Diamondback Energy, Inc. · NASDAQ:FANG
Diamondback Energy — Merger or Acquisition (December 2020)
9 slides from Diamondback Energy's merger presentation, Dec 21, 2020
Slide 1: Accretive Northern Midland Basin Transactions
Exhibit 99.3 Accretive Northern Midland Basin Transactions December 21, 2020 1Exhibit 99.3 Accretive Northern Midland Basin Transactions December 21, 2020 1
Slide 2: Forward Looking Statement
Forward Looking Statement Cautionary Statement Regarding Forward Looking Statements This presentation contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1955 and other federal securities laws. Words such as “anticipates,” “believes,” “
Slide 3: Diamondback Acquiring Tier-1 Assets in the Northern Midland Basin
Diamondback Acquiring Tier-1 Assets in the Northern Midland Basin Summary of Transactions Key Highlights QEP Resources ◆ Logical, disciplined Midland Basin consolidation of assets with a largely overlapping footprint Transaction Size◆ $2.15 billion ◆ Diamondback to deploy its scale, low cost ◆ 100%
Slide 4: Summary of QEP and Guidon Midland Basin Assets
Summary of QEP and Guidon Midland Basin Assets Midland Basin Acreage Overview Key Asset Statistics QEP Guidon Net Permian Acres 49,064 ~32,500 (1) 48 18 Permian Production (Mboe/d) (1) 30 12 Permian Oil Production (Mbo/d) (1) 77 18 Total Production (Mboe/d) (1) Geographic and Commodity Mix (2) QEP G
Slide 5: Transaction Further Elevates FANG's Scale and Positioning in the Midland Basin
Transaction Further Elevates FANG’s Scale and Positioning in the Midland Basin (1) Midland Basin Net Acres (‘000s) Net Permian Acres (‘000s) Status Quo Pro Forma 300 276 33 49 250 195 200 150 Delaware Delaware 36% 44% 100 Midland Midland 56% 64% 50 0 FANG QEP Guidon FANG Status Quo Pro Forma Tot
Slide 6: Potential for Significant Synergy Value Capture in QEP Transaction
Potential for Significant Synergy Value Capture in QEP Transaction (1)(2) Summary Synergy Overview Value of Cost Savings (% of Equity Value) PV-10 of $80mm ($ in millions) ◆ Tangible, immediate cost savings potential of ~$700 annual synergies equal to >120% of $60mm to $80mm per year $562 Transactio
Slide 7: Accretive Across All Key Financial Metrics
Accretive Across All Key Financial Metrics Key Financial Metrics for Measuring Accretion Metric Accretive? Commentary Cash Flow Per Share◆ Potential for double-digit per share accretion ✓ Free Cash Flow Per Share◆ Potential for double-digit per share accretion ✓ ◆ Relative valuation advantages (1) E
Slide 8: Credit Accretive Transactions Support Investment Grade Metrics
Credit Accretive Transactions Support Investment Grade Metrics Capital Structure Summary FANG’s Liquidity and Capitalization ($MM) FANG's Consolidated Capitalization 9/30/2020 Transactions Pro Forma ◆ Diamondback will acquire QEP, including its cash and (1) Cash and cash equivalents $92 $10 $102 sub
Slide 9: Transactions Support Diamondback's Value Proposition
Transactions Support Diamondback’s Value Proposition ✓ Transactions strengthen Diamondback’s existing position as a leading independent operator of size and scale in the Permian Basin ✓ Assets are highly complementary to those of Diamondback with significant field-level adjacencies and minimal addit
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