A focused group

Experience counts

Corporate Offices

600, 400 – 3 Ave. SW
Calgary, AB.
T2P 4H2

Auditors

KPMG LLP

Legal

Burnet Duckworth & Palmer LLP

Reserves

GLJ Petroleum Consultants


Competitive Advantages

Completive Advantages

Management believes Cardinal has several competitive advantages that will help it execute its business strategy successfully:

  • Solid Base of Low Decline Crude Oil Production

Cardinal's current decline rate on its oil focused production is estimated to be less than 10% per year. This decline rate will allow the Company to spend a relatively smaller portion of its budget replacing production, allowing more capital in its budget to be allocated to maintaining its dividend and enabling the Company to pursue production and cash flow growth opportunities.

  • Operated Assets, High Working Interest

Cardinal operates 97% of its properties with an average working interest of 90%. Operating its assets allows the Company to dictate the pace of development of its organic growth opportunities while controlling the cost and timing. Operating its properties further allows Cardinal to achieve operating benefits as it consolidates future core areas. When considering future growth opportunities, the Company will target high working interest, operated crude oil properties with attractive netbacks.

  • Large Development Drilling Inventory

Cardinal's drilling strategy is to engage in low risk development drilling with low capital exposure per well. Management believes that it has a multi-year drilling inventory consisting of approximately 500 development drilling locations and additional contingent development drilling locations. Management is continually working to increase our drilling inventory.  

  • Disciplined Growth Strategy

Cardinal is highly focused on building a sustainable business by establishing core areas with production in excess of 5,000 Boe/d and low decline rates. As Cardinal grows, it will maintain a low decline rate by continuing to acquire proven and established assets with lower production decline profiles than those of newly drilled wells. Cardinal's acquisition success in combination with its expertise in organically growing oil and gas production, will assist in achieving and maintaining low decline rates.