SandRidge Energy, Inc. · NYSE:SD
SandRidge Energy — Q1 2017 Earnings Presentation
14 slides from SandRidge Energy's earnings presentation, May 2017
Slide 1: First Quarter 2017 Earnings Presentation
FIRST QUARTER 2017 EARNINGS PRESENTATION
Slide 2: Cautionary Statements
Cautionary Statements Forward Looking Statement This presentation includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements express a belief, expectation or i
Slide 3: SandRidge Energy
SandRidge Energy With a strong balance sheet, we have built a portfolio of three project areas with competitive project IRRs and significant location inventories. Investment will continue with the development of both our NW STACK and North Park Niobrara oil projects and high- graded harvest of our M
Slide 4: Q1'17 Operational and Financial Results
Q1’17 Operational and Financial Results Continued NW STACK drilling, Niobrara production outperformance and Miss Lime success STRONG • 4.0 MMBoe (44.2 MBoepd) production (28% oil) PERFORMANCE • $56 million of adjusted EBITDA with $41 million of capex1 Generated $15 million free • $6.28/boe LOE, $10.
Slide 5: NW STACK Industry Activity
NW STACK Industry Activity SD currently running 2 rigs across 70k acres in NW STACK (Major, Woodward and Garfield Co.) INDUSTRY ACTIVITY ADJACENT TO SD ACREAGE Industry activity has been converging on existing SD acreage with prominent operators seeing encouraging results: • Multiple operators with
Slide 6: SandRidge NW STACK Delineation
SandRidge NW STACK Delineation 2 Rigs currently running across three counties 2017 D&C capex of $65-70MM 70K NET ACRES IN NW STACK • 22 gross laterals (17 net laterals) • Major, Woodward, and Garfield Co. • Targeting the Meramec • Drilling mostly XRLs Currently flowing back • Adams 2122 1-16H 9H (Wo
Slide 7: Industry Meramec Results
Industry Meramec Results Meramec initial production has averaged 700-800 Boepd and ~60% oil on wells surrounding SD’s NW STACK acreage position 6
Slide 8: Industry Osage Results
Industry Osage Results Osage initial production has averaged 700-800 Boepd and ~40% oil on wells surrounding SD’s NW STACK acreage position 7
Slide 9: 2016 Niobrara Program Success
2016 Niobrara Program Success 11 laterals drilled in 2016, outperforming type curve Lowered costs, optimized completions, drilled first XRL and “C” bench wells 2016 DRILLING RESULTS First XRL in the basin • 2-mile lateral (Castle 1-17H 20) drilled and completed completed for $3.4MM per lateral with
Slide 10: Targeting Multiple Niobrara Benches
Targeting Multiple Niobrara Benches Similar geologic characteristics to the DJ Basin Niobrara but higher oil cut NORTH PARK DJ BASIN BASIN Oil EUR % >80% ~35% Depth 5,500 – 9,000 ft. 6,000 – 8,000 ft. Reservoir Storage Capacity Gross Thickness 450 – 480 ft. 150 – 300 ft. Porosity 6 – 9% 6 – 10% OOIP
Slide 11: First SandRidge Niobrara C Bench Lateral
First SandRidge Niobrara C Bench Lateral Hebron 4-18H cumulative oil production exceeds type curve by 32% 539 Boepd (92% oil) 30-Day IP DAILY OIL RATE CUMULATIVE OIL Jet Pump Installed 10
Slide 12: First SandRidge Niobrara XRL
First SandRidge Niobrara XRL Castle 1-17H exceeding type curve, drilled and completed for $3.4MM per lateral 901 Boepd (91% oil) 30-Day IP DAILY OIL RATE CUMULATIVE OIL Jet Pump Installed Jet Pump Installed 11
Slide 13: 2016 Niobrara Oil Production Above Type Curve
2016 Niobrara Oil Production Above Type Curve Current year program to feature XRLs with crosslinked completions 2016 DRILLING PROGRAM 2016 CROSSLINKED COMPLETIONS ONLY 12
Slide 14: North Park Niobrara Asset Overview
North Park Niobrara Asset Overview Drilling in 2017 focuses on XRLs, multiple benches and establishes new federal unit 2017 activity will help optimize full development planning • Ten wells drilled in 2016 including one XRL and one “C” bench producer with production outperforming type curve • Target