Riley Exploration Permian, Inc. · AMEX:REPX
Riley Exploration Permian — Investor Presentation (March 2021)
21 slides from Riley Exploration Permian's investor presentation, Mar 5, 2021
Slide 1: Riley Exploration Permian, Inc. Investor Presentation March 2021
Riley Exploration Permian, Inc.NYSE: REPX Investor PresentationMarch 2021 www.rileypermian.com NYSE American: REPX
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward-Looking StatementsThis presentation contains projections and other forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. These projections and statements reflect Riley Exploratio
Slide 3: No Offer or Solicitation; Non-GAAP Information; Oil & Gas Reserves
No Offer or SolicitationThis presentation does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful pr
Slide 4: Investment Highlights of a New Breed, Small Cap E&P
14%2020 vs. 2019 Production Growth(1) 67%1Q21Cash Margin(2) $28MMFY21E Free Cash Flow, per Guidance(3) 8% FY21E Free Cash Flow Yield(3) 65%FY21EReinvestment Rate, per Guidance(4) 9Consecutive Quarters of Dividend Payments 5.6%Current Dividend Yield(5) 1.4xNet Debt Leverage(6) Investment Highlights o
Slide 5: Strategic Priorities
Strategic Priorities Operational Excellence Utilize data-driven analysis for performance management and asset optimizationContinuously improve to maintain top-quartile metrics among small caps and large caps Focused Growth Organically grow production while spending ~65% of discretionary cash flowSel
Slide 6: Corporate Profile
Corporate Profile Company Market Information Merger completed on February 26, 2021 between Riley Exploration – Permian, LLC and Tengasco, Inc.Company subsequently renamed Riley Exploration Permian, Inc.Headquartered in Oklahoma City, OKFiscal year is 10/1 – 9/30Quarterly dividend of $0.28/sh. (5.6%
Slide 7: Asset Profile
Asset Profile Core focus on development of horizontal San Andres production on the Northwest Shelf of the Permian BasinThe San Andres is a proven Conventional Reservoir that has been producing since the 1920s44k (~27k core) net acreage position in TX and NM Riley Permian’s primary asset (Champions)
Slide 8: Fiscal 1Q21 Highlights
Fiscal 1Q21 Highlights Activity Drilled 2 gross / 2 net wells, which are being completed in 2Q21Brought online 5 gross (2.7 net) wells Production 5.95 MBbls/d7.59 Mboe/d, 7% growth vs. Q420 Spending $8.8 MM total Capex48% of Discretionary Cash Flow (1) Financials $19.7 MM Adjusted EBITDAX (2)$9.7 MM
Slide 9: Initial Guidance for Fiscal Year 2021
Initial Guidance for Fiscal Year 2021 Activity Drill 12 gross / 9 net wellsComplete 5 gross / 4.7 net wells Production 6.4 MBbls/d8.4 Mboe/d, 18% growth vs. FY20 Spending $52 MM total Capex65% reinvestment rate of Discretionary Cash Flow (1) (2) Financials $85 MM Adjusted EBITDAX (2) (3)$28 MM Free
Slide 10: Performance Based Culture
Performance Based Culture Average Daily Production (Boe/d)(1) Adjusted EBITDAX ($MM)(2) Lease Operating Expense and Cash G&A (3) ($/Boe) Leverage Ratio (Net Debt/LTM Adj. EBITDAX)(4) Since inception, Riley Permian has delivered steady production growth, while focusing on cost control and lowering Le
Slide 11: Competitive Cash Margins and Operating Costs
Competitive Cash Margins and Operating Costs All-in Cash Margins ($/Boe) (1) All-in Cash Operating Costs ($/Boe) All-in cash margin calculated on a per Boe basis as total revenues after realized hedge impact, less all-in cash costs which consist of LOE, ad valorem and production taxes, Cash G&A and
Slide 12: Riley Permian Reserves Summary
Riley Permian Reserves Summary Total Reserves by Category Proved Reserves by Category Proved Reserves by Commodity Undeveloped 3P Locations as of September 30, 2020 Reserve Type Oil (MBbls) Natural Gas (MMcf) NGL (MBbls) Total (Mboe) Gross Horizontal Drilling Locations % by Reserve Type Net Horizont
Slide 13: Environmental, Social and Governance (ESG)
Environmental, Social and Governance (“ESG”) Vapor Recovery Units Minimal Flaring Leak Detection & Repair CO2 Emission Reduction Water Disposal Minimized emissions by installing Vapor Recovery Units Installation of operable gas lines ahead of first productions minimizes the need for flaring Implemen
Slide 14: Future Drivers of Value
Future Drivers of Value Champions Development Multi-year continued development of predictable, low risk undeveloped locations.Ability to ramp up development pace, with the majority of the infrastructure in place.Development phase offers opportunities to optimize and drive operations efficiencies. Te
Slide 15: Appendix
Appendix @ NYSE American: REPX has www.rileypermian.com RILEY.
Slide 16: Reconciliation of Adjusted EBITDAX
Non-GAAP Financial Measures – “Adjusted EBITDAX” Adjusted EBITDAXREPX defines “Adjusted EBITDAX” as net income (loss) adjusted for certain cash and non-cash items, including depreciation, depletion, amortization and accretion, or DD&A, impairment of long-lived assets, provision for the carrying valu
Slide 17: Discretionary Cash Flow and Free Cash Flow
Non-GAAP Financial Measures – “Discretionary Cash Flow” and “Free Cash Flow” Discretionary Cash FlowREPX defines “Discretionary Cash Flow” as Adjusted EBITDAX (defined in “Reconciliation of Non-GAAP Financial Measures – “Adjusted EBITDAX”), less cash interest expense, net.REPX believes that Discreti
Slide 18: Net Debt Reconciliation
Non-GAAP Financial Measures – “Net Debt” Net Debt The Company defines net debt as debt less cash and cash equivalents. Net debt should not be considered an alternative to, or more meaningful then, total debt, the most directly comparable GAAP measure. Management uses net debt to determine the Compan
Slide 19: Leadership Team
Leadership Team Bobby Riley, Chief Executive Officer and Chairman of the BoardMr. Riley was appointed as the Chairman of REP’s board of managers, President and Chief Executive Officer in June 2016. Mr. Riley also served as the Chief Executive Officer of REG from when it was founded in 2012 to May 1,
Slide 20: Leadership Team (cont'd)
Leadership Team (cont’d) Corey Riley, Executive Vice President of Business IntelligenceMr. Riley joined REP in April of 2019 as Executive Vice President of Business Intelligence and is responsible for the strategies and technologies used by the organization to collect, integrate and analyze business
Slide 21: Board of Directors
Board of Directors Bobby Riley (see previous slide)Mike Rugen (see previous slide)Brent ArriagaMr. Arriaga is the Corporate Controller of Helix Energy Solutions Group, Inc., an offshore energy service company. Mr. Arriaga has over 20 years of experience in finance and accounting in the energy and fi
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