Parex Resources Inc. · TSX:PXT
Parex Resources — Investor Presentation (April 2024)
21 slides from Parex Resources's investor presentation, Apr 23, 2024
Slide 1: High-Potential Foothills Trend
Parex Resources High-Potential Foothills Trend April 23, 2024
Slide 2: Positioned for the next growth chapter
Positioned for the next growth chapter Minimizing risk & maximizing reward as Parex expands into the country’s most prolific area
Slide 3: Delivering on PXT Gas Strategy
Delivering on PXT Gas Strategy Progressing Foothills Opportunity within Existing Capital Allocation Partnered with Available World-Class High-Grades Ecopetrol & Infrastructure Resource Portfolio Government Access to Markets ▪ PXT operator of trend ▪ Accelerate development ▪ Area has cumulative ▪ Pro
Slide 4: Framework
Framework
Slide 5: Aligned with Partner: Development of Colombian Gas Essential
Aligned with Partner: Development of Colombian Gas Essential Slide as Presented by Ecopetrol at Arpel-Naturgas Conference(1) The development of gas potential is essential for energy sovereignty Will require momentum and support from all actors to achieve timely entry Balance National Supply - Countr
Slide 6: Mutual Benefits for Colombia Through Foothills Collaboration
Mutual Benefits for Colombia Through Foothills Collaboration Energy Support Utilize Existing Security Energy Transition Infrastructure Secure Gas Supply Gas Exploration Underutilized for the Future & Development Pipelines & Facilities See “Forward-Looking Statements” advisory. 6
Slide 7: PXT Operatorship with High-Potential Part of Trend Captured
PXT Operatorship with High-Potential Part of Trend Captured Operatorship Sirirí Convenio(1)(3) Highlights track record Sirirí Producing area with high- of technical expertise & ranking prospects that could stakeholder engagement be fast-tracked to market(4) Aligned Area Harmonized Land Area of Mutua
Slide 8: Strategic Infrastructure Position
Strategic Infrastructure Position Existing & Proposed Infrastructure(1) In-Place Infrastructure Could Arauca Provide Egress for the High-Potential Area To Bucaramanga (TGI Gas) Gibraltar Banadia Bicentenario (OBC) Pipeline Benefits Capachos ▪ Significantly underutilized infrastructure: previously bu
Slide 9: Llanos Foothills
Llanos Foothills
Slide 10: Llanos Foothills – The Most Prolific Area in all of Colombia
Llanos Foothills – The Most Prolific Area in all of Colombia LLANOS FOOTHILLS HISTORICAL AVERAGE PRODUCTION(1) Major Discoveries & PXT Targets(2)(3) Oil (kbbl/d) Natural Gas (bcf/d) ~450 kbbl/d ~3.0 bcf/d 450 3.0 375 2.5 300 2.0 225 1.5 150 1.0 75 0.5 0 0.0 1992 1997 2002 2007 2012 2017 2022 Produce
Slide 11: Llanos Foothills – Historical Timeline
Llanos Foothills – Historical Timeline Major Foothills Peak Colombia Peace PXT Restarts PXT Restarts PXT Spuds Exploration Paused Discoveries Production Agreement Capachos Arauca LLA-122 Arantes 2000s & 2010s 1980s & 1990s 1999/2004 2016 2018 2023 2024 What Paused Exploration? Today’s Environment Un
Slide 12: Llanos Foothills – Illustrative Structural Trends
Llanos Foothills – Illustrative Structural Trends Triangle Zone Basement Depth (feet) Gibraltar Niscota Structures Profundo Area LLA-122 Arantes 0 10,000 20,000 Proven Basement Fields(1) CUPIAGUA CUSIANA CAPACHOS / ARAUCA 30,000 Potential Zones in Each Sheet Proven Triangle Zone Fields(1) Mirador /
Slide 13: Llanos Foothills – Basement Structures
Llanos Foothills – Basement Structures Simpler, Single Sheet Structures Arantes Arauca Capachos CUPIAGUA CUSIANA CAPACHOS ARAUCA Key Analogs(1) Thick-skinned structures that are simple steep faults, Arantes generally containing one set of targets LLA-122 – Arantes ~10-30% PXT Targets in Trend: >10 P
Slide 14: Llanos Foothills – Triangle Zone
Llanos Foothills – Triangle Zone Focused Capital Allocation on 5+ Priority Targets Gibraltar Profundo Profundo Niscota PIEDMONTE (FLOREÑA, PAUTO SUR) GIBRALTAR Key Analogs(1) Niscota Area Triangle zone structures have vertically stacked sheets with repeating targets that result in higher probability
Slide 15: Strategy & Next Steps
Strategy & Next Steps
Slide 16: Executing on Strategy as Presented in 2021
Executing on Strategy as Presented in 2021 Business Fundamentals Strategic Growth Levers Colombia Advantage & ESG Utilize Exploitation & Technology UNLOCKING EXTENSIVE LAND BASE USING GLOBALLY-PROVEN TECHNOLOGY Asset Sustainability Capture Liquids-Rich Gas Opportunities PURSUING ONSHORE, WORLD-CLASS
Slide 17: Strategic Steps Enabled the Foothills Agreement
Strategic Steps Enabled the Foothills Agreement ✓ Strategically acquired land position ✓ Proven technology track record Now set to be the operator ✓ Strong government & partner relations of the Llanos Foothills, entrusted to lead an ✓ Leader in community engagement onshore gas solution See “Forward-
Slide 18: Vision to Progress Foothills Opportunity
Vision to Progress Foothills Opportunity 2024 2025 2025+ LLA-122 Sirirí Gibraltar Exploration Area Arantes Profundo Niscota Drilling Today Top Ranked Prospect(1) Covered by AMI(2) ✓ Preliminary results expected ✓ Expected to be a part of the 2025 ✓ Permitting and preparations mid-year exploration pr
Slide 19: PXT Positioned for its Next Growth Chapter
PXT Positioned for its Next Growth Chapter The Colombian Foothills Provides Game-Changing Company Potential at an Enhanced Risk & Reward Profile THREE-YEAR EXPLOITATION HIGH-GRADED PLAN UNCHANGED EXPLORATION PORTFOLIO The Next LLA-34 Moment See “Forward-Looking Statements” advisory.
Slide 20: Contact Information
Contact Information Mike Kruchten Senior Vice President, Capital Markets & Corporate Planning 403-517-1733 investor.relations@parexresources.com Steven Eirich Investor Relations & Communications Advisor 587-293-3286 investor.relations@parexresources.com Parex Resources Inc. 2700 Eighth Avenue Place,
Slide 21: Advisory
Advisory This presentation is provided for informational purposes only as of April 23, 2024, is not complete and may not contain certain material information about Parex Resources Inc. ("Parex" or the "Company"), including important disclosures and risk factors associated with an investment in Parex