Strathcona Resources Ltd. Reports Year End 2023 Reserves

About this update from Strathcona Resources Ltd.

Strathcona Resources Ltd. Reports Year End 2023 Reserves /* Style Definitions */ span.prnews_span { font-size:8pt; font-family:"Arial"; color:black; } a.prnews_a { color:blue; } li.prnews_li { font-size:8pt; font-family:"Arial"; color:black; } p.prnews_p { font-size:0.62em; font-family:"Arial"; color:black; margin:0in; } .prngen13{ PADDING-RIGHT:0.83em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: RIGHT; BORDER-TOP:black 1pt; BORDER-RIGHT:black 1pt; BORDER-BOTTOM:black 1pt; BORDER-LEFT:black 1pt } .prngen24{ PADDING-RIGHT:0.33em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: CENTER; BORDER-TOP:black 1pt; BORDER-RIGHT:black 1pt; BORDER-BOTTOM:black 1pt; BORDER-LEFT:black 1pt } .prngen14{ PADDING-RIGHT:0.83em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: RIGHT; BORDER-TOP:black 1pt; BORDER-RIGHT:black 1pt; BORDER-BOTTOM:black 0.5pt solid; BORDER-LEFT:black 1pt } .prngen5{ PADDING-RIGHT:0.17em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: RIGHT; BORDER-TOP:black 1pt; 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VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: RIGHT; BORDER-TOP:black 0.5pt; BORDER-RIGHT:black 0.5pt; BORDER-BOTTOM:black 0.5pt solid; BORDER-LEFT:black 0.5pt } .prngen7{ PADDING-RIGHT:0.17em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; TEXT-ALIGN: RIGHT; BORDER-TOP:black 0.5pt; BORDER-RIGHT:black 0.5pt; BORDER-BOTTOM:black 0.5pt solid; BORDER-LEFT:black 0.5pt } .prnrbrb1{ BORDER-RIGHT:black 1pt } .prnsblb1{ BORDER-LEFT:black 1pt } .prnml4{ MARGIN-TOP:0em; MARGIN-RIGHT:0em; MARGIN-BOTTOM:0em; MARGIN-LEFT:0.33em !IMPORTANT } .prnpl2{ PADDING-LEFT:0.17em } .prntac{ TEXT-ALIGN: CENTER } .prnbbbs{ BORDER-BOTTOM:black 0.5pt solid } .prnml10{ MARGIN-TOP:0em; MARGIN-RIGHT:0em; MARGIN-BOTTOM:0em; MARGIN-LEFT:0.83em !IMPORTANT } .prnsbtb1{ BORDER-TOP:black 1pt } .prncbts{ BORDER-TOP:black 0.5pt solid } .prnpr2{ PADDING-RIGHT:0.17em } .prnbcc{ BORDER-COLLAPSE: COLLAPSE; BORDER-TOP:1pt black; BORDER-RIGHT:1pt black; BORDER-BOTTOM:1pt black; BORDER-LEFT:1pt black } .prnvab{ VERTICAL-ALIGN: BOTTOM } .prnsbbb1{ BORDER-BOTTOM:black 1pt } Canada NewsWire CALGARY, AB , March 11, 2024 /CNW/ - Strathcona Resources Ltd. ("Strathcona") (TSX: SCR) today reported its year end 2023 reserves. The tables below summarize Strathcona's year end 2023 reserves which were prepared by McDaniel & Associates Consultants Ltd. ("McDaniel") and Sproule Associates Limited ("Sproule"). A complete filing of our oil and gas reserves and other oil and gas information presented in accordance with National Instrument  51-101 – Standards of Disclosure for Oil and Gas Activities will be included in Strathcona's Annual Information Form for the year ended December 31, 2023 , to be released in late March 2024 . In addition, a letter to shareholders regarding its year end 2023 reserves has been posted on Strathcona's website at https://www.strathconaresources.com/investors/#reports . Shareholders are encouraged to read the letter, which provides additional detail on Strathcona's 2023 reserves, including a summary of growth and value creation since 2017. Summary of Oil and Gas Reserves (Forecast Prices and Costs) as of December 31, 2023 Reserves Category Light & Medium Crude Oil Heavy Crude Oil Bitumen Conventional Natural Gas (Associated & Non-Associated Gas) Gross (mbbl) Net (mbbl) Gross (mbbl) Net (mbbl) Gross (mbbl) Net (mbbl) Gross (mmcf) Net (mmcf) Proved Developed Producing 925 719 92,897 80,576 119,623 83,009 452,900 409,622 Developed Non- Producing 1 1 826 765 - - 5,257 4,780 Undeveloped 775 579 356,261 315,189 553,434 362,239 884,378 787,418 Total Proved (2) 1,701 1,300 449,983 396,529 673,057 445,248 1,342,535 1,201,820 Total Probable 3,359 2,409 168,324 143,544 680,169 430,653 1,073,714 921,859 Total Proved Plus Probable (2) 5,059 3,709 618,307 540,073 1,353,226 875,901 2,416,249 2,123,678 Reserves Category Conventional Natural Gas (Solution Gas) (1) Natural Gas Liquids Oil Equivalent Gross (mmcf) Net (mmcf) Gross (mbbl) Net (mbbl) Gross (mboe) Net (mboe) Proved Developed Producing 10,647 9,768 48,091 37,810 338,793 272,013 Developed Non- Producing 312 291 754 608 2,509 2,219 Undeveloped 8,865 7,959 88,001 72,563 1,147,344 883,133 Total Proved (2) 19,824 18,018 136,846 110,981 1,488,647 1,157,365 Total Probable 25,497 22,630 88,447 67,230 1,123,501 801,251 Total Proved Plus Probable (2) 45,321 40,648 225,294 178,211 2,612,148 1,958,616 Notes: (1) Conventional Natural Gas (Solution Gas) includes all gas produced in association with light and medium crude oil and heavy crude oil. (2) Figures may not add due to rounding. Summary of Net Present Value of Future Net Revenue Attributable to Oil and Gas Reserves (Forecast Prices and Costs) as of December 31, 2023 Before Deducting Income Taxes After Deducting Income Taxes RESERVES CATEGORY 0 % 5 % 10 % 15 % 20 % Unit Value (2) 0 % 5 % 10 % 15 % 20 % Unit Value (3) (in $ millions) (1) $/boe (in $ millions) (1) $/boe Proved Developed Producing 6,322 6,252 5,585 5,002 4,531 20.53 6,322 6,252 5,585 5,002 4,531 20.53 Developed Non ‑ Producing 60 50 44 38 35 19.62 60 50 44 38 35 19.62 Undeveloped 27,940 15,219 9,005 5,630 3,639 10.20 25,434 13,660 7,987 4,939 3,153 9.04 Total Proved (4) 34,322 21,521 14,634 10,670 8,205 12.64 31,817 19,962 13,616 9,979 7,719 11.76 Total Probable 32,301 13,192 6,809 4,111 2,751 8.50 28,816 11,376 5,713 3,383 2,234 7.13 Total Proved plus Probable (4) 66,624 34,714 21,442 14,781 10,956 10.95 60,632 31,337 19,329 13,361 9,953 9.87 Notes: (1) Net present value of future net revenue includes all resource income, including the sale of oil, gas, by-product reserves, processing third party reserves and other income. (2) Calculated using net present value of future net revenue before deducting income taxes, discounted at 10% per year, and net reserves. The unit values are based on net reserves volumes. (3) Calculated using net present value of future net revenue after deducting income taxes, discounted at 10% per year, and net reserves. The unit values are based on net reserves volumes. (4) Figures may not add due to rounding. Forecast Prices and Costs Year (1) Inflation (%) (2) Exchange Rate (US$/Cdn$) (3) Crude Oil Natural Gas Natural Gas Liquids WTI Cushing Oklahoma 40 API ($US/bbl) Canadian Light Sweet Crude 40 API ($Cdn/bbl) Western Canadian Select 20.5 API ($Cdn/bbl) Alberta AECO-C Spot ($Cdn/ mmbtu) Edmonton Pentanes Plus ($Cdn/bbl) Edmonton Butane ($Cdn/bbl) Edmonton Propane ($Cdn/bbl) Ethane Plant Gate ($Cdn/bbl) 2024 0.00 0.75 76.00 97.33 81.33 2.33 101.33 50.67 28.21 6.47 2025 2.00 0.75 76.00 97.25 84.67 3.64 101.33 50.67 33.03 10.09 2026 2.00 0.75 76.00 97.17 84.33 3.95 101.33 50.67 32.78 10.93 2027 2.00 0.75 77.52 99.12 86.02 4.03 103.36 51.68 33.44 11.15 2028 2.00 0.75 79.07 101.10 87.74 4.11 105.43 52.71 34.11 11.38 2029 2.00 0.75 80.65 103.12 89.50 4.19 107.54 53.77 34.79 11.60 2030 2.00 0.75 82.26 105.18 91.29 4.27 109.69 54.84 35.48 11.84 2031 2.00 0.75 83.91 107.29 93.11 4.36 111.88 55.94 36.19 12.07 2032 2.00 0.75 85.59 109.43 94.97 4.44 114.12 57.06 36.92 12.31 2033 2.00 0.75 87.30 111.62 96.87 4.53 116.40 58.20 37.66 12.56 Escalation of 2% per year thereafter Notes: (1) Product sale prices will reflect these reference prices with further adjustments for quality and transportation to point of sale. (2) Inflation rates for forecasting costs only. Prices inflated at 2% after 2024 where applicable. (3) The exchange rate is used to generate the benchmark reference prices in this table. Reconciliation of Changes in Gross Reserves (1) Conventional Natural Gas Light & Medium Crude Oil (mbbl) Heavy Crude Oil (mbbl) Bitumen (mbbl) Non- Associated and Associated Gas (mmcf) Solution Gas (mmcf) Natural Gas Liquids (mbbl) Oil Equivalent (mmboe) Proved December 31, 2022 2,776 468,679 646,474 824,049 19,896 80,970 1,339,555 Extensions and improved recovery (2) - 1,667 35,277 43,248 257 5,575 49,770 Technical revisions (3) (873) (2,505) 11,663 (12,895) 1,791 1,707 8,155 Discoveries (4) - - - - - - - Acquisitions 22 - - 483,880 - 53,880 134,549 Dispositions - - - - - - - Economic factors (5) 8 292 - 892 69 371 831 Production (232) (19,580) (20,355) (52,423) (2,192) (7,466) (56,750) Infill drilling - 1,430 - 55,785 3 1,809 12,537 December 31, 2023 (6) 1,701 449,983 673,057 1,342,535 19,824 136,846 1,488,647 Probable December 31, 2022 4,499 169,426 630,111 906,539 30,074 60,171 1,020,309 Extensions and improved recovery (2) - 879 22,210 21,785 - 5,092 31,812 Technical revisions (3) (1,186) (2,729) 27,848 (2,303) (4,514) (1,365) 21,432 Discoveries (4) - - - - - - - Acquisitions 8 - - 206,474 - 26,811 61,232 Dispositions - - - - - - - Economic factors (5) 37 31 - (2,996) (63) (453) (896) Production - - - - - - - Infill drilling - 717 - (55,785) - (1,809) (10,389) December 31, 2023 (6) 3,359 168,324 680,169 1,073,714 25,497 88,447 1,123,501 Proved Plus Probable December 31, 2022 7,275 638,105 1,276,584 1,730,588 49,971 141,141 2,359,865 Extensions and improved recovery (2) - 2,547 57,487 65,033 257 10,668 81,582 Technical revisions (3) (2,059) (5,234) 39,510 (15,198) (2,723) 342 29,587 Discoveries (4) - - - - - - - Acquisitions 29 - - 690,354 - 80,692 195,779 Dispositions - - - - - - - Economic factors (5) 45 323 - (2,104) 6 (82) (65) Production (232) (19,580) (20,355) (52,423) (2,192) (7,466) (56,750) Infill drilling - 2,147 - - 3 - 2,148 December 31, 2023 (6) 5,058 618,307 1,353,226 2,416,249 45,321 225,294 2,612,146 Notes: (1) Gross reserves means Strathcona's working intertest reserves before calculation of royalties, and before consideration of Strathcona's royalty interests. (2) Additions due to new wells drilled and booked during the year, and any reserve changes due to enhanced oil recovery. (3) Technical revisions also include changes in reserves associated with changes in operating costs, capital costs and commodity price offsets. (4) Additions where no reserves were previously booked. (5) Changes to reserves volumes due to changes in price forecasts and/or inflation rates. (6) Figures may not add due to rounding Undiscounted Future Net Revenue by Reserves Category Reserves Category ($ millions) Revenue Royalties Operating Costs Development Costs Abandonment and Reclamation Costs Future Net Revenue Before Income Taxes Income Taxes Future Net Revenue After Income Taxes Total Proved 118,432 28,914 36,173 16,568 2,454 34,322 2,506 31,817 Total Probable 114,955 35,395 31,315 15,184 760 32,301 3,486 28,816 Total Proved plus Probable (1) 233,386 64,309 67,488 31,751 3,214 66,624 5,991 60,632 Notes: (1) Figures may not add due to rounding Fourth Quarter Financial and Operating Results and Conference Call Strathcona will release its fourth quarter 2023 financial and operating results after market close on March 26, 2024 and will host a conference call on March 27, 2024 starting at 9:00AM MT ( 11:00AM ET ). About Strathcona Strathcona is one of North America's fastest growing oil and gas producers with operations focused on thermal oil, enhanced oil recovery and liquids-rich natural gas. Strathcona is built on an innovative approach to growth achieved through the consolidation and development of long-life oil and gas assets. Strathcona's common shares (symbol SCR) are listed on the Toronto Stock Exchange. For more information about Strathcona , visit www.strathconaresources.com . View original content to download multimedia: https://www.prnewswire.com/news-releases/strathcona-resources-ltd-reports-year-end-2023-reserves-302086045.html SOURCE Strathcona Resources Ltd. View original content to download multimedia: http://www.newswire.ca/en/releases/archive/March2024/11/c3066.html

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