Exco Resources Inc · OTC:EXCE
Exco Resources — Shareholder Meeting (May 2017)
15 slides from Exco Resources's shareholder meeting presentation, May 31, 2017
Slide 1: Annual Shareholder Meeting May 2017
Annual Shareholder Meeting May 2017 Exhibit 99.1
Slide 2: Strategic Plan Update
Strategic Plan Update Focus Area # Improvement Plan Liability Management 1 Improve Debt Structure To Provide Structural Liquidity 2 Restructure Gathering And Transportation Contracts To Provide Liquidity Operational Performance 3 Reduce LOE and G&A Load To Reduce Fixed Cost Burden 4 Improve Drilling
Slide 3: EXCO's Key Initiatives
EXCO’s Key Initiatives 1 Category Key Actions Delivered Reduced pro forma net debt by $650mm and increased pro forma liquidity to ~$420mm Issued $300mm of PIK toggle notes and exchanged $683mm of secured debt for PIK debt to conserve cash Grew reserves by 40% Cut LOE 35% and reduced adjusted G&A by
Slide 4: Pro Forma Sources And Uses
Pro Forma Sources And Uses Pro Forma Sources & Uses Of Cash 17; $MM Sources Of Cash New 1.5 Lien Note 300 South Texas Divestiture, net1 280 Subtotal, Sources of Cash 580 Uses of Cash Repay RBL 239 Backstop Fee 3 Commitment Fee 8 Fees and Expenses 7 Cash to Balance Sheet 323 Subtotal, Uses Of Cash 58
Slide 5: Operating Area Overview
Operating Area Overview 1 Core Basins 2 Net Production 16-17; Mmcfe/d 3 EXCO Overview: Three Concentrated Resource Positions As of December 31, ’16 Currently operating 4 rigs Proved reserves were based on December 30, 2016 NYMEX futures prices, in each case adjusted for geographical and historical d
Slide 6: Capital Program Overview
Capital Program Overview 17; Mixed Measures 1 Capital Budget By Type 17; $MM 2 Drilling and Completion3 17; # 3 Category Descriptions Drilling Currently running 4 rigs Drilling in NLA Haynesville for highest economic returns North LA Bossier appraisal testing underway Completion 1-2 frac fleets 3,50
Slide 7: Well Performance
NLA DeSoto Area Cumulative Gas vs. Time Mcf; Days 1 Well Performance 3 NLA Caddo 7,500’ Type Curve Progression 2016+; Bcf/1000’ 4 Improve Drilling and Completion Performance to Improve Capital Returns NLA and ETX wells continue to exceed expectations; pressure decline is currently <10 psi/day and vo
Slide 8: Drilling Inventory
Drilling Inventory1 Breakeven Price Required for 25% IRR ($/Mcf)2; Gross/Net Locations 1 High Quality Drilling Inventory EXCO has more than 19 years of economic drilling locations with a 4 rig program drilling 41 wells per year Excludes South Texas locations Breakeven figures are wellhead returns
Slide 9: Mission Statement
Mission Statement EXCO Resources, Inc. is a natural gas and oil company engaged in the exploration, exploitation, development and production of onshore natural gas and oil properties. Our operations are focused in certain key natural gas and oil producing regions of the United States. Our primary go
Slide 10: Appendix
Appendix
Slide 11: Actuals to Guidance Comparison
Actuals to Guidance Comparison Excludes equity based compensation Interest expenses exclude interest paid or accrued in-kind, the amortization of debt issuance costs, discount on notes and capitalized interest. In addition, cash payments under the second lien term loan ("Exchange Term Loan") and a p
Slide 12: Hedge Positions
Hedge Positions Factors Unit Nine Months Ended 12/31/17 Twelve Months Ended 12/31/18 Volume Price Volume Price Natural Gas Fixed Price Swaps - Henry Hub Bbtu, $/Mmbtu 27,500 3.05 3,650 3.15 Collars - Henry Hub Bbtu 8,250 Sold Call Options $/Mmbtu 3.28 Purchased Put Options $/Mmbtu 2.87 Oil Fixed Pri
Slide 13: Single Well Economics – Internal Type Curves
Single Well Economics – Internal Type Curves Economics based on NYMEX futures prices as of March 31, 2017, including natural gas prices per MMBtu of $3.31 for 2017, $3.04 for 2018, $2.83 for 2019, $2.82 for 2020, $2.83 for 2021, $2.84 for 2022, $2.88 for 2023, $2.94 for 2024 and $3.00 thereafter Uni
Slide 14: EBITDA Reconciliation
Three Months Ended (in thousands) March 31, 2017 December 31, 2016 March 31, 2016 Net income (loss) $ 8,193 $ (34,699) $ (130,148 ) Interest expense 19,952 16,252 19,257 Income tax expense 1,028 1,027 — Depletion, depreciation and amortization 11,508 11,987 29,001 EBITDA (1) $ 40,681 $ (5,433 ) $ (8
Slide 15: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements, as defined in Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act. These forward-looking statements rela