Prairie Operating (PROP) investor relations material

Company background and transformation

• Transitioned from a cryptocurrency entity to a public oil and gas company between 2023 and 2024, divesting all crypto assets and acquiring unencumbered lands and leases.

• Completed several strategic acquisitions, including Bayswater, Edge, Nickel Road, and Crown, consolidating a significant asset base in Weld County, DJ Basin.

• Grew from 12 to 72 employees, shifting from an investor-based to an oil and gas-focused board.

• Implemented a new management team and board refresh to drive operational efficiency and growth.

• Focused on building contiguous acreage blocks and maintaining a strong balance sheet.

Operational highlights and asset base

• Operates approximately 550 producing wells, with 27 drilled and completed in the current year and a target of 40 for the year.

• Holds about 70,000 net acres and proved reserves of 118 MMBOE, with 73% liquids and 50% oil.

• Maintains a 10-year drilling inventory with roughly 600 locations, expandable to 800 through organic growth and acquisitions.

• Runs a single rig and frac crew, with plans to add a second rig once permit inventory exceeds two years.

• Focuses on cost efficiency, capital allocation, and leveraging best practices in drilling and completion.

Financial and production guidance

• Re-guided 2024 daily production to 23,000–25,000 net barrels, EBITDA of $180–$190 million, and capital expenditures of $185–$195 million.

• Q2 and Q3 are high capital deployment periods, with Q4 expected to return to free cash flow.

• Hedges in place for 24 months at $60–$64 per barrel, providing foundational support despite current market deficits.

• Targets 6–12 wells per DSU, with average lateral lengths of 2 miles and some 3-mile laterals.