Peyto Exploration & Development Corp. · TSX:PEY
Peyto Exploration & Development — Merger or Acquisition (September 2023)
11 slides from Peyto Exploration & Development's merger presentation, September 2023
Slide 1: Peyto - Repsol Acquisition
A preliminary short form prospectus containing important information relating to the securities described in this document has been filed with the securities regulatory authorities in each of the provinces of Canada, other than Quebec. A copy of the preliminary short form prospectus, and any amendme
Slide 2: Acquisition Highlights
ACQUISITION | HIGHLIGHTS Consideration of US$468 million (before closing adjustments) 455,000 net acres of land (average 65% WI) in the Edson area with indefinite continuation (no expiries) 23,000 boe/d(1)(2) (75% Natural Gas, 25% NGLs) at a 12% annual base decline rate 90 MMboe of PDP reser
Slide 3: Acquisition | Deep Drilling Inventory
ACQUISITION |DEEP DRILLING INVENTORY PEYTO AND REPSOL - 2013 PEYTO AND REPSOL – PRESENT DAY • Drilling density on acquired lands represents where Peyto was 10 years ago Repsol drilled 52 Hz wells While Peyto drilled ~850 as compared to Peyto’s Hz wells in the last decade, • Only five horizontal well
Slide 4: Acquisition | Reserves
ACQUISITION| RESERVES The purchase price approximates the value of ATTRACTIVE VALUATION the developed producing reserves. Company Reserves(1) Before Tax ($million)(2) (5) After Tax ($million) (5) Gas Liquids Total NPV 5 NPV 8 NPV 10 NPV 5 NPV 8 NPV 10 (bcf) (MMbbls) (MMboe) PDP 409 22 90 $654 $566 $
Slide 5: Pro Forma | Facility and Pipelines
PRO FORMA | FACILITY AND PIPELINES OVERLAPPING PIPELINES AND PROXIMAL PLANTS 17 Operated Gas Plants with 1.5 Bcf/d Gross Capacity (52% utilized) NGTL Vast interconnected gas gathering Mainline system allows for future flexibility and optimization capabilities Alliance Key access roads and leas
Slide 6: Pro Forma | 3 Year Plan
PRO FORMA | 3 YEAR PLAN GROWTH AND OPTIMIZATION Business Plan Highlights (2024 – 2026) Digest and Optimize >160,000 boe/d • Integrate Repsol assets • Quick wins on optimization/synergies Growth ~10% • Production growth to over 160,000 CAGR boe/d • Free Funds Growth for dividends and 123,000 boe/
Slide 7: Pro Forma | Undrilled Inventory
PRO FORMA | UNDRILLED INVENTORY(1) Peyto Repsol >503 >3400 297 Increases total Deep Basin inventory by over 30% Undrilled Total (1) See “Advisory – Drilling Locations” 7
Slide 8: Acquisition Financing
ACQUISITION FINANCING Cash consideration of US$468MM Financing Highlights Purchase Price (before closing adjustments) Combination of debt and equity provides for shareholder accretion Revolving Commitment to upsize revolving credit while maintaining balance sheet Credit Facility facility from $800
Slide 9: Advisories
ADVISORIES This presentation relates to a public offering of subscription receipts (the "Subscription Receipts") of Peyto Exploration & Development Corp. (the "Company" or "Peyto"). The information provided in this presentation is not intended to provide financial, tax, legal or accounting advice. E
Slide 10: Development Plan
Development Plan The Company has presented herein a three-year illustrative development plan that provides for developing both the acquired assets and Peyto's current assets. The development plan is based on a number of assumptions including, without limitation: the required reinvestment rates to ma
Slide 11: Non-GAAP and Other Financial Measures
Non-GAAP and Other Financial Measures This presentation contains references to certain non-GAAP financial measures and ratios and industry measures that are used by the Company as supplemental indicators of the financial performance of the Company. Such measures and ratios include capital expenditur
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