Obsidian Energy - Amazon Web Services...2017/01/09 · ObsidianEnergy.com | TSX/NYSE: OBE 10,000...

Obsidian EnergyCorporate PresentationFebruary 2018

ObsidianEnergy.com | TSX/NYSE: OBE

Important Notices to the ReadersThis presentation should be read in conjunction with the Company's audited consolidated financial statements, management's discussion and analysis ("MD&A") for the three and nine months ended September 30, 2017. All dollar amounts contained in this presentation are expressed in millions of Canadian dollars unless otherwise indicated.

Certain financial measures included in this presentation do not have a standardized meaning prescribed by International Financial Reporting Standards (“IFRS”) and therefore are considered non-generally accepted accounting practice ("non-GAAP") measures; accordingly, they may not be comparable to similar measures provided by other issuers. This presentation also contains oil and gas disclosures, various industry terms, and forward-looking statements, including various assumptions on which such forward-looking statements are based and related risk factors. Please see the Company's disclosures located in the Appendix at the end of this presentation for further details regarding these matters.

2


AlbertaViking

1,766 boe/d Q3 2017Net Sections: 170

Cardium18,876 boe/d Q3 2017

Net Sections: 450

Peace River

4,823 boe/d Q3 2017Net Sections: 235

Deep BasinNew Wells on Q4 2017

Net Sections: 700

Obsidian Energy Corporate Profile

3

Share PriceJan. 31st, 2018

$/share $1.28

OBE-TSX Daily Volume% of shares outstanding

MM 1.00.2%

OBE -NYSE Daily Volume% of shares outstanding

MM 1.30.3%

Market Capitalization $MM $645

Net Debt $MM $410

Enterprise Value $MM $1,056

Corporate Metrics

Index Map

See end notes

Legacy Asset Production of 4,701 boe/d in Q3 2017, sold 2,200 boe/d of this production in early 2018. See press release titled “Obsidian Energy Announces Legacy Asset Disposition” for details

FY 2018 Guidance

Production boe/d 29,000-30,000

Growth % 5%

Total ExpendituresCapital ExpendituresDecommissioning

$MM$MM

$125$10

ExpensesOperating ExpenseG&A Expense

$/boe$/boe

$13.00 - $13.50$2.00-$2.50

4

A Balanced Portfolio with Significant Optionality

LOW DECLINE BASE PRODUCTION &

STABLE CASH FLOW

BALANCED SHORT & INTERMEDIATE CYCLE

DEVELOPMENT

LIQUIDS WEIGHTED, SUSTAINABLE

GROWTH

Cardium

Meaningful Free Cash Flow Generation

Waterflood Approach with Primary Optionality

Peace River

Manufactured Cold Flow, High Rate & Low Cost

Multiple Egress Options

Alberta Viking

Short Cycle Investment to Toggle Growth

Industry Leading Initial Production Rates

Deep Basin

Multi Horizon Potential

Focus Highly Economic Mannville Development


$ 18 1$ 15 6

$ 2 5

$0

$50

$100

$150

$200

$250

Q3 2017Decommissioning

Liabilities

LegacyAdjustment

Q3 2017Proforma

DecommissioningLiabilities

$13.75 $13.25 $ 0.50

$0.00

$5.00

$10.00

$15.00

$20.00

2018EOpex

LegacyAdjustment

2018EProforma Opex

6 2 % 3 % 6 5 %

0%

25%

50%

75%

100%

2018ELiquids Weight

LegacyAdjustment

2018EProforma Liquids

Weight

3 1 ,5002 9 ,500

2 ,000

0

10,000

20,000

30,000

40,000

2018EProduction

LegacyAdjustment

2018EProforma

Production

5

Legacy Disposition Highlights• Sale of a significant portion our non-core legacy assets in

exchange for the assumption of abandonment and reclamation liabilities

• Accretive to cash flow based on operating costs savings and high liquids weighting

• Reduces discounted decommissioning liabilities by approx.$25MM, improves corporate netback by approx. $1.50/boe and increases corporate liquids to approx. 65 percent

Liquids Weight (%)

Midpoint of Production Guidance (boe/d)

Decommissioning Liabilities ($MM)

Midpoint of Opex Guidance ($/boe)

R1W4

INDEX MAPSUGDEN

T25

R10R20R1W5

T35

T45

T55

MIKWAN

ACADIA

WIMBORNE

ALSASK

BASHAW

30 miles

45 kms

Legacy PackageOBE land

Legacy Asset Disposition Lands

See end notes

Production Guidance

30,500 - 31,500

30,000

30,500

31,000

31,500

32,000

6

Operations Update Demonstrates Continued Operational Delivery

FY 2017 Production of 31,700 boe/d

Beat Guidance

FY 2017 Productionboe/d

• The plan we outlined at the beginning of the year has played out nicely• Portfolio showed its ability to deliver

De-risked and helped shape 2018 program through the drill bitEntering 2018 with operational momentum

11-03-43-8W5 CARDIUM4 well Hz pad

On Production Jan 3, 2018

WILLESDEN GREEN11-03-43-8W5 Pad

Average 700 boe/d per well

PEACE RIVERConfirmed Upside

in Heart of Acreage

2018 Program Commencing in Following Weeks

3 miles

5 kms

T43

R8W5

500 boe/d per wellFor three wells from our second

half program

See end notes


10,000

15,000

20,000

25,000

30,000

35,000

Q1 2018 Q2 2018 Q3 2018 Q4 2018

Base Production 2017 Development 2018 Development

16% Base Decline Rate

22% Base + 2017 Development Decline Rate

7

Low Decline Rate Underpins Growth16% Corporate Base Production Decline RateCardium Asset Under Historical Waterflood

Capital Efficiencies of $6,500/boe/d on 2017 Optimization ProjectsOptimization of existing base wellbores

2017 Base Production & 2017 Development Declines 16% in 2019

Corporate Base Productionboe/d

See end notes

ObsidianEnergy.com | TSX/NYSE: OBE 8

Waterflood Performance is Impressive• Cardium Decline Rate lowered from

approximately 20% to 5%

• Waterflood and base optimization projects initiated in 2016

Cardium Base Production Declineboe/d

Pembina Waterflood Activity

Converted and reactivated 37 wells in PCU #9 since Q3 2016

Drilled 8 new injectors to support 2017 new drills

Actively managing more than 120 existing injectors

5 miles

10 kms

T48

R10 R9W5

T47

10,000

12,500

15,000

17,500

20,000

Jan-16 Jul-16 Jan-17 Jul-17Base with No Waterflood SupportBase with Waterflood SupportActual Base Production with Waterflood and Optimization Support

OBE Operated Cardium unit

OBE Cardium land

Waterflood activity since Q3 2016

Actively managed inj.

2017 OBE well

Drilled 8 new injectors in 2017

Actual Decline 5%Decline 20%

Optimized Waterflood

Decline 10%

Decline 20%

See end notes


Early Cardium Rates Above Type Curve

INDEX MAP

10 miles

15 kms

WILLESDENGREEN

OBE landOBE producing wellIndustry HZ well

R10W5

T45

T40

T50

R5

3 miles

5 kms

T43

R8W5

WILLESDEN GREEN11-03-43-8W5 Pad• PCU #9 Program is

>100 boe/d above type curve

• Crimson (Willesden Green) wells on production by year end T48

3 miles

5 kms T47

R10W5

PEMBINA

100/15-02-48-9W5On Production: 10/8/2017

Initial Stabilized Rate: 195 boe/d102/13-02-48-9W5

On Production: 10/8/2017Initial Stabilized Rate: 140 boe/d

103/14-02-48-9W5On Production: 10/8/2017

Initial Stabilized Rate: 205 boe/d

PCU#9 6-35-48-9W5 Pad

11-03-43-8W5 CARDIUM4 well Hz pad

Now on production


100/04-18-32-1W4On Production: 10/11/2017

IP30: 188 boe/dPercent Liquids: 76%

100/14-06-33-2W4On Production: 9/15/2017


100/03-18-32-1W4On Production: 10/13/2017


Compeer GP

Esther GP

Misty GP

Monitor West GP

102/02-18-32-1W4On Production: 9/5/2017


INDEX MAP

10 miles

15 kms

OBE gas plant

OBE land

R5 R1W4R10

T35

T30

102/03-18-32-1W4On Production: 10/3/2017


T25102/04-18-32-1W4

On Production: 10/7/2017IP30: 179 boe/d

Percent Liquids: 66%

100/02-18-32-1W4On Production: 8/28/2017


10

AB Viking Program Continues to Exceed Expectations

102/01-30-32-2W4On Production: 8/30/2017


103/02-23-32-2W4On Production: 9/27/2017


Continuing to evolve development strategy to enhance economics and maximize capital efficiency

102/02-23-32-2W4On Production: 9/26/2017



Strong Well ResultsThree wells from our second half program exhibiting

rates over 500 bbl/d per wellDecember average 618 bbl/d on one of those wells

HarmonValley

HarmonValleySouth Seal

100/15-34-83-18W5On Production: 10/9/2017

December: 121 bopdDrill Cost: $74/m

INDEX MAP

10 miles

15 kms

R20W5

T80

R15

OBE landAcquired land in 2017PROP

104/16-36-82-18W5On Production: 10/14/2017

IP30: 262 bopd or December: 269 bopd

Drill Cost: $79/m

102/15-26-82-18W5On Production: 9/20/2017

December : 489 bopdDrill Cost: $107/m

102/08-25-82-18W5On Production: 8/12/2017Last 30 Days: 216 bopd

Drill Cost: $120/m

11

PROP Program Returned to the Heart of Harmon Valley South• Economics still attractive

post carry

• Well costs dropped 17% in H2 versus H1 due to optimized well length and cheaper cost per meter

• Confirms optimism for 2018 plans in heart of Harmon Valley South

100/15-34-82-18W5On Production: 8/31/2017

IP30: 288 bopdDrill Cost: $65/m

103/14-34-83-18W5On Production: 9/20/2017


102/14-34-83-18W5On Production: 9/21/2017

IP30: 77 bopd or December: 127 bopd

Drill Cost: $62/m

100/02-27-82-18W5On Production: 8/31/2017


See end notes

100/04-36-82-18W5On Production: 10/3/2017

IP30: 159bopd or December: 618 bopd

Drill Cost: $120/m102/01-08-83-17W5

On Production: 12/11/2017First Oil: 12/18/2017


100/10-36-82-18W5On Production: 10/29/2017

IP30: 366bopd or December: 438 bopd

Drill Cost: $84/m

102/01-31-82-17W5On Production: 12/09/2018

First Oil: 12/18/2017IP24: 90 bopd

Drill Cost: $76/m


INDEX MAP

5 miles

10 kms

OBE landOBE operated Cardium unit

R8W5

T44

T41

WILLESDENGREEN

100/14-30-043-07W5 MNVLOn Production: 8/30/2017

Initial Rate: 3.2 MMCFD, 8 bbl/mmcf free condensate

31 bbl/mmcf other liquids

Deep Basin Results are Liquids Rich • Foray into Deep Basin

executed on schedule and on budget

• Tested different upper Mannville targets with variable pressure and reservoir quality

• 2 of 3 wells are flow rate restricted to optimize liquids rates



30 bbl/mmcf other liquidsCurrently choked for liquids

See end notes



24 bbl/mmcf other liquidsCurrently choked for liquids

Obsidian Energy 80% Working Interest


Strong Hedge Position Protects Capital ProgramClear downside protection through our hedge book with ~65% of Net Liquids Volumes Hedged for FY 2018

Oil Volumes Hedged (bbl/d)~65% of Net Liquids Volumes Hedged for FY 2018

Gas Volumes Hedged (Mcf/d)40% of Net Gas Volumes Hedged for FY 2018

53.19 US$/bbl

52.89 US$/bbl

52.42 US$/bbl

52.05 US$/bbl

51.79 US$/bbl

51.47 US$/bbl

52.87 US$/bbl

7,900

12,000 12,000 12,000 12,000

7,000

2,000

Q4 Q1 Q2 Q3 Q4 Q1 Q2

2017 2018 2019

3.00 C$/Mcf

2.83 C$/Mcf

2.75 C$/Mcf

2.73 C$/Mcf

2.73 C$/Mcf

7,500

7,500

7,5007,500

29,000 28,400

22,700

17,100 15,200

29,000

35,900

30,200

24,600 22,700

Q4 Q1 Q2 Q3 Q4

2017 2018

7,500 mcf/d of gas production is hedged at Ventura pricing, realizing a significant premium to AECO in Q3 2017

See end notes


20,000

22,000

24,000

26,000

28,000

30,000

32,000

2017E A&D Adjusted FY 2018E

14

Focused 2018 Plan• Predictable & Liquids Weighted Growth Profile• Development Capital is 64% of Total Expenditures• Flexibility to expand capital program in H2 and extend growth rate

2018 Production (boe/d)2018 Production 29,000 – 30,000 boe per day

Capital Spend ($MM)2018 $135MM Capital Expenditures

5% A&D Adjusted Production Growth

See end notes


Vast Portfolio Optionality on DisplayEmploying a quicker payout program that balances primary drilling with targeted low capital integrated waterflood opportunities

2018 Development Allocations ($MM) 2018 Operated Spuds22 Operated spuds planned in 2018

80% Av. IRR45% Av. IRR

40% Av. IRR100% Av. IRR

50% Av. IRR

Cardium 8

Deep Basin3

PROP5

AB Viking6

22

0

5

10

15

20

25

2018 Wells Spud

See end notes


Short Cycle Focused Cardium Program

PCU#9 2018 Development4 Well Pad with 3 Injection Conversions

2018 Cardium Development Allocations ($MM)

Willesden Green 2018 Development2 Well Primary Pad

5 miles

10 kms

R10

T47

R10

5 miles

10 kms

R9W5

T47

T48

OBE operated Cardium unit

OBE Cardium land

Water injector

2017 OBE well

2018 OBE well

5 miles

10 kms

T48

Drilling 4 well pad and converting 3 injectors. Also utilizing existing

injectors

• Taking advantage of existing injectors in Pembina for low cost integrated waterflood

• Primary drilling in Willesden Green accessing clean sand and bioturbated intervals

R9

10 miles

15 kms

R7W5

T43

Non-Operated partner well

OBE (40% WI)

OBE operated Cardium unit

OBE Cardium land

Water injector

Hz injector conversion

OBE Recent Activity

2018 OBE well

2 Operated primary wells for 2018


Multi-Cycle Bioturbated Drilling• Drilling in the bioturbated rock and

fracking into clean intervals above reduces drill complexity and costs

• Drill optionality between several cycles based on reservoir quality

• Ability to target multiple cycles throughout a single drill path

Bioturbated Drilling Activity50 wells since 2014 in Willesden Green

17

Grain SizeGamma Ray

Fracs

Cardium C

Multi-Cycle Bioturbated

Cardium B

Cardium D

Conglomerate

Bioturbated

Bioturbated Window

Bioturbated Window

Bioturbated Window

OBE Operated Cardium unit

OBE Cardium land

OBE Bioturbated Drilling Activity

T42

T41

3 miles

5 kms

R9 R7W5

T432 Operated primary wells for 2018

See end notes


Total 2018 Corporate Capital Efficiencies$/boe/d

2018 Capital Efficiency Buildup• Program leverages the short cycle opportunity set in our portfolio• Development Capital efficiencies of <$15,000/boe/d• Total Capital efficiencies of <$25,000/boe/d

$7,000 $8,000

$14,000

$16,000

$20,000

<$15,000

<$25,000

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

DeepBasin

Optimization PROP AB Viking Cardium Total 2018Development

Total 2018Capital

Cap

ital

Eff

icie

ncie

s ($

/boe

/d)

$86MM Development Capital

See end notes


Appendix


End Notes

20

All slides should be read in conjunction with “Definitions and Industry Terms”, “Non-GAAP Measure Advisory” and “Forward-Looking Advisory”

Slide 3. Obsidian Energy Corporate Profile

Daily Volume (shares) is the 30 day average share volume traded on Canadian and US Exchanges per Bloomberg. Production is based on Q3 2017 results.. The net sections are approximate numbers and are internal estimates.

Slide 5. Legacy Disposition Highlights

All figures are internal estimates.

Slide 6. Operations Update Demonstrates Continued Operational Delivery

Willesden Green average rates are quoted from on-stream as of January 3, 2018. Both PROP and Willesden Green averaged are as at January 15, 2018.

Slide 7. Low Decline Rate Underpins Growth

Corporate base production and decline is based on actual data generated internally. Lines have been smoothed for illustrative effect to adjust for volatility inherent in day to day oil and gas operations. Capital efficiencies on optimization projects are internal estimates and rounded.

Slide 8. Waterflood Performance is Impressive

Cardium base production and decline is based on actual data generated internally. Lines have been smoothed for illustrative effect to adjust for volatility inherent in day to day oil and gas operations. Capital efficiencies on optimization projects are internal estimates and rounded. The number of actively managing existing injectors is an internal estimate.

Slide 11. Program Returned to the Heart of Harmon Valley South

Peace River Oil Partnership carry is expected to end in 2017. Rates are quoted as at Jan 15th, 2018.

Slide 12. Deep Basin Results are Liquids Rich

Choked is an industry term that refers to device that is used to control fluid flow rate or downstream system pressure.

Slide 13. Strong Hedge Position Protects Capital Program

All crude oil and gas hedges have been converted into US$ or $CAD price implied price using foreign exchange rate 1.2729 CAD/USD on Nov 8th, 2017. Ventura Gas Hedges include $0.55 per mcf of transportation deductions to bring product to the Ventura market.

Slide 14. Focused 2018 Plan

Production, capital expenditures are based on internal estimates for 2018.

Slide 15. Vast Portfolio Optionality on Display

Internal Rates of Returns are rounded and based on a blended Sep 30, 2017 strip price and 3rd party reserve evaluator deck.

Slide 17. Multi-Cycle Bioturbated Drilling

Bioturbated chart is for illustration only. Wells labeled Bioturbated are wells that had a strategy to target the bioturbated interval before drilling .

Slide 18. 2018 Capital Efficiency Buildup

Capital efficiencies for each core area are based on capital spent in that area on new production adds, 12 month forward production average, on an capital weighted average basis and rounded. Corporate Capital efficiencies includes all capital spent, 12 month forward production average, on an capital weighted average basis and rounded.


Definitions and Industry Terms

21

Hz means horizontal well.

IP means initial production, which is the average production over a specified time period.

IRR means Internal Rate of Return which is the interest rate at which the NPV equals zero.

Liquids % means the percentage of crude oil and NGLs from the total barrels of oil equivalent of production.

Liquids means crude oil and NGLs

Mmcf means million cubic feet.

Mmcf/d means million cubic feet per day

M means meters

MM means millions

Net Debt means Senior Debt plus bank debt plus non-cash working capital deficit, detailed in the Non-GAAP measure advisory.

NGL means natural gas liquids which includes hydrocarbon not marketed as natural gas (methane) or various classes of oil.

PCU #9 Means Pembina Cardium Unit number 9

PROP means Peace River Oil Partnership

Q3 means the third quarter

Q4 means the fourth quarter

TD means total depth where drilling has stopped

Spud mean the process of beginning to drill a well

WI means working interest

A&D means oil and natural gas property acquisitions and divestitures.

A&D Adj. means oil and natural gas property acquisitions and divestitures.

Base means production with no additional production from new drilling

bbl means barrel or barrels.

Bopd means barrel of oil per day

boe and boe/d mean barrels of oil equivalent and barrels of oil equivalent per day, respectively.

Capital Expenditures includes all direct costs related to our operated and non-operated development programs including drilling, completions, tie-in, development of and expansions to existing facilities and major infrastructure, optimization and EOR activities.

Company or OBE means Obsidian Energy Ltd, as applicable.

Enviro means decommissioning expenditures.

E means estimate

FX means foreign exchange rate, in our case typically refers to C$ to US$ exchange rates.

Free Cash Flow, which is Funds Flow from Operations less Total Capital Expenditures

FY means fiscal year

G&A means general and administrative expenses.

H2 mean second half of the year


Non-GAAP Measures Advisory

22

Non-GAAP measures advisory

In this presentation, we refer to certain financial measures that are not determined in accordance with IFRS. These measures as presented do not have any standardized meaning prescribed by IFRS and therefore they may not be comparable with calculations of similar measures for other companies. We believe that, in conjunction with results presented in accordance with IFRS, these measures assist in providing a more complete understanding of certain aspects of our results of operations and financial performance. You are cautioned, however, that these measures should not be construed as an alternative to measures determined in accordance with IFRS as an indication of our performance. These measures include the following:

Netback is a measure of cash operating margin on an absolute or per-unit-of-production basis and is calculated as the absolute or per-unit-of-production amount of revenue less royalties, operating costs and transportation. The measure is used to assess the operational profitability of the company as well as relative profitability of individual assets. For additional information relating to netbacks, including a detailed calculation of our netbacks, see our latest management's discussion and analysis which is available in Canada at www.sedar.com and in the United States at www.sec.gov; and

Net debt is the amount of long-term debt, comprised of long-term notes and bank debt, plus net working capital (surplus)/deficit. Net debt is a measure of leverage and liquidity


Forward-Looking Information Advisory

23

Certain statements contained in this presentation constitute forward-looking statements or information (collectively "forward-looking statements. Forward-looking statements are typically identified by words such as "anticipate", "continue", "estimate", "expect", "forecast", "budget", "may", "will", "project", "could", "plan", "intend", "should", "believe", "outlook", "objective", "aim", "potential", "target" and similar words suggesting future events or future performance. In addition, statements relating to "reserves" or "resources" are deemed to be forward-looking statements as they involve the implied assessment, based on certain estimates and assumptions, that the reserves and resources described exist in the quantities predicted or estimated and can be profitably produced in the future. In particular, this presentation contains, without limitation, forward-looking statements pertaining to the following: our expected 2018 guidance for production, growth, total expenditures (including capital and decommissioning) and expenses (including operating and G&A) and projected liquids weighting; our expected base decline rates for production in 2018 and 2019; our expectation for when certain wells will come on production; that we will continue to evolve our development strategy to enhance economics and maximize capital efficiencies; that the economics in Peace River will continue to be attractive post the carry ending; that there is clear downside protection to our capital program through our current hedge book; our capital spending plans in 2018; our expected approach to development including the area-specific asset development plans; the timing and our expectations of such development activities; that there could be flexibility to expand the 2018 capital program in H2 2018, which in turn would drive more growth; our expected percentage production growth rate for 2018; the expected average internal rates of return at the various locations; the expectation that short cycle development drives strong capital efficiencies; the expected 2018 corporate capital efficiencies by location and the Company as a whole; our expectation for the average 2018 production range per day; and our expectations for drilling in bioturbated rock including optionality, costs and complexity.

The key metrics for the Company set forth in this presentation may be considered to be future-oriented financial information or a financial outlook for the purposes of applicable Canadian securities laws. Financial outlook and future-oriented financial information contained in this presentation are based on assumptions about future events based on management's assessment of the relevant information currently available. In particular, this presentation contains projected operational and financial information for end of 2017, 2018 and beyond for the Company. The future-oriented financial information and financial outlooks contained in this presentation have been approved by management as of the date of this presentation. Readers are cautioned that any such financial outlook and future-oriented financial information contained herein should not be used for purposes other than those for which it is disclosed herein.

With respect to forward-looking statements contained in this document, we have made assumptions regarding, among other things: our ability to complete asset sales and the terms and timing of any such sales; the economic returns that we anticipate realizing from expenditures made on our assets; future crude oil, natural gas liquids and natural gas prices and differentials between light, medium and heavy oil prices and Canadian, WTI and world oil and natural gas prices; future capital expenditure levels; future crude oil, natural gas liquids and natural gas production levels; drilling results; future exchange rates and interest rates; future taxes and royalties; the continued suspension of our dividend; our ability to execute our capital programs as planned without significant adverse impacts from various factors beyond our control, including weather, infrastructure access and delays in obtaining regulatory approvals and third party consents; our ability to obtain equipment in a timely manner to carry out development activities and the costs thereof; our ability to market our oil and natural gas successfully; our ability to obtain financing on acceptable terms, including our ability to renew or replace our reserve based loan; our ability to finance the repayment of our senior secured notes on maturity; and our ability to add production and reserves through our development and exploitation activities. In addition, many of the forward-looking statements contained in this document are located proximate to assumptions that are specific to those forward-looking statements, and such assumptions should be taken into account when reading such forward-looking statements. Please note that illustrative examples are not to be construed as guidance for the Company and further details on assumptions can be found in the Endnotes section of the presentation.

Although Obsidian Energy believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Obsidian Energy can give no assurances that they will prove to be correct. Since forward-looking information addresses future events and conditions, by its very nature it involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to: the risks associated with the oil and gas industry in general such as operational risks in development, exploration and production; the possibility that the semi-annual borrowing base re-determination under our of our reserve-based loan is not acceptable to the Company or that we breach one or more of the financial covenants pursuant to our amending agreements with holders of our senior, secured notes; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to reserves, production, costs and expenses; health, safety and environmental risks; commodity price and exchange rate fluctuations; interest rate fluctuations; marketing and transportation; loss of markets; environmental risks; competition; incorrect assessment of the value of acquisitions; failure to complete or realize the anticipated benefits of acquisitions or dispositions; ability to access sufficient capital from internal and external sources; failure to obtain required regulatory and other approvals; reliance on third parties; and changes in legislation, including but not limited to tax laws, royalties and environmental regulations. Readers are cautioned that the foregoing list of factors is not exhaustive.

Additional information on these and other factors that could affect Obsidian Energy, or its operations or financial results, are included in the Company's most recently filed Management's Discussion and Analysis (See "Forward-Looking Statements" therein)), Annual Information Form (See "Risk Factors" and "Forward-Looking Statements" therein) and other reports on file with applicable securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com), EDGAR website (www.sec.gov) or Obsidian Energy's website.

Unless otherwise specified, the forward-looking statements contained in this document speak only as of February 8th, 2018. Except as expressly required by applicable securities laws, we do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

Obsidian Energy - Amazon Web Services...2017/01/09 · ObsidianEnergy.com | TSX/NYSE: OBE 10,000...

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Transcript of Obsidian Energy - Amazon Web Services...2017/01/09 · ObsidianEnergy.com | TSX/NYSE: OBE 10,000...