2Q19 C 19 Confe ference C Call July 31, 2019 S E C O N D Q U A - PowerPoint PPT Presentation

2Q19 C 19 Confe ference C Call July 31, 2019

S E C O N D Q U A R T E R 2 Key Highl hlight ghts s Demonst strate e Profi fitable e Business ess Net E Earn rnings gs Cash h Flow ow Ŧ Free C Fr Cas ash Fl Flow Ŧ $336 $336 MM $877 MM $877 $127 MM $127 $0.24 / SHARE $0.64 / SHARE SIGNIFICANTLY GROWING FCF IN 2H19 Buyback ack Divide idend FCF CF Y Yiel eld 149MM 149M +25% +25% YTD #1 #1 VS PEE EERS SHS. Y . YTD ~10% OF O/S SHARES Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website.

3 Wha hat Y You Ne ou Need t to o Kno Know Fi Financi cial al Operat ational al $127 M MM o M of Free ee Cash F Flow Ŧ On track ck t to deli liver er p prod oduction ion & & capit ital g guid ide Positioned to grow free cash flow in H2 15% FY19 YoY liquids growth from three core growth assets $175 MM M annualiz ized G&A / op. cos ost syner ergies es Redu duced S d STACK w well cost sts t s to $6.5 M MM $50 MM greater than original estimate $1.4 MM D&C cost reduction since NFX acquisition 2Q19 a 2Q annua nualized ed l leverage o of 1.7x Ŧ,(1) STACK o K oil produc uction growth 3 h 31% o over er 1 1Q19 Represents normalized leverage post acquisition 63% oil growth since 1Q18 Recor ord Anadarko a o and P d Permian p produ oduction on Str trate tegic gic 163 MBOE/d & 104 MBOE/d, respectively Mont ntne ney liquids up 5 55% Y YTD Continued ed r ref efinem emen ent o of the p he portfolio Asse sets ts generati ating u g upstr stream am o operati ting FCF Ŧ Announced China exit & Arkoma divestiture (1) Net debt to adjusted EBITDA based on Adjusted EBITDA generated in 2Q19 on an annualized basis. Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website.

S T R O N G N G F F I N A N A N C N C I A L R E S U L U L T S 4 2Q1 Q19 Conso solidate ted Resu esults 2Q 2Q19 19 • $127 M MM o M of Free ee Cash F Flow Ŧ $ M Millio llions ns $ Per S r Share re o Outperforming original synergy targets & proving operational performance NET EARNINGS 336 0.24 • 2Q19 a annualized ed l leve verage o e of 1 1.7x Ŧ,(1) NON-GAAP OPERATING EARNINGS Ŧ 290 0.21 o Represents normalized leverage post acquisition CASH FROM OPERATING ACTIVITIES 906 • Repaid $ $500 M MM M of 6 6.5% S Senior ior N Notes es NON-GAAP CASH FLOW Ŧ 877 0.64 o Optimized financial structure through commercial paper CASH FLOW MARGIN Ŧ $/BOE 16.27 CAPITAL INVESTMENT 750 FCF Ŧ By A 2Q 2Q19 U Ups pstream O Ope perati ting F Asse sset FREE CASH FLOW Ŧ 127 BUYBACK ($ MILLIONS / MILLIONS OF SHARES) $637 / 94 WEIGHTED AVERAGE SHARES – DILUTED (MILLIONS) 1,381.0 ~$250 M MM (2) SHARES O/S AT JUNE 30, 2019 (MILLIONS) 1,346.5 (1) Net debt to adjusted EBITDA based on Adjusted EBITDA generated in 2Q19 on an annualized basis. (2) Upstream operating free cash flow excluding hedge. Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website. * Base includes Eagle Ford, Williston, Uinta and Duvernay.

O P E R A T I O N S O N T R A C K 5 Strong ong F Financ ncial a and O Operationa onal Perfor formanc nce Results lts a and Guida dance FY19 Expected 2H FY19 Proforma 1Q19 2Q19 Reportable ‘19 Run Rate (Unchanged) (Unchanged) CAPITAL INVESTMENT 736 736 750 750 500 500 – 600 600 2,500 – 2,700 2,700 – 2,900 ($ MILLION) TOTAL LIQUIDS (1) 229 229 320 320 310 310 - 320 320 290 – 310 300 – 320 ( MBBLS /D) NATURAL GAS (1) 1, 1,38 383 1, 1,53 530 1,500 – 1, 1,60 600 1,500 – 1,600 1,550 – 1,650 (MMCF/D) TOTAL PRODUCTION (1) 459 459 576 576 565 565 - 585 585 540 – 580 560 – 600 (MBOE/D) TOTAL COSTS PER BOE Ŧ,(2) 13.44 13. 12. 12.78 <13.00 12.75 – 13.25 12.75 – 13.25 UPSTREAM OPERATING AND T&P, PRODUCTION AND MINERAL TAXES PLUS ADMINISTRATIVE • 2019 c capita ital i l investm tment a t and productio tion o on track • Increased e estim timated G d G&A / A / op. p. cost s t synergies o Sustainable annualized savings of $175 MM (original target: $125 MM) low Ŧ of $877 MM ($0.64/ sh • FY19 p prod oduction g n gui uidance unc unchang nged p pos ost-div ivestm tments ts • 2Q 2Q19 n 19 non-GAAP AP c cash f flo sh ) o Non-GAAP cash flow margin Ŧ of $16.27/BOE o Strong production offsets impact of China exit & Arkoma sale: 2Q run rate of 16 MBOE/d (1) Excludes production from Arkoma and China operations for 1Q19 , 2Q19 and 3Q – 4Q run rate. Consolidated full year guidance is unchanged. (2) Excludes the impact of long -term incentive costs and restructuring costs. BOW office lease costs are included in administrative. Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website.

S U S T S T A I N A B L E B B U S I S I N E S S S S M O D E L 6 Encana De Encan Demons nstrating Fi Financ nancial Ex Excellenc nce $ F Yield Ŧ & RO 1 Top T Tier FC r FCF Y ROCE Ŧ 2 ~1.6% Dividend Y Yield 2Q19 Free C ee Cash Flow Y Yiel eld Ŧ,(1) 3 Dividend +25% Y YTD 4 $1.25B S Share Buyb yback 8% 4% 4% 4% 4% 3% 2% 1% (2%) (2%) (9%) ECA Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 10 2017 & 2018 A 2017 & 2018 Average ge ROCE (1) 15% 13% 12% 12% 11% 10% 8% 8% 4% (2%) (10%) Peer 1 Peer 2 ECA Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 10 (1) FactSet data as of July 22, 2019. FCF Yield represents actual 2Q19 ECA FCF of $127 MM and peer consensus estimates for 2Q19. ROCE is a non-GAAP measure calculated for peers and ECA using GAAP Earnings plus after-tax interest expense divided by average net debt plus average stockholders’ equity. For simplicity, after-tax interest expense assumes a 21% tax rate for all companies. Peers include APA, APC, CLR, COG, CXO, DVN, EOG, MRO, NBL, PXD. Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website.

7 Top North A America can P Produ oducer • Multi ti-basin l leader i in uncon conve vention ional d l devel velop opmen ent Liquids ids P Productio tion Mbbls Mbbls/d d (2) Peer 1 Amongst the largest E&P producers in North America • Peer 2 324 (>70% oil + condensate) ECA • Transition ioned t to a qualit ity, l , liquid ids-foc focused ed portfol folio io Peer 3 Avg O Oil + + conden ensa sate e o ~7.0x oil & condensate production growth since 2013 Peer 4 API o of ~46 Peer 5 o ~$13B in divestitures since 2013 (China & Arkoma in 2019) Peer 6 Peer 7 Peer 8 Trans nsfor ormationa nal Oil il & Cond ondens nsate Growth ( Mbbl Mbbls /d) (1) Equiv ivale lent P t Productio tion M MBOE/d (2) 235 Peer 1 Peer 2 592 ECA Peer 3 Peer 4 Peer 5 Peer 6 35 Peer 7 Peer 8 Peer 9 Peer 10 (1) Reportable oil & condensate production . (2) Peer data is reported 1Q19 net production from public filings. ECA reflects 2Q19 reportable production volumes. Peers in clude APA, APC, CLR, COG, CXO, DVN, EOG, MRO, NBL, PXD. Liquids production peers exclude CLR and CXO as they report 2-stream production.

8 Anad nadarko • Consi sistent w well r resu sults, l lower c r cost sts, s, s strong r return rns o STACK returns competitive with Permian and Montney o D&C well costs reduced to $6.5 MM, $1.4 MM below baseline • Gener eratin ing f free u ee upstrea eam o oper eratin ing c cash f flo low Ŧ while le growin ing volumes • 2Q19 p 19 produc uction o n of 1 163 3 MBOE/d o Anadarko liquids production up 47% since 1Q18 o STACK oil production up 31% over 1Q19 and 63% since 1Q18 o Anadarko oil and condensate averaged 60 Mbbls/d in Q2 • ~200 o oper erated ed S STACK i infi fill w l well ells o Recent Encana cube-style completions showing improved oil results Ŧ Non -GAAP measures defined in advisories. For additional information regarding non-GAAP measures see the Company’s website.

9 STACK CK Deliv liverin ing Con onsis istent Result lts at Lo Lower Cos Costs • 89 STACK Me Meramec w wells lls o on-stre ream Y YTD 48 net STACK wells on-stream in 2Q19 o • Sta tages & & slu lurry v volu lumes pu pumpe ped pe per da day u up p 58% & % & 37%, r 37% respectively, o over 1Q 1Q19 19 • Cont ontinui uing t to o op optimize com ompletion & n & well s spacing ng f for or maxi ximum um D DSU v value • Infill development delivering >50% IRR Ide denti tified Additi d Additional S STACK W Well ll C Cost S t Savings (2,000 / 2,000 Completion) (1) Normalized to 10,000’ lateral length ..

10 STACK CK Cu Cube bes Pos ostin ing Stron ong Result lts • Oil il outperfor ormanc nce d driving ng r retur urns ns 18 high intensity cube-style completions showing strong early o results at 6 – 8 well spacing with similar job size at reduced cost • Additi Additional 2 24 le legacy w wells lls in in focus a area Mbbls track acking typ ype curve ve First ECA Cube Style Completions (6 – 8 well spacing) MERAMEC Pre ECA Cube Dev STACK 2019 TC (24 wells) (18 wells) Infill KINGFISH ISHER Parent MBOE BLAINE NE Pre ECA Cube Dev STACK 2019 TC (24 wells) (18 wells) (1) Infill wells normalized to 10,000’ lateral length.