Continental Resources, Inc. Announces 2014 Operating And Financial Guidance

 Continental Resources, Inc. Announces 2014 Operating And Financial Guidance

Company Expects Production Increase of 26% to 32% in 2014

Non-Acquisition Capital Expenditures for 2014 Estimated at $4.05 Billion

Strong Cash Flow Growth Expected to Fund an Increased Percentage of 2014
Capital Expenditures Compared with 2013

PR Newswire

OKLAHOMA CITY, Sept. 10, 2013

OKLAHOMA CITY, Sept. 10, 2013 /PRNewswire/ -- Continental Resources, Inc.
(NYSE: CLR) expects to increase total crude oil and natural gas production in
a range of 26% to 32% in 2014, based on non-acquisition capital expenditures
of $4.05 billion. Continental expects average daily production in 2014 will
be in a range of 170,000 to 180,000 barrels of oil equivalent (Boe) per day,
with an exit rate for December 2014 of approximately 200,000 Boe per day.

(Logo: http://photos.prnewswire.com/prnh/20120327/DA76602LOGO)

Total production for 2014 is expected to be 70% crude oil, in line with the
Company's mid-year 2013 results and the long-term commitment to tight oil
resource plays.

Benefiting from recent reductions in well costs, Continental's 2014 budget
reflects 400 net well completions (1,090 gross), with 94% located in the
Company's two key operating areas, the Bakken in North Dakota and Montana and
the South Central Oklahoma Oil Province (SCOOP). The 2014 well count
represents a 22% increase over current budgeted completions of 329 net wells
in total for 2013.

"Achieving our 2014 goals will be an excellent 'Year 2' in our five-year plan
to triple production and proved reserves," said Harold G. Hamm, Continental
Chairman and Chief Executive Officer. "We remain focused on our industry
leadership in oil production growth, low well costs, and capital efficiency.
We're on track to achieve our five-year growth plan while funding an
increasing percentage of capital expenditures with internally generated cash
flow."

Exploration drilling accounts for approximately $500 million of 2014 capital
expenditures, a 16% increase over 2013's exploratory drilling budget.
Exploration activity will focus primarily on continued density drilling tests
in the Bakken, further testing of the lower Three Forks formation in the
Bakken, and further appraisal and a density spacing test in SCOOP.

"Our exploration program is providing essential data we need to optimize
spacing and transition to full-field development," said W. F. "Rick" Bott,
President and Chief Operating Officer. "We are executing our growth plan with
a high degree of consistency, accelerating the value of our long-term,
repeatable drilling inventory. Multi-well pad drilling in the Bakken will
drive additional efficiencies as we continue to expand the play geographically
and vertically with the lower Three Forks benches.

"Finally, Continental's growth plan for 2014 continues the focus on capital
discipline that has been a key part of our 2013 results, and the Company has
set a new goal to reduce average operated Bakken completed well costs in a
range of 3% to 5% by the end of 2014."

Continued Leadership in the Bakken, More Growth in SCOOP

Drilling-and-completion related activities account for $3.5 billion of the
2014 capital expenditures budget.

Continental has allocated 71% of its 2014 drilling capital expenditures budget
to the Bakken play, with an average operated rig count of 21 rigs next year,
one more than the current total. Next year the Company plans to operate 17
rigs in the North Dakota portion of the play, and four in Montana. The Company
plans to complete or participate in completing 300 net wells (886 gross) in
the Bakken in 2014.

The Company has allocated 25% of its 2014 drilling capital expenditure budget
to its SCOOP operations, which has generated excellent rates of return. The
Company is planning to have an average of 18 operated rigs in the play in
2014, compared with the current count of 10 operated rigs. Based on increased
rig count and continued improvements in drilling efficiency, the Company
expects to complete or participate in completing 74 net wells (167 gross) in
SCOOP in 2014.

"Operational goals in SCOOP include improved drilling times and an increased
number of extended-lateral wells," Mr. Bott said.

Activity in the play will focus on holding acreage by production and further
de-risking the southern areas of the play. The Company also plans to initiate
a density drilling program where it has already de-risked the play.

2014 Guidance

The following table contains Continental's operating and financial guidance
for 2014:



Production growth                       26% to 32%
Capital expenditures*                   $4.05 Billion
Price differentials:
 WTI crude oil (per barrel of oil)    ($8.00) to ($11.00)
 Henry Hub natural gas (per Mcf)      +$1.00 to $1.50
Operating expenses:
 Production expense per Boe           $5.60 to $6.10
 Production tax as a percent
 of oil and gas revenues**          8% to 9%
 DD&A per Boe                         $17.50 to $19.50
 G&A expense per Boe***               $2.00 to $2.50
 Non-cash equity compensation per Boe $0.70 to $0.90
Income tax rate                         37%
Deferred taxes                          90% to 95%

* Excludes acquisition capital expenditures
**Does not include other expenses, such as natural gas transportation fees,
which could represent another 1%.
***Excludes non-cash equity compensation

"The key themes in 2014 are strong growth in production and proved reserves
while maintaining the strength and flexibility of our balance sheet," said
John Hart, Senior Vice President and Chief Financial Officer. "Standard &
Poor's recent upgrade of Continental's credit rating to investment grade
confirms we are on the right track, underpinning our strong growth record with
financial strength and flexibility."

Updated 2013 Guidance

Continental re-affirmed its 2013 production growth rate of 38% to 40% and
capital expenditures guidance of $3.6 billion. The Company has updated
additional operating and financial guidance for 2013, specifically in the
categories of oil price differential, production expense, depreciation,
depletion and amortization (DD&A), general and administrative (G&A) expense
and non-cash compensation. The following table provides updated operating and
financial guidance for 2013:



Production growth                       38% to 40%
Capital expenditures*                   $3.6 Billion
Price differentials:
 WTI crude oil (per barrel of oil)    ($6.00) to ($8.00)
 Henry Hub natural gas (per Mcf)      +$1.00 to $1.50
Operating expenses:
 Production expense per Boe           $5.60 to $6.00
 Production tax as a percent
 of oil and gas revenues**          8% to 9%
 DD&A per Boe                         $18.50 to $19.50
 G&A expense per Boe***               $2.00 to $2.50
 Non-cash equity compensation per Boe $0.70 to $0.80
Income tax rate                         37%
Deferred taxes                          90% to 95%

* Excludes acquisition capital expenditures
**Does not include other expenses, such as natural gas transportation fees,
which could represent another 1%.
***Excludes non-cash equity compensation

Conference Call Information

Continental plans to host a conference call at 4:00 p.m. CT today, September
10, to discuss its operating goals for 2014. Those wishing to listen to the
conference call may do so via the Company's website at www.CLR.com or by
phone:

Date: Tuesday, September 10, 2013
Time: 5 p.m. ET (4:00 p.m. CT)
Dial in: (888) 680-0890
Intl. Dial in: (617) 213-4857
Pass code: 78147836

A replay will be available for 30 days after the call on the Company's website
or by dialing:

Replay number: (888) 286-8010
Intl. replay: (617) 801-6888
Pass code: 93693457

Please use the following link to pre-register for this conference call.
Callers who pre-register will be given a unique PIN to gain immediate access
to the call and bypass the live operator. Individuals may pre-register at any
time, including up to and after the call start time. To pre-register please go
to:

https://www.theconferencingservice.com/prereg/key.process?key=PQFGVC8CW

A new slide presentation related to 2014 operating and financial guidance will
be available at the time of the call on Continental's web site at www.clr.com.

About Continental Resources

Continental Resources, Inc. (NYSE: CLR), based in Oklahoma City, is focused on
the exploration and production of onshore oil-prone plays and is a Top 10
independent oil producer in the United States. The Company has a long and
successful history of developing its industry-leading leasehold and production
in the nation's premier oil play, the Bakken of North Dakota and Montana, as
well as significant positions in Oklahoma in its recently discovered SCOOP
play and the Northwest Cana play. In 2013, the Company will celebrate 46
years of operation. Further information can be found at www.CLR.com

Cautionary Statement for the Purpose of the "Safe Harbor" Provisions of the
Private Securities Litigation Reform Act of 1995

This press release includes "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. All statements included in this press release other than
statements of historical fact, including, but not limited to, statements or
information concerning the Company's future operations, performance, financial
condition, production and reserves, schedules, plans, timing of development,
returns, budgets, costs, business strategy, objectives, and cash flow, are
forward-looking statements. When used in this press release, the words
"could," "may," "believe," "anticipate," "intend," "estimate," "expect,"
"project," "budget," "plan," "continue," "potential," "guidance," "strategy,"
and similar expressions are intended to identify forward-looking statements,
although not all forward-looking statements contain such identifying words.
Forward-looking statements are based on the Company's current expectations and
assumptions about future events and currently available information as to the
outcome and timing of future events. Although the Company believes the
expectations reflected in the forward-looking statements are reasonable and
based on reasonable assumptions, no assurance can be given that such
expectations will be correct or achieved or that the assumptions are accurate.
When considering forward-looking statements, readers should keep in mind the
risk factors and other cautionary statements described under Part I, Item 1A.
Risk Factors included in the Company's Annual Report on Form 10-K for the year
ended December 31, 2012, registration statements and other reports filed from
time to time with the Securities and Exchange Commission ("SEC"), and other
announcements the Company makes from time to time.

The Company cautions readers these forward-looking statements are subject to
all of the risks and uncertainties, most of which are difficult to predict and
many of which are beyond the Company's control, incident to the exploration
for, and development, production, and sale of, crude oil and natural gas.
These risks include, but are not limited to, commodity price volatility,
inflation, lack of availability of drilling and production equipment and
services, environmental risks, drilling and other operating risks, regulatory
changes, the uncertainty inherent in estimating crude oil and natural gas
reserves and in projecting future rates of production, cash flows and access
to capital, the timing of development expenditures, and the other risks
described under Part I, Item 1A. Risk Factors in the Company's Annual Report
on Form 10-K for the year ended December 31, 2012, registration statements and
other reports filed from time to time with the SEC, and other announcements
the Company makes from time to time.

Readers are cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date hereof. Should one or more of the
risks or uncertainties described in this press release occur, or should
underlying assumptions prove incorrect, the Company's actual results and plans
could differ materially from those expressed in any forward-looking
statements. All forward-looking statements are expressly qualified in their
entirety by this cautionary statement. This cautionary statement should also
be considered in connection with any subsequent written or oral
forward-looking statements that the Company, or persons acting on its behalf,
may make.

Except as otherwise required by applicable law, the Company disclaims any duty
to update any forward-looking statements to reflect events or circumstances
after the date of this press release.

CONTACTS: Continental Resources, Inc.
Investors                             Media
Warren Henry                          Kristin Miskovsky
VP Investor Relations                 VP Public Relations
405-234-9127                          405-234-9480
Warren.Henry@CLR.com                  Kristin.Miskovsky@CLR.com
John J. Kilgallon
Director, Investor Relations
405-234-9330
John.Kilgallon@CLR.com

SOURCE Continental Resources

Website: http://www.clr.com
 
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