Press Release: Cabot Oil & Gas Corporation -2-

· 02/04/2021 16:15

Year Ended December 31, 2020 2019 Costs incurred in oil and gas property acquisition, exploration and development activities (In thousands) Exploration costs $ 15,419 $ 20,270 Development costs 546,646 761,326 Exploration and development costs (A) 562,065 781,596 Property acquisition costs, unproved 5,821 6,072 Total costs incurred (B) 567,886 787,668 Extensions, discoveries and other additions (Bcfe) (C) 1,974 2,116 Revision of prior estimates (Bcfe) (D) (347) 47 Drill-bit finding and development costs ($ per Mcfe) (A) / (C) $ 0.28 $ 0.37 All-sources finding and development costs ($ per Mcfe) (B) / (C + D) $ 0.35 $ 0.36

We have also included herein certain forward-looking non-GAAP financial measures. Due to the forward-looking nature of these non-GAAP financial measures, we cannot reliably predict certain of the necessary components of the most directly comparable forward-looking GAAP measures, such as future impairments and future changes in capital. Accordingly, we are unable to present a quantitative reconciliation of such forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures. Reconciling items in future periods could be significant.

Finding and Development Costs

Drill-Bit Finding and Development Cost is defined as costs incurred in exploration and development activities as defined by GAAP divided by reserve extensions, discoveries and other additions. All-Sources Finding and Development Cost is defined as costs incurred in property acquisition, exploration and development activities, as defined by GAAP, divided by the total of reserve extensions, discoveries and other additions and revision of prior estimates. Drill-Bit Finding and Development Cost and All-Sources Finding and Development Cost are presented based on our belief that these non-GAAP measures are useful information to investors to evaluate how much it costs to add proved reserves. These calculations do not include the future development costs required for the development of proved undeveloped reserves and may not be comparable to similarly titled measurements used by other companies.

View original content:http://www.prnewswire.com/news-releases/cabot-oil--gas-corporation-provides-fourth-quarter-and-full-year-2020-operational-update-reports-six-percent-growth-in-proved-reserves-to-13-7-tcfe-announces-2021-guidance-301222692.html

SOURCE Cabot Oil & Gas Corporation

/CONTACT: Matt Kerin (281) 589-4642

/Web site: http://www.cabotog.com

(END) Dow Jones Newswires

February 04, 2021 16:15 ET (21:15 GMT)