Oasis Corporate Presentation -- August, 2019

The last Oasis Petroleum presentation I posted at the blog was back in May, 2019. It's possible I've posted a newer one since then, but if I have, I've forgotten.

So, here's a look at the August, 2019, corporate presentation for Oasis Petroleum. Link here.

Disclaimer: this was done quickly. Some charts hard to interpret without the narrative. There will by typographical and factual errors. If this is important to you, go to the source. This was posted just to help me compare the Bakken with the Delaware (Permian)

Net acres

• Williston: 414,000
• Delware: 23,000

Gross operated top tier inventory:

• Williston: 1,385 drilling locations
• Delaware: 600 - 700 drilling locations

Rigs in 2019:

• Williston: 2 - 3 (look at the efficiency -- 70 wells to be completed; 2 or 3 rigs)
• Delaware: 2 (ten wells to be completed; 2 rigs)

YTD production (boepd)

• Williston: 82,000 boepd ((will drop slightly y-o-y in 2019)
• Delaware: 6,000 boepd (will increase y-o-y in 2019)

Costs (hard to be sure if I'm reading slide correctly but if I am):

• Williston: $7.6 million / well
• Delaware: $11.5 million / well (target: $9.6 million / well)

Completions:

• Williston, 2019: target ~ 70 well completions
• Delaware, 2019: target  ~ 10 well completions 

Free cash flow:

• Year-to-date: positive cash flow: targeting $16 million in 2019
• Williston asset producing FCF to fund Delaware and OMP growth
• full year (2019): targeting $80 million FCF at $50 WTI
• full year (2019): targeting $110 million FCF at $60 WTI
• OMP outspend due to Delaware infrastructure build-out and funding Oasis' interest in Bobcat DevCo

Operations -- Bakken (to make sense of this, one needs to see the map at the presentation):

• enhanced completions expand top tier position
• top tier: 
• Montana: 27
• enhanced completions
• Red Bank perimeter: 56
• Red Bank, Painted Woods, Indian Hills: 63
• S Cottonwood: 8
• additional upside:
• N Cottonwood: 7
• others:
• Montana perimeter
• Wild Basin (North Dakota)
• Alger (Mountrail County)
• 1,385 top-tier operated locations: 20+ year inventory life at current rig pace

Breakeven prices below $45 WTI

• South Cottonwood now top-tier inventory

Production per 1,000 feet of lateral:

• South Cottonwood
• pre-2016: 2,122 bbls cum 3 months
• 2016+ wells: 5,189 bbls cum 3 months
• Bakken average, 2016+: 5,358 cum 3 months
• Painted Woods
• pre-2016: 3,028
• OAS recent tests: 5,720
• 2016+ Bakken average: 5,358
•  similar in Montana

Comparing Oasis with 15 peers in the Bakken:

• Oasis is #2 boe / #3 bo in "Williston well productivity" but pretty much tying #1

Fracking: focus on increasing frack entry points

Other:

• Oasis' MLP is now the 2nd largest gas processor in the Williston Basin after hte startup of Wild Basin Gas Plant II in December 2018
• Bobcat DevCo
• Panther DevCo -- crude oil gathering and produced water in the Delaware Basin

Production per well in Delaware, slide 12:

• UL Rattlesnake: one month cum of 3,500 bo/1,000 feet of lateral
• UL Kerwin: three month cum of 7,500 bo/1000 feet of lateral
• UL Stampede: 12 month cum of 21,000 bo/1000 feet of lateral