Amplify Energy Corp. · NYSE:AMPY
Amplify Energy — Memorial Production Partners — Corporate Update (August 2016)
13 slides from Amplify Energy's corporate update, Aug 3, 2016
Slide 1: Commodity and Interest Rate Hedging Overview
Commodity and Interest Rate Hedging Overview August 3, 2016 The following information is current as of August 3, 2016. Memorial Production Partners LP (MEMP) intends to update this information quarterly to the extent there are changes within the quarter. MEMP may update more or less frequently at it
Slide 2: Forward-Looking Statements
Forward-Looking Statements This document contains “forward-looking statements.” MEMP believes that its expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove to have been correct. A number of factors could cause actual results to diffe
Slide 3: MEMP Hedging Overview: 3Q16 through 2019
MEMP Hedging Overview: 3Q16 through 2019 • MEMP’s commodity risk management policy provides for hedging approximately 65-85% of estimated production from total proved reserves on a rolling three to six year period – Policy reduces MEMP’s exposure to movements in commodity prices and provides stabili
Slide 4: Natural Gas Hedging
Natural Gas Hedging 3Q16 through 2019 • MEMP’s existing natural gas hedges cover approximately 99% of the midpoint of its targeted natural gas production volumes for 2016 at a weighted average price of $4.14 • 100% of MEMP’s natural gas hedges are to the appropriate basis differential through 2016 –
Slide 5: Crude Oil Hedging
Crude Oil Hedging 3Q16 through 2019 • MEMP has hedged approximately 77% of the midpoint of its targeted crude oil production volumes for 2016 at a weighted average price of $65.85 • MEMP’s California production is hedged using Brent swaps, whereas MEMP’s East Texas, South Texas and Rockies oil produ
Slide 6: NGL Hedging
NGL Hedging 3Q16 through 2019 • Hedging NGLs by product helps protect MEMP from fluctuations in the NGL to crude oil price relationship – Due to a lack of market liquidity, direct hedging of NGLs is typically limited to 18 to 24 months • MEMP has hedged approximately 97% of the midpoint of its targe
Slide 7: Natural Gas and NGL Hedges: 3Q16 through 2019
Natural Gas and NGL Hedges: 3Q16 through 2019 Natural Gas / NGLs Hedge Summary Year Ending December 31, 2016 2017 2018 2019 Natural Gas Derivative Contracts: Swap contracts: Volume (MMBtu) 21,429,650 40,200,800 36,720,000 33,775,000 Volume (MMBtu/d) 116,465 110,139 100,603 92,534 Weighted-average fi
Slide 8: NGL Hedges by Component: 3Q16 through 2019
NGL Hedges by Component: 3Q16 through 2019 NGLs Hedge Summary by Component Year Ending December 31, 2016 2017 2018 2019 MBV C2 Total NGL volumes hedged (Bbl) 492,000 204,000 – – Total NGL volumes hedged (Bbl/d) 2,674 559 – – Total weighted-average fixed/floor price $11.27 $13.37 – – MBV C3 Total NGL
Slide 9: Crude Oil Hedges: 3Q16 through 2019
Crude Oil Hedges: 3Q16 through 2019 Oil Hedge Summary Year Ending December 31, 2016 2017 2018 2019 NYMEX Oil Derivative Contracts: Swap contracts: Volume (Bbl) 511,878 2,755,200 3,144,000 1,620,000 Volume (Bbl/d) 2,782 7,548 8,614 4,438 Weighted-average fixed price $60.85 $82.93 $82.24 $85.06 Put co
Slide 10: Natural Gas Basis Hedges: 3Q16 through 2019
Natural Gas Basis Hedges: 3Q16 through 2019 Basis Hedge for Natural Gas Year Ending December 31, 2016 2017 2018 2019 NGPL TexOk Gas Differential Total natural gas volumes hedged (MMBtu) 17,920,000 21,600,000 14,400,000 10,800,000 Total natural gas volumes hedged (MMBtu/d) 97,391 59,178 39,452 29,589
Slide 11: Crude Oil Basis Hedges: 3Q16 through 2019
Crude Oil Basis Hedges: 3Q16 through 2019 Basis Hedge for Crude Oil Year Ending December 31, 2016 2017 2018 2019 Midway-Sunset Differential Total crude oil volumes hedged (Bbl) 594,000 450,000 – – Total crude oil volumes hedged (Bbl/d) 3,228 1,233 – – Total weighted-average fixed/floor price ($12.28
Slide 12: Interest Rate Hedging Overview: 3Q16 through 2018
Interest Rate Hedging Overview: 3Q16 through 2018 • MEMP has entered into the following interest rate derivative hedging transactions as it relates to the debt outstanding under its revolving credit facility • MEMP had interest rate hedges on 55% of the $723 MM revolving credit facility debt outstan
Slide 13: Memorial Production Partners
Memorial Production Partners
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