Paramount Resources (POU) Corporate presentation summary

Corporate overview and financial highlights

• Holds significant land in Montney and Duvernay, with 415 MMBoe proved reserves (49% liquids) and NPV10 of $4.5B; proved plus probable reserves at 761 MMBoe (50% liquids) and NPV10 of $7.9B.

• Q3 2024 sales volumes averaged 94,892 Boe/d (48% liquids); 2024 guidance targets 102,000–109,000 Boe/d (49% liquids).

• Net debt at September 30, 2024 was $250M; market capitalization around $4B.

• FY 2024 capex guidance is $830–$890M, with a midpoint free cash flow estimate of $480M.

• Monthly dividend set at $0.15/share (annualized yield 6.6%).

Strategic transaction and shareholder returns

• Entered agreement to sell Karr, Wapiti, and Zama properties to Ovintiv for $3.325B cash plus Horn River Basin assets; closing expected Q1 2025.

• Proceeds will fund a meaningful cash distribution and reinvestment in growth; monthly dividend to be maintained until closing.

• Post-transaction, focus shifts to Duvernay assets at Willesden Green and Kaybob North, and Sinclair Montney appraisal.

• Since July 2021, $5.23/share (~$750M) returned via dividends; special $1.00/share dividend paid in January 2023.

• Year-to-date, $127M realized from asset and investment dispositions.

Operational performance and asset development

• Grande Prairie Region: 109,000 net Montney acres at Karr and Wapiti; 2024 activities include 7 new drills and 8 wells onstream.

• Karr and Wapiti wells deliver strong returns, with Karr 2024 program averaging 4.6x DCET payout and Wapiti 2024 program at 3.2x.

• Sinclair Montney: 107,000 acres acquired for $51M; two appraisal wells drilling in Q4 2024, with first production possible by Q4 2027.

• Kaybob North Duvernay: 17 wells onstream by Q3 2024; targeting plateau production of 16,000 Boe/d.

• Willesden Green Duvernay: New Alhambra plant under construction (phase one start-up Q4 2025); over 700 drilling locations support 50,000+ Boe/d plateau.