Devon Energy Corporation · NYSE:DVN
Devon Energy — Investor Presentation (November 2001)
20 slides from Devon Energy's investor presentation, Nov 28, 2001
Slide 1: Kd
Kd
Slide 2: Distribution of Operations
Ea Distribution of Operations %of Total entra outheast Texa Gas Produced F/o April 2001
Slide 3: Distribution of Operations
Distribution of Operations Upstream Total Mid-Stream Proven Oil & Gas Reserves Proven NGL Reserves Operating Cash Flaw 245 bbls Graven NGL Production $591 Million (Calendar 2000) 417 vnc 37,400 Bb @Q-"01) @Q—"01)
Slide 4: North Texas Drilling: Barnett Shale
North Texas Drilling 2 : Bamett Shale a Wels ied 670 DevelopedReserves 833.Bcf Atoka Conglomerate ‘Wells Drilled 2480 Developed Reserves 2,030 Bef MND Leases: 417,000 Acres ee
Slide 5: Barnett Development History
Barnett Development History Unit Drilling Costs ($/Mcf Equivalent) Gel Frac - Lower Barnett Only Light Sand Frac 1.0 Bcf / well 1.25 Bef / well $.89 2B 3 $68 g¢.64 $.65 Des) eek asm) abc, Sun hc, SHS oaks) ‘99-00 3Q ‘01
Slide 6: North Texas "Sweet Spot" Log
North Texas “Sweet Spot” Log _ STRAWN PARKS REEF ‘@co0) capo SANDSTONE 4500) BARNETT 20 SHALE (65001) pda AA ay 4 SIMPSON =" washingtor Monument iN lh BARNETT SHALE ‘6s00) a lL ELLENGURGER
Slide 7: Barnett Shale Development
Barnett Shale Development Future Wells Proven 1,180 Probable 380 Possible 900 Total 3P 2,460 3P Reserves «1.8 Tcfe __. Infill Development Pilots
Slide 8: Barnett Shale Rework / Refrac Program
Barnett Shale Rework / Refrac Program Jobs Performed Thru March 2001 137 MMcfid 688s 88s = Q1 92 O93 Q4 QI. 02.93 Q4 1 02 03 Q4 1998 1999 2000
Slide 9: Denton Creek Trading Co. No.
Denton Creek Trading Co. No. 1 10,000 1,000, — Mcf / Day 4 q 100 oe i i 2000 2002
Slide 10: Incidental Frac Enhancement
(W@W) Incidental Frac Enhancement ZS Production Increase Due to Offset Well Stimulation 61 Wells Mcf / Day 8 0 80 0 30 60 90 120 150 180 210 240 270 300 330 360 Days
Slide 11: Barnett Shale Sales
Barnett Shale Sales MMcf/d Rigs 1a 20 30 4Q 1 20 30 4Q 1999 2000 2001 1a 20 304Q 6 97 98
Slide 12: Barnett Shale - Drilling Economics
(xa) Barnett Shale - Drilling Economics (8Q 2001) Assumed Henry Hub Prices ROR- ART ~ $3.34)MMBtu Escalated 100° = $250MMBtu Fat eK 64% Son 45% 34% 25% 19% a on Proven-Lean _ Expansion - Rich Payout (Yrs) 17 33 21 35
Slide 13: Total Undrilled Locations
Total Undrilled Locations 2,950 2,950 Probable Category Location Reserve Potential: 2.1 Tcfe
Slide 14: Gas Sales Outlook
Gas Sales Outlook MMcfid mmm Other sey Barnett nua 20%". 1998 1999 2000 = 2001* 2003* * Production forecast announced December 14, 2000.
Slide 15: North Texas Facilities Expansion
North Texas Facilities Expansion Plant NGL Production (MBbIzg) 200%a) 2001(e) Beyond
Slide 16: Mid-Stream Free Cash Flow
BQ Mid-Stream Free Cash Flow (In Millions) $200 $150 $100 tale e 1997 1998 1999 2000 6 Mo. 2001 Capital Investment - Operating Cash Flow
Slide 17: Midstream Volume Growth
Midstream Volume Growth Pipeline Throughput NGLs (MMcf/d) (MBbI/d) ‘98 ‘99 00 ‘ol * Forecast
Slide 18: Barnett Shale Upside
Barnett Shale Upside . 35 Wells Outside 3P oy, Productive Area ~~ _{ Cunfent3P —"\ Prodluctive 7% rea Acreage Position within = Potential Gas Productive Area Wise 75,000 S i Parker Johnson Total ee ae [iy > ‘WP
Slide 19: Barnett Shale Future Potential
Barnett Shale Future Potential Extension of proven area to north and east. Multiple refracturing to increase per well drainage. Infill development (27 acre) to improve recovery efficiency. Continuing leasing and acquisition programs in 3P development area. Possible extension of play to west and sout
Slide 20: Investor Notices
INVESTOR NOTICES The foregoing slide presentation includes “forward-looking statements” as defined by the Securities and Exchange Commission. Such statements are those concerning strategic plans, expectations and objectives for future operations. All statements, other than statements of historical f