![]() First half 2010 highlights • Production: 40,180 Boepd, +8% over 1H09 • 2Q10 production: 41,913 Boepd, +9% over 1Q10 • EBITDAX: $391.6MM, +139% over 1H09 • Strengthened net acreage positions in our three key plays Increased 2010 capex and production outlook • Increased capex budget to $1.3B • $900MM in drilling and operations • $400MM land • Raised 2010 production guidance to 15.8MM Boe • Midpoint of 15% to 17% growth guidance range • Increased capitalization to support accelerated growth 1 Financial 2010 Financial and Operating Highlights Exhibit 99.7 |
![]() 2 2011 Capex Budget Drilling capex = 91% of $1.36B 2011 capex budget • Drilling capex includes workovers and facilities • 92% of $1.2B drilling capex committed to Bakken and Woodford Gross 214 16 15 39 2 23 309 Net 105.5 11.1 14.0 23.7 1.5 21.2 177.0 Gross 514 16 15 99 14 29 687 Net 120.6 11.1 14.0 28.8 2.3 21.9 198.7 $819 75 58 230 9 36 $1,227 CLR-Operated Op. & Non-Op. Drilling Capex 66% 6% 5% 19% 1% 3% 100% North Dakota Bakken Montana Bakken Red River Units Anadarko Woodford Arkoma Woodford Other TOTAL |
![]() Year ended December 31, 2011 Production growth Price differentials (1) Oil (Bbl) Gas (Mcf) Operating expenses per Boe: Production expense Production tax (percent of sales) Depreciation, depletion, amortization and accretion General and administrative expense (2) Non-cash stock-based compensation Income tax rate, percent of pre-tax income Percent of income tax deferred 3 2011 Guidance 30% $8 to $10 +/- $0.25 $6.50 to $7.50 7% to 8% $16 to $19 $2.00 to $2.50 $0.75 to $1.00 38% 90% to 95% (1) Differential to calendar month average NYMEX futures price for oil and to average of last three trading days of prompt NYMEX futures contract for gas. (2) Excludes non-cash stock-based compensation. |
![]() 4 Pro Forma Capitalization (1) Senior Notes balances exclude the effect of original issue discount. (2) See Non-GAAP financial measures in Form 10-K, Form 10-Q and earnings release for a reconciliation of net income to EBITDAX. (3) Stated volumes are internally estimated reserve volumes as of June 30, 2010. $293 0 0 300 200 400 $900 1,209 $2,109 $1,043 $678 310 126 0.9X 29% $1.96 $4.82 ($ in millions) Cash and cash equivalents Revolving credit facility % drawn 8.25% Senior notes due 2019 (1) 7.375% Senior notes due 2020 (1) 7.125% Senior notes due 2021 (1) Total debt Shareholders’ equity Total book capitalization Total liquidity Operating statistics (at 6/30/10) LTM EBITDAX (2) Proved reserves (MMBoe) (3) PDP reserves (MMBoe) (3) Credit statistics Net debt/LTM EBITDAX (2) Net debt/book capitalization Net debt/proved reserves ($/Boe) Net debt/PDP reserves ($/Boe) At June 30 2010, pro forma for recent debt issuance: 2010: We expect to end the year with approx. $1.0B in net long-term debt. 2011: Cash flow and ample liquidity to support strong production growth in 2011. 2012-14: Net debt/EBITDAX should remain well below peer average of 2.2X through 2014. |
![]() 5 2009-2014 Production Growth Vision 13.6 15.8 20.9 41.0 Growth from current Inventory MMBoe |
![]() 6 Questions? |
![]() 7 Appendix |
![]() Year ended December 31, 2010 Production growth Price differentials (1) Oil (Bbl) Gas (Mcf) Operating expenses per Boe: Production expense Production tax (percent of sales) Depreciation, depletion, amortization and accretion General and administrative expense (2) Non-cash stock-based compensation Income tax rate, percent of pre-tax income Percent of income tax deferred 8 2010 Guidance 15% to 17% $8 to $10 +/- $0.25 $6.50 to $7.00 7.0% to 7.5% $15 to $18 $2.00 to $2.40 $0.75 to $1.00 38% 95% (1) Differential to calendar month average NYMEX futures price for oil and to average of last three trading days of prompt NYMEX futures contract for gas. (2) Excludes non-cash stock-based compensation. |
![]() 9 Crude Oil Hedge Positions 2010 Jul. to Sept. Swaps Collars Oct. to Dec. Swaps Collars 2011 Jan. to Mar. Swaps Collars Apr. to Dec. Swaps Collars 2012 Jan. to Dec. Swaps Collars 2013 Jan. to Dec. Swaps Collars Volume in Barrels 687,000 1,380,000 1,089,000 1,380,000 284,000 2,565,000 643,000 7,837,500 2,745,000 4,392,000 1,825,000 1,642,500 Weighted Avg. of Swaps $84.58 $83.99 $83.86 $84.14 $85.45 $85.90 Range $75-$78 $75-$78 $75-$80 $75-$80 $80 $80 Weighted Average $76 $76 $78.95 $79.39 $80 $80 Range $88.75-$96.75 $88.75-$96.75 $88.65-$97.25 $89.00-$97.25 $93.25-$97.00 $97.40-$99.00 Weighted Average $93.43 $93.43 $91.70 $91.27 $95.26 $98.11 Collars: Floors Collars: Ceilings |
![]() 10 Natural Gas Hedge Positions Natural Gas Swaps 2010 Jul. to Dec. 2011 Jan. to Dec. Natural Gas Basis Swaps, Centerpoint East 2010 Jul. to Dec. MMBtus 7,556,000 11,862,500 3,600,000 Swaps Weighted Avg. $6.09 $6.36 ($0.62) |