Environment

We consider the environment as a stakeholder and an integral part our business and strong corporate citizenship. We are firmly committed to operating in a responsible and sustainable manner. Our commitment requires considerations of impacts on the environment at each stage of development.

All activities are conducted safely and reliably to protect the public, minimize environmental impact, safeguard the health and well-being of employees and contractors, and protect our facilities and equipment from damage or loss.

We are firmly committed to maximizing positive impacts on current and future generations and minimizing the impact our operations have on the environment.

Net Operating Income vs. ARO Spend — Central Area

Cardinal is fortunate to own long life reserves.  Under the current reporting requirements, the gross abandonment obligations seem to be large in the context of our assets. The long life nature of our reserves pushes the bulk of the abandonment and reclamation costs out for 30 to 60+ years.

The chart above shows our Central Area which has an anticipated run life of over 50 years. It is presented to show the ample free cash flow coverage of our income over ARO obligations.