Parex is a Calgary based company that focuses on sustainable, profitable, conventional
oil and gas production.
Parex is committed to developing energy
resources in a manner that is economically,
environmentally and socially sustainable as it builds a portfolio of drilling opportunities and advances its exploration and development program to evolve into the leading LATAM independent E&P company.
CORPORATE PRESENTATION | SEPTEMBER 2021
2
CORPORATE SNAPSHOT
Capital Structure
Operating Results
2020
H1 2021
Brent ($/bbl)
$43.30
$65.23
Production (boe/d)
46,518
45,332
DAPS Growth(1)
-3%
2%
FCF Yield (%)
9%
8%
Capital Expenditures - US$ MM
$141
$84
Funds Flow Provided by Operations - US$ MM
$297
$257
Free Funds Flow - US$
$156
$172
Shares Repurchased - MM shares
13.9
7.7
Reserves (2020 Year-End)
2P Reserves (Dec. 31)(2) - Mmboe
195
-
2P Reserve Life Index - years
11
-
Debt-adjustedproduction per share ("DAPS") growth.
Parex' WI per the independent reserve report prepared by GLJ Petroleum Consultants ("GLJ") effective Dec. 31, 2020.
As at June 30, 2021.
Estimated annual dividend yield using C$20/sh price.
As at August 31, 2021
As at Sep 23, 2021, shares repurchased is since October 15, 2017.
See "Advisories" at the end of this presentation
Cash - US$ million(3)
~$371
Net Working Capital - US$ million(3)
~$352
US$200 MM Undrawn Credit Facility(3)
No Debt
Dividend Yield(4)
2.5%
Market Capitalization(5)
~C$2.4 Billion
Common Shares Basic Outstanding(5)
(TSX: PXT)
122.5 MM
Shares Repurchased(6)
C$831 MM
CORPORATE PRESENTATION | SEPTEMBER 2021
3
PAREX' STRATEGY: BUILDING A BALANCED PORTFOLIO
Disciplined Capital Allocation
Sustainable Business Model
Investigate New Core Areas
Uncompromised Commitment
to ESG Excellence
Advancement of key ESG initiatives
Profitable reserves conversion
Validating Colombian discoveries
Leveraging existing core competencies
ESG governance structure
Optimizing decline rates
Acceleration of exploration portfolio
Enhancement of inclusion and diversity
Complement Colombian portfolio
Significant Free Cash Flow generation
Long-term profitable growth
strategy
Technology to reduce emissions
Parex has a 360-degreeapproach: Embracing Communities, Environment, and Stakeholders
CORPORATE PRESENTATION | SEPTEMBER 2021
4
CURRENT ESG PRIORITIES
Environment
Social
Governance
Introduce GHGs emissions
reductions targets (July 2021)
Invest in geothermal and solar energies to
lower carbon footprint
from operated fields' power generation
Reduction of GHG emissions
intensity rate year-over-year
Biodiversity Protection -
trees planting, repopulation of vulnerable turtles & protection of forests
Water for All - increase community
access to clean water
Clean Energy Program -
improve community access to electricity using renewables sources
Provide on-goingcommunity support
during the Pandemic
Corporate diversity & inclusion plan
2023 diversity target -
30% women on the Board
30% of 2021 variable compensation linked to ESG metrics
Transparency reporting
through TCFD Recommendations & SASB Standards
Shareholder return through
buybacks & dividends
CORPORATE PRESENTATION | SEPTEMBER 2021
5
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Parex Resources Inc. published this content on 24 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 24 September 2021 22:51:00 UTC.
Parex Resources Inc. is a Canada-based independent oil and gas company in Colombia, focusing on sustainable, conventional production. The company is engaged in the business of the exploration, development, production and marketing of oil and natural gas in Colombia. The Company is focused on development in two main basins: Llanos and Magdalena. All of the Company's oil production and 87% of the oil, natural gas and natural gas liquids (NGL) proved plus probable reserves are located in the Llanos Basin of Colombia with the remaining oil reserves and production located in the Magdalena Basin of Colombia.