EX-99.2

EX-99.2 3 ovv-ex99_2.htm EX-99.2 EX-99.2

Exhibit 99.2

Ovintiv Inc.

Selected Financial Information

(unaudited)

For the period ended March 31, 2024

U.S. Dollar / U.S. Protocol

Condensed Consolidated Statement of Earnings (unaudited)


	Three Months Ended
	March 31,
(US$ millions, except per share amounts)	2024			2023

Revenues
Product and service revenues	$	2,387		$	2,592
Gains (losses) on risk management, net		(54	)		(58	)
Sublease revenues		19			17
Total Revenues		2,352			2,551

Operating Expenses
Production, mineral and other taxes		83			84
Transportation and processing		419			455
Operating		243			206
Purchased product		440			701
Depreciation, depletion and amortization		566			364
Accretion of asset retirement obligation		5			5
Administrative		102			58
Total Operating Expenses		1,858			1,873
Operating Income (Loss)		494			678

Other (Income) Expenses
Interest		98			71
Foreign exchange (gain) loss, net		(28	)		(3	)
Other (gains) losses, net		(4	)		(3	)
Total Other (Income) Expenses		66			65
Net Earnings (Loss) Before Income Tax		428			613
Income tax expense (recovery)		90			126
Net Earnings (Loss)	$	338		$	487

Net Earnings (Loss) per Share of Common Stock
Basic	$	1.25		$	1.99
Diluted		1.24			1.97
Weighted Average Shares of Common Stock Outstanding (millions)
Basic		269.7			244.3
Diluted		272.3			247.7

Condensed Consolidated Statement of Comprehensive Income (unaudited)


	Three Months Ended
	March 31,
(US$ millions)	2024			2023

Net Earnings (Loss)	$	338		$	487
Other Comprehensive Income (Loss), Net of Tax
Foreign currency translation adjustment		(76	)		2
Pension and other post-employment benefit plans		(1	)		(2	)
Other Comprehensive Income (Loss)		(77	)		-
Comprehensive Income (Loss)	$	261		$	487


Ovintiv Inc.	1	Selected Financial Information

Condensed Consolidated Balance Sheet (unaudited)


	As at			As at
	March 31,			December 31,
(US$ millions)	2024			2023

Assets
Current Assets
Cash and cash equivalents	$	5		$	3
Accounts receivable and accrued revenues (net of allowances
of $5 million (2023: $5 million))		1,270			1,442
Risk management		146			214
Income tax receivable		31			17
		1,452			1,676
Property, Plant and Equipment, at cost:
Oil and natural gas properties, based on full cost accounting
Proved properties		64,586			64,084
Unproved properties		1,340			1,486
Other		905			907
Property, plant and equipment		66,831			66,477
Less: Accumulated depreciation, depletion and amortization		(52,023	)		(51,837	)
Property, plant and equipment, net		14,808			14,640
Other Assets		991			1,015
Risk Management		-			4
Deferred Income Taxes		-			53
Goodwill		2,583			2,599
	$	19,834		$	19,987

Liabilities and Shareholders’ Equity
Current Liabilities
Accounts payable and accrued liabilities	$	1,920		$	2,209
Current portion of operating lease liabilities		78			87
Income tax payable		10			232
Risk management		30			-
Current portion of long-term debt		745			284
		2,783			2,812
Long-Term Debt		5,453			5,453
Operating Lease Liabilities		818			832
Other Liabilities and Provisions		128			132
Risk Management		8			2
Asset Retirement Obligation		269			276
Deferred Income Taxes		113			110
		9,572			9,617

Shareholders’ Equity
Share capital - authorized 775 million shares of stock
2024 issued and outstanding: 267.6 million shares (2023: 271.7 million shares)		3			3
Paid in surplus		8,331			8,620
Retained earnings (Accumulated deficit)		955			697
Accumulated other comprehensive income		973			1,050
Total Shareholders’ Equity		10,262			10,370
	$	19,834		$	19,987


Ovintiv Inc.	2	Selected Financial Information

Condensed Consolidated Statement of Cash Flows (unaudited)


	Three Months Ended
	March 31,
(US$ millions)	2024			2023

Operating Activities
Net earnings (loss)	$	338		$	487
Depreciation, depletion and amortization		566			364
Accretion of asset retirement obligation		5			5
Deferred income taxes		58			64
Unrealized (gain) loss on risk management		100			(18	)
Unrealized foreign exchange (gain) loss		(23	)		(5	)
Foreign exchange (gain) loss on settlements		(2	)		(1	)
Other		(7	)		(45	)
Net change in other assets and liabilities		(12	)		(5	)
Net change in non-cash working capital		(364	)		222
Cash From (Used in) Operating Activities		659			1,068

Investing Activities
Capital expenditures		(591	)		(610	)
Acquisitions		(190	)		(199	)
Corporate acquisition		12			-
Proceeds from divestitures		2			12
Net change in investments and other		6			(66	)
Cash From (Used in) Investing Activities		(761	)		(863	)

Financing Activities
Net issuance (repayment) of revolving debt		461			187
Purchase of shares of common stock		(250	)		(239	)
Dividends on shares of common stock		(80	)		(61	)
Finance lease payments and other		(29	)		(71	)
Cash From (Used in) Financing Activities		102			(184	)

Foreign Exchange Gain (Loss) on Cash, Cash Equivalents
and Restricted Cash Held in Foreign Currency		2			-

Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash		2			21
Cash, Cash Equivalents and Restricted Cash, Beginning of Year		3			5
Cash, Cash Equivalents and Restricted Cash, End of Period	$	5		$	26

Cash, End of Period	$	3		$	6
Cash Equivalents, End of Period		2			20
Restricted Cash, End of Period		-			-
Cash, Cash Equivalents and Restricted Cash, End of Period	$	5		$	26


Ovintiv Inc.	3	Selected Financial Information

Ovintiv Inc.

Interim Supplemental Information

(unaudited)

For the period ended March 31, 2024

U.S. Dollar / U.S. Protocol

First quarter report

for the period ended March 31, 2024

Supplemental Financial Information (unaudited)

Financial Results


		2024			2023
(US$ millions, unless otherwise specified)		Q1			Year			Q4			Q3			Q2			Q1

Net Earnings (Loss)			338			2,085			856			406			336			487

	Per share - basic (1)		1.25			8.02			3.14			1.48			1.35			1.99
	Per share - diluted (1)		1.24			7.90			3.11			1.47			1.34			1.97

Non-GAAP Adjusted Earnings (2)			389			1,810			647			481			232			450

	Per share - basic (1)		1.44			6.96			2.38			1.76			0.93			1.84
	Per share - diluted (1)		1.43			6.86			2.35			1.74			0.93			1.82

Non-GAAP Cash Flow (3)			1,035			3,899			1,237			1,112			699			851

	Per share - basic (1)		3.84			15.00			4.54			4.06			2.80			3.48
	Per share - diluted (1)		3.80			14.77			4.49			4.02			2.79			3.44

Foreign Exchange Rates (C$ per US$1)
	Average		1.349			1.350			1.362			1.341			1.343			1.353
	Period end		1.355			1.323			1.323			1.352			1.324			1.353

Non-GAAP Adjusted Earnings Summary

Net Earnings (Loss) Before Income Tax			428			2,510			1,067			393			437			613
Before-tax (Addition) Deduction:
	Unrealized gain (loss) on risk management		(100	)		194			326			(292	)		142			18
	Non-operating foreign exchange gain (loss)		25			(2	)		(9	)		17			(15	)		5
Adjusted Earnings (Loss) Before Income Tax			503			2,318			750			668			310			590
	Income tax expense (recovery) (4)		114			508			103			187			78			140

Non-GAAP Adjusted Earnings (2)			389			1,810			647			481			232			450

Non-GAAP Cash Flow Summary

Cash From (Used in) Operating Activities			659			4,167			1,362			906			831			1,068
(Add back) Deduct:
	Net change in other assets and liabilities		(12	)		(62	)		(31	)		(14	)		(12	)		(5	)
	Net change in non-cash working capital		(364	)		330			156			(192	)		144			222

Non-GAAP Cash Flow (3)			1,035			3,899			1,237			1,112			699			851

(1) Net Earnings (Loss), Non-GAAP Adjusted Earnings and Non-GAAP Cash Flow per share are calculated using the weighted average number of shares of common stock outstanding as follows:


		2024		2023
(millions)		Q1		Year		Q4		Q3		Q2		Q1

Weighted Average Shares of Common Stock Outstanding

	Basic		269.7		259.9		272.3		273.7		249.4		244.3

	Diluted		272.3		263.9		275.4		276.3		250.8		247.7

(2) Non-GAAP Adjusted Earnings is a non-GAAP measure defined as net earnings (loss) excluding non-cash items that Management believes reduces the comparability of the Company’s financial performance between periods. These items may include, but are not limited to, unrealized gains/losses on risk management, impairments, non‑operating foreign exchange gains/losses, and gains/losses on divestitures. Income taxes includes adjustments to normalize the effect of income taxes calculated using the estimated annual effective income tax rate. In addition, any valuation allowances are excluded in the calculation of income taxes.

(3) Non-GAAP Cash Flow is a non-GAAP measure defined as cash from (used in) operating activities excluding net change in other assets and liabilities, and net change in non-cash working capital.

(4) Calculated using the applicable U.S. federal and state statutory income tax rate of 21.75 percent and the applicable Canadian federal and provincial statutory income tax rate of 23.7 percent (2023 - 23.0 percent and 23.7 percent, respectively).

Financial Metrics

     
    Q1

    Year

    Debt to Capitalization

    38%

    36%

    Debt to Adjusted Capitalization (1)

    26%

    24%

    Debt to EBITDA (1)

    1.3x

    1.2x

    Debt to Adjusted EBITDA (1)

    1.3x

    1.3x

(1) Debt to Adjusted Capitalization, Debt to EBITDA and Debt to Adjusted EBITDA are non-GAAP measures monitored by Management as indicators of the Company’s overall financial strength. Non-GAAP measures are defined and calculated in the Non-GAAP Definitions and Reconciliations document following this Supplemental Information report.


Ovintiv Inc.	1	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Operating Information (unaudited)

Production Volumes by Product


				2024		2023
(average)		% of Oil & NGLs		Q1		Year		Q4		Q3		Q2		Q1

	Oil (Mbbls/d)		57		170.4		158.9		194.1		170.9		142.4		127.3
	NGLs - Plant Condensate (Mbbls/d)		13		40.5		42.9		46.1		43.3		43.5		38.7
Oil & Plant Condensate (Mbbls/d)			70		210.9		201.8		240.2		214.2		185.9		166.0
	Butane (Mbbls/d)		7		20.6		21.1		21.7		20.4		23.2		19.1
	Propane (Mbbls/d)		12		34.0		33.7		35.2		33.2		34.9		31.3
	Ethane (Mbbls/d)		11		33.8		35.4		34.0		33.1		38.7		35.8
NGLs - Other (Mbbls/d)			30		88.4		90.2		90.9		86.7		96.8		86.2
Oil & NGLs (Mbbls/d)			100		299.3		292.0		331.1		300.9		282.7		252.2

Natural Gas (MMcf/d)					1,648		1,642		1,645		1,625		1,743		1,555

Total (MBOE/d)					573.8		565.6		605.2		571.8		573.0		511.4

Production Volumes by Segment


		2024		2023
(average)		Q1		Year		Q4		Q3		Q2		Q1

Oil (Mbbls/d)
	USA Operations		170.2		158.8		194.0		170.8		142.4		127.2
	Canadian Operations		0.2		0.1		0.1		0.1		-		0.1
			170.4		158.9		194.1		170.9		142.4		127.3

NGLs - Plant Condensate (Mbbls/d)
	USA Operations		10.6		10.9		11.3		11.2		10.5		10.6
	Canadian Operations		29.9		32.0		34.8		32.1		33.0		28.1
			40.5		42.9		46.1		43.3		43.5		38.7

Oil & Plant Condensate (Mbbls/d)
	USA Operations		180.8		169.7		205.3		182.0		152.9		137.8
	Canadian Operations		30.1		32.1		34.9		32.2		33.0		28.2
			210.9		201.8		240.2		214.2		185.9		166.0

NGLs - Other (Mbbls/d)
	USA Operations		74.6		74.6		74.6		71.8		78.1		73.7
	Canadian Operations		13.8		15.6		16.3		14.9		18.7		12.5
			88.4		90.2		90.9		86.7		96.8		86.2

NGLs - Total (Mbbls/d)
	USA Operations		85.2		85.5		85.9		83.0		88.6		84.3
	Canadian Operations		43.7		47.6		51.1		47.0		51.7		40.6
			128.9		133.1		137.0		130.0		140.3		124.9

Oil & NGLs (Mbbls/d)
	USA Operations		255.4		244.3		279.9		253.8		231.0		211.5
	Canadian Operations		43.9		47.7		51.2		47.1		51.7		40.7
			299.3		292.0		331.1		300.9		282.7		252.2

Natural Gas (MMcf/d)
	USA Operations		526		517		524		508		530		507
	Canadian Operations		1,122		1,125		1,121		1,117		1,213		1,048
			1,648		1,642		1,645		1,625		1,743		1,555

Total (MBOE/d)
	USA Operations		343.0		330.4		367.1		338.5		319.2		296.1
	Canadian Operations		230.8		235.2		238.1		233.3		253.8		215.3
			573.8		565.6		605.2		571.8		573.0		511.4


Ovintiv Inc.	2	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Financial & Operating Information (unaudited)

Results of Operations

Revenues and Realized Gains (Losses) on Risk Management


		2024			2023
(US$ millions)		Q1			Year			Q4			Q3			Q2		Q1

USA Operations

Revenues, excluding Realized Gains (Losses) on Risk Management (1)
	Oil		1,177			4,431			1,372			1,267			944		848
	NGLs (2)		187			676			170			174			149		183
	Natural Gas		97			458			114			103			86		155
			1,461			5,565			1,656			1,544			1,179		1,186
Realized Gains (Losses) on Risk Management (3)
	Oil		(8	)		(24	)		(5	)		(19	)		-		-
	NGLs (2)		1			-			-			-			-		-
	Natural Gas		31			33			11			15			5		2
			24			9			6			(4	)		5		2

Canadian Operations

Revenues, excluding Realized Gains (Losses) on Risk Management (1)
	Oil		1			3			1			2			-		-
	NGLs (2)		233			1,023			284			258			245		236
	Natural Gas		234			1,186			267			244			222		453
			468			2,212			552			504			467		689
Realized Gains (Losses) on Risk Management (3)
	Oil		-			-			-			-			-		-
	NGLs (2)		-			1			1			-			-		-
	Natural Gas		22			(54	)		11			13			-		(78	)
			22			(53	)		12			13			-		(78	)

(1) Excludes other revenues with no associated production volumes, but includes intercompany marketing fees transacted between the Company’s operating segments.

(2) Includes plant condensate.

(3) Excludes realized gains or losses from other derivative contracts with no associated production volumes and foreign exchange risk management positions.


Ovintiv Inc.	3	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Financial & Operating Information (unaudited)

Results of Operations (continued)

Per-Unit Results, Excluding the Impact of Realized Gains (Losses) on Risk Management (1)


		2024			2023
(US$/BOE)			Q1		Year		Q4		Q3		Q2		Q1

Total USA Operations Netback
	Price			46.85		46.15		49.03		49.62		40.56		44.52
	Production, mineral and other taxes			2.56		2.71		2.65		2.71		2.49		3.01
	Transportation and processing			4.07		4.54		3.80		3.98		5.10		5.51
	Operating			6.77		6.15		5.85		6.66		5.73		6.39
	Netback			33.45		32.75		36.73		36.27		27.24		29.61

Total Canadian Operations Netback
	Price			22.30		25.76		25.21		23.46		20.26		35.50
	Production, mineral and other taxes			0.17		0.18		0.16		0.24		0.14		0.19
	Transportation and processing			11.96		12.29		11.65		12.36		11.57		13.80
	Operating			1.19		1.04		1.38		1.30		0.10		1.50
	Netback			8.98		12.25		12.02		9.56		8.45		20.01

Total Operations Netback
	Price			36.97		37.67		39.66		38.95		31.56		40.72
	Production, mineral and other taxes			1.60		1.66		1.67		1.70		1.43		1.83
	Transportation and processing			7.25		7.76		6.89		7.40		7.97		9.00
	Operating			4.52		4.03		4.09		4.48		3.23		4.33
	Netback			23.60		24.22		27.01		25.37		18.93		25.56

(1) Netback is a common metric used in the oil and gas industry to measure operating performance on a per-unit basis and is considered a non-GAAP measure. The netbacks disclosed above have been calculated on a BOE basis using upstream product revenues, excluding the impact of realized gains and losses on risk management, less costs associated with delivering the product to market, including production, mineral and other taxes, transportation and processing expense and operating expense. For additional information regarding non-GAAP measures, including Netback reconciliations, see the Non-GAAP Definitions and Reconciliations document following this Supplemental Information report.

Other Per-unit Results


		2024			2023
(US$/BOE)			Q1		Year		Q4		Q3		Q2		Q1

Administrative Expense				1.95		1.91		1.57		1.53		3.23		1.25
Administrative Expense, Excluding Long-Term Incentive,
	Transaction and Legal Costs (1)			1.43		1.35		1.36		1.27		1.28		1.52

(1) Transaction costs refer to costs primarily incurred to facilitate the Permian Acquisition as defined in Note 9 of the Interim Condensed Consolidated Financial Statements included in Part I, Item 1 of Ovintiv’s Quarterly Report on Form 10-Q.


Ovintiv Inc.	4	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Operating Statistics

Per-Unit Prices, Excluding the Impact of Realized Gains (Losses) on Risk Management


		2024		2023
(US$)		Q1		Year		Q4		Q3		Q2		Q1

Oil Price ($/bbl)
	USA Operations		76.17		76.46		76.91		80.69		72.83		74.06
	Canadian Operations		72.34		81.59		75.10		100.64		-		71.44
	Total Operations		76.17		76.46		76.91		80.70		72.83		74.06

NGLs - Plant Condensate Price ($/bbl)
	USA Operations		57.97		58.53		57.24		59.96		55.09		61.84
	Canadian Operations		71.70		74.52		74.65		75.67		70.99		77.22
	Total Operations		68.10		70.46		70.38		71.61		67.14		73.01

Oil & Plant Condensate Price ($/bbl)
	USA Operations		75.10		75.31		75.83		79.42		71.61		73.12
	Canadian Operations		71.71		74.54		74.65		75.75		70.99		77.21
	Total Operations		74.62		75.19		75.66		78.86		71.50		73.81

NGLs - Other Price ($/bbl)
	USA Operations		19.35		16.27		16.21		16.91		13.43		18.73
	Canadian Operations		30.13		26.78		30.94		25.50		18.62		35.17
	Total Operations		21.03		18.09		18.85		18.39		14.43		21.11

NGLs - Total Price ($/bbl)
	USA Operations		24.16		21.66		21.61		22.72		18.39		24.14
	Canadian Operations		58.59		58.89		60.71		59.76		52.05		64.31
	Total Operations		35.82		34.98		36.20		36.11		30.78		37.19

Oil & NGLs Price ($/bbl)
	USA Operations		58.79		57.29		59.94		61.73		51.94		54.16
	Canadian Operations		58.65		58.93		60.75		59.84		52.06		64.32
	Total Operations		58.77		57.55		60.06		61.43		51.96		55.80

Natural Gas Price ($/Mcf)
	USA Operations		2.02		2.43		2.34		2.22		1.79		3.40
	Canadian Operations		2.30		2.89		2.58		2.38		2.02		4.80
	Total Operations		2.21		2.74		2.50		2.33		1.95		4.34

Total Price ($/BOE)
	USA Operations		46.85		46.15		49.03		49.62		40.56		44.52
	Canadian Operations		22.30		25.76		25.21		23.46		20.26		35.50
	Total Operations		36.97		37.67		39.66		38.95		31.56		40.72


Ovintiv Inc.	5	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Operating Statistics (continued)

Per-unit Impact of Realized Gains (Losses) on Risk Management


		2024			2023
(US$)		Q1			Year			Q4			Q3			Q2		Q1

Oil ($/bbl)
	USA Operations		(0.51	)		(0.40	)		(0.27	)		(1.18	)		-		-
	Canadian Operations		-			-			-			-			-		-
	Total Operations		(0.51	)		(0.40	)		(0.27	)		(1.18	)		-		-

NGLs - Plant Condensate ($/bbl)
	USA Operations		-			-			-			-			-		-
	Canadian Operations		-			0.09			0.10			-			-		-
	Total Operations		-			0.05			0.08			-			-		-

Oil & Plant Condensate ($/bbl)
	USA Operations		(0.48	)		(0.38	)		(0.25	)		(1.12	)		-		-
	Canadian Operations		-			-			-			-			-		-
	Total Operations		(0.42	)		(0.31	)		(0.20	)		(0.92	)		-		-

NGLs - Other ($/bbl)
	USA Operations		0.15			-			-			-			-		-
	Canadian Operations		-			-			-			-			-		-
	Total Operations		0.13			-			-			-			-		-

NGLs - Total ($/bbl)
	USA Operations		0.13			-			-			-			-		-
	Canadian Operations		-			-			-			-			-		-
	Total Operations		0.09			-			-			-			-		-

Oil & NGLs ($/bbl)
	USA Operations		(0.30	)		(0.27	)		(0.19	)		(0.80	)		-		-
	Canadian Operations		-			-			-			-			-		-
	Total Operations		(0.26	)		(0.21	)		(0.14	)		(0.66	)		-		-

Natural Gas ($/Mcf)
	USA Operations		0.65			0.17			0.23			0.32			0.10		0.03
	Canadian Operations		0.22			(0.13	)		0.11			0.12			-		(0.82	)
	Total Operations		0.35			(0.03	)		0.15			0.18			0.03		(0.54	)

Total ($/BOE)
	USA Operations		0.77			0.07			0.18			(0.12	)		0.17		0.05
	Canadian Operations		1.03			(0.60	)		0.56			0.60			-		(3.97	)
	Total Operations		0.87			(0.21	)		0.33			0.17			0.10		(1.64	)


Ovintiv Inc.	6	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Operating Statistics (continued)

Per-Unit Results, Including the Impact of Realized Gains (Losses) on Risk Management


		2024		2023
(US$)		Q1		Year		Q4		Q3		Q2		Q1

Oil Price ($/bbl)
	USA Operations		75.66		76.06		76.64		79.51		72.83		74.06
	Canadian Operations		72.34		81.59		75.10		100.64		-		71.44
	Total Operations		75.66		76.06		76.64		79.52		72.83		74.06

NGLs - Plant Condensate Price ($/bbl)
	USA Operations		57.97		58.53		57.24		59.96		55.09		61.84
	Canadian Operations		71.70		74.61		74.75		75.67		70.99		77.22
	Total Operations		68.10		70.51		70.46		71.61		67.14		73.01

Oil & Plant Condensate Price ($/bbl)
	USA Operations		74.62		74.93		75.58		78.30		71.61		73.12
	Canadian Operations		71.71		74.54		74.65		75.75		70.99		77.21
	Total Operations		74.20		74.88		75.46		77.94		71.50		73.81

NGLs - Other Price ($/bbl)
	USA Operations		19.50		16.27		16.21		16.91		13.43		18.73
	Canadian Operations		30.13		26.78		30.94		25.50		18.62		35.17
	Total Operations		21.16		18.09		18.85		18.39		14.43		21.11

NGLs - Total Price ($/bbl)
	USA Operations		24.29		21.66		21.61		22.72		18.39		24.14
	Canadian Operations		58.59		58.89		60.71		59.76		52.05		64.31
	Total Operations		35.91		34.98		36.20		36.11		30.78		37.19

Oil & NGLs Price ($/bbl)
	USA Operations		58.49		57.02		59.75		60.93		51.94		54.16
	Canadian Operations		58.65		58.93		60.75		59.84		52.06		64.32
	Total Operations		58.51		57.34		59.92		60.77		51.96		55.80

Natural Gas Price ($/Mcf)
	USA Operations		2.67		2.60		2.57		2.54		1.89		3.43
	Canadian Operations		2.52		2.76		2.69		2.50		2.02		3.98
	Total Operations		2.56		2.71		2.65		2.51		1.98		3.80

Total Price ($/BOE)
	USA Operations		47.62		46.22		49.21		49.50		40.73		44.57
	Canadian Operations		23.33		25.16		25.77		24.06		20.26		31.53
	Total Operations		37.84		37.46		39.99		39.12		31.66		39.08

Total Netback ($/BOE)
	USA Operations		34.22		32.82		36.91		36.15		27.41		29.66
	Canadian Operations		10.01		11.65		12.58		10.16		8.45		16.04
	Total Operations		24.47		24.01		27.34		25.54		19.03		23.92


Ovintiv Inc.	7	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Results by Play


		2024		2023
(average)		Q1		Year		Q4		Q3		Q2		Q1

Oil Production (Mbbls/d)

USA Operations
	Permian		124.9		99.5		140.2		121.4		75.6		59.6
	Anadarko		24.4		30.6		26.8		30.2		32.4		33.1
	Uinta		20.8		19.1		26.8		18.9		17.8		12.8
	Other (1)		0.1		9.6		0.2		0.3		16.6		21.7
Total USA Operations			170.2		158.8		194.0		170.8		142.4		127.2

Canadian Operations
	Montney		0.2		0.1		0.1		0.1		-		0.1
	Other (1)		-		-		-		-		-		-
Total Canadian Operations			0.2		0.1		0.1		0.1		-		0.1


Total			170.4		158.9		194.1		170.9		142.4		127.3


NGLs - Plant Condensate Production (Mbbls/d)

USA Operations
	Permian		4.7		4.1		4.9		4.6		3.7		3.0
	Anadarko		5.6		5.9		6.0		6.1		5.6		5.8
	Uinta		0.3		0.3		0.4		0.4		0.2		0.2
	Other (1)		-		0.6		-		0.1		1.0		1.6
Total USA Operations			10.6		10.9		11.3		11.2		10.5		10.6

Canadian Operations
	Montney		29.8		32.0		34.8		32.1		33.0		28.1
	Other (1)		0.1		-		-		-		-		-
Total Canadian Operations			29.9		32.0		34.8		32.1		33.0		28.1


Total			40.5		42.9		46.1		43.3		43.5		38.7


Oil & Plant Condensate Production (Mbbls/d)

USA Operations
	Permian		129.6		103.6		145.1		126.0		79.3		62.6
	Anadarko		30.0		36.5		32.8		36.3		38.0		38.9
	Uinta		21.1		19.4		27.2		19.3		18.0		13.0
	Other (1)		0.1		10.2		0.2		0.4		17.6		23.3
Total USA Operations			180.8		169.7		205.3		182.0		152.9		137.8

Canadian Operations
	Montney		30.0		32.1		34.9		32.2		33.0		28.2
	Other (1)		0.1		-		-		-		-		-
Total Canadian Operations			30.1		32.1		34.9		32.2		33.0		28.2


Total			210.9		201.8		240.2		214.2		185.9		166.0

(1) Other Operations includes production volumes from plays that are not part of the Company’s current focus. Production volumes associated with Bakken were included in USA Other Operations until the asset was divested on June 12, 2023.


Ovintiv Inc.	8	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Results by Play (continued)


		2024		2023
(average)		Q1		Year		Q4		Q3		Q2		Q1

NGLs - Other Production (Mbbls/d)

USA Operations
	Permian		40.3		33.0		39.0		35.1		31.0		26.8
	Anadarko		32.9		36.3		33.7		35.2		37.8		38.5
	Uinta		1.3		1.2		1.8		1.2		1.1		0.7
	Other (1)		0.1		4.1		0.1		0.3		8.2		7.7
Total USA Operations			74.6		74.6		74.6		71.8		78.1		73.7

Canadian Operations
	Montney		13.8		15.6		16.3		14.9		18.7		12.5
	Other (1)		-		-		-		-		-		-
Total Canadian Operations			13.8		15.6		16.3		14.9		18.7		12.5


Total			88.4		90.2		90.9		86.7		96.8		86.2


NGLs - Total Production (Mbbls/d)

USA Operations
	Permian		45.0		37.1		43.9		39.7		34.7		29.8
	Anadarko		38.5		42.2		39.7		41.3		43.4		44.3
	Uinta		1.6		1.5		2.2		1.6		1.3		0.9
	Other (1)		0.1		4.7		0.1		0.4		9.2		9.3
Total USA Operations			85.2		85.5		85.9		83.0		88.6		84.3

Canadian Operations
	Montney		43.6		47.6		51.1		47.0		51.7		40.6
	Other (1)		0.1		-		-		-		-		-
Total Canadian Operations			43.7		47.6		51.1		47.0		51.7		40.6


Total			128.9		133.1		137.0		130.0		140.3		124.9


Oil & NGLs Production (Mbbls/d)

USA Operations
	Permian		169.9		136.6		184.1		161.1		110.3		89.4
	Anadarko		62.9		72.8		66.5		71.5		75.8		77.4
	Uinta		22.4		20.6		29.0		20.5		19.1		13.7
	Other (1)		0.2		14.3		0.3		0.7		25.8		31.0
Total USA Operations			255.4		244.3		279.9		253.8		231.0		211.5

Canadian Operations
	Montney		43.8		47.7		51.2		47.1		51.7		40.7
	Other (1)		0.1		-		-		-		-		-
Total Canadian Operations			43.9		47.7		51.2		47.1		51.7		40.7


Total			299.3		292.0		331.1		300.9		282.7		252.2


Ovintiv Inc.	9	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Results by Play (continued)


		2024		2023
(average)		Q1		Year		Q4		Q3		Q2		Q1

Natural Gas Production (MMcf/d)

USA Operations
	Permian		220		185		213		195		171		158
	Anadarko		267		283		277		285		289		281
	Uinta		36		22		30		24		20		15
	Other (1)		3		27		4		4		50		53
Total USA Operations			526		517		524		508		530		507

Canadian Operations
	Montney		1,093		1,095		1,094		1,092		1,177		1,017
	Other (1)		29		30		27		25		36		31
Total Canadian Operations			1,122		1,125		1,121		1,117		1,213		1,048


Total			1,648		1,642		1,645		1,625		1,743		1,555


Total Production (MBOE/d)

USA Operations
	Permian		206.3		167.3		219.5		193.9		138.9		115.8
	Anadarko		107.5		119.9		112.8		119.0		124.0		124.2
	Uinta		28.4		24.3		33.9		24.4		22.4		16.3
	Other (1)		0.8		18.9		0.9		1.2		33.9		39.8
Total USA Operations			343.0		330.4		367.1		338.5		319.2		296.1

Canadian Operations
	Montney		225.8		230.2		233.6		229.1		247.8		210.1
	Other (1)		5.0		5.0		4.5		4.2		6.0		5.2
Total Canadian Operations			230.8		235.2		238.1		233.3		253.8		215.3


Total			573.8		565.6		605.2		571.8		573.0		511.4

(1) Other Operations includes total production volumes from plays that are not part of the Company’s current focus. Production volumes associated with Bakken were included in USA Other Operations until the asset was divested on June 12, 2023. Canadian Other Operations primarily includes natural gas volumes in Horn River.


Ovintiv Inc.	10	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Results by Play (continued)


		2024		2023
(US$ millions)		Q1		Year			Q4			Q3		Q2			Q1

Capital Expenditures, Excluding Capitalized Internal Costs

USA Operations
	Permian		278		1,360			335			524		295			206
	Anadarko		6		180			24			3		55			98
	Uinta		136		396			123			136		76			61
	Other (1)		-		112			-			3		43			66
Total USA Operations			420		2,048			482			666		469			431

Canadian Operations
	Montney		126		544			127			130		152			135
	Other (1)		-		(2	)		-			-		-			(2	)
Total Canadian Operations			126		542			127			130		152			133

Total Capital Expenditures, Excluding Capitalized Internal Costs			546		2,590			609			796		621			564

Capitalized Directly Attributable Internal Costs

USA Operations
	Permian		26		83			29			16		19			19
	Anadarko		3		21			5			5		4			7
	Uinta		8		31			9			8		7			7
	Other (1)		-		6			-			-		3			3
Total USA Operations			37		141			43			29		33			36

Canadian Operations
	Montney		7		6			6			6		(15	)		9
	Other (1)		-		1			1			-		-			-
Total Canadian Operations			7		7			7			6		(15	)		9

Total Capitalized Directly Attributable Internal Costs			44		148			50			35		18			45

Total Capital Expenditures

USA Operations
	Permian		304		1,443			364			540		314			225
	Anadarko		9		201			29			8		59			105
	Uinta		144		427			132			144		83			68
	Other (1)		-		118			-			3		46			69
Total USA Operations			457		2,189			525			695		502			467

Canadian Operations
	Montney		133		550			133			136		137			144
	Other (1)		-		(1	)		1			-		-			(2	)
Total Canadian Operations			133		549			134			136		137			142

Corporate & Other			1		6			1			3		1			1
Total Capital Expenditures			591		2,744			660			834		640			610
Net Acquisitions & (Divestitures)			188		(495	)		(27	)		47		(702	)		187
Net Capital Investment			779		2,249			633			881		(62	)		797

(1) Other Operations includes capital expenditures in plays that are not part of the Company’s current focus. Capital expenditures associated with Bakken were included in USA Other Operations until the asset was divested on June 12, 2023.


Ovintiv Inc.	11	Supplemental Information (prepared in US$)

First quarter report

for the period ended March 31, 2024

Supplemental Oil and Gas Operating Statistics (unaudited)

Results by Play (continued)


		2024		2023
		Q1		Year		Q4		Q3		Q2		Q1

Drilling Activity (net wells drilled)

USA Operations
	Permian		32		113		25		45		26		17
	Anadarko		-		11		-		2		2		7
	Uinta		15		33		12		10		8		3
	Other (1)		-		11		-		-		6		5
Total USA Operations			47		168		37		57		42		32

Canadian Operations
	Montney		21		96		28		19		23		26
Total Canadian Operations			21		96		28		19		23		26


Total			68		264		65		76		65		58

Completions Activity (net wells on production)

USA Operations
	Permian		21		184		60		83		27		14
	Anadarko		-		25		4		1		7		13
	Uinta		9		21		8		10		3		-
	Other (1)		-		16		-		-		8		8
Total USA Operations			30		246		72		94		45		35

Canadian Operations
	Montney		11		77		15		22		29		11
Total Canadian Operations			11		77		15		22		29		11


Total			41		323		87		116		74		46

(1) Other Operations includes net wells drilled and net wells on production in plays that are not part of the Company’s current focus. Net wells drilled and net wells on production associated with Bakken were included in USA Other Operations until the asset was divested on June 12, 2023.


Ovintiv Inc.	12	Supplemental Information (prepared in US$)

Ovintiv Inc.

Non-GAAP Definitions and Reconciliations

(unaudited)

For the period ended March 31, 2024

U.S. Dollar / U.S. Protocol

For the period ended March 31, 2024

(US$ millions, except per share amounts or as indicated)

Non-GAAP Cash Flow, Non-GAAP Cash Flow Per Share (CFPS) and Non-GAAP Free Cash Flow - Non-GAAP Cash Flow is defined as cash from (used in) operating activities excluding net change in other assets and liabilities, and net change in non-cash working capital. Non-GAAP CFPS is Non-GAAP Cash Flow divided by the weighted average number of shares of common stock outstanding. Non-GAAP Free Cash Flow is defined as Non-GAAP Cash Flow in excess of capital expenditures, excluding net acquisitions and divestitures. Management believes these measures are useful to the Company and its investors as a measure of operating and financial performance across periods and against other companies in the industry, and are an indication of the Company’s ability to generate cash to finance capital programs, to service debt and to meet other financial obligations. These measures are used, along with other measures, in the calculation of certain performance targets for the Company’s management and employees.


Non-GAAP Cash Flow			YTD 2024

Cash from (used in) Operating Activities		$		659
Deduct (add back):
	Net change in other assets and liabilities			(12	)
	Net change in non-cash working capital			(364	)
Non-GAAP Cash Flow		$		1,035

Per Share - Basic		$		3.84
Per Share - Diluted				3.80

Non-GAAP Free Cash Flow

Non-GAAP Cash Flow		$		1,035
Deduct:
	Capital expenditures			591
Non-GAAP Free Cash Flow		$		444

Non-GAAP Adjusted Earnings - is defined as Net Earnings (Loss) excluding non-cash items that management believes reduces the comparability of the Company’s financial performance between periods. These items may include, but are not limited to, unrealized gains/losses on risk management, impairments, non-operating foreign exchange gains/losses, and gains/losses on divestitures. Income taxes includes adjustments to normalize the effect of income taxes calculated using the estimated annual effective income tax rate. In addition, any valuation allowances are excluded in the calculation of income taxes.


Non-GAAP Adjusted Earnings			YTD 2024

Net Earnings (Loss) Before Income Tax		$		428
Before-tax (Addition) Deduction:
	Unrealized gain (loss) on risk management			(100	)
	Non-operating foreign exchange gain (loss)			25
Adjusted Earnings (Loss) Before Income Tax				503
	Income tax expense (recovery)			114
Non-GAAP Adjusted Earnings		$		389

Per Share - Basic		$		1.44
Per Share - Diluted				1.43


Ovintiv Inc.	1	Non-GAAP Definitions and Reconciliations

Debt to Capitalization - Capitalization includes debt and total shareholders’ equity. Debt to Capitalization is monitored by management as an indicator of the Company’s overall financial strength.


Debt to Capitalization		YTD 2024

Long-Term Debt, Including Current Portion	$		6,198
Total Shareholders’ Equity			10,262
Capitalization	$		16,460

Debt to Capitalization		38%

Debt to Adjusted Capitalization - Debt to Adjusted Capitalization is a non-GAAP measure and is a proxy for Ovintiv’s financial covenant under the Company’s credit facilities which require Debt to Adjusted Capitalization to be less than 60 percent. Adjusted Capitalization includes debt, total shareholders’ equity and an equity adjustment for cumulative historical ceiling test impairments recorded as at December 31, 2011 in conjunction with the Company’s January 1, 2012 adoption of U.S. GAAP.


Debt to Adjusted Capitalization		YTD 2024

Long-Term Debt, Including Current Portion	$		6,198
Total Shareholders’ Equity			10,262
Equity Adjustment for Impairments at December 31, 2011			7,746
Adjusted Capitalization	$		24,206

Debt to Adjusted Capitalization		26%

EBITDA, Debt to EBITDA, Adjusted EBITDA and Debt to Adjusted EBITDA (Leverage Ratio) - EBITDA is defined as trailing 12-month net earnings (loss) before income taxes, DD&A, and interest. Adjusted EBITDA is defined as EBITDA adjusted for impairments, accretion of asset retirement obligation, unrealized gains/losses on risk management, foreign exchange gains/losses, gains/losses on divestitures and other gains/losses. Debt to EBITDA and Debt to Adjusted EBITDA are non-GAAP measures monitored by management as an indicator of the Company’s overall financial strength.


			Q2 2023			Q3 2023				Q4 2023			Q1 2024			Trailing 12- Months

Long-Term Debt, Including Current Portion															$		6,198

Net Earnings (Loss)		$		336	$		406		$		856	$		338	$		1,936
Add back (deduct):
	Depreciation, depletion and amortization			419			486				556			566			2,027
	Interest			80			98				106			98			382
	Income tax expense (recovery)			101			(13	)			211			90			389
EBITDA		$		936	$		977		$		1,729	$		1,092	$		4,734

Debt to EBITDA (times)																	1.3


			Q2 2023				Q3 2023				Q4 2023				Q1 2024				Trailing 12- Months

Long-Term Debt, Including Current Portion																		$		6,198

Net Earnings (Loss)		$		336		$		406		$		856		$		338		$		1,936
Add back (deduct):
	Depreciation, depletion and amortization			419				486				556				566				2,027
	Accretion of asset retirement obligation			4				5				5				5				19
	Interest			80				98				106				98				382
	Unrealized (gains) losses on risk management			(142	)			292				(326	)			100				(76	)
	Foreign exchange (gain) loss, net			25				(22	)			19				(28	)			(6	)
	Other (gains) losses, net			(11	)			(2	)			(4	)			(4	)			(21	)
	Income tax expense (recovery)			101				(13	)			211				90				389
Adjusted EBITDA		$		812		$		1,250		$		1,423		$		1,165		$		4,650

Debt to Adjusted EBITDA (times)																				1.3


Ovintiv Inc.	2	Non-GAAP Definitions and Reconciliations

Operating Margin/Operating Netback - Product revenues less costs associated with delivering the product to market, including production, mineral and other taxes, transportation and processing and operating expenses. When presented on a per BOE basis, Operating Netback is defined as indicated divided by average barrels of oil equivalent sales volumes. Operating Margin/Operating Netback is used by management as an internal measure of the profitability of a play.

Upstream Operating Cash Flow, excluding Risk Management and Upstream Operating Free Cash Flow - Upstream Operating Cash Flow, excluding Risk Management is a measure that adjusts the USA and Canadian Operations revenues for production, mineral and other taxes, transportation and processing expense, operating expense and the impacts of realized risk management activities. It is calculated as total upstream operating income excluding upstream depreciation, depletion and amortization, and the impact of risk management activities. Upstream Operating Free Cash Flow is defined as Upstream Operating Cash Flow, excluding Risk Management, in excess of upstream capital investment, excluding net acquisitions and divestitures. Management monitors these measures as it reflects operating performance and measures the amount of cash generated from the Company’s upstream operations.

Free Cash Flow Yield - Annualized Non-GAAP Free Cash Flow divided by the Company’s market capitalization.

Cash Return Yield - The sum of Ovintiv’s base dividend and expected cash returned to shareholders under the Company’s capital allocation framework, divided by the Company’s market capitalization.


Ovintiv Inc.	3	Non-GAAP Definitions and Reconciliations

Netback Calculation

Netback is a common metric used in the oil and gas industry to measure operating performance on a per-unit basis and is considered a non-GAAP measure. The netbacks disclosed below have been calculated on a BOE basis using upstream product revenues, excluding the impact of realized gains and losses on risk management, less costs associated with delivering the product to market, including production, mineral and other taxes, transportation and processing expense and operating expense.


Selected Financial Data (1)

			2024		2023
(US$ millions)			Q1		Year		Q4		Q3		Q2		Q1
USA Operations
	Upstream Product Revenue (2,3)			1,461		5,565		1,656		1,544		1,179		1,186
	Production, mineral and other taxes			80		327		90		84		73		80
	Transportation and processing			127		547		128		124		148		147
	Operating (4)			211		743		198		208		167		170
				1,043		3,948		1,240		1,128		791		789
Canadian Operations
	Upstream Product Revenue (2,3)			468		2,212		552		504		467		689
	Production, mineral and other taxes			3		15		3		5		3		4
	Transportation and processing			251		1,056		256		265		268		267
	Operating (4)			25		88		29		28		2		29
				189		1,053		264		206		194		389
Total Operations
	Upstream Product Revenue (2,3)			1,929		7,777		2,208		2,048		1,646		1,875
	Production, mineral and other taxes			83		342		93		89		76		84
	Transportation and processing			378		1,603		384		389		416		414
	Operating (4)			236		831		227		236		169		199
				1,232		5,001		1,504		1,334		985		1,178

(1)		Segmented financial information per the notes to Ovintiv's financial statements.
(2)		Excludes the impact of realized gains and losses on risk management.
(3)		Excludes service revenues, certain other revenues and royalty adjustments with no associated production volumes.
(4)		Excludes other operating expenses with no associated production volumes.

Sales Volumes (1)

			2024		2023
(BOE)			Q1		Year		Q4		Q3		Q2		Q1
USA Operations				31,165,771		120,609,505		33,771,820		31,141,172		29,044,015		26,652,510
Canadian Operations				20,999,433		85,848,365		21,907,316		21,465,900		23,096,801		19,378,260
Total				52,165,204		206,457,870		55,679,136		52,607,072		52,140,816		46,030,770

(1)		Numbers may not add due to the calculation of volumes, which is based on sales volumes per day on a BOE basis times the number of days in the period.

Calculated Operating Netback, excluding the Impact of Realized Gains (Losses) on Risk Management (1)

			2024		2023
(US$/BOE)			Q1		Year		Q4		Q3		Q2		Q1
Total USA Operations
	Price			46.88		46.14		49.03		49.58		40.59		44.50
	Production, mineral and other taxes			2.57		2.71		2.66		2.70		2.51		3.00
	Transportation and processing			4.07		4.54		3.79		3.98		5.10		5.52
	Operating			6.77		6.16		5.86		6.68		5.75		6.38
	Netback			33.47		32.73		36.72		36.22		27.23		29.60
Total Canadian Operations
	Price			22.29		25.77		25.20		23.48		20.22		35.56
	Production, mineral and other taxes			0.14		0.17		0.14		0.23		0.13		0.21
	Transportation and processing			11.95		12.30		11.69		12.35		11.60		13.78
	Operating			1.19		1.03		1.32		1.30		0.09		1.50
	Netback			9.00		12.27		12.05		9.60		8.40		20.07
Total Operations
	Price			36.98		37.67		39.66		38.93		31.57		40.73
	Production, mineral and other taxes			1.59		1.66		1.67		1.69		1.46		1.82
	Transportation and processing			7.25		7.76		6.90		7.39		7.98		8.99
	Operating			4.52		4.03		4.08		4.49		3.24		4.32
Netback				23.62		24.22		27.01		25.36		18.89		25.59

(1)		May not add due to rounding. Ovintiv calculates reported netbacks using whole dollars and sales volumes. Accordingly, the calculations above may differ from the reported netbacks due to the effects of rounding both dollars and volumes.


Ovintiv Inc.	4	Non-GAAP Definitions and Reconciliations