Highpeak Energy, Inc. · NASDAQ:HPK
Highpeak Energy — Q2 2022 Earnings Presentation
17 slides from Highpeak Energy's earnings presentation, Aug 9, 2022
Slide 1: 2Q22 Presentation
2Q22 Presentation |; August 2022 ae eRe ee
Slide 2: Disclaimer
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Slide 3: Disclaimer Continued
DISCLAIMER CONTINUED @AnHiGHPEAK ‘Saesescetertor ron op nmavndte pe oa een tem nd a bot te ode Ani presen tn Mineman tacoma ne psoas norsona cneonsina snares soncenpnaonivamincaten ae
Slide 4: HighPeak Energy: Core Midland Pure-Play
HIGHPEAK ENERGY: CORE MIDLAND PURE-PLAY @nicureak Norther Mialand Basin Pue-PlayCapitalied for Econ Ol. Weighted Shareholder Vale Creation Overview and Q2 Highlights ‘Acreage Position and Selected Offset Operators Production and Profi 2022 HPK legacy average (“86% oll, 95% liquids)" “22.0 MBoe/d 120
Slide 5: Differentiated Growth Story Continues
DIFFERENTIATED GROWTH STORY CONTINUES @nicHreak ty raton hp ‘Aanuaed EO (sm soaeo, $1000 25000 sso aneco 00 35,000 100 en 0 0000 $200 —a ee amar ro2ja2 221/03 rrjar r02jar w2yer 202/e2- ~ i meses La meee anaes seal fates en en pet enn ein » % seme, fa 20 ca 0 . | 1s = 20 - Oo * wlll li xe | | a aya
Slide 6: Q2 2022 Summary
Q2 2022 SUMMARY @nicHreak Production” Q2 2022} Earnings” Q2 2022 2,001.6, [Net income ($MM) $77.6 Total daily ales volumes (MB0e/d) | 22.0 GAAP Earnings (per diluted share) (Oil percentage | 86%, ‘EBITDax (SMM) - Liquids percentage | 95%, | EBITDAX (per diluted share) Realized Pricing jother [Oil pe
Slide 7: Q2 2022 Margins
2.2022 MARGINS @nicHreak Unhedged EBITDA margins for the 3 months ended 6/30/22 ($/80e)"” = Strong oi-weighted margins 1 Accelerating margin growth with LOE reduction initiatives and dilution of fixed costs Peer average: $62.42/Boe nargins are 20% above nearest peer wi ther near-term margin Improvem
Slide 8: Operations Update
OPERATIONS UPDATE vrAN HIGHPEAK Flat Top Area
Slide 9: ESG and Sustainability Strategy
ESG AND SUSTAINABILITY STRATEGY ‘Great forthe environment and for the Company's bttom line v ¥_ Q2-Recycled>82% of Flat Top stimulation fluids Removed ~70% of rental generator fleetin Flat Top ted powering one rigin Flat Top with electrical power Local sand mine is reducing total trucked miles ¥_ Un
Slide 10: Mitigating Capital Cost Escalation
MITIGATING CAPITAL COST ESCALATION Sand Trucking ‘Sand mine proximity reducing trucking costs and increasing. efficiencies Fuel Water Water system providing increased recycling capability and. lowering completion costs HighPeak continues to look ahead to combat rising inflation & supply chain pressu
Slide 11: Executing Our Plan
EXECUTING OUR PLAN @nuicu Operational Foresight Fighting in and planning
Slide 12: Contact Information
Slide 13: Appendix
Appendix
Slide 14: Hedges
HEDGES") ‘Summary ‘= Average oil volumes of ~10,829 Bo/d hedged for remainder of 2022 at average price of $87.53/bbIl) = Average gas volumes of ~5,000 MMBtu/d hedged through Q1/23 at ‘an average price of $9.00/MMBtu oi neoces cas neces wonas 5808 $8897 aa 58.00, worras 1011s $8513, ae 8.00, wrsai 48
Slide 15: Non-GAAP Reconciliations
NON-GAAP RECONCILIATIONS Reconciliation of Net Income to EBITDAX @nicHPeeak Unhedged Cash Operating Margin Reconciliation in thousands) Three Months Ended 30-Jun-22 Net income $71,561 Interest expense 9,282 Income tax expense 24,072 Depo Serecton sa aa ‘Accretion of discount 66 Exploration and aband
Slide 16: Substantial Inventory
1-11 @nicHPeeak Eon SUBSTANTIAL INVENTORY") —LS== Tat matt vs = w/e a3 [pwewre | Puen] Powe] 1 Currently more than 50 rg eats of delineated Inventory + Additional 29 ig-years of Drospective inventory wacmee| [om | are ware | min | [oma | Flat Top Development Design Signal Peak Development Design y r
Slide 17: HighPeak Well Activity
HIGHPEAK WELL ACTIVITY vrAN HIGHPEAK ‘As of lune 30,2022 FLAT TOP SIGNAL PEAK In Progress ‘As of June 30, 2022 Gross Net 30 46.8 2 0.1 32 46.8 2 20