Continental Resources
Investor Update January 2015
2015: Embracing Market Change •
Revised 2015 capex and production guidance – $2.7 billion capex (reduced 41%) – Targeting cash flow neutrality by mid‐year 2015 – 16%‐20% YOY production growth
•
Priorities – Maintain strong balance sheet and financial flexibility – Align capex near discretionary cash flow – Maximize returns and growth by focusing on high rate‐of‐return (ROR) inventory
•
Other Drilling, $102MM
Leasehold, $180MM
Other, $147MM
SCOOP Drilling, $722MM
Bakken Drilling, $1,549MM
Opportunities – Reduce well and service costs – Build efficiencies – Remain opportunistic
Non‐Acquisition Capital Expenditures: $2.7B
4 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Two World‐Class Platforms for Growth: •
Leading positions in both the Bakken and SCOOP –
Production Growth (Boe per Day)
Largest leasehold owner • Bakken 1.2 million net acres • SCOOP 471,000 net acres • Captured “core of the basin” leasehold as an early entrant and first mover in both plays
200,000
182,335 180,000
160,000
140,000
Decades of repeatable, low risk inventory to fuel future growth
120,000
Boe/Day
•
135,919
– Bakken • 4.1 Billion Boe net unrisked resource potential (11,817 net unrisked potential locations) • 10 years of inventory averaging 775 MBoe/well* • 25 years of inventory averaging 600 MBoe/well*
97,583
100,000
80,000
61,865 60,000
– SCOOP
40,000
• 3.6 Billion Boe net unrisked resource potential (~4,750 net unrisked potential locations)
37,324
43,318
20,000
0
2009
2010
Legacy
* Based on current run rate of 188 net wells /year
2011
Bakken
2012
2013
3Q 2014
SCOOP
6
Property of Continental Resources, Inc. Reproduction and distribution only with written permission
High Quality Assets Provide Optionality ROR vs. Oil Price: Current & Expected Lower CWC Comparison Bakken Oil NW Cana Gas with Carry SCOOP Woodford Condensate Springer Oil SCOOP Woodford Oil
140%
Bakken Oil 15% CWC Reduction NW Cana Gas With Carry 15% CWC Reduction SCOOP Woodford Condensate 15% CWC Reduction Springer Oil 15% CWC Reduction SCOOP Woodford Oil 15% CWC Reduction
120% 100%
ROR
80% 60% 40% 20%
Gas Price = $3.50 0% $40
$45
$50
$55
$60
Area Bakken Oil Springer Oil Woodford Condensate Woodford Oil NW Cana Gas
$65 Oil Price, $/BBL EUR, MBoe 800 940 1,725 650 1,525
$70
$75
$80
$85
$90
Lateral Length, ft 9,800 4,500 7,500 7,500 7,500
7 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Woodford: Continues to Grow •
Excellent production extended another 12 miles south – Connell 1‐13‐12XH: IP 10,951 Mcfd and 518 Bopd
Oklahoma City
• 9,500’ lateral
– Ritter 1‐3‐34XH: IP 11,747 Mcfd • 6,500’ lateral • Rich gas – 1,100+ BTU
•
Continue to encounter strong production moving west – Wilkins 1‐29H: IP 11,461 Mcfpd and 51 Bopd – Wilbern 1‐15H: IP 8,021 Mcfpd and 47 Bopd – Both average 4,500’ laterals
CLR: Galvin 1‐22‐27XH IP: 739 Bopd & 1,074 Mcfpd CLR: George 1‐17H IP: 279 Bopd & 4,773 Mcfpd CLR: Wilbern 1‐15H IP: 47 Bopd & 8,021 Mcfpd
CLR: Love 1‐26‐23XH IP: 291 Bopd & 6,691 Mcfpd
CLR: Wilkins 1‐29H IP: 51 Bopd & 11,461 Mcfpd CLR: Ritter 1‐3‐34XH IP: 11,747 Mcfpd (1,100+ BTU)
• Plan to average ~10‐13 operated rigs in 2015
CLR: Connell 1‐13‐12XH IP: 518 Bopd & 10,951 Mcfpd
CLR Completions Peer Completions CLR Acreage Oil Fairway Condensate Fairway Gas Fairway
11 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Higher Returns With Extended Laterals Condensate Fairway Type Curve
1,800
– 7,500’ on average (10,000’ where possible)
•
EUR: 1,725 MBoe (normalized to 7,500’) Current completed well cost: $12.2 MM – Anticipate ~15% or greater reduction during 2015
1,400 1,200
Oil 13% Gas 47%
NGL 40%
180
800
120
600
90
400
60
200
30 0
0 0
6
12 18 24 Producing Months
Oil IP Rate, Bbl/day Oil 30 day IP Rate, Bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, Mcf/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline Capital, $MM
100%
36
̶ 15% CWC Reduction ̶ Current CWC ($12.2 MM)
280
80%
262 61% 1.1 295 7,000
30
Condensate ROR vs Gas Price
7,500‘ lateral length
(53% Liquids)
210
150
1,725 MBoe Model Parameters
Condensate Fairway
240
1,000
ROR
•
4,500' Act. Well Count Ext. Act. Well Count 4,500' Act. Production Ext. Type Curve (Normalized to 7,500' LL) Ext. Act. Production (8,800' Avg LL)
1,600
Approximately 70% of 2015 wells will be extended laterals Boepd
•
270
Well Count
Woodford Condensate Fairway
60% 40%
6,595 58% 1.2 8,580 1,725 6% 12.2
20%
Oil Price: $60/BBL
0% $2
$3 $4 Gas Price, $/MCF
$5
$6
12 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Springer: Expanding Oil Discovery •
Continued success with oil fairway step‐outs – – – –
Schoof 1‐17H: IP 1,465 Boepd Lyle Land 1‐25H: IP 1,134 Boepd Martha 1‐34H: IP 934 Boepd Wells average ~4,500’ laterals and 75% oil
•
First extended lateral underway
•
195,000 net acres in the heart of SCOOP
SCOOP CLR: Schoof 1‐17H IP: 1,465 Boepd CLR: Martha 1‐34H IP: 934 Boepd
– 118,000 net acres in oil fairway • 46,000 net acres de‐risked – 127 MMBoe net unrisked resource potential – 188 net (252 gross) operated locations – 27 net (147 gross) non‐operated locations • 72,000 net acres of additional upside being tested
CLR: Lyle Land 1‐25H IP: 1,134 Boepd
– 77,000 net acres in gas/condensate fairway to be tested
•
6 rigs currently drilling
•
Plan to average ~3‐6 operated rigs in 2015
Springer Fairway 12 Miles
SCOOP Outline
CLR 2013 Key Delineation Wells
Springer Fairway
CLR Springer Shale Producers
CLR Leasehold
Non‐Op. Springer Shale Producer
13 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Springer Oil: Exceptional Economics Current EUR/Well Model: 940 MBoe
Well Count
800 700
4,500’ lateral Current completed well cost: $9.7 MM –
30
Expect ~15% or more reduction in cost during 2015
500 20
400 300 200
10
Install Tubing and Gas Lift
100 0
0 0
6
12
18 24 Producing Months
Springer Fairway (84% Liquids) Gas 16% NGL 17% Oil 67%
140%
4,500‘ lateral length Oil IP Rate, Bbl/day Oil 30 day IP Rate, bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, Mcf/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline
670
30
36
Oil ROR vs Oil Price
940 MBoe Model Parameters
120%
̶ 15% CWC Reduction ̶ Current CWC ($9.7 MM)
618 62% 1.25 735 867 810 56% 1.4 1,230 940 6%
100% ROR
•
Act. Production (4,275' Avg LL)
600 Boepd
•
40
Type Curve (Normalized to 4,500' LL)
Well Count
•
Springer Shale Type Curve
900
80% 60% 40%
Gas Price: $3.50/MCF
20% $40 $50 $60 $70 $80 $90 $100 Oil Price, $/BBL
14 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Incremental Value Captured Through NW Cana JV • •
Formed JV with SK E&S (South Korean based)
NW Cana
STACK
Sold 49.9% interest in 44,000 acres and 37 producing wells for total consideration of $360 million
Cana Field
– $90 million cash at closing – 5‐year $270 million carry for 50% of CLR’s future D&C capital
•
Plan to operate 4 rigs in 2015
•
Blaine County
SCOOP
– Carried returns of 85% for current CWC and over 100% for target CWC at $3.50/Mcf & $60 oil – EUR: 1,872 MBoe – CWC: $11.8 MM
•
Dewey County – Carried returns of 84% at current CWC and over 100% for target CWC at $3.50/Mcf and $60 oil – EUR: 1,525 MBoe – CWC: $10.3 MM
25 Miles
Woodford Shale Thickness 50 ft 100 ft
Oklahoma Texas
>200 ft
15 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
2015 Capital Expenditures Budget Non‐Acquisition Capital Expenditures: $2.7B Other Drilling, $102MM
Leasehold, $180MM
Drilling capital allocation: • •
Other, $147MM
•
Bakken: 65% SCOOP: 31% ̶ Woodford: 24% ̶ Springer: 7% NW Cana JV & Other: 4%
Average 31 operated rigs in 2015 2015 YOY production growth of 16‐20%
SCOOP Drilling, $722MM
Average Operated Rigs
Net Wells(1)
11
188
10‐13
~63
SCOOP Springer
3‐6
~18
NW Cana JV & Other
4
11
31
~280
Bakken SCOOP Woodford
Bakken Drilling, $1,549MM
Totals
(1) Includes operated and non‐operated wells with first production
16 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Woodford Thickness Expands Across Leasehold 2013 – 2014 Exploratory Program
Development Program Initiated North
South
130’
150’ 245’ Hunton
380’ 560’
W o o d f o r d
950’
230’ 295’ 465’
Hunton
Gamma Ray Brittleness 25 Mi.
23
NW Cana Joint Venture 60
Actual Well Count
Dewey Type Curve
1,200 1,200
Actual Prod. (3475' Avg LL) Extended Type Curve (Normalized to 7500') BOE Extended Type Curve (Normalized to 7500') BOE 4500' Type Curve BOE 4500' Type Curve BOE 4500' Actual Well Count
Actual Prod. (4350' Avg LL)
Well Count
40
500
20
0
0 0
6
12
18 24 Producing Months
8,340 59% 1.3 11,222 1,872 6%
00
00.00 66
15% CWC Reduction
Oil IP Rate, Bbl/day
99
Oil 30 day IP Rate, bbl/day
91
Oil Initial Decline
150%
Oil b factor Oil EUR, MBo
100% 50%
$4
Gas Price, $/Mcf
$5
96
Gas 30 day IP Rate, MCF/day
5,704 53%
36 36
Dewey ROR vs. Gas Price (with Carry) Current CWC ($10.3 MM)
15% CWC Reduction
150% 100% 50%
Oil Price= $60
1.3
Gas EUR, MMcf
8,581
Equivalent EUR, MBoe
1,525
Minimum Decline
30 30
1.3 5,998
Gas b factor
0% $3
18 18 24 24 Producing Months
200%
66%
Gas IP Rate, Mcf/day Gas Initial Decline
Oil Price= $60 $2
12 12
7,500’ Lateral Length
($11.8 MM)
40 40.00
20 20.00
Dewey Gas
Current CWC
200%
400 400
00
ROR
1 1 79% 1.4 1.2 8,900
36
Blaine ROR vs. Gas Price (with Carry)
Blaine Gas 7,500’ Lateral Length Oil IP Rate, Bbl/day Oil 30 day IP Rate, bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, MCF/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline
30
800 800
ROR
4500' Type Curve BOE
Gross BOE Rate, bbls/d
Gross BOE Rate, bbls/d
Extended Type Curve (Normalized to 7500') BOE
1,000
60 60.00
4500' Actual Prod. Actual Well Count
Well Count
Blaine Type Curve
1,500
6%
0% $2
$3 $4 Gas Price, $/Mcf
$5
24 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
2015: Embracing Market Change •
Revised 2015 capex and production guidance – $2.7 billion capex (reduced 41%) – Targeting cash flow neutrality by mid‐year 2015 – 16%‐20% YOY production growth
•
Priorities – Maintain strong balance sheet and financial flexibility – Align capex near discretionary cash flow – Maximize returns and growth by focusing on high rate‐of‐return (ROR) inventory
•
Other Drilling, $102MM
Leasehold, $180MM
Other, $147MM
SCOOP Drilling, $722MM
Bakken Drilling, $1,549MM
Opportunities – Reduce well and service costs – Build efficiencies – Remain opportunistic
Non‐Acquisition Capital Expenditures: $2.7B
4 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Two World‐Class Platforms for Growth: •
Leading positions in both the Bakken and SCOOP –
Production Growth (Boe per Day)
Largest leasehold owner • Bakken 1.2 million net acres • SCOOP 471,000 net acres • Captured “core of the basin” leasehold as an early entrant and first mover in both plays
200,000
182,335 180,000
160,000
140,000
Decades of repeatable, low risk inventory to fuel future growth
120,000
Boe/Day
•
135,919
– Bakken • 4.1 Billion Boe net unrisked resource potential (11,817 net unrisked potential locations) • 10 years of inventory averaging 775 MBoe/well* • 25 years of inventory averaging 600 MBoe/well*
97,583
100,000
80,000
61,865 60,000
– SCOOP
40,000
• 3.6 Billion Boe net unrisked resource potential (~4,750 net unrisked potential locations)
37,324
43,318
20,000
0
2009
2010
Legacy
* Based on current run rate of 188 net wells /year
2011
Bakken
2012
2013
3Q 2014
SCOOP
6
Property of Continental Resources, Inc. Reproduction and distribution only with written permission
High Quality Assets Provide Optionality ROR vs. Oil Price: Current & Expected Lower CWC Comparison Bakken Oil NW Cana Gas with Carry SCOOP Woodford Condensate Springer Oil SCOOP Woodford Oil
140%
Bakken Oil 15% CWC Reduction NW Cana Gas With Carry 15% CWC Reduction SCOOP Woodford Condensate 15% CWC Reduction Springer Oil 15% CWC Reduction SCOOP Woodford Oil 15% CWC Reduction
120% 100%
ROR
80% 60% 40% 20%
Gas Price = $3.50 0% $40
$45
$50
$55
$60
Area Bakken Oil Springer Oil Woodford Condensate Woodford Oil NW Cana Gas
$65 Oil Price, $/BBL EUR, MBoe 800 940 1,725 650 1,525
$70
$75
$80
$85
$90
Lateral Length, ft 9,800 4,500 7,500 7,500 7,500
7 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Woodford: Continues to Grow •
Excellent production extended another 12 miles south – Connell 1‐13‐12XH: IP 10,951 Mcfd and 518 Bopd
Oklahoma City
• 9,500’ lateral
– Ritter 1‐3‐34XH: IP 11,747 Mcfd • 6,500’ lateral • Rich gas – 1,100+ BTU
•
Continue to encounter strong production moving west – Wilkins 1‐29H: IP 11,461 Mcfpd and 51 Bopd – Wilbern 1‐15H: IP 8,021 Mcfpd and 47 Bopd – Both average 4,500’ laterals
CLR: Galvin 1‐22‐27XH IP: 739 Bopd & 1,074 Mcfpd CLR: George 1‐17H IP: 279 Bopd & 4,773 Mcfpd CLR: Wilbern 1‐15H IP: 47 Bopd & 8,021 Mcfpd
CLR: Love 1‐26‐23XH IP: 291 Bopd & 6,691 Mcfpd
CLR: Wilkins 1‐29H IP: 51 Bopd & 11,461 Mcfpd CLR: Ritter 1‐3‐34XH IP: 11,747 Mcfpd (1,100+ BTU)
• Plan to average ~10‐13 operated rigs in 2015
CLR: Connell 1‐13‐12XH IP: 518 Bopd & 10,951 Mcfpd
CLR Completions Peer Completions CLR Acreage Oil Fairway Condensate Fairway Gas Fairway
11 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Higher Returns With Extended Laterals Condensate Fairway Type Curve
1,800
– 7,500’ on average (10,000’ where possible)
•
EUR: 1,725 MBoe (normalized to 7,500’) Current completed well cost: $12.2 MM – Anticipate ~15% or greater reduction during 2015
1,400 1,200
Oil 13% Gas 47%
NGL 40%
180
800
120
600
90
400
60
200
30 0
0 0
6
12 18 24 Producing Months
Oil IP Rate, Bbl/day Oil 30 day IP Rate, Bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, Mcf/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline Capital, $MM
100%
36
̶ 15% CWC Reduction ̶ Current CWC ($12.2 MM)
280
80%
262 61% 1.1 295 7,000
30
Condensate ROR vs Gas Price
7,500‘ lateral length
(53% Liquids)
210
150
1,725 MBoe Model Parameters
Condensate Fairway
240
1,000
ROR
•
4,500' Act. Well Count Ext. Act. Well Count 4,500' Act. Production Ext. Type Curve (Normalized to 7,500' LL) Ext. Act. Production (8,800' Avg LL)
1,600
Approximately 70% of 2015 wells will be extended laterals Boepd
•
270
Well Count
Woodford Condensate Fairway
60% 40%
6,595 58% 1.2 8,580 1,725 6% 12.2
20%
Oil Price: $60/BBL
0% $2
$3 $4 Gas Price, $/MCF
$5
$6
12 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Springer: Expanding Oil Discovery •
Continued success with oil fairway step‐outs – – – –
Schoof 1‐17H: IP 1,465 Boepd Lyle Land 1‐25H: IP 1,134 Boepd Martha 1‐34H: IP 934 Boepd Wells average ~4,500’ laterals and 75% oil
•
First extended lateral underway
•
195,000 net acres in the heart of SCOOP
SCOOP CLR: Schoof 1‐17H IP: 1,465 Boepd CLR: Martha 1‐34H IP: 934 Boepd
– 118,000 net acres in oil fairway • 46,000 net acres de‐risked – 127 MMBoe net unrisked resource potential – 188 net (252 gross) operated locations – 27 net (147 gross) non‐operated locations • 72,000 net acres of additional upside being tested
CLR: Lyle Land 1‐25H IP: 1,134 Boepd
– 77,000 net acres in gas/condensate fairway to be tested
•
6 rigs currently drilling
•
Plan to average ~3‐6 operated rigs in 2015
Springer Fairway 12 Miles
SCOOP Outline
CLR 2013 Key Delineation Wells
Springer Fairway
CLR Springer Shale Producers
CLR Leasehold
Non‐Op. Springer Shale Producer
13 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
SCOOP Springer Oil: Exceptional Economics Current EUR/Well Model: 940 MBoe
Well Count
800 700
4,500’ lateral Current completed well cost: $9.7 MM –
30
Expect ~15% or more reduction in cost during 2015
500 20
400 300 200
10
Install Tubing and Gas Lift
100 0
0 0
6
12
18 24 Producing Months
Springer Fairway (84% Liquids) Gas 16% NGL 17% Oil 67%
140%
4,500‘ lateral length Oil IP Rate, Bbl/day Oil 30 day IP Rate, bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, Mcf/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline
670
30
36
Oil ROR vs Oil Price
940 MBoe Model Parameters
120%
̶ 15% CWC Reduction ̶ Current CWC ($9.7 MM)
618 62% 1.25 735 867 810 56% 1.4 1,230 940 6%
100% ROR
•
Act. Production (4,275' Avg LL)
600 Boepd
•
40
Type Curve (Normalized to 4,500' LL)
Well Count
•
Springer Shale Type Curve
900
80% 60% 40%
Gas Price: $3.50/MCF
20% $40 $50 $60 $70 $80 $90 $100 Oil Price, $/BBL
14 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Incremental Value Captured Through NW Cana JV • •
Formed JV with SK E&S (South Korean based)
NW Cana
STACK
Sold 49.9% interest in 44,000 acres and 37 producing wells for total consideration of $360 million
Cana Field
– $90 million cash at closing – 5‐year $270 million carry for 50% of CLR’s future D&C capital
•
Plan to operate 4 rigs in 2015
•
Blaine County
SCOOP
– Carried returns of 85% for current CWC and over 100% for target CWC at $3.50/Mcf & $60 oil – EUR: 1,872 MBoe – CWC: $11.8 MM
•
Dewey County – Carried returns of 84% at current CWC and over 100% for target CWC at $3.50/Mcf and $60 oil – EUR: 1,525 MBoe – CWC: $10.3 MM
25 Miles
Woodford Shale Thickness 50 ft 100 ft
Oklahoma Texas
>200 ft
15 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
2015 Capital Expenditures Budget Non‐Acquisition Capital Expenditures: $2.7B Other Drilling, $102MM
Leasehold, $180MM
Drilling capital allocation: • •
Other, $147MM
•
Bakken: 65% SCOOP: 31% ̶ Woodford: 24% ̶ Springer: 7% NW Cana JV & Other: 4%
Average 31 operated rigs in 2015 2015 YOY production growth of 16‐20%
SCOOP Drilling, $722MM
Average Operated Rigs
Net Wells(1)
11
188
10‐13
~63
SCOOP Springer
3‐6
~18
NW Cana JV & Other
4
11
31
~280
Bakken SCOOP Woodford
Bakken Drilling, $1,549MM
Totals
(1) Includes operated and non‐operated wells with first production
16 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
Woodford Thickness Expands Across Leasehold 2013 – 2014 Exploratory Program
Development Program Initiated North
South
130’
150’ 245’ Hunton
380’ 560’
W o o d f o r d
950’
230’ 295’ 465’
Hunton
Gamma Ray Brittleness 25 Mi.
23
NW Cana Joint Venture 60
Actual Well Count
Dewey Type Curve
1,200 1,200
Actual Prod. (3475' Avg LL) Extended Type Curve (Normalized to 7500') BOE Extended Type Curve (Normalized to 7500') BOE 4500' Type Curve BOE 4500' Type Curve BOE 4500' Actual Well Count
Actual Prod. (4350' Avg LL)
Well Count
40
500
20
0
0 0
6
12
18 24 Producing Months
8,340 59% 1.3 11,222 1,872 6%
00
00.00 66
15% CWC Reduction
Oil IP Rate, Bbl/day
99
Oil 30 day IP Rate, bbl/day
91
Oil Initial Decline
150%
Oil b factor Oil EUR, MBo
100% 50%
$4
Gas Price, $/Mcf
$5
96
Gas 30 day IP Rate, MCF/day
5,704 53%
36 36
Dewey ROR vs. Gas Price (with Carry) Current CWC ($10.3 MM)
15% CWC Reduction
150% 100% 50%
Oil Price= $60
1.3
Gas EUR, MMcf
8,581
Equivalent EUR, MBoe
1,525
Minimum Decline
30 30
1.3 5,998
Gas b factor
0% $3
18 18 24 24 Producing Months
200%
66%
Gas IP Rate, Mcf/day Gas Initial Decline
Oil Price= $60 $2
12 12
7,500’ Lateral Length
($11.8 MM)
40 40.00
20 20.00
Dewey Gas
Current CWC
200%
400 400
00
ROR
1 1 79% 1.4 1.2 8,900
36
Blaine ROR vs. Gas Price (with Carry)
Blaine Gas 7,500’ Lateral Length Oil IP Rate, Bbl/day Oil 30 day IP Rate, bbl/day Oil Initial Decline Oil b factor Oil EUR, MBo Gas IP Rate, Mcf/day Gas 30 day IP Rate, MCF/day Gas Initial Decline Gas b factor Gas EUR, MMcf Equivalent EUR, MBoe Minimum Decline
30
800 800
ROR
4500' Type Curve BOE
Gross BOE Rate, bbls/d
Gross BOE Rate, bbls/d
Extended Type Curve (Normalized to 7500') BOE
1,000
60 60.00
4500' Actual Prod. Actual Well Count
Well Count
Blaine Type Curve
1,500
6%
0% $2
$3 $4 Gas Price, $/Mcf
$5
24 Property of Continental Resources, Inc. Reproduction and distribution only with written permission
