Contango Oil & Gas — Merger or Acquisition (October 2020)
14 slides from Contango Oil & Gas's merger presentation, Oct 26, 2020
Slide 1: Contango & MCEP Strategic Merger Presentation
Contango & MCEP Strategic Merger Presentation October 2020 Exhibit 99.2
Slide 2: Cautionary Statements
Cautionary Statements Certain statements included in this presentation are "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those statements that are not historical in nature and may be identified by words such as, but not limite
Slide 3: Additional Information and Where to Find It
ADDITIONAL INFORMATION AND WHERE TO FIND IT This communication may be deemed to be solicitation material in respect of the proposed merger (the “Proposed Merger”). The Proposed Merger will be submitted to Contango shareholders and Mid-Con unitholders for their consideration. Contango and Mid-Con int
Slide 4: Merger with Mid-Con Energy Overview
Acquisition of PDP heavy reserves at an attractive unlevered return Oil weighted and low production decline (low to mid single digits) Familiarity with assets and operations via MCEP’s Management Services Agreement with MCF Further cost rationalization expected to be realized via consolidation of th
Slide 5: MCF History and Recent Highlights
MCF History and Recent Highlights Company History 1999 Contango founded in 1999 2005 Fayetteville Shale acquired for ~$10mm 2006 - 2010 Offshore success of Eugene Island shallow water discovery including 10 wells that remain a major production source (53% of 4Q19A legacy MCF production excluding Wil
Slide 6: Organization and Management
Organization and Management Management Organizational Structure and Ownership Board of Directors Name Title Wilkie S. Colyer, Jr. CEO W. Farley Dakan President Chad Roller, PhD SVP, COO E. Joseph Grady SVP, CFO Chad McLawhorn SVP, General Counsel Name Affiliation John C. Goff (Chairman) Founder of C
Slide 7: MCF Current Asset Overview
MCF Current Asset Overview Map of Current Assets Western Anadarko ~122,000 net acres; long-life, low decline assets 95% HBP / ~81% operated (1) Average WI: ~74% (1) / Average NRI: ~64% (1) Low-risk upside potential Central Oklahoma ~265,000 net acres; long-life, low decline assets with infrastructur
Slide 8: MCEP Current Asset Overview
MCEP Current Asset Overview Map of Current Assets Wyoming Mature production with low overall production declines in the Big Horn and Powder River basins Large waterflood units with immense scale offering significant redevelopment opportunities Pine Tree is large 13,000 acre waterflood development re
Slide 9: Pro Forma Asset Overview
Note: Proved Reserves and PV-10 are as of 12/31/2019 using NYMEX strip pricing as of 8/4/2020. PV-10 is a non-GAAP measure. See Appendix for more information. Contango’s PV-10 is inclusive of SWDs. Total debt as of 6/30/2020 and excludes debt associated with PPP loans; EBITDAX based on Q1 2020A Adju
Slide 10: Estimated Pro Forma 1P Reserves and PV-10
Total 1P PV-10 by Category Total PV-10: $364.6mm Estimated Pro Forma 1P Reserves – 8/4/2020 NYMEX Strip Pricing Note: Net proved reserves and PV-10 are as of 12/31/2019 using strip pricing as of 8/4/2020; excludes reserves associated with ~37% interest in Exaro. PV-10 is a non-GAAP measure. See Appe
Slide 11: Transaction Details
Transaction Details Sources and Uses ($ in millions) (2) Note: Market data as of 10/23/2020. Represents equity issued and pro forma shares outstanding after common equity private placement. Assumes MCF issues ~25.0mm new common shares to acquire outstanding MCEP common units. M&A Transaction MCF acq
Slide 12: Appendix: Reserves Disclaimer
Appendix Reserves Disclaimer The SEC requires oil and gas companies, in their filings with the SEC, to disclose proved reserves, which are those quantities of oil and gas, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible—
Slide 13: PV-10 Definition
PV-10 Definition PV-10 is a non-GAAP financial measure and represents the present value, discounted at 10% per year, of estimated future cash inflows from proved natural gas and crude oil reserves, less future development and production costs using pricing assumptions in effect at the end of the per
Slide 14: Contango
SG Contango CONTANGO.COM
Contango Oil & Gas — Merger or Acquisition (October 2020) on 6ix