Logan Energy Corp · TSXV:LGN
Logan Energy — Investor Presentation (December 2024)
30 slides from Logan Energy's investor presentation, December 2024
Slide 1: A Differentiated Growth Company
A Differentiated Growth Company I N V E S T O R P R E S E N TAT I O N DECEMBER 2024
Slide 2: Strategic Acquisition Further Enhances Logan's High Return Growth Plan
THE LOGAN OPPORTUNITY Strategic Acquisition Further Enhances Logans High Return Growth Plan ABOUT LOGAN INVESTMENT RATIONALE Logan Energy Corp. (“Logan”) is a growth-oriented exploration, development and production company formed Differentiated Growth Plan to Deliver Compelling Equity Returns throug
Slide 3: Acquired Simonette Montney Overview
SIMONETTE Acquired Simonette Montney Overview ACQUISITION OVERVIEW On December 17, 2024, Logan closed the acquisition of an operated 50% working interest of Gran Tierra’s Simonette asset and a 100% interest in certain Simonette gross overriding royalties, for a cash purchase price of $52.0 million,
Slide 4: Identified Near-Term Synergies of Over $20MM Driven by Infrastructure
S I M O N E T T E A S S E T D E TA I L S Identified Near-Term Synergies of Over $20MM Driven by Infrastructure ASSET DETAILS PRODUCTION & NETBACKS 2025E MAP LEGEND Simonette North Montney Production (net) boe/d 1,440 (1) • 27.5 gross (12 net) Montney sections GTE Montney Liquids % 55% • 22.5 net loc
Slide 5: Strategic Acquisition with Strong Synergies and Long-term Accretion
S T R AT E G I C R AT I O N A L E Strategic Acquisition with Strong Synergies and Long-term Accretion SIMONETTE ACQUISITON ASSET SNAPSHOT Attractive valuation with compelling accretion ▪ $52MM cash purchase price(1), 2.9x 2025 Operating Income(2) & $1.0MM per WI Montney Location ▪ 2025 accretion of
Slide 6: Organic Growth Augmented by Strategic Acquisitions to Build a Quality Asset Base
S T R AT E G Y Organic Growth Augmented by Strategic Acquisitions to Build a Quality Asset Base 1 2 3 4 Grow our Assets Identify, Acquire and Execute with Cost Effective Capital Delineate High Quality Discipline Allocation with Inventory Conservative Leverage • Organic growth plan delivers 24,000- •
Slide 7: Building in the Premier Resource Play
THE MONTNEY Building in the Premier Resource Play BC AB T87 LGN KEL ▪ High quality inventory depth is becoming scarce FLATROCK Kelt Exploration LGN T85 Arc Resources ▪ The Montney offers: Tourmaline Oil - Highly competitive play economics FSJ Coelacanth CEI T83 - Scalable production growth CNRL Ovin
Slide 8: Three Unique Montney Assets, Each Opportunity Rich
LOGAN’S MONTNEY ASSETS Three Unique Montney Assets, Each Opportunity Rich FLATROCK FLATROCK POUCE COUPE GOLD CREEK SIMONETTE ▪ Emerging undeveloped Montney property prospective for both gas Doig WEST (DIVESTED) condensate and oil development ▪ High quality subsurface properties underpin asset potent
Slide 9: New Platform for Growth and Value Creation
T H E D U V E R N AY New Platform for Growth and Value Creation Logan has assembled a 187 net section position within the Logan Energy greater Kaybob Duvernay oil play. Logan’s Duvernay position is ANTE CREEK Logan 06-09-069-26W5 (2024 DUC) comprised of blocks located in North Simonette, Ante Creek
Slide 10: Three Duvernay Development Areas
L O G A N ’ S D U V E R N AY A S S E T S Three Duvernay Development Areas Sturgeon Area ANTE CREEK Logan Duvernay Assets ▪ Northern play extension situated in ideal fluid maturity window and good shale quality Logan Montney Assets ▪ Situated in the oil window with thickness of ~16m and high pressure
Slide 11: Pouce Coupe: Proven Development Inventory Requiring Additional Infrastructure and Egress
POUCE COUPE Proven Development Inventory Requiring Additional Infrastructure and Egress ASSET CHARACTERISTICS POUCE NORTH GAS NRM Fourth Creek ▪ Low risk, high return development in Pouce South oil play segment ▪ Northern play segment defined by high porosity T82 provides repeatable production growt
Slide 12: Simonette: Core Growth Asset with Owned Infrastructure
SIMONETTE Core Growth Asset with Owned Infrastructure ASSET CHARACTERISTICS NORTH SIMONETTE OIL ▪ Opportunity rich asset with owned infrastructure that together present a ▪ Results on Logan 5-11 well demonstrating play Duvernay T65 compelling growth opportunity potential with a modern well design La
Slide 13: Flatrock: High Quality Subsurface Properties on Large Contiguous Land Base
F L AT RO C K High Quality Subsurface Properties on Large Contiguous Undeveloped Land Base ASSET CHARACTERISTICS ▪ Large contiguous land base - Over 55,000 acres all 100% WI with no encumbrances - Good year-round access primarily from freehold surfaces, outside Blueberry River First Nations high val
Slide 14: Land Base Equivalent in Size to Many Producers 10x Logan's Production
L A N D E X PA N S I O N Logan’s Land Base is Equivalent in Size to Many Producers 10x Logan’s Production MONTNEY D U V E R N AY Net Sections Net Sections 354 342 187 300 152 27 15th Largest Overall Montney Land Holder 11th Largest Overall Duvernay Land Holder Logan seeks to continuously expand and
Slide 15: Egress, Marketing & Hedging: Well Positioned For Growth
EGRESS, MARKETING & HEDGING Well Positioned For Growth GAS MARKETING & EGRESS Flatrock Fort St John ▪ All gas currently connected to NGTL and sold into AECO market Pouce ▪ Logan has ~50 mmcf/d of current firm transport service on NGTL, providing a significant growth Coupe runway Grande Prairie ▪ Add
Slide 16: 2025 Budget Highlights
U P DATED B U DG ET OVERVIEW 2025 2025 2025 Budget Highlights Current Preliminary Change (1) Budget Budget Amount % Production ▪ $195MM budget for 2025 to deliver material liquids growth and drive class leading Crude Oil and Condensate boe/d 4,805 4,235 570 13% cashflow growth while investing heavil
Slide 17: Logan Offers Significant Rate of Change and Operational Leverage
BUDGET OVERVIEW Logan Offers Significant Rate of Change and Operational Leverage PRODUCTION OIL & CONDENSATE OPEX & TRANSPORT ADJUSTED FUNDS AFF PER SHARE GROWTH GROWTH UNIT COST REDUCTION FLOW (AFF) GROWTH R E D UC T IO N $20 $140 15,000 6,000 $0.25 63% 131% 91% $120 82% 5,000 $0.20 $15 $100 10,000
Slide 18: Record Q3 Production and Cash Flow
S U M M A R Y O F Q U A R T E R LY R E S U LT S Record Q3 Production and Cash Flow Q1 2024 Q2 2024 Q3 2024 Actuals Actuals Actuals Q3 2024 HIGHLIGHTS Production ▪ Achieved record quarterly average production of 9,942 BOE per day (35% liquids) during Q3; Crude Oil and Condensate boe/d 2,047 2,371 2,9
Slide 19: Our Competitive Advantage
LOGAN ETHOS Our Competitive Advantage Technical Leaders Focused Execution and Entrepreneurially Driven Cost Discipline Highly technical team with a proven track An ownership mindset towards cost reductions Team is aligned through significant equity record of identifying high quality, yet and consist
Slide 20: www.loganenergycorp.com
www.loganenergycorp.com 20
Slide 21: Management Team and Independent Board of Directors
LOGAN TEAM Management Team and Independent Board of Directors MANAGEMENT TEAM Richard McHardy ▪ Chairman of Spartan Delta, former President, CEO and Director of Spartan Energy, Spartan Oil, and Spartan Exploration and President and Director of Titan Exploration CEO Brendan Paton, P.Eng. ▪ Former VP,
Slide 22: Early-Stage Reserve Bookings with Significant Room for Growth (YE23)
RESERVES Early-Stage Reserve Bookings with Significant Room for Growth (YE23) VOLUMES VALUE MONTNEY INVENTORY Proven Location Probable Location Unbooked Location Inventory life at end of 5-year plan (>20,000 boe/d corporate prod) 28 years 89% 100% unbooked unbooked 13 years 61% unbooked CONSERVATIVE
Slide 23: We are Builders: Substantial Value can be Created Section by Section
S PA R TA N M O N T N E Y L O O K B A C K We are Builders: Substantial Value can be Created Section by Section LAND POSITION ASSEMBLY OPERATIONAL EXECUTION ▪ Aggressively built out the Spartan Gold Creek/Karr position through 12 opportunistic and creative deals ▪ Spartan grew production both through
Slide 24: Every Spartan Delta Equity Financing Significantly Outperformed the Index
TRACK RECORD Every Spartan Delta Equity Financing Significantly Outperformed the Index DECEMBER 2019 MAY 2020 MARCH 2021 AUGUST 2021 $25 million at $64 million at $124 million at $150 million at $1.00 per Share $2.00 per Share $4.35 per Share $5.05 per Share Founding Financing Bellatrix Asset Acquis
Slide 25: Leadership has Generated Excess Returns Through Multiple Entities and Cycles
TRACK RECORD Leadership has Generated Excess Returns Through Multiple Entities and Cycles S PA R TA N S PA R TA N S PA R TA N S PA R TA N E X P L O R AT I O N OIL ENERGY D E LT A Period January 2010 to May 2011 June 2011 to January 2013 December 2013 to May 2018 December 2019 to June 2023 Equity Ret
Slide 26: Corporate Information and Analyst Coverage
C O R P O R AT E I N F O R M AT I O N A N A LY S T C O V E R A G E EXECUTIVE OFFICE STOCK EXCHANGE LISTING INSTITUTION ANALYST Logan Energy Corp. The TSX Venture Exchange 1800, 736 6 Avenue SW National Bank Financial Dan Payne Trading Symbol: LGN Calgary, Alberta T2P 3T7 Scotia Capital Cameron Bean
Slide 27: Disclaimer
DISCLAIMER Forward-Looking Statements Forward-Looking Statements (Continued) ▪ Certain information included in this presentation constitutes forward-looking information under applicable securities ▪ (continued from previous column) Actual results may vary materially from forecasts due to changes in
Slide 28: Disclaimer: Oil and Gas Advisories
DISCLAIMER Oil and Gas Advisories ▪ BOE Disclosure. The term barrels of oil equivalent ("boe") may be misleading, particularly if used in isolation. A BOE ▪ Unbooked locations are internal estimates prepared effective as of November 26, 2024 by a member of management conversion ratio of six thousand
Slide 29: Disclaimer: Non-GAAP Measures and Ratios
DISCLAIMER Non-GAAP Measures and Ratios ▪ This presentation contains certain financial measures and ratios, as described below, which do not have standardized ▪ "Net Debt (Surplus)" includes bank debt (if any) outstanding under Logan’s credit facility, net of Adjusted Working meanings prescribed by
Slide 30: Abbreviations & Definitions
A B B R E V I AT I O N S & D E F I N I T I O N S A&D Acquisitions and Dispositions MM or mm Million AECO Alberta Energy Company "C" Meter Stations of the NOVA Pipeline System mmboe Million barrels of oil equivalent AFF Adjusted Funds Flow mmboe/sec Million barrels of oil equivalent per section API A