![]() Raymond James 29 th Annual Institutional Investors Conference Exhibit 99.1 |
![]() 1 Forward Looking Statements This presentation includes forward-looking information that is subject to a number of risks and uncertainties, many of which are beyond the Company’s control. All information, other than historical facts included in this presentation, regarding strategy, future operations, drilling plans, estimated reserves, future production, estimated capital expenditures, projected costs, the potential of drilling prospects and other plans and objectives of management is forward-looking information. All forward-looking statements speak only as of the date of this presentation. Although the Company believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Actual results may differ materially from those anticipated due to many factors, including oil and natural gas prices, industry conditions, drilling results, uncertainties in estimating reserves, uncertainties in estimating future production from enhanced recovery operations, availability of drilling rigs and other services, availability of oil and natural gas transportation capacity, availability of capital resources and other factors listed in reports we have filed or may file with the Securities and Exchange Commission. |
![]() 2 Company Overview Completed IPO on May 14, 2007 at $15 (CLR on NYSE) $4 billion market capitalization Founded 1967 by Harold Hamm, Chairman & CEO Organic growth strategy focused on unconventional resource plays L3 years reserves adds – drilling 66 MMboe vs acquisitions 0.6 MMboe 2007 daily production 29,099 boe > 2X 2004 level of 14,121 boe 82% of proved reserves / 80% of production from unconventional resources >700,000 net undeveloped acres concentrated in emerging plays Strong financial results 2007 EBITDAX $470MM > 4X 2004 EBITDAX $116MM 2007 cash operating margin of $44/boe ($7.33/Mcfe) - $72 NYMEX $165 million of bank debt outstanding as of 12/31/07 |
![]() 3 $116 $285 $372 $470 2004 2005 2006 2007 Investment in Asset Base EBITDAX ($mm) 14,121 19,751 24,707 29,099 2004 2005 2006 2007 Production (boepd) Cash used in investing activities ($mm) $168 $55 $125 $29 $103 $46 $13 $21 $56 Red River Units MT Bakken ND Bakken Other Rockies Woodford Other Mid-Con Gulf Coast Land & Seismic Other 2008 Capex by Region - $616MM $73 $134 $325 $483 2004 2005 2006 2007 |
![]() 4 Operational Overview Mid-Continent Proved reserves: 24.3 MMboe Gulf Coast Proved reserves: 0.3 MMboe Red River Units 52% Bakken Field 25% Other Rockies - 5% Mid-Continent 11% Gulf Coast <1% Total proved reserves (12/31/07) = 134.6 MMboe 74% PDP / 77% oil / 12.7 R/P / Operate 93% of PV-10% Unconventional 82% Red River Units 47% Bakken Field 28% Other Rockies - 5% Mid-Continent 13% Gulf Coast 2% Avg. daily production (Q4 2007) = 30.4 Mboepd Unconventional 80% 1,223 net producing wells with >1,000 net drilling locations Rockies Proved reserves: 110.0 MMboe Counties with acreage holdings are highlighted Regional office Headquarters Proved Reserves by Geography Production by Geography Woodford - 5% Woodford - 7% |
![]() 5 Key Drilling Projects Development (41% 2008 capex) Red River Units 52% proved reserves / 47% production Montana Bakken Shale 20% proved reserves / 24% production Emerging Plays (42% 2008 capex) North Dakota Bakken Shale 300,000 net acres Oklahoma Woodford Shale 45,000 net acres Red River Units MT Bakken ND Bakken Woodford Counties with acreage holdings are highlighted Regional office Headquarters Development Emerging Plays |
![]() 6 Red River Enhanced Recovery Units 69.4 MMboe proved reserves 14,374 net boepd in 4Q 2007 Cedar Hills developed in 1995 with hz 13st largest onshore lower 48 oilfield Began enhanced recovery operations in 2003 2008 Plans $168MM capex / 5 to 6 drilling rigs Infield horizontal drilling and re-entry drilling program to accelerate production and enhance sweep efficiency Develop Cedar Hills on 320 acre / producer Forecast 2009 peak at ~19 net Mboepd Haley Prospect 60,000 net acres Extension of Red River B Cedar Hills North Unit Cedar Hills West Unit Buffalo Units Medicine Pole Hills West Unit Medicine Pole Hills South Unit Medicine Pole Hills Unit 25 Miles 25 Miles Haley |
![]() 7 Montana Bakken Shale Significant unconventional oil resource play Represents ½ of Montana’s oil production – ~50,000 boepd 15 th largest onshore lower 48 oilfield 7,244 net boepd in 4Q 2007 Developed through hz drilling and advanced fracture stimulation 2008 Plans $55MM capex 13 net wells Opportunities: 320-acre infill drilling Expansion of field with tri-lateral 640-acre wells Enhanced recovery 2 to 3 drilling rigs CLR acreage 35 miles Horizontal Bakken producer Williston Basin Richland Co., MT Bakken Outline of potential Bakken production Vertical Bakken producer |
![]() 8 Richland County, Montana Bakken 2 Sinclair Bakken Discoveries 300 bopd IPs 542 boepd Georgia 1-25H 18% WI 544 boepd Bettye 2-26H 95% WI 295 boepd Lazy D 2-9H 95% WI 4th Quarter 2007 Completions and 2008 Scheduled Locations CLR acreage 640 acre Tri-Lateral Bakken well 320 acre Bakken well 640 acre Dual Lateral Bakken well |
![]() 9 North Dakota Bakken Shale Emerging unconventional oil resource play 340,000 net acres strategically located near Nesson Anticline ~40,000 acquired in 2008 Significant reserve and production growth potential ND oil prod. highest in 20 years ~50 industry-operated rigs Amerada Hess ConocoPhillips EOG Resources Marathon 2008 Plans $125MM capex 20 net wells Test Three Forks/Sanish potential 6 to 8 drilling rigs (including Conoco Phillips JV) CLR acreage 35 miles Horizontal Bakken producer Williston Basin Outline of potential Bakken production Vertical Bakken producer |
![]() 10 North Dakota Bakken Encouraging results using un-cemented liners and multi-staged fracs Testing un-cemented liner and multi-staged fracs Rocket / Galaxy / Pontiac / Valhalla Dev/Step-outs Normandy prospect Bakken, Fryburg Norse prospect Bakken, Winnipegosis EOG Parshall Area Legend CRI OPERATED CRI NONOPERATED NO CRI INTEREST 335 Mboe average gross EUR for the 27 CLR completions in Norse, Rocket, Galaxy, Pontiac and Valhalla prospects in 2007 Three Forks/Sanish test |
![]() 11 Oklahoma Woodford Shale Emerging unconventional gas resource play 30+ industry-operated rigs Newfield Antero Devon 45,000 net acres Significant reserve and production growth potential Caney Shale upside 2008 Plans $103MM capex 20 net wells Simul-frac 4 160-acre wells in Ashland area in April 2008 5 to 6 drilling rigs Outline of potential Woodford production CLR Operated WOC CLR Operated Producer CLR Operated 2008 Location Woodford Producer CLR Acreage Salt Creek exploratory Ashland development E. McAlester exploratory 8 miles |
![]() 12 ND Bakken and OK Woodford potential 222 MMboe 400,000 556 OK Woodford Total ND Bakken 98 MMboe 256,000 384 320 MMboe Reserve potential 940 Net boe/well Net potential unbooked locations (1) (1) Assumed 640 acre spacing for ND Bakken and 80 acre for Woodford Shale 34% 27% $70/bbl & $6/Mcf Pre-tax IRR 50% 400,000 $5,000,000 OK Woodford ND Bakken 38% 256,000 $4,750,000 $80/bbl & $7/Mcf Pre-tax IRR Net boe/well Estimated average D&C |
![]() 13 Other ongoing and emerging plays Counties with acreage holdings are highlighted Regional office Headquarters Rockies: 175,000 net undeveloped acres Red River, Winnipegosis, Fryburg, Phosphoria, Lewis Shale Midcontinent: 180,000 undeveloped acres Morrow-Springer, Atoka, Mississipian, Hunton, Woodford Shale, Trenton/Black River Gulf Coast: 5,000 net undeveloped acres Frio, various GC sands 360,000 net undeveloped acres (~50% of total undeveloped acreage) Recent discoveries: MI – Trenton/Black River SD – Red River B MT – Red River C ND – Winnipegosis |
![]() 14 Trenton/Black River – Hillsdale Co., MI Albion-Scipio Field Discovered in 1956 Single largest field in Michigan Hydrothermal dolomitized reservoir Together with Stoney Point Field (discovered in 1983), produced ~190 MMboe CLR project 3 successful wells confirm ability to identify reservoir rock on 3D seismic McArthur 1-36 – 824 gross Mboe Anspaugh 1-1 and Wessel 1-6 wells recently completed ~4,000’ depth / $700M D&C 5 additional wells being permitted and 3D seismic being acquired 29,000 net acres Field 5 Miles |
![]() 15 Financial and Operating Summary Years ended December 31, 2004 2005 2006 2007 Realized oil price ($/bbl) $37.12 $52.45 $55.30 $63.55 Realized natural gas price ($/Mcf) $5.06 $6.93 $6.08 $5.87 Oil production (boepd) 10,104 15,638 20,493 23,832 Natural gas production (Mcfd) 24,093 24,674 25,274 31,599 Total production (boepd) 14,121 19,751 24,707 29,099 EBITDAX ($ thousands) 1 $116,498 $285,344 $372,115 $469,885 Key Operational Statistics ($/boe)² Oil and gas revenue (including realized derivative losses) $35.20 $50.19 $52.09 $56.57 Production expense 8.49 7.32 6.99 7.35 Production tax 2.39 2.22 2.48 3.13 G&A (excluding non-cash equity compensation) 2.02 2.43 2.24 1.92 Total cash costs $12.90 $11.97 $11.71 $12.40 Net operating margin $22.30 $38.22 $40.38 $44.17 1 See page 9 of the prospectus and fourth quarter 2007 earnings release for a reconciliation of net income to EBITDAX. 2 Operating statistics per boe sold. Oil sales volumes are 21 Mbbls and 221 Mbbls less than oil production volumes for 2006 and 2007, respectively. |
![]() 16 Summary High quality, proved reserve base Crude oil-concentrated, long-lived, high operated % Track record of drill bit growth at low cost L3 years cash flow from operations $1,075MM vs. $942MM cash invested Low risk production growth in Red River Units ~5,000 boepd expected production growth over next 1+ year (~17% of current daily production for entire company) Significant future production and reserve growth opportunities in two large emerging plays – ND Bakken and OK Woodford Shales 320 MMboe potential reserves Low cash costs with one of highest net operating margins Significant valuation and competitive advantage |