Yuma Energy Inc · OTC:YUMAQ
Yuma Energy — Investor Presentation (December 2017)
25 slides from Yuma Energy's investor presentation, Dec 13, 2017
Slide 1: Yuma Energy, Inc. December 2017
fe eno \ e amore y, me. December 2017 www.yumaenergyinc.com
Slide 2: Disclosure & Additional Information
Disclosure & Additional Information Forward Looking Statements “This presentation contains forward-looking information regarding Yuma Energy, Inc. that is intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Reform Act of 1995. Forw
Slide 3: Yuma Energy, Inc.
Yuma Energy, Inc. Houston-based E&P company with a liquids-rich portfolio of conventional & unconventional assets primarily in South Louisiana & East Texas with a New and Expanding Focus on the Permian Basin EXCHANGE NYSE AMERICAN ‘TRADING SYMBOL, | YUMA STOCK PRICE! $1.29 COMMON SHARES ~ OUTSTANDIN
Slide 4: Proved Reserves Summary
Yuma Proved Reserves Summary 2016 NSAI Year End Reserves — SEC Prices J » Based on December 31, 2016 Netherland Sewell Reserve | Net | Net | Net | Net | Net Develop. & Associates Year End 2016 Reserve Report Category! Oil | Gas | NGL| Total | Capex | PV-10 | Cost = Mbbis| MMcf [Mbbis|Mboe?|_sM | $M
Slide 5: Operations Review
Operations Review Lease Operating Expense! (s Thousands) Opex Only Sev. & AD Tax, Trans. & Mkt a Workover Exp $7,000 3" Qtr 2017 Total LOE — $2,509.4 1° Qtr 2015 Total LOE — $6,113.7 $6,000 $3,604.3 (59%) decrease from 2015 $5,000 $4,000 $3,000 $2,000 $1,000 $0 1Q 2015 2Q 2015 3Q 2015 4Q 2015 1Q 201
Slide 6: Operations Review
Operations Review Operating Margin Analysis! mm Margin $/Boe -@Total LOE $/Boe ~» Realized $/Boe 3" Qtr 2017 Margin $/Boe — $15.31 1* Qtr 2015 Margin $/Boe — $9.63 $30.15 $5.68 (59%) increase from 2015 $30.00 328.21 $27.50 $26.50 $35.00 $26.92 $25.00 $20.00 $/Boe $15.00 $10.00 $11.90) $5.00 $0.00 1Q
Slide 7: Financial Review
Yuma Financial Review General and Administrative Expenses! ($ Thousands) @ G&A (less stock comp) 34 Qtr 2017 G&A — $1,622.5 $8,000 1 Qtr 2015 G&A — $4,101.2 $2,478.7 (60.4%) decrease from 2015 $7,000 $6,000 Includes merger $5,000 related expenses $4,000 Davis Merger resulted in approximately $8MM in
Slide 8: Financial Review
Yuma Financial Review Balance Sheet & Income Statement ($ Thousands) Q3 2017 includes Subscription Receivable of $8.7MM Sold El Halcén for $5.5MM in Q2 2017 Paid down $7.5MM in debt in Q2 2017, Borrowing Base reaffirmed in Sept. at $40.5MM until April 1, 2018. Debt was further reduced to $26.75MM as
Slide 9: Hedge Position
Hedge Position Commod: rumen of September 30, 201 2017 2018 2019 Settlement Settlement Settlement NATURAL GAS (MMBwu)': Swaps Volume 517,916 1,725,133 373,906 Price $3.13 $3.00 $3.00 3-way collars Volume 41,712 - - Ceiling sold price (call) $3.39 - : Floor purchased price (put) $3.03 - - Floor sold
Slide 10: Growth Strategy — Expand into the Permian Basin
Yuma Energy, Inc. Growth Strategy — Expand into the Permian Basin > on Our Proven + Experienced team with equity alignment Track Record of Succ * Veteran and talented Board of Directors . + Proven ability to get deals done Lev erage Stre onger Financial * Higher production and cash flow with no incr
Slide 11: Why the Permian Basin San Andres Horizontal Oil Play?
Why the Permian Basin San Andres Horizontal Oil Play? Meets Several Key Attributes » Fits Yuma’s Growth Strategy Yuma evaluated resource plays in the United States to find a play A es Bakken that meets the following criteria... > — Must be economic at today’s commodity prices > Must have a low entry
Slide 12: San Andres Horizontal Oil Play
San Andres Horizontal Oil Play New Technology Creates Highly Competitive & Emerging Play > The Main Pay Zone (MPZ) of the San Andres formation has been developed historically in the Permian Basin with conventional, vertical wells drilled on structural highs (see map to right) > Over 10 Billion barre
Slide 13: Recent Activity in the San Andres Horizontal Oil Play
Recent Activity in the San Andres Horizontal Oil Play Proven, Highly Competitive, Emerging Horizontal Oil Play Brahaney Area Activity Analogous, Proven Development Over 100 wells drilled since May 2012 Primarily located in Yoakum Co., TX Hz wells target top of San Andres ROZ! Target — Dolomite Poros
Slide 14: Brahaney Field Area San Andres Hz Well Performance Analysis
Brahaney Field Area San Andres Hz Well Performance Analysis Se = ww N < wv ‘Cumulative Ol Production (Mstb) es sBRses esas Cum, Oil Production vs Norma ized Flowing Time P50 1P!2 300 BOPD- P50 12 Mo Cum ~ 60 MBO) P50 EUR! ~ 300 MBO. Cum, Qil Production vs Normalized Flowing Time “P50 IP! 330 BOPD. P
Slide 15: Yuma and the San Andres Horizontal Oil Play
Yuma and the San Andres Horizontal Oil Play Recently Entered ~ 33,280 Acre Joint Venture AMI in Yoakum Co., TX Highly Competitive Horizontal Oil Play Joint Development Agreement > Originally acquired 87.5% WI in ~2,269 acres (1,985 net acres) > Yuma is operator of JV with 87.5% WI > Currently acquir
Slide 16: South Central Louisiana — Lac Blanc Field
South Central Louisiana — Lac Blanc Field High value asset with high impact re-completion — Vermilion Parish, LA Asset Overview Siph D1 & Upr Siph D Logs! Working — 62.5% 00% Ty SL teo00 #1 Bf Asset Provides Operator = Yuma i a Acres = 1,744 Gross (1,090 Net) a isa { * Predictable & steady Formation
Slide 17: South Central Louisiana — Bayou Hebert Field
South Central Louisiana — Bayou Hebert Field High value asset with high impact re-completions — Vermilion Parish Asset Overview Lower Cris R Log? Working — 12.5% interest Operator = PetroQuest Acres — 1,600 Gross (200 Net) 3-D seismic area — 25 square miles Formation(s) = Lower Cris R at 17,700ft to
Slide 18: Southeast Texas — Chalktown Field
Southeast Texas — Chalktown Field Unconventional Liquids-Rich Play — Madison Co., Tx Upper & Lower Lewisville X-Section & Discovery Map! Asset Overview * Predictable cash flow “|| * Future growth * Rich gas flows to plant for NGLs processing Working interest? | — ~23.3% Operator — Contango Oil and G
Slide 19: YUMA ENERGY
YUMA ENERGY
Slide 20: Yuma Energy, Inc. Management Team
Yuma Energy, Inc. Management Team Sam L. Banks has been our Chief Executive Officer and a member of the Board of Directors since the closing of the merger with Davis on October 26, 2016. He was the Chief Executive Officer and Chairman of the Board of Directors of Yuma California from September 10, 2
Slide 21: Yuma Energy, Inc. Board of Directors
Yuma Energy, Inc. Board of Directors Richard K, Stoneburner, Non-executive Chairman of the Board, has served as Non-executive Chairman of the Board and a member of Yuma’s compensation committee since the closing of the merger with Davis on October 26, 2016. He was a director and member of Yuma’s com
Slide 22: Yuma Energy, Inc. Board of Directors
Yuma Energy, Inc. Board of Directors Frank A. Lodzinski, Director, has served as a director and member of Yura’s compensation committee since the closing of the merger with Davis on October 26, 2016. He served as a director and member of Yuma’s audit committee since September 10, 2014 and has served
Slide 23: Additional Information
Additional Information 2016 Year-end Proved Reserves — SEC Prices ‘The table below summarizes our estimated proved reserves at December 31, 2016 based on reports prepared by Netherland, Sewell, & Associates (NSAI). In preparing these reports, NSAI evaluated 100% of our properties at December 31, 201
Slide 24: Proved Reserves Summary
Yuma Proved Reserves Summary 2016 NSAI Year End Reserves — YE16 Strip Prices Reserve Report Summary Using Strip Prices (12/31/2016)! Reserve Report Commentary » Based on December 31, 2016 Netherland Sewell Reserve | Net | Net | Net | Net | Net Develop. & Associates Year End 2016 Reserve Report .,, C
Slide 25: Additional Information
Additional Information 2016 Year-end Proved Reserves — Strip Prices NSAI also prepared estimates of the Company's proved reserves at year-end 2016 using strip prices as of December 31, 2016, adjusted for differentials. Reference oil prices per barrel for the years 2017, 2018, 2019, 2020, and 2021 we