Q1 EARNINGS AND GUIDANCE III. 2021 ACQUISTIONS
IV. APPENDIX: SUPPLEMENTAL INFO
2
A DIVERSIFIED HIGH RETURN NON-OP E&P FRANCHISE
NYSE: NOG
NOG's 2021 Permian and Marcellus acquisitions have created a high return national non-op franchise that is benefitting from economies of scale
Going forward, NOG is positioned to continue to capitalize on increased non-operated opportunities present in the "Shale 3.0" era
Williston Basin : ~180,000 Net AcresQ1:22 Production by Region
16%
20%
Region
64%
Williston
Marcellus
Permian
Northern
Wells In Progress
Wells Completed 2019 - 2021
Permian Basin: ~10,000 Net Acres
Northern
Wells Completed 2019 - 2021
Q1:22 Production by Commodity
Commodity Type
60%
40%
Liquids
Gas
Marcellus Acres: ~62,000 Net Acres
Armstrong
Indiana
Allegheny
Cambria
Westmoreland
Washington
Somerset
Fayette
Greene
Northern
Wells Completed 2019 - 2021
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THE NOG INVESTMENT PROPOSITION
NYSE: NOG
National non-op franchise - principled ROCE(1) leader (36.5% in Q1:22) diversified by commodity
and geography
Strong expected Free Cash Flow (2): >$425 MM in 2022 and >$1.7 Bn through 2025
Return of capital commitment: +23% QoQ dividend growth through 2023; $40.0 Preferred Stock
repurchased YTD
Continuously improving balance sheet with LQA leverage of 1.1x
Compelling Valuation: >16.5% 2022 Free cash flow yield (2) and 5.0x 22 P/E Ratio (3)
The "Shale 3.0" beneficiary - the Golden Age for non-op is now
ROCE is a non-GAAP financial measure. See Appendix for methodology and reconciliation
Free Cash Flow (FCF) is a non-GAAP financial measure. See Appendix for methodology. Northern is unable to present a reconciliation of forward-looking FCF because components of the calculation, including fluctuations in working capital accounts, are inherently
unpredictable. FCF yield assumes >$425MM of 2022 FCF, a $33.33 share price (5/27/22 close) and 77.333MM shares (5/4/22 common outstanding), equating to a market capitalization of $2,577MM
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3. As of 5/31/2022 based off Bloomberg consensus estimates for 2022 EPS $6.13share and a NOG share price of $33.33
A DIFFERENTIATED E&P GROWTH PLATFORM
NYSE: NOG
NOG continues to build scale as the largest dedicated public non-operated working interest company
PRODUCTION CONTINUES TO RAMP…
…WHILE MAINTAINING PEER-LEADING LOW CASH G&A(1)
Material growth driven by organic growth +
Reducing overhead cash
accretive M&A
G&A cost
71.3
$3.02
64.2
$2.71
57.6
54.6
43.943.7
40.8
38.4
$1.61
36.3 35.0
$1.58
35.7
34.6
$1.45
$1.15
$1.39
$1.20
29.1
$1.28
$1.13
$1.01
26.7
23.8
$1.01
$1.06
$0.95
$1.04
$0.91
21.0
$0.92
$0.78
$0.86
(1)
18.0
$0.77
15.3 16.7
13.8
Production (MBoe/d)
Cash G&A per BOE- Adjusted
1. Adjusted Cash G&A is a non-GAAP financial measure. Please see the appendix for reconciliation to the most directly comparable GAAP Measure.
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Northern Oil & Gas Inc. published this content on 31 May 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 31 May 2022 21:51:08 UTC.
Northern Oil and Gas, Inc. is a real asset company that focuses on acquiring and investing in non-operated minority working and mineral interests in the hydrocarbon producing basins within the contiguous United States. Its principal business is crude oil and natural gas exploration, development, and production with operations in the United States. Its 272,251-acre portfolio is distributed across the Williston, Permian, and Appalachia Basins. Its portfolio comprises about 272,251 acres of low-breakeven lands with over 9,765 wells. Diversified by basin and across commodity type, its wells are operated by over 100 public and private operators. It primarily engages in oil and natural gas exploration and production by participating on a proportionate basis alongside third-party interests in wells drilled and completed in spacing units that include its acreage. In addition, it acquires wellbore-only working interests in wells. It also owns the Utica and Northern Delaware Basin assets.