Our West Central Saskatchewan “WC SK” Business Unit represents our Viking resource oil play. Focus areas are Lucky Hills, Whiteside, Kerrobert, and Eagle Lake. The key characteristics of this play are light 38° – 40° API oil, predictable geology and production profiles, as well as consistent and repeatable economics. Lucky Hills and Whiteside are characterized by horizontal primary oil development wells with quick payouts and a high operating netback. The Eagle Lake property is characterized by low decline waterflood supported production from legacy vertical and horizontal infill wells. Additional development is ongoing through the drilling of infill horizontal wells and reactivation of the waterfloods to increase reserve recoveries. Kerrobert is analogous to Eagle Lake with reservoir properties conducive to successful waterflooding. The Kerrobert waterflood is in its infancy of development, relative to Eagle Lake, and as a result has significant upside related to reserve recovery and decline stabilization. The Viking oil play provides some of the fastest project payouts in the industry and provides flexibility on growth requirements, which is further enhanced by lowering declines through our waterflood optimization and expansion initiatives. Further value generation is being created through organic inventory expansion initiatives.

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