ConocoPhillips · NYSE:COP
ConocoPhillips — Q3 2017 Earnings Presentation
17 slides from ConocoPhillips's earnings presentation, Oct 26, 2017
Slide 1: SPIRIT Values
SPIRIT Values smart growth superior returns
Slide 2: Cautionary Statement
Cautionary Statement The following presentation includes forward-looking statements. These statements relate to future events, such as anticipated revenues, earnings, business strategies, competitive position or other aspects of our operations, operating results or the industries or markets in which
Slide 3: SPIRIT Values
SPIRIT Values smart growth superior returns
Slide 4: 3Q17 Summary — Strong Momentum Underway
> 3Q17 Summary — Strong Momentum Underway #3, Strategic ConocoPhillips Transformative reset achieved Profitable and cash flow neutral year-to-date at <$50/bbi* On track to deliver or exceed 2017 operational targets Closed San Juan and Panhandle dispositions; expect >$16B of asset sales in 2017 Paid
Slide 5: 3Q17 Performance — Focused on Profitability
3Q17 Performance — Focused on Profitability ConocoPhillips Highlights ¢ Year-over-year adjusted earnings benefited from 178 198 improved realized prices, depreciation expense, f 7 - 1 exploration expense, and disposition impacts Adjusted Earnings ¢ Realized prices improved 33% year-over-year and (SM
Slide 6: 3Q17 Performance — Strong Financial Position
3Q17 Performance — Strong Financial Position ConocoPhillips 3Q17 Marker Prices * Brent $52.09/BBL * WTI$48.16/BBL 3.0 * Henry Hub $2.99/MMBTU 11 0.1 |] a 25 11 2 Reduced due 1.0 to $0.6B U.S. . pension fund contribution 3Q17 Beginning CFO Excluding Total Working Disposition Debt Capital Dividends Re
Slide 7: 3Q17 YTD Cash Flow Neutrality — Focus on Free Cash Flow Generation
> 3Q17 YTD Cash Flow Neutrality — Focus on Free Cash Flow Generation ConocoPhillips Reduced due to $0.6B U.S. pension fund contribution Exceeded Cash Flow Neutrality 13.7 CFO Excluding Capital Expenditures Operating Working & Investments and Capital’ Dividends? Disposition Proceeds Debt Reduction an
Slide 8: SPIRIT Values
SPIRIT Values smart growth superior returns
Slide 9: 3Q17 Operating Highlights — Business Running Well
3Q17 Operating Highlights — Business Running Well ConocoPhillips 3Q17 production of 1,202 MBOED; underlying production growth of 1.4% Lower 48 big 3 unconventionals running 12 operated rigs * 211 MBOED in 3Q17 vs. 213 MBOED in 2Q17 big 3 unconventionals; includes 3Q17 hurricane impact of 15 MBOED *
Slide 10: 2017 Outlook — Getting More for Less; Focus on Per-Share Metrics
2017 Outlook — Getting More for Less; Focus on Per-Share Metrics 7 $4.5B 2017 CAPITAL GUIDANCE 1,195 — 1,235 MBOED 4Q17 PRODUCTION GUIDANCE 1,350 — 1,360 MBOED FY17 PRODUCTION GUIDANCE $5.7B 2017 ADJUSTED OPERATING COST GUIDANCE ConocoPhillips 1,567 $4.5B full-year capital guidance projected 17% : :
Slide 11: SPIRIT Values
SPIRIT Values smart growth superior returns
Slide 12: SPIRIT Values
SPIRIT Values smart growth superior returns
Slide 13: 3Q17 YTD Performance — Company Cash Flow
3Q17 YTD Performance — Company Cash Flow ConocoPhillips SB 3Q17 YTD Marker Prices * Brent $51.90/BBL * WT1$49.41/BBL * Henry Hub $3.17/MMBTU 13.7 4.5 0.0 2017 Beginning CFO Excluding Total Working Disposition Debt Capital Dividends Repurchase of Other 3Q17 Ending Cash & Short- Operating Capital? Pro
Slide 14: Production Adjusted for Dispositions
> Production Adjusted for Dispositions ConocoPh 1,557 19% 18% production production per debt- per debt- adjusted adjusted share share 1,202 growth? 1,215 growth! 5% 10% production production per-share per-share growth? growth? 1.4% 4% underlying underlying production? production? growth growth 3Q17
Slide 15: Full-Year 2017 Guidance
Delaware Full-Year 2017 Guidance ¢ Full-year 2017 production: 1,350— 1,360 MBOED * 4Q17 production: 1,195- 1,235 MBOED * Adjusted operating costs: $5.7B * Capital expenditures: $4.5B * DD&A:$7.0B * Adjusted corporate segment net loss: $1.0B * Adjusted exploration dry hole and leasehold impairment ex
Slide 16: 2017 Annualized Net Income Sensitivities
2017 Annualized Net Income Sensitivities ConocoPhillips $45-$65/BBL Brent ° Crude * Brent/ANS: $100-120MM for $1/BBL change * WTI: $30-40MM for $1/BBL change ¢ WCS': S5-10MM for $1/BBL change * Does not incorporate contingent payment of CAS6MM quarterly for every CAS1 WCS price above CA$52/BBL ° Nor
Slide 17: 2017 Annualized Cash Flow Sensitivities
2017 Annualized Cash Flow Sensitivities ConocoPhillips Consolidated Operations ($45-$65/BBL Brent) * Crude: * Brent/ANS: ~$105-115MM for $1/BBL change * WTI: ~S50-60MM for $1/BBL change * WCS: ~$10-15MM for $1/BBL change * Lower 48 NGL * Representative Blend: ~$10-15MM for $1/BBL change ¢ Natural Ga