PDCE PDC Energy, Inc.

Management Discussion

• ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
• Production volumes increased to 12.4 MMboe and 23.6 MMboe for the three and six months ended June 30, 2019, respectively, representing increases of 32 percent and 29 percent as compared to the three and six months ended June 30, 2018, respectively. Crude oil production increased 24 percent and 22 percent for the three and six months ended June 30, 2019, respectively, compared to the three and six months ended June 30, 2018. Natural gas production increased 40 percent and 36 percent for the three and six months ended June 30, 2019 and 2018, respectively. NGLs production increased 36 percent and 33 percent for the three and six months ended June 30, 2019 and 2018, respectively. For the month ended June 30, 2019, we maintained an average daily production rate of approximately 138,000 Boe per day, up from approximately 102,000 Boe per day for the month ended June 30, 2018.
• On a sequential quarterly basis, total production and crude oil production volumes for the three months ended June 30, 2019 as compared to the three months ended March 31, 2019 increased by 11 percent and eight percent, respectively. The increase in these production volumes was primarily related to an increase in wells turned in-line in both the Wattenberg Field and the Delaware Basin.