Obsidian Energy (OBE) Corporate Presentation summary

Strategic focus and asset base

• Concentrated on high-quality heavy and light oil assets, with Peace River and Willesden Green as core areas, totaling 27,088 boe/d Q1 2025 proforma production and 149 MMboe 2P reserves post-Pembina Disposition.

• Maintains a disciplined, return-focused approach, leveraging experienced teams and stable financials, with $255 million net debt (Q2 2025E) and $2.2 billion in tax pools.

• Strategy emphasizes per-share growth through production increases, share buybacks, and debt reduction, while using free cash flow from light oil to fund heavy oil development.

• Asset base realigned after Pembina Disposition, with Peace River now the largest asset and 43% of Q1 2025 production.

• Pembina sale generated $211 million cash, InPlay shares, and reduced net debt by 46%, improving liquidity and lowering operating costs.

Operational highlights and capital allocation

• H1 2025 capital focused on Peace River, with $165–$170 million spent, including $28 million for exploration/appraisal and waterflood projects.

• H2 2025 capital balanced between Peace River and Willesden Green, with $110–$120 million planned and 28 (28.0 net) operated wells targeted.

• Peace River program includes 20 (20.0 net) wells in H2, with new Clearwater waterflood pilot and strong primary production results.

• Willesden Green development targets Cardium and Belly River formations, with 8 (8.0 net) wells and 6 (2.7 net) non-operated wells planned.

• Share buyback program renewed into 2026, with 6.5 million shares repurchased for $46.2 million by June 30, 2025.

Asset performance and growth

• Peace River heavy oil asset expanded to ~700 sections, 11,609 boe/d Q1 2025 production, 24% decline rate, and 160 booked 2P locations.

• Peace River production grew 81% since Q4 2023, driven by organic drilling and acquisitions.

• Willesden Green & PCU #11 light oil assets produced 13,640 boe/d Q1 2025, with 17% decline rate and 118 booked 2P locations.

• Viking asset delivers 1,520 boe/d Q1 2025, 23% decline rate, and 50 booked 2P locations, with quick payouts and strong netbacks.

• 2025 capital program includes 58 (56.4 net) operated wells, focusing on development and exploration/appraisal in core areas.