Capital Budget

2017 – Focused on Continued Long-term Value Creation and Balance Sheet Strength

  • The 2017 capital budget has been increased to $750 million, from the $665 million previously announced and continues to focus on balance sheet strength and long-term value creation;
  • ARC has provided a 2017 production target of 118,000 to 124,000 boe per day;
  • ARC plans to advance strategic initiatives at Parkland/Tower and Attachie, and increase investment in the Lower Montney;
  • ARC's 2017 capital program includes infrastructure spending for the Parkland/Tower gas processing and liquids-handling facility expansion expected to come on-stream in late 2018;
  • Front-end engineering and design work will be initiated for the Sunrise Phase II gas processing facility expansion, the newest sanctioned project for Montney growth, expected to come on-stream mid-year 2019;
  • ARC plans to drill 134 gross operated wells across our portfolio;
  • Crude oil and liquids production is expected to be in the range of 34,000 to 38,000 bbls per day in 2017;
  • Natural gas production is expected to be in the range of 505 to 515 MMcf per day in 2017;
  • ARC will maintain a focus on cost management, targeting 2017 operating costs in the range of $6.30 to $6.70 per boe;
  • ARC plans to maintain the current monthly dividend of $0.05 per share based on, among other things, the current outlook for crude oil and natural gas prices and ARC's hedge positions.

ARC Resources Ltd.

1200, 308 - 4th Avenue S.W. Calgary, Alberta, Canada T2P 0H7

Tel: 403-503-8600 Toll Free: 1-888-272-4900