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Investor Presentaiton

Assets in the Delaware Basin In January 2017 acquired a 25% interest in initial ~720 gross leased acres for $5,500 per net acre from Founders Oil & Gas III, LLC (179 net leased acres). pooling increased gross acres to 960, with HUSA now owning 18.7% average WI. The O'Brien #3H well and the Johnson #1H well are both now producing oil and gas. Centennial's notation of five productive zones (see⭑ on pg 7.), equates to 60 gross (11.2 net) potential Hz well locations across our acreage. Wolfcamp A revised "Type Well" gross (8/8ths) economics:2 Wolfcamp Oil/Condensate/Gas Trend Map 1 Eddy Condensate-Rich Tre Gas-Rich Trend Our acreage is in a high- GOR, oil, gas and condensate-rich / underdeveloped area of the trend WW EUR NPV10 IRR F&D Discounted ROI Undiscounted ROI 1,512 MBOE $8.2 million 56% $6.17 / Boe 2.25x 3.8x 1. 2. Image taken from Centennial Goldman Sachs Global Energy Conference presentation - January 2017, page 5. Includes only wells reported as producing from Wolfcamp formation. Utilizing recent production information from new wells and decline projections per internal estimated reserve economic report using type well shown in Note 1. on pg 9. Includes $57/bo and $2.95/mcf flat, $6.88 flowing boepd gross LOE, $7.0 million gross D&C per Wood McKenzie for the Delaware basin. Gas-Oil Ratio (Mcfg/Bo) Culberson 10.0 9.0 8.0 70 6.0 JODAVN 5.0 4.0 3.0 2.0 1.0 Apache's Alpine High Field Oil-Rich Trend houston american 7
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