About NuVista Energy

NuVista Energy Ltd., an independent oil and natural gas company, engages in the exploration for, and the development and production of, oil and natural gas reserves in the Western Canadian Sedimentary Basin. The company’s primary focus is on the scalable and repeatable condensate-rich Montney formation in the Wapiti and Pipestone areas of the Alberta Deep Basin. Montney Assets The company has established a land position in the condensate-rich Montney located near the City of Grande Prairie, Alberta. It holds rights in approximately 254 gross sections (228 net) of land with an approximate working interest of 90%. Approximately 99% of the company’s production is located within the Wapiti and Pipestone areas. It has an inventory of approximately 1,194 gross drilling locations (347 undeveloped proved and probable drilling locations and 847 undeveloped best estimate contingent drilling locations), which includes Montney intervals with current production or with direct offset production. The company holds Montney rights in approximately 162,000 gross acres (145,405 net acres) of land with an average working interest of 90% that are prospective for the Triassic Montney zone resource play. As of the end of 2020, the company had 224 horizontal wells developed in the Montney formation. The company’s core operating areas of Wapiti and Pipestone in the Montney formation is located near the City of Grande Prairie, Alberta, approximately 600 kilometers northwest of Calgary. Wapiti Production from the Montney in the Wapiti area is processed at one of three large area processing plants, including the Energy Transfer K3 plant, the Keyera Simonette plant, and the Energy Transfer Wapiti plant. The company’s interests in the Wapiti Montney are concentrated in three main areas within the Greater Wapiti Area – Bilbo, Gold Creek and Elmworth. Bilbo During 2020, Bilbo production averaged 12,392 barrels of oil equivalent per day (Boe/d), which included 4,753 barrels per day (Bbls/d) of condensate, 629 Bbls/d of natural gas liquids (NGLs) (excluding condensate), and 42,061 thousand cubic feet per day (Mcf/d) of conventional natural gas. Operations during the year included drilling of four Montney horizontal wells, two of which were brought on stream to fill existing capacity at the Bilbo compressor station. Gold Creek Production at Gold Creek averaged 7,982 Boe/d in 2020, which included 2,619 Bbls/d of condensate, 412 Bbls/d of NGLs (excluding condensate), and 29,708 Mcf/d of conventional natural gas. Operations during the year included drilling of three Montney horizontal wells that were brought on stream to fill capacity at the Energy Transfer Wapiti Gas Plant. Elmworth Elmworth production averaged 13,088 Boe/d in 2020, which included 2,780 Bbls/d of condensate, 1,722 Bbls/d of NGLs (excluding condensate), and 51,519 Mcf/d of conventional natural gas. Operations during the year included drilling four Montney horizontal wells that were brought on production to fill capacity at the Elmworth compressor station. Pipestone Production in the Pipestone area is processed primarily at two sour gas plants – the Energy Transfer Wapiti gas plant and the NuVista Wembley gas plant, with an additional smaller amount processed at the Tidewater Pipestone gas plant. In addition, substantial volumes would be processed at the Veresen Hythe Gas Plant once the expansion has completed startup in the first quarter of 2021. Production at Pipestone averaged 14,966 Boe/d in 2020, which included 3,402 Bbls/d of condensate, 2,283 Bbls/d of NGLs (excluding condensate), and 55,682 Mcf/d of conventional natural gas. Non-core Areas Production in the non-core area of Wembley, which is in the greater Wapiti-Montney area, was 1,962 Boe/d in 2020, which included 159 Bbls/d of condensate, 373 Bbls/d of NGLs (excluding condensate), 349 Bbls/d of light and medium oil, and 6,496 Mcf/d of conventional natural gas. The company also has non-core operations in three additional areas of Alberta (non-core properties outside of the greater Wapiti-Montney area) whose combined production in 2020 averaged 52 Boe/d. Substantially all of the 2020 average non-core production included conventional natural gas. These operating regions combined gross acreage in 2020 is 292,969 gross acres (216,138 net acres). Properties with no Attributed Reserves As of December 31, 2020, the company held 56,800 gross acres (47,600 net acres) of Montney rights to which no reserves are attributed. Rights to explore, develop and exploit 3,520 net acres of these land holdings could expire by December 31, 2021 if not continued. History NuVista Energy Ltd. was incorporated in 2003 under the Business Corporations Act (Alberta).