Crescent Energy Company · NYSE:CRGY

Crescent Energy — Investor Presentation (November 2024)

34 slides from Crescent Energy's investor presentation, November 2024

  1. Slide 1: Crescent Energy: A Differentiated U.S. Energy Company

    Crescent Energy A Differentiated U.S Energy Company November 2024

  2. Slide 2: Disclaimer

    Disclaimer The information in this presentation relates to Crescent Energy Company (the “Company” or “CRGY”) and contains information that includes or is based upon “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Se

  3. Slide 3: A Differentiated U.S. Energy Company

    A Differentiated U.S. Energy Company Combining Strong Operating and Investing Experience to Drive Sustainable Value Creation CRGY at a Glance Scaled & Balanced Portfolio ~$6.3 BN Proved Developed PV-10(1) ~$8.2 BN Total Proved PV-10(1) • Low decline PDP base ~250 Mboe/d 1H’24 Production • Deep, high

  4. Slide 4: Premier Eagle Ford Position

    Premier Eagle Ford Position Top Three Eagle Ford Operator Alongside EOG and ConocoPhillips Leading Eagle Ford Position Eagle Ford Oil Production(1) (Gross Operated - Mbbls/d) More than doubled net acres, production and 250 inventory over the last 2 years 200 #3 Gross Oil Producer Uvalde Medina Wilso

  5. Slide 5: Transformed Equity Positioning Since Public Listing

    Transformed Equity Positioning Since Public Listing Recent S&P 600 Inclusion Generating Stable, Passive Ownership; Index Weighting to Expand as Float Increases Operating Scale Trading Liquidity Corporate Credit Profile EBITDA Production (Mboe/d) ADTV Float Credit Ratings Leverage (Moody’s / S&P / Fi

  6. Slide 6: Scaled and Balanced Asset Portfolio

    Scaled and Balanced Asset Portfolio Unique Combination of Stable, Low Decline Production with Deep Inventory Scaled Advantaged Significant Production Base Decline Rate Inventory (Net Production - Mboe/d) (Base Annual Decline - %) (Gross Locations) ~250 ~32% ~2,200 NGL 17% ~25% ~153 Gas 44% Oil 39% ~

  7. Slide 7: Leading Decline Rate and Reserve Life

    Leading Decline Rate and Reserve Life Differentiated Asset Stability Alongside Long-Term Portfolio Duration 25% 11 Years % NTM Decline Rate Proved Reserve Life Peers Replace ~42% More ~47% Longer Reserve Life Production Each Year than Peers First Year PDP Decline vs. Peers 1P Reserve Life vs. Peers(

  8. Slide 8: Substantial Proven Inventory and Resource Potential

    Substantial Proven Inventory and Resource Potential High-Quality Locations Generate Compelling Returns Through Cycles Gross Locations Eagle Ford Uinta 20+ Year Other Unrisked Inventory ~2,200 (at Maintenance Activity) 10+ Year Low-Risk Inventory (at Maintenance Activity) ~1,120 ~100 – 120 Wells / Yr

  9. Slide 9: Generating Substantial Free Cash Flow

    Generating Substantial Free Cash Flow Profitable Base Business Generates Significant Free Cash Flow with Attractive Exposure to Commodity Price Upside >$3.5 BN ~21% 5-Year Cum. Levered FCF(1) % FCF Yield Cumulative LFCF Greater Than CRGY FCF Yield is ~29% Current Market Capitalization Higher Than Pe

  10. Slide 10: Capital Allocation Priorities – Putting Investors First

    Capital Allocation Priorities – Putting Investors First #1A 1.0x long-term leverage target Priority Financial Strength Up to 1.5x for accretive acquisitions #1B Returning Capital Priority Fixed Dividend: $0.12 per share per quarter(1) to Shareholders #2 Returns-Driven Investing: A Development B Accr

  11. Slide 11: Doing What We've Said We'd Do for the Last Decade

    Doing What We’ve Said We’d Do for the Last Decade Current Past Decade (Average)(1) Commodity Prices Commodity Prices $69.52 / $2.66 $62.07 / $3.15 Capital Allocation Priorities Leverage(2) Leverage Balance Sheet ~1.5x ~1.2x #1A Strength (Target 1.0x – 1.5x) Yield(3) Yield(3) #1B Return of Capital ~4

  12. Slide 12: "BB" Balance Sheet Reflects Financial Strength

    “BB” Balance Sheet Reflects Financial Strength Targeting Investment Grade Balance Sheet Metrics Through Cycles Commitment to Balance Sheet Strength  Maintain Ample Liquidity: Current liquidity is ~3x our Current Leverage Total Leverage(1) Target / Max Liquidity(2) >$500 MM target 1.5x 1.0x / 1.5x ~

  13. Slide 13: Decade-Plus History of Returning Cash to Shareholders

    Decade-Plus History of Returning Cash to Shareholders Providing Shareholders with Consistent and Peer-Leading Fixed Dividend Return of Capital Framework: Fixed Dividend Yield Comparison(2) 12 Consecutive #1 4.5% years Fixed Dividend: Priority 4.1% of dividend payments(3) 3.9% 3.9% • $0.12 / share pe

  14. Slide 14: Returns-Driven Investing Framework

    Returns-Driven Investing Framework Seeking to Compound Capital Over Time at Attractive Rates of Return Cash-on-Cash  >2.0x Unlevered MOIC (Multiple of invested capital) Investment Returns(1)  Short Payback Period (M&A target <5 years and half-cycle D&C target <3 years) Corporate  Strong Equity Ac

  15. Slide 15: Successful Track Record of Accretive Acquisitions

    Successful Track Record of Accretive Acquisitions More Than Doubled in Scale Since Public Listing Through Consistent Execution  Focused in Regions Where We Currently Operate Proven Acquisition Strategy(1) (Crescent Acquisitions) • Eagle Ford & Rockies 6  Consistent Underwriting Criteria • Cash-on-

  16. Slide 16: Capturing Synergies

    Proven Track Record of Improving Operations and Capturing Synergies Operational Efficiencies and Synergy Capture Drive 10% Improvement in Eagle Ford Well Costs Better Drilling Times Completion Efficiencies Lower D&C Costs (ft/day) (fluid bbl/day) ($/ft) ~ 2,100 ~ 105,000 $875 ~ 90,000 $800 ~ 1,600 (

  17. Slide 17: Applying Operational Best Practices to Lower D&C Costs

    Applying Operational Best Practices to Lower D&C Costs First U-Turn Wells on Legacy CRGY Assets and First Simulfrac on Legacy SBOW Assets Expected in Q4 U-Turn Wells Completion Techniques Simulfrac Zipper Dual Well Completion vs. Independent Completion Averaging ~2,200 ft/day Averaging ~1,700 ft/day

  18. Slide 18: Strong Eagle Ford Momentum: Positive Rate of Change

    Strong Eagle Ford Momentum: Positive Rate of Change Increasing Returns with Positive Well Productivity Trajectory CRGY Well Performance Relative Rate of Change vs. EF Peers (Avg Cum. Prod/ft)(1) (Avg Cum. Prod/ft – ’24 TiLs vs. ’22-’23 Avg)(1)(2) ‘22 & ‘23 Program Average 2024 Program CRGY EF PubCo

  19. Slide 19: Sector Leading Alignment on Long-Term Value Creation

    Sector Leading Alignment on Long-Term Value Creation Crescent’s Board and Management are Strongly Aligned with Shareholders Stock-Based Compensation vs. Peers(1)  Management Incentives ~100% Based on Total Shareholder Returns Peer Avg: 97% ~32% 60% 60% • Peers receive time-based 52% 30% 30% awards

  20. Slide 20: "Must-Own" Mid-Cap Positioned for Sustained Value Creation

    “Must-Own” Mid-Cap Positioned for Sustained Value Creation Crescent Provides Differentiated Growth and Value • Next 5-year LFCF outlook greater than  Substantial Cash Flow Generation current market cap • Current FCF yield trades at a ~29% discount to Mid-Cap peers(1) Attractive Return of • Peer-lea

  21. Slide 21: Appendix

    Appendix CRESCENT ENERGY

  22. Slide 22: Reducing Our Emissions Impact

    Reducing Our Emissions Impact Our Sustainability Focus Areas CLIMATE ENVIRONMENT SAFETY COMMUNITY WORKFORCE  Transparent Reporting to Support Long-Term Goals • Awarded OGMP 2.0 Gold Standard pathway rating in 2023 for the second consecutive year  Monitoring and Reducing Emissions • Active leak det

  23. Slide 23: Gulf Coast Gas Assets Positioned for Data Center and LNG Demand

    Gulf Coast Gas Assets Uniquely Positioned to Capitalize on Growing Demand from Data Centers and LNG Exports Currently Produce ~1 BCF per day of Gross Gas in Texas  Advantaged Market Access Premium South Texas Gas • Low nitrogen content (vs. Permian) preferred for LNG export  Established Infrastruc

  24. Slide 24: Eagle Ford Asset Detail

    Eagle Ford Asset Detail: Premier Position with Attractive Commodity Diversification Asset Detail Operated Central Southern Western Non-Op Net Acres ~160k ~100k ~165k ~33k Live Oak, Atascosa, Webb, La Salle, Dimmit, Webb, Zavala, Frio, Counties McMullen, La McMullen, Live Maverick, La Salle Atascosa,

  25. Slide 25: Uinta Asset Detail

    Uinta Asset Detail: Proven Oil Resource with Multi-Year Development Inventory Asset Detail Uinta Net Acres ~145k Counties Duchesne and Uintah Avg. WI / NRI ~85% / ~70% % Oil(1) ~80% Current 1 Rigs Gross Locations(2) Low-Risk ~250 Total ~650 MOIC(3) >2.0x DC&F ~$950 $ / ft ’24 Avg. Lateral ~10,000’ H

  26. Slide 26: Conventional Asset Base

    Conventional Asset Base: Cash Flow Stability with CO2 / CCUS-Related Upside  Low Decline EOR Production Crescent Rockies Footprint Provides Stable Cash Flow Stream Crescent CO2 Pipelines CO2 Pipelines Owned by Others  Further EOR Potential Across Existing Asset Footprint Crescent EOR Field Crescen

  27. Slide 27: Complementary Minerals Portfolio

    Complementary Minerals Portfolio Existing Footprint Provides Substantial Free Cash Flow, Exposure to Cost- Free Organic Growth and Significant Undeveloped Upside Focused Portfolio: Minerals Cash Flow(1)  Complements operated Other 13% Eagle Ford assets across Texas and 40% the Rockies Organic Growt

  28. Slide 28: Increasing Float & Trading Liquidity

    Increasing Float & Trading Liquidity Transformed the Equity Positioning of the Business Since Going Public CRGY Ownership Private Investors 2% 1%  Increased Public Liberty Mutual 14% 21% 16% Float to ~71% of 33% +13% KKR 11% Shares Outstanding Public 20% +23% 15% Shareholders +76% 15% 22% 71%  16%

  29. Slide 29: Our "Up-C" Organizational Structure

    Our “Up-C” Organizational Structure • Up-C Investors and Crescent Energy Company (“PubCo”) hold units Up-C Public (“OpCo Units”) in an operating Investors Stockholders company (“OpCo”) that is treated as (Legacy Investors) a partnership for U.S. federal income Class B Class A tax purposes (no tax re

  30. Slide 30: Hedge Position: Liquids

    Hedge Position: Liquids Q4 2024 FY 2025(1) FY 2026(2) NYMEX WTI (Bbls, $/Bbl) Swaps Total Volumes 3,280,730 6,441,500 2,476,050 Total Daily Volumes 35,660 17,648 6,784 WA Swap Price $71.93 $72.68 $70.82 Collars Total Volumes 2,806,000 6,123,500 1,003,000 Total Daily Volumes 30,500 16,777 2,748 WA Lo

  31. Slide 31: Hedge Position: Gas

    Hedge Position: Gas Q4 2024 FY 2025 FY 2026 NYMEX Henry Hub (MMBtu, $/MMBtu) Swaps Total Volumes 26,420,370 55,205,000 41,745,000 Total Daily Volumes 287,178 151,247 114,370 WA Swap Price $3.91 $3.97 $3.98 Collars Total Volumes 8,465,000 74,009,000 40,100,000 Total Daily Volumes 92,011 202,764 109,8

  32. Slide 32: Adjusted EBITDAX & Levered Free Cash Flow

    Adjusted EBITDAX & Levered Free Cash Flow Adjusted EBITDAX & Levered Free Cash Flow Crescent defines Adjusted EBITDAX as net income (loss) before interest expense, loss from extinguishment of debt, income tax expense (benefit), depreciation, depletion and amortization, exploration expense, non-cash

  33. Slide 33: Net LTM Leverage & PV-10 Reconciliation

    Net LTM Leverage & PV-10 Reconciliation Net LTM Leverage Crescent defines Net LTM Leverage as the ratio of consolidated total debt to consolidated Adjusted EBITDAX as calculated under the credit agreement (the "Credit Agreement") governing Crescent’s Revolving Credit Facility. Management believes Ne

  34. Slide 34: Stay Connected.

    Stay Connected. IR@crescentenergyco.com 600 Travis Street Suite 7200 Houston, Texas 77002 + 1 (713) 332-7001 www.crescentenergyco.com

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