1700 Broadway, Suite 2300, Denver, CO 80290-2300

Phone: 303.837.1661 | FAX: 303.861.4023

Company Contact: Eric K. Hagen

October 25, 2017

Title: Vice President, Investor Relations

For immediate release

Phone: 303-837-1661

Email: Eric.Hagen@whiting.com

·

Q3 2017 Average Production of 114,350 BOE/d; Adjusted for FBIR Asset Sale and Third-Party Outage at High End of Guidance

·

Redtail Production Increased 78% Quarter over Quarter

·

Q3 2017 Oil Differentials below Low End of Guidance

·

New McKenzie County Koala Wells Tracking 1.5 MMBOE Type Curve

·

New Williams County Nelson Wells Tracking 1.5 MMBOE Type Curve

·

Fourth Quarter Production Forecast to Grow 10% Sequentially to 126,000 BOE/d







Three Months Ended



September 30,



2017

2016

Production (MBOE/d) (1)

Net cash provided by operating activities-MM

$

$

Discretionary cash flow-MM (2)

$

$

Realized price ($/BOE)

$

$

Total operating revenues-MM

$

$

Net loss attributable to common shareholders-MM (3)(4)

$

$

Per basic share

$

$

Per diluted share

$

$



Adjusted net loss attributable to common shareholders-MM (5)

$

$

Per basic share

$

$

Per diluted share

$

$



(1)

Third quarter 2016 includes 5,060 BOE/d from properties that have since been divested.

(2)

A reconciliation of net cash provided by operating activities to discretionary cash flow is included later in this news release.

(3)

Net loss attributable to common shareholders for the three months ended September 30, 2017 includes $399 million of pre-tax loss on sale of properties, which primarily relates to the sale of our FBIR assets.  Net loss attributable to common shareholders for the three months ended September 30, 2016 includes $190 million of pre-tax loss on sale of properties, which primarily relates to the sale of our North Ward Estes properties.

(4)

Net loss attributable to common shareholders includes $35 million and $11 million of pre-tax, non-cash derivative losses for the three months ended September 30, 2017 and 2016, respectively.

(5)

A reconciliation of net loss attributable to common shareholders to adjusted net loss attributable to common shareholders is included later in this news release.







Nine Months Ended



September 30,



2017

2016

Production (MBOE/d) (1)

Net cash provided by operating activities-MM

$

$

Discretionary cash flow-MM (2)

$

$

Realized price ($/BOE)

$

$

Total operating revenues-MM

$

$

Net loss attributable to common shareholders-MM (3)(4)

$

$

Per basic share

$

$

Per diluted share

$

$



Adjusted net loss attributable to common shareholders-MM (5)

$

$

Per basic share

$

$

Per diluted share

$

$



(1)

The nine months ended September 30, 2016 includes 7,725 BOE/d from properties that have since been divested.

(2)

A reconciliation of net cash provided by operating activities to discretionary cash flow is included later in this news release.

(3)

Net loss attributable to common shareholders for the nine months ended September 30, 2017 includes $401 million of pre-tax loss on sale of properties, which primarily relates to the sale of our FBIR assets.  Net loss attributable to common shareholders for the nine months ended September 30, 2016 includes $194 million of pre-tax loss on sale of properties, which primarily relates to the sale of our North Ward Estes properties.

(4)

Net loss attributable to common shareholders includes $58 million and $102 million of pre-tax, non-cash derivative losses for the nine months ended September 30, 2017 and 2016, respectively.

(5)

A reconciliation of net loss attributable to common shareholders to adjusted net loss attributable to common shareholders is included later in this news release.







Three Months Ended



September 30,



2017

2016

Change

Production

Oil (MMBbl)

(9%)

NGLs (MMBbl)

9%

Natural gas (Bcf)

3%

Total equivalent (MMBOE) (1)

(5%)

Average sales price

Oil (per Bbl):

Price received

$

$

12%

Effect of crude oil hedging (2)

Realized price (3)

$

$

(.5%)

Weighted average NYMEX price (per Bbl) (4)

$

$

7%

NGLs (per Bbl):

Realized price

$

$

39%

Natural gas (per Mcf):

Realized price

$

$

(26%)

Weighted average NYMEX price (per MMBtu) (4)

$

$

(1%)

--]

(1)

Third quarter 2016 includes 5,060 BOE/d from properties that have since been divested.

(2)

Whiting received $5 million and $41 million in pre-tax cash settlements on its crude oil hedges during the third quarter of 2017 and 2016, respectively.  A summary of Whiting’s outstanding hedges is included later in this news release.

(3)

Whiting’s realized price was reduced by $2.46 per BOE and $1.59 per BOE in the third quarter of 2017 and 2016, respectively, due to the Redtail fixed fee differential deficiency payment.  This contract ends in April 2020.

(4)

Average NYMEX prices weighted for monthly production volumes.







Three Months Ended

Nine Months Ended



September 30,

September 30,



2017

2016

2017

2016



(per BOE, except production)

Production (MMBOE)



Sales price, net of hedging

$

$

$

$

Lease operating expense

Production tax

Cash general & administrative

Exploration

Cash interest expense

Cash income tax expense (benefit)

 -



$

$

$

$





Gross/Net Wells Completed



Producing

Non-Producing

Total New Wells

% Success Rate

CAPEX (in MM)

Q3 17

91 / 74.6

- / -

91 / 74.6

100% / 100%

$  321.2 (1)

9M 17

161 /  100.4

- / -

161 / 100.4

100% / 100%

$  741.7 (2)

(1)

Includes  $10 million for non-operated drilling and completion, $4 million for land and $3 million for facilities. 

(2)

Includes $32 million for non-operated drilling and completion, $16 million for land and $6 million for facilities.







Guidance



Fourth Quarter

Full Year



2017

2017

Production (MMBOE) 

11.3     -     11.9

42.6     -     43.2

Lease operating expense per BOE 

$  8.10 - $  8.70

$  8.25 - $  8.75

General and administrative expense per BOE 

$  2.60 - $  3.00

$  2.80 - $  3.00

Interest expense per BOE 

$  3.80 - $  4.10

$  4.30 - $  4.60

Depreciation, depletion and amortization per BOE 

$20.00 - $21.00

$21.00 - $21.50

Production taxes (% of sales revenue) 

8.5%    -    8.9%

8.4%    -    8.8%

Oil price differential to NYMEX per Bbl (1) 

($6.50) - ($7.50)

($7.00) - ($8.00)

Gas price differential to NYMEX per Mcf

($1.20) - ($1.60)

($1.10) - ($1.40)



(1)

Does not include the effects of NGLs.







Weighted Average

As a Percentage of

Derivative

Hedge

Contracted Crude

NYMEX Price

September 2017

Instrument

Period

(Bbls per Month)

(per Bbl)

Oil Production

Three-way collars (1)

2017



Q4

1,250,000

$35.00 - $45.20 - $58.95

51.9%





2018



Q1

1,250,000

$36.60 - $46.60 - $56.94

51.9%



Q2

1,250,000

$36.60 - $46.60 - $56.94

51.9%



Q3

1,250,000

$36.60 - $46.60 - $56.94

51.9%



Q4

1,250,000

$36.60 - $46.60 - $56.94

51.9%



Collars

2017



Q4

250,000

$53.00 - $70.44

10.4%



(1)

A three-way collar is a combination of options: a sold call, a purchased put and a sold put.  The sold call establishes a maximum price (ceiling) we will receive for the volumes under contract. The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.







Three Months Ended

Nine Months Ended



September 30,

September 30,



2017

2016

2017

2016

Selected operating statistics:

Production

Oil, MBbl

NGLs, MBbl

Natural gas, MMcf

Oil equivalents, MBOE(1)

Average prices

Oil per Bbl (excludes hedging)

$

$

$

$

NGLs per Bbl

$

$

$

$

Natural gas per Mcf

$

$

$

$

Per BOE data

Sales price (including hedging)

$

$

$

$

Lease operating

$

$

$

$

Production taxes

$

$

$

$

Depreciation, depletion and amortization

$

$

$

$

General and administrative

$

$

$

$

Selected financial data:

    (In thousands, except per share data)

Total operating revenues

$

$

$

$

Total operating expenses

$

$

$

$

Total other expense, net

$

$

$

$

Net loss attributable to common shareholders

$

$

$

$

Loss per common share, basic

$

$

$

$

Loss per common share, diluted

$

$

$

$

Weighted average shares outstanding, basic

Weighted average shares outstanding, diluted

Net cash provided by operating activities

$

$

$

$

Net cash provided by (used in) investing activities

$

$

$

$

Net cash used in financing activities

$

$

$

$



(1)

The three and nine months ended September 30, 2016 include 5,060 BOE/d and 7,725 BOE/d, respectively, from properties that have since been divested.







September 30,

December 31,



2017

2016

ASSETS

Current assets:

Cash and cash equivalents

$

$

Restricted cash

 -

Accounts receivable trade, net

Prepaid expenses and other

Assets held for sale(1)

 -

Total current assets

Property and equipment:

Oil and gas properties, successful efforts method

Other property and equipment

Total property and equipment

Less accumulated depreciation, depletion and amortization

Total property and equipment, net

Other long-term assets

TOTAL ASSETS

$

$







September 30,

December 31,



2017

2016

LIABILITIES AND EQUITY

Current liabilities:

Accounts payable trade

$

$

Revenues and royalties payable

Accrued capital expenditures

Accrued interest

Accrued lease operating expenses

Accrued liabilities and other

Taxes payable

Derivative liabilities

Accrued employee compensation and benefits

Liabilities related to assets held for sale(1)

 -

Total current liabilities

Long-term debt

Deferred income taxes

Asset retirement obligations

Other long-term liabilities

Total liabilities

Commitments and contingencies

Equity:

Common stock, $0.001 par value, 600,000,000 shares authorized; 368,020,048 issued and 362,793,720 outstanding as of September 30, 2017 and 367,174,542 issued and 362,013,928 outstanding as of December 31, 2016

Additional paid-in capital

Accumulated deficit

Total Whiting shareholders' equity

Noncontrolling interest

 -

Total equity

TOTAL LIABILITIES AND EQUITY

$

$

(1)

As of December 31, 2016, “Assets held for sale” is comprised of Whiting’s North Dakota midstream assets.  This transaction closed on January 1, 2017.







Three Months Ended

Nine Months Ended



September 30,

September 30,



2017

2016

2017

2016

OPERATING REVENUES

Oil, NGL and natural gas sales

$

$

$

$

OPERATING EXPENSES

Lease operating expenses

Production taxes

Depreciation, depletion and amortization

Exploration and impairment

General and administrative

Derivative (gain) loss, net

Loss on sale of properties

Amortization of deferred gain on sale

Total operating expenses

LOSS FROM OPERATIONS

OTHER INCOME (EXPENSE)

Interest expense

Gain (loss) on extinguishment of debt

 -

Interest income and other

Total other expense

LOSS BEFORE INCOME TAXES

INCOME TAX EXPENSE (BENEFIT)

Current

Deferred

Total income tax expense (benefit)

NET LOSS

Net loss attributable to noncontrolling interests

 -

NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS

$

$

$

$

LOSS PER COMMON SHARE

Basic

$

$

$

$

Diluted

$

$

$

$

WEIGHTED AVERAGE SHARES OUTSTANDING

Basic

Diluted







Three Months Ended

Nine Months Ended



September 30,

September 30,



2017

2016

2017

2016

Net loss attributable to common shareholders

$

$

$

$

Adjustments:

Amortization of deferred gain on sale

Loss on sale of properties

Impairment expense

Penalties for early termination of drilling rig contracts

 -

 -

(Gain) loss on extinguishment of debt

 -

Total measure of derivative (gain) loss reported under U.S. GAAP

Total net cash settlements received on commodity derivatives during the period

Tax impact of adjustments above

Tax impact of Section 382 limitation on net operating losses and tax credits

Adjusted net loss attributable to common shareholders(1) 

$

$

$

$



Adjusted net loss attributable to common shareholders per share, basic

$

$

$

$

Adjusted net loss attributable to common shareholders per share, diluted

$

$

$

$



(1)

Adjusted Net Loss Attributable to Common Shareholders is a non-GAAP financial measure.  Management believes it provides useful information to investors for analysis of Whiting’s fundamental business on a recurring basis.  In addition, management believes that Adjusted Net Loss Attributable to Common Shareholders is widely used by professional research analysts and others in valuation, comparison and investment recommendations of companies in the oil and gas exploration and production industry, and many investors use the published research of industry research analysts in making investment decisions.  Adjusted Net Loss Attributable for Common Shareholders should not be considered in isolation or as a substitute for net income, income from operations, net cash provided by operating activities or other income, cash flow or liquidity measures under U.S. GAAP and may not be comparable to other similarly titled measures of other companies.







Three Months Ended

Nine Months Ended



September 30,

September 30,



2017

2016

2017

2016

Net cash provided by operating activities

$

$

$

$

Exploration

Exploratory dry hole costs

 -

 -

Changes in working capital

Discretionary cash flow (1)

$

$

$

$



(1)

Discretionary cash flow is a non-GAAP measure.  Discretionary cash flow is presented because management believes it provides useful information to investors for analysis of the Company’s ability to internally fund acquisitions, exploration and development.  Discretionary cash flow should not be considered in isolation or as a substitute for net income, income from operations, net cash provided by operating activities or other income, cash flow or liquidity measures under U.S. GAAP and may not be comparable to other similarly titled measures of other companies.