i n v e s t o r FA C T S H E E T THIRD QUARTER
WE OPE RATE WORL D-CL ASS ENERGY ASSET S TO GE NE RATE LONG-T ERM VALUE FOR INV ESTORS.
PROVIDENT Energy Trust is a diversified
STRONG BALANCE SHEET • During the third quarter Provident completed the sale of equity interest in BreitBurn Energy Company L.P on August 26, 2008. Proceeds from the sales were $663 million when combined with the proceeds from the June disposition of BreitBurn Energy Partners L.P. and BreitBurn Energy Partners G.P. Combined after tax proceeds were $449 million. Proceeds were used to pay down debt. Consolidated senior bank debt at the end of the quarter was $394 million drawn from Provident’s $1.125 billion revolving credit facility.
energy enterprise with HIGH-QUALITY upstream oil and gas ASSETS and
E M E R G I N G O I L P L AY I N N O R T H W E S T A L B E R TA • Provident has acquired a 100 percent interest in approximately 54,000 acres of undeveloped land in Northwest Alberta, pursuing an internally-generated exploration play targeting medium gravity oil from the Pekisko formation. • Provident’s independent reserve evaluator has assigned approximately 2 million barrels of total proved plus probable oil reserves associated with these two test wells and offset locations. Provident believes this play contains significant oil in place. • Provident has identified in excess of 300 potential drilling locations on its lands to exploit the Pekisko play and will continue to use multi-stage frac technology to enhance the ultimate recovery of this resource.
midstream ASSETS THAT INCLUDE NGL EXTRACTION, FRACTIONATION, STORAGE,
P R U D E N T S T R AT E G Y F O R G E N E R AT I N G L O N G - T E R M VA L U E • Provident remains committed to prudent fiscal policy and leverage, balancing capital investment and distributions for the long-term benefit of unitholders. • Provident believes that capital spending must be aligned with the prevalent economic environment currently characterized by volatile commodity markets, fluctuating currency rates and limited access to capital. • Provident is undertaking a strategic review process to determine the optimal strategic and structural options available for its business units. Provident intends to add value to unitholders’ investment by optimizing competitiveness, cost of capital and valuation.
TRANSPORTATION AND MARKETING WITH ACCESS TO MARKETS ACROSS NORTH AMERICA.
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Investor R el at ions
Dallas McConnell, MBA
Tel: (403) 237.6710
2100, 250 - 2nd Street SW
Manager, Investor Relations
Calgary, AB T2P 0C1
P rov i d e n t O f f i ce Rainbow
M i d s t re a m S t o r a g e
N o n - p ro p r i e t a r y P i p e l i n e
Fort McMurray La Glace
P ro v i d e n t P i p e l i n e
M i d s t re a m E x t r a c t i o n / Fr a c t i o n a t i o n Fa c i l i t y
Edmonton Calgary Empress
Canadian Oil & Gas P ro d u c t i o n
2 0 0 8 GU I DANCE
Canadian Oil and Gas Production 27,000-28,000 boe/d Capex $197 mm
(at Dec. 31, 2007) (years) Canadian Reserve Life Index 9.7 Economic Life Index (including midstream) (1) 18.1
Mt. Belvieu Houston
(1) Excludes US oil and gas which was discontinued.
SELECTED FINANCIAL INFORMATION Consolidated ($ 000s except where noted and per unit data)
Three months ended Sept. 30, 2008 2007 % Change 107,442 $ 47,143 128 $ 32,537 32,350 1 139,979 79,493 76 151,661 $ 105,149 44 $ 0.59 $ 0.43 37 $ 0.57 $ 0.43 33 $ 92,188 $ 87,782 5 $ 0.36 $ 0.36 - $
Funds flow from COGP operations (1) $ Funds flow from Midstream operations (1) Funds flow from continuing operations Total funds flow from operations (1) $ Per weighted average unit – basic $ Per weighted average unit - diluted (2) $ Distributions to unitholders $ Per unit $ Percent of funds flow from operations paid out as declared distributions (3) 61% Capital expenditures (continuing operations) $ 73,252 Daily production from continuing operations (COGP) oil equivalent (boed) (4) 28,271 Midstream EBITDA (000s) (5) $ 37,339 Midstream NGL sales volumes (bpd) 111,313 Weighted average trust units outstanding (000s) - Basic 255,842 - Diluted (2) 277,102
Nine months ended Sept. 30, 2008 2007 % Change 291,453 $ 145,585 100 144,390 101,323 43 435,843 246,908 77 573,378 $ 290,692 97 2.25 $ 1.30 73 2.25 $ 1.30 73 274,967 $ 244,289 13 1.08 $ 1.08 -
89% $ 36,787
(31) 53% 88% 99 $ 192,044 $ 102,900
28,022 $ 47,425 112,386 243,600 243,775
1 (21) $ (1) 5 14
27,963 175,095 119,456 254,391 254,391
26,021 136,252 115,664 224,174 224,349
(40) 87 7 29 3 13 13
(1) Represents cash flow from operations before changes in working capital and site restoration expenditures. (2) Includes dilutive impact of unit options and convertible debentures. (3) Calculated as distributions to unit holders divided by funds flow from operations less distributions to non-controlling interests of $51.4 million year-to-date and nil for the quarter (2007 - $13.7 million and $6.6 million, respectively). (4) Provident reports oil equivalent production converting natural gas to oil on a 6:1 basis. (5) EBITDA is earnings before interest, taxes, depletion, depreciation, accretion and other non-cash items.
Distributions Canada (Cdn$/unit)
Q1 0.36 0.36 Q2 0.36 0.36 Q3 0.36 0.36 Q4 0.36 United States (US$/unit)
Q1 0.36 Q2 0.36 Q3 0.33 Q4
0.31 0.33 0.35 0.36
Three months ended Sept. 30, 2008
At Sept. 30, 2008
Security Low High
TSX – PVE.UN NYSE – PVX (US$) TSX – PVE.DB.A TSX – PVE.DB.B TSX – PVE.DB.C TSX – PVE.DB.D
8.71 8.50 100.00 101.54 92.04 93.51
11.66 26,269 11.50 76,617 103.60 1 103.00 17 99.85 173 101.96 38
Total value ($ million)
Trust units (market value) Revolving credit facilities Convert. debentures 8.75% Convert. debentures 8.00% Convert. debentures 6.50% Convert. debentures 6.50%
2,432 394 20 25 92 143
Published on Mar 20, 2009