Reserves

Bonterra's year-end 2019 reserves were provided by independent reserves evaluator Sproule Associates Limited (“Sproule”) in accordance with the definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook (“COGE Handbook”) and National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities (“NI 51-101”), with an effective date of December 31, 2019.

Summary of Oil and Gas Reserves as of December 31, 2019


Light &
Medium Oil
(MBbl)
Solution
Gas
(MMcf)
Natural
Gas
(MMcf)
Natural
Gas Liquids
(MBbl)
Oil
Equivalent(4)
(MBoe)
Future
Development
Capital
($000s)
Proved





- Developed Producing 22,227 69,928 5,616 3,319 38,136 76
- Developed Non-Producing 591 1,177 42 55 849 1,374
- Undeveloped 23,891 72,637 12,945 4,398 42,552 638,193
Total Proved 46,709 143,742 18,603 7,771 81,537 639,643
- Probable 11,165 34,109 4,872 1,878 19,540 12,006
Total P+P(1)(2)(3) 57,874 177,851 23,475 9,649 101,077 651,650

(1) Reserves have been presented on gross basis which are the Company’s total working interest share before the deduction of any royalties and without including any royalty interests of the Company.
(2) Totals may not add due to rounding
(3) Based on Sproule’s December 31, 2019 escalated price deck
(4) Oil equivalent amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil

Summary of Net Present Values of Future Net Revenue as of December 31, 2019

($ M)
Net present value before income taxes discounted at (% per year)
Reserve Category 0% 5% 10% 15%
Proved



- Producing 789,954 727,746 586,445 485,957
- Non-producing 17,432 13,466 10,627 8,593
- Undeveloped 981,038 578,193 364,808 241,291
Total Proved 1,788,424 1,319,405 961,880 735,842
- Probable 731,254 402,609 266,354 196,077
Total Proved plus Probable 2,519,678 1,722,014 1,228,235 931,919

(1) Evaluated by Sproule as at December 31, 2019. Net present value of future net revenue does not represent fair value of the reserves
(2) Net present values equals net present value before income taxes based on Sproule’s forecast prices and costs as of December 31, 2019. There is no assurance that the forecast prices and costs assumptions will be attained and variances could be material
(3) Includes abandonment and reclamation costs as defined in NI 51-101