Enerplus Core Drilling and Production Overview
enerPLUS
Bakken oil price strength supported by spare pipeline capacity.
Bakken oil production & takeaway(1)
Millions of bbl/d
Oil price diffs
Enerplus Bakken oil price differential vs WTI ($/bbl)
I
+$1.00/bbli
I above WTI
2014
2015
2016
2017
-$3.72
2018
2019
2020
2021
2022
I 2023
-$2.15
-$3.78
-$3.98
-$5.39
-$7.46
-$9.44
-$12.94
Pre-DAPL
Significant rail utilization led to
DAPL in service June 2017
Differentials strengthened due
to increased pipeline egress
1.8
wider differentials
1.6
1.4
DAPL
1.2
1.0
Production
0.8
0.6
0.4
0.2
0.0
Jan-14
Jan-15
Jan-16
Jan-17
Pipelines
(ex DAPL)
Rail volumes (2)
Jan-18
Jan-19
Jan-20
COVID/OPEC related oil price shock
led to reduced basin production &
increased spare pipeline capacity
2022 GUIDANCE
Premium pricing vs WTI expected in 2022
2024
2025
2026
Basin not expected to test egress capacity.
Expect in basin differentials to trade in
$0-$2.00/bbl range below WTI
Production forecast
based on 50 rigs
Wood Mackenzie
Production forecast
based on 30 rigs
Jan-21
Jan-22
Jan-23
Jan-24
Jan-25
Jan-26
14
1) Source: North Dakota Industrial Commission (NDIC), Company estimates, Wood Mackenzie. Production is shown net of local refining demand.
2) Forecast rail volumes assume 175 mb/d are contracted going forward.View entire presentation