs. Q2'23 peer average Unhedged EBITDAX Margins for the 3 Months Ended
Slide 7: Operations & ESG Update
Operations & ESG Update @vnicHreak Operations Update \ = Approximately 46 gross / 41 net additional wells coming online in 2H 2023 Development focus over foreseeable future will be WCA and LS + HighPeak’s significant investment in the development of infrastructure to- date continues to drive cost re
Slide 8: Consistent Value Creation
Consistent Value Creation Average Dally Production (MB0e/d) EBITDAX" (Sim) Quinn Net Debt /EBITDAX'2) $7000 2207 aaass 9308 co | pmo mS ION Proved Developed Reserves [MMBo) [Ata constant price of $80/bbI and $3.00/mef “s1.100 S10 ssn sist s poo 20012 TTBLOA.—AC23ELOA Proved Developed PV-10"(SMM) ‘At
Slide 9: Capital Structure and Debt Maturities
Capital Structure and Debt Maturities Recent Events Debt Maturities = In July, Company completed $155MM equity raise with high management participation showing continued support to enhance near term liquidity and improve positioning for debt refinance * In conjunction with equity raise, Credit Facil
Slide 10: HighPeak Key Highlights
HighPeak Key Highlights (Vv) Prime, Oil Weighted (93% liquids) Permian Asset Base with Low Breakevens Mid-Cap Permian Producer with Scale: Quarter-to-Date Production of >50 MBoe/d Financial Metrics — Visible, Near-Term Improvement, Strong PD Coverage and FCF from Operations De-Risked, Contiguous Acr
Slide 11: "Qu Ss
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Slide 12: HighPeak Well Activity
HighPeak Well Activity Rig Released Wells 20/23 Gross 48 1 49 2 Net 40.7 01 478 20 In Progress ) As of 30-Jun-23 AN HIGHPEAK Turned in Line
Slide 13: Hedges
Hedges Summary = Average oil volumes of 9,478 Bo/d hedged for 2H'23 using swaps at an average price of $74.12/bbl = Average oll volumes of 8,500 Bo/d hedged for 2H'23 using puts at an average floor price of $57.82/bb1 = Average oil volumes of 10,000 Bo/d hedged for Q1’24 ~ 03'24 using puts atan aver
Slide 14: Q2 2023 Summary
Q2 2023 Summary Production 20°23 Earnings “Total sales volumes (MB0e) 3,840.8 EBITDAK (SMM) ‘Total daily sales volumes (MBoe/d) 42.2 Ones Oil percentage 84% ‘capex (SMM) 52006 Liquids percentage 93% Rig Released” / Turn in Line Bis Realized Pricing Oil per Bbl $73.21 NGI per Bb $20.77 Gasper Mef $0.
Slide 15: 2023 Development Outlook
2023 Development Outlook - @XHIGHPEAK Production, Capital, and Cost Guidance Production (MBoe/d) 2023 lAverage production rate, 45-51. [Exit production rate 55-61 [Gross Operated Wells TIL 105-115 apital Expenditures D,C.E&F $900-$975 {capital Expenditures, infra/Land/Other | _$50-$60 {1H 2023 Total
Slide 16: Non-GAAP Financial Measures Reconciliations
Non-GAAP Financial Measures Reconciliations Reconciliation of Net Income to EBITDAX Unhedged Cash Operating Margin Reconciliation Ot ae finthousands) fae Bi-Dec-20 | 31-Dec-21 | 31-Dec-22 arias: haa (101463) $5555) szam5a _gai,a2q O1LNGLandnatural gassales (including deducts) | $240,760 less: Lease