Slide 1: Third Quarter Highlights
OCVOH Ewenay Third Quarter Highlights * Record natural gas, oil and liquids production — 1.23 BCFD and 134 BOD —5% increase over 2Q ‘01 —6% increase over 3Q ‘00 * Cash margin of $388 MM —~ $2.94 per share + Net earnings of $90 MM — $.68 per share
Slide 2: Third Quarter Operations
OCVOH Ewenay Third Quarter Operations Capital expenditures: $304 MM 364 Development 51 Exploration Wells Drilled Wells Drilled
Slide 3: E&P Capital Expenditures
OCVOH ewenay E&P Capital Expenditures 1,600 ‘96 7 ‘98 39 "00 Est.'01 Est. "02 Notes: 1996-1997 represents historical Devon as reported prior to the 1998 Northstar merger. 1998-1999 represents historical Devon as reported prior to the 2000 Santa Fe Snyder merger.
Slide 4: Integration
OCVOH Ewenay Integration « Devon Canada management team in-place at closing * Mitchell integration plans developed for implementation at closing ¢ Mitchell + Anderson: ~ $50 MM synergies
Slide 5: Debt Reduction Plan
OCVOH Ewenay Debt Reduction Plan « Excess Cash Flow —Protect with hedges —Optimize capital budget ¢ Divest > $1 billion non-core properties —All five divisions contributing
Slide 6: Q2 Pro Forma Production and 2002 Gas Hedges
Q2 01 Pro Forma Production Ocvont ene RGY oo 2002 Gas Hedges 10% Fixed 2002 Collar Ceiling 2002 Collar Floor 2002 Swaps & Fixed ‘87 88 ‘89 90 ‘91 92 93 ‘94 95 ‘96 ‘97 98 99 00 01 [ll Devon's historical average realized gas prices ots Pro forma data for the cambination of Devan, Mitchell and Anderson
Slide 7: Pro Forma Production and 2002 Oil Hedges
i ‘orma Prodi OCVOH ewenay Collars 2002 Oil Hedges 2002 Collar Ceiling $25.00 1 $20.00 a 2002 Collar Floor 523.00. "2002 Swaps & Fixed 21.94 2 $15.00 $10.00 $6.00 $0.00 ‘87 ‘88 89 ‘90 91 92 93 ‘94 ‘95 ‘96 ‘97 98 ‘99 ‘00 ‘01 Nine Months Pro forma data for the combination of Devon, Mitchell and Anders
Slide 8: Mitchell Production Growth
OCVOH ewenay Mitchell Production Growth (MMCFED) 503 19°00 =2Q'00 32°00 49°00 1°01 2Q°01 30°01
Slide 9: Cherokee Basin CBM
OCVOH enenay Cherokee Basin CBM - 400,000 net acres > Geology: — Depths 800 - 3,000' — Pennsylvanian coals Current Status: - 3 rigs drilling; acquiring fourth — Drilling - 2001: 100 wells - 2002: 400 - 500 wells ‘Oklahoma |
Slide 10: Peace River Arch
= OCVOH ewenay SAMI Peace River Arch 900,000 net undeveloped acres Drilling rigs utilized Current 4 ‘01/02 winter plans: 8 Q2 ‘01 pro forma production Gas: 142 MMCFD Liquids: 6,460 BOD. Moderate well depths Ownership in key infrastructure Significant recent success
Slide 11: Deep Basin
OCVOH ewenay Deep Basin 700,000 net undeveloped acres ‘01/02 winter plans: 13 rig program Q2 ‘01 pro forma production Gas: 80 MMCFD. Liquids: 4,200 BLD + Mid-depth, liquid rich gas targets to deep lean gas Year-round access Ownership in key infrastructure mn| ° Significant recent success
Slide 12: NW Alberta/NE B.C.
devo [ENERGY NW Alberta/NE B.C. age CECE Significant operational Smut i synergy B| * Q2 ‘01 pro forma || production | Gas: 150 MMCFD | Liquids: 6,600 BLD || » Strong growth potential from multi-zone gas targets
Slide 13: Track Record, Growth Strategy and Projects
I. Track Record Il. Growth Strategy Ill. Near-term Growth Projects IV. Long-term/High-potential Projects
Slide 14: Northern Foothills
OCVOH ewenay a Northern Foothills Multi-zone sour & sweet gas potential 2001 activity: yielded 4 sour & 6 sweet gas wells aoe + > 90 MMCFD of shut-in gas infrastructure production Infrastructure: 134 MMCFD 42% WI, operated Est. on-stream Q2 ‘02 Westcoast sour line planned on- stream late 2002 =a
Slide 15: West Africa
OCVOH Ewenay West Africa Devan Blocks Marine IX Block - 150 MMBOE gross target 37.5% working interest Expected spud: Q1 ‘02 Agali Block —On trend w/Triton’s La Ceiba 150 MMBOE gross target 50% working interest Expected spud: mid-02
Slide 16: Azerbaijan
OCVOH Ewenay Azerbaijan Operator: BP Amoco 5.6% carried interest Current production: 115 MBOD (gross) Gross proven reserves: > 4 BBO Ultimate gross potential: > 6 BBO