Mr. Ian Dundas reports

ENERPLUS ANNOUNCES THIRD QUARTER 2023 RESULTS; INCREASES 2023 PRODUCTION GUIDANCE

Enerplus Corp. has released its financial and operating results for the third quarter of 2023 and has increased its production guidance. The company reported third quarter 2023 cash flow from operating activities and adjusted funds flow of $212.2-million and $263.7-million, respectively, compared with $409.9-million and $355.6-million, respectively, in the third quarter of 2022. Cash flow from operating activities and adjusted funds flow decreased from the same period in 2022 primarily due to lower realized commodity prices and production.

All amounts in this news release are presented in U.S. dollars unless otherwise specified. All financial information contained within this news release has been prepared in accordance with U.S. GAAP (generally accepted accounting principles). Production information, unless otherwise stated, is presented on a net basis (after deduction of royalty obligations). Readers are also referred to non-GAAP and other financial measures at the end of this news release for information regarding the presentation of the financial and operational information in this news release, as well as the use of certain financial measures that do not have standard meaning under U.S. GAAP and notice regarding information contained in this news release, non-GAAP measures in Enerplus's third quarter 2023 MD&A (management's discussion and analysis) for supplementary financial measures, which information is incorporated by reference to this news release. A copy of Enerplus's 2023 interim and 2022 annual financial statements and associated MD&A are or will be available on the company's website, under the company's profile on SEDAR+ and on EDGAR.

Highlights:

• Third quarter total production was 103,192 barrels of oil equivalent (boe) per day (up 8 per cent from the prior quarter), including liquids production of 66,625 barrels per day (up 14 per cent from the prior quarter).
• Adjusted funds flow was $263.7-million in the third quarter, which exceeded capital spending of $121.4-million, generating free cash flow (1) of $142.3-million.
• Total return of capital to shareholders during the third quarter was $67.7-million (inclusive of share repurchases and dividends), with $200.8-million returned through the first three quarters of 2023.
• The company is on track to return approximately 70 per cent of full-year 2023 free cash flow to shareholders, which is expected to result in fourth quarter return of capital of approximately $100-million, based on the current commodity price environment. Enerplus has repurchased $41-million of stock in the fourth quarter through Nov. 1, with additional repurchases planned.
• Two thousand twenty-three total production and liquids production guidance was increased by 2,000 boe per day and 1,000 barrels per day at the midpoint, respectively, due to continued strong operational performance.
• Two thousand twenty-three capital spending guidance was narrowed to $520-million to $540-million (from the previous range of $510-million to $550-million).
• Enerplus expects to exceed its 2030 scope 1 and 2 greenhouse gas (GHG) emissions intensity reduction target this year, representing an approximately 40-per-cent reduction from the 2021 baseline (and 55 per cent from 2019).

(1) This is a non-GAAP financial measure.

"Enerplus's third quarter results demonstrate our consistent operational execution and the capital efficient well productivity from our high-quality Bakken asset," said Ian C. Dundas, president and chief executive officer. "We expect a solid finish to the year with annual production growth in North Dakota tracking 9 per cent, capital spending on budget and a robust free cash flow profile that supports an increase in the pace of share repurchases in the fourth quarter."

Third quarter summary

Production in the third quarter of 2023 was 103,192 boe per day, an increase of 8 per cent compared with the prior quarter and 4 per cent lower than the same period a year ago. Crude oil and natural gas liquids production in the third quarter of 2023 was 66,625 barrels per day, an increase of 14 per cent compared with the prior quarter and 3 per cent lower than the same period a year ago. Production increased from the prior quarter primarily due to strong well productivity and operational execution in North Dakota. Production was lower compared with the prior-year period as a result of the sale of substantially all of Enerplus's Canadian assets in the fourth quarter of 2022 and limited capital activity in the Marcellus in 2023.

Enerplus reported third quarter 2023 net income of $127.7-million, or 61 cents per share (basic), compared with a net income of $305.9-million, or $1.32 per share (basic), in the same period in 2022. Adjusted net income (1) for the third quarter of 2023 was $137.2-million, or 65 cents per share (basic), compared with $207.9-million, or 90 cents per share (basic), during the same period in 2022. Net income and adjusted net income were lower compared with the prior-year period, primarily due to lower realized commodity prices and production during the third quarter of 2023.

Enerplus's third quarter 2023 realized Bakken crude oil price differential was 20 cents per barrel above WTI (West Texas Intermediate), compared with $2.41 per barrel above WTI in the third quarter of 2022. Bakken crude oil prices have weakened in the fourth quarter due to increased basin production and lower seasonal refinery demand resulting from planned maintenance outages. Consequently, Enerplus expects its 2023 realized Bakken crude oil price differential to average 25 cents per barrel below WTI, compared with at par with WTI previously.

The company's realized Marcellus natural gas price differential widened to $1.24 per thousand cubic feet (mcf) below NYMEX during the third quarter of 2023, compared with 99 cents per mcf below NYMEX in the third quarter of 2022. As a result of the weaker pricing, Enerplus has revised its full-year 2023 Marcellus natural gas price differential to 85 cents per mcf below NYMEX, from 75 cents per mcf below NYMEX previously.

In the third quarter of 2023, Enerplus's operating expenses were $10.17 per boe, compared with $10.47 per boe during the third quarter of 2022. The company continues to expect operating expenses in the fourth quarter to increase compared with the third quarter due to planned workover activity. Full-year operating expenses are tracking the lower end of the previous guidance range. As a result, Enerplus has revised its full-year 2023 operating expense guidance to $10.75 to $11 per boe, from $10.75 to $11.50 per boe.

Capital spending totalled $121.4-million in the third quarter of 2023.

Net debt was $212.1-million at Sept. 30, 2023, compared with $199.6-million at June 30, 2023. The increase in net debt was primarily due to the non-cash operating and investing working capital deficit decreasing by approximately $85-million. A portion of this is expected to reverse in the fourth quarter of 2023.

Operations

North Dakota production averaged 77,702 boe per day during the third quarter of 2023, an increase of 13 per cent compared with the prior quarter and 6 per cent compared with the same period a year ago. Enerplus drilled 15 gross operated wells (80-per-cent working interest) during the third quarter and brought 19 operated wells (91-per-cent working interest) on production. The wells were brought on production across three pads in Fort Berthold Indian reservation and one pad in Williams county.

Marcellus production averaged 145 million cubic feet (mmcf) per day during the third quarter of 2023, a decrease of 12 per cent compared with the same period in 2022 and 6 per cent lower than the prior quarter. The reduced Marcellus production reflects the limited capital activity directed to the asset in 2023 following the lower natural gas price environment compared with 2022.

Return of capital to shareholders

In the third quarter, Enerplus returned $67.7-million to shareholders through the repurchase of 3.3-million common shares under its normal course issuer bid (NCIB) at an average price of $16.85 per share and $12.6-million in dividends. During the nine months ended Sept. 30, 2023, a total of $200.8-million was returned to shareholders through dividends and share repurchases.

Subsequent to Sept. 30, 2023, and up to Nov. 1, 2023, Enerplus repurchased 2.5 million common shares under its NCIB at an average price of $16.65 per share, for total consideration of $40.9-million.

The board of directors approved a fourth quarter dividend of six cents per share, to be paid in December, 2023, for shareholders of record on Nov. 30, 2023.

Based on current market conditions and the company's low financial leverage, Enerplus expects to continue to return significant free cash flow to shareholders in 2024. Enerplus anticipates its return of capital will equal approximately 70 per cent of free cash flow in 2024.

Updated GHG emissions targets

Enerplus has made significant progress in reducing its GHG emissions intensity through improved operational processes and planning, and investment in emissions reduction projects. The company now expects to exceed its 2030 scope 1 and 2 emissions intensity reduction target this year, representing an approximate reduction of 40 per cent from the 2021 baseline (and 55 per cent from 2019). Enerplus is also tracking ahead of its existing methane intensity reduction targets in 2023, where it expects to achieve an approximate 45-per-cent reduction from the 2021 baseline (and 65 per cent from 2019).

As a result of the outperformance noted above, Enerplus is revising its GHG and methane emissions intensity targets as follows:

• Scope 1 GHG emissions intensity of seven kilograms (kg) of carbon dioxide equivalent per barrel of oil equivalent (CO2e/boe) by 2030, an approximately 60-per-cent reduction from 2023;
• Scope 1 and 2 GHG emissions intensity of 13 kg of carbon dioxide equivalent per thousand barrels of oil equivalent (CO2e/mboe) by 2030, an approximately 30-per-cent reduction from 2023;
• Methane emissions intensity of 0.02 kg of methane per thousand barrels of oil equivalent (CH4/mboe) by 2030, an approximately 45-per-cent reduction from 2023.

In addition, Enerplus is endorsing the World Bank Zero Routine Flaring by 2030 initiative and has established a flare intensity target of less than 2 per cent per thousand cubic feet of natural gas produced by 2026.

2023 guidance update

Capital spending guidance in 2023 has been narrowed to $520-million to $540-million from the prior range of $510-million to $550-million.

Annual production guidance has been revised to 98,000 to 99,000 boe per day from the prior range of 94,500 to 98,500 boe per day, representing an increase of 2,000 boe per day at the midpoint. Annual liquids production guidance has been revised to 60,500 to 61,500 barrels per day from the prior range of 58,500 to 61,500 barrels per day, representing an increase of 1,000 barrels per day at the midpoint.

Enerplus is providing fourth quarter 2023 production guidance of 95,000 to 99,000 boe per day, including liquids production of 60,500 to 64,500 barrels per day.

A summary of the changes to Enerplus's 2023 guidance is provided in attached tables.

Q3 2023 conference call details

A conference call hosted by Mr. Dundas will be held at 9 a.m. MT (11 a.m. ET) on Nov. 3, 2023, to discuss these results. Details of the conference call are as follows.

Date:  Friday, Nov. 3, 2023

Time:  9 a.m. MT (11 a.m. ET)

Dial-in:  1-888-390-0546 (toll-free)

Conference ID No.:  18470310

Audiocast:  An audiocast will be available.

To ensure timely participation in the conference call, callers are encouraged to join 15 minutes prior to the start time to register for the event. A telephone replay will be available for 30 days following the conference call and can be accessed at the following numbers.

Replay dial-in:  1-888-390-0541 (toll-free)

Replay passcode:  470310 followed by the pound key

Price risk management

An attached table provides a summary of Enerplus's financial commodity hedging contracts at Sept. 30, 2023, and positions entered into subsequent to Sept. 30, 2023, and up to Nov. 1, 2023.

About Enerplus Corp.

Enerplus is an independent North American oil and gas exploration and production company focused on creating long-term value for its shareholders through a disciplined, returns-based capital allocation strategy and a commitment to safe, responsible operations.

Notice regarding information contained in this news release

Readers are encouraged to review the 2023 interim management's discussion and analysis (MD&A) and financial statements, and 2022 MD&A and financial statements, filed on SEDAR+ and as part of the company's Form 6-K and Form 40-F, respectively, on EDGAR concurrently with this news release for more complete disclosure on the company's operations.

We seek Safe Harbor.