DENBURY RESOURCES PROVIDES OPERATIONAL AND FINANCIAL UPDATE

Actions to Preserve and Enhance Liquidity Include:
-   Reducing 2020 Capital Budget by $80 Million, or 44%
-   Deferring Cedar Creek Anticline Development Project
-   Restructuring Hedges
Intention to Seek Stockholder Approval of Reverse Stock Split

PLANO, Texas, March 31, 2020 (GLOBE NEWSWIRE) -- Denbury Resources Inc. (NYSE: DNR) (“Denbury” or the “Company”) today provided an update on the Company’s response to recent developments, including the COVID-19 pandemic, macroeconomic uncertainty, and the decline in oil prices.

Chris Kendall, Denbury’s President and CEO, commented, “Our unique portfolio of high quality, low decline assets allows us to swiftly adjust to changes in market conditions, including changes as significant as those we have experienced over the last few weeks.  In addition to significantly reducing capital spending, we expect to meaningfully reduce Denbury’s LOE and G&A expenses, which, combined with proceeds from our previously announced working interests sale that closed in early March, allow us to target cash flow neutrality for the year if NYMEX oil prices average $35 per barrel for 2020.  Additionally, the value of our hedge portfolio has enabled us to restructure a significant portion of the Company’s 2020 hedge contracts to provide for more price certainty and protection against further oil price declines.  We remain highly focused on controlling what we can control in this challenging and uncertain environment and continue to firmly believe that the industry-leading, low carbon footprint provided by Denbury’s CO₂ EOR-based business is an important, value-enhancing oil production technology.”

OPERATIONAL UPDATE

The Company has reduced its previously planned 2020 capital budget by approximately $80 million, or 44%.  As a result, Denbury’s revised 2020 capital budget, excluding acquisitions and capitalized interest, is now $95 million to $105 million.  The Denbury Board of Directors has also determined to defer the Company’s Cedar Creek Anticline CO₂ tertiary flood development project beyond 2020.  These steps are being taken to reduce cash expenditures and preserve liquidity in light of the more than 50% decline in NYMEX WTI oil prices over the last few weeks and continuing uncertainty about the economic impact of the COVID-19 pandemic.