Newfield - Eagle Ford Acquisition Opportunity 2016

Overview

  • Two contiguous Eagle Ford acreage positions comprising 22,800 net acres (~85% HBP) in Dimmit and Atascosa counties, Texas(1)
  • Acreage predominantly lies along the high IRR volatile oil window of the Eagle Ford
    • Volatile oil window comprises a significant portion of current Eagle Ford development
  • Additional 18,500 net acres in Maverick County with current production predominately from the Georgetown Limestone
  • Expected August 2016 net production of 7.7 Mboe/d (~75% liquids) from 125 gross wells(2)
    • Includes net production of 1.2 Mboe/d from 12 WOC wells (expected first production July 2016)(3)
  • 2015 annual operating cash flow of $78 MM
  • Over 300 gross remaining drilling opportunities with average IRR of ~60%, over half of which have IRRs >70%(4)
  • Acreage geometry and in-place infrastructure ideal for efficient continued development
  • Robust drilling inventory includes the Lower Eagle Ford (two zones) and the Upper Eagle Ford, supported by significant OOIP
    • Lower Eagle Ford (66% of total location count) average IRR of >70% and Upper Eagle Ford average IRR >30%(4)
  • Stacked-pay development off existing pads allows for high-pace future growth
  • Recent completion up-sizing by major Eagle Ford operators has substantially increased single-well productivity and returns

Contacts