Obsidian Energy Ltd · TSX:OBE
Obsidian Energy — Investor Presentation (January 2026)
38 slides from Obsidian Energy's investor presentation, January 2026
Slide 1: Obsidian Energy Ltd. Corporate Presentation
Obsidian Energy Ltd. Corporate Presentation January 2026
Slide 2: Overview
OVERVIEW Focused asset base with experienced team delivering value Q3 2025 Production 27,316 boe/d Q3 2025 Annualized Funds Flow from Operations (FFO) $199 million Q3 2025 27,316 boe/d Q3 2025 Annualized Net Debt to FFO 1.1x PEACE RIVER 13,503 boe/d Shares Outstanding 67.3 million Cold flow heavy oi
Slide 3: Obsidian Energy Strategy
OBSIDIAN ENERGY STRATEGY Focus on superior execution to deliver results and create value for shareholders High Quality Assets Extensive land base with multiple productive horizons in both our core regions of Peace River and Willesden Green Strong EOR potential to reduce sustaining capital and realiz
Slide 4: Returning Capital to Shareholders
RETURNING CAPITAL TO SHAREHOLDERS Opportunistic share buyback program under NCIB enhances growth profile • Over 20% of shares repurchased/cancelled (~17.2 million shares) since the implementation of our NCIB program in February 2023 • Fully utilized current NCIB in August 2025, we plan to renew prog
Slide 5: 2025 Operational Highlights
2025 OPERATIONAL HIGHLIGHTS Unlock future asset potential H1 Highlights Q4 Highlights • Peace River focused $169 million capital program, including • Peace River ~$27 million for exploration/appraisal and waterflood projects • Rig-released five (5.0 net) Clearwater development wells and • Active dev
Slide 6: 2025 Financial Highlights
2025 FINANCIAL HIGHLIGHTS Buyback shares and maintain low leverage ratios Completed Pembina Disposition Return of Capital to Shareholders • Sold operated Pembina assets in April 2025 for proceeds of • Fully utilized NCIB program as of August 31, 2025, purchased and $320 million cancelling ~7.6 milli
Slide 7: 2026 Guidance
2026 GUIDANCE Advance delineation and development in both our heavy and light oil areas 2026E Heavy Oil Light Oil Average production boe/d 27,900 – 29,900 Based on midpoint Capital expenditures $ millions 190 – 230 Average production boe/d 12,700 16,200 Decommissioning expenditures $ millions 7 – 11
Slide 8: 2026 Capital Program
2026 CAPITAL PROGRAM Balanced capital program while furthering our waterflood initiatives in Peace River 2026E Development Appraisal Injector Gross (Net) Wells DEVELOPMENT WELLS Heavy Oil Assets H1 Peace River (Bluesky) 1 (1.0) 1 (1.0) - 2 (2.0) H1 Peace River (Clearwater)1 8 (8.0) - 7 (7.0) 15 (15.
Slide 9: Peace River Asset
PEACE RIVER ASSET Highly economic plays with significant scale 99% WI 13,503 boe/d 24% decline rate • Large, contiguous, long-term land base of (operated) (Q3 2025 production) (PDP, 3-year average) >700 sections with Bluesky and Clearwater heavy oil rights • New development fields at Dawson (Clearwa
Slide 10: Peace River Asset: Asset transformation
PEACE RIVER ASSET Asset transformation December 2021 2025 (post 45% WI PROP acquisition) 2021 2025 (as at September 30) 4,891 Average production 13,503 (Dec./21)1 (boe/d) (Q3 2025) 473 >700 # net sections (year-end 2021) (Q3 2025) Nampa # producing net ~34 ~105 sections Peace Peace Cadotte 26 Bluesk
Slide 11: Peace River 2025 Capital Program
PEACE RIVER 2025 CAPITAL PROGRAM 46 (44.4 net) development and appraisal/delineation wells ~99% ownership in wells NAMPA allows for ability to control pace • Mapping indicates large development potential with stacked pay potential of development through multiple zones • 2025 H1: 3 exploration/apprai
Slide 12: Light Oil Assets
LIGHT OIL ASSETS History of highly economic returns with years of low-risk inventory Willesden Green (Cardium/Belly River/Mannville) • A high-grade light oil field with proven Cardium and emerging PCU#11 T49 R4 Belly River success W5 • Increased working interest in Willesden Green Cardium Unit #2, w
Slide 13: Willesden Green Asset
WILLESDEN GREEN ASSET Underexploited Cardium at Open Creek with Belly River upside Cardium 74% WI 10,481 boe/d 17% decline rate (operated) (Q3 2025 production (PDP, 3-year average) • Open Creek field has limited horizontal Cardium development to date T45 • Consolidated to ~100% working interest in W
Slide 14: Hedging Program
HEDGING PROGRAM Risk management program to preserve cash flow WTI OIL HEDGES AECO GAS HEDGES ($, bbl/d) ($, mcf/d) 16,000 40,000 Gas Swaps Oil Swaps 14,000 35,000 12,000 30,000 50% 50% 10,000 25,000 8,000 hedge 20,000 hedge level 34,360 level 6,000 15,000 26,540 $2.71 4,000 10,000 $3.30 6,127 2,000
Slide 15: Reserves Underpin Our Current and Future Value
RESERVES UNDERPIN OUR CURRENT AND FUTURE VALUE Trading at substantial discount on booked reserves basis PRO FORMA NET ASSET VALUE/SHARE (C$ per share) YEAR-END 2024 AND PRO FORMA RESERVES SUMMARY US$60 WTI US$70 WTI US$80 WTI Total $30 Proved Developed Proved Total Proved Producing (PDP) (1P) Plus P
Slide 16: Why Invest in Obsidian Energy
WHY INVEST IN OBSIDIAN ENERGY Peace River growth combined with established light oil assets offers shareholder upside FOCUSED STRATEGY • Strategy directed to unlocking asset potential to drive future production and funds flow per share growth while continuing to return capital to shareholders SUBSTA
Slide 17: Appendix
OBSIDIANY ENERGY,
Slide 18: Delivering Results
DELIVERING RESULTS Strategy and execution create momentum for long-term value creation CORPORATE PRODUCTION 2024 Q1 2025 Q2 2025 Q3 2025 40 200 WTI US$/bbl $75.72 $71.42 $63.74 $64.93 Ann. Production (boe) per share (000s) 37 38 AECO $/GJ $1.36 $2.06 $1.60 $0.57 Production (Mboe/d) 30 150 29 27 29 2
Slide 19: H2 2025 Guidance
H2 2025 GUIDANCE Capital program and guidance H2 2025E Heavy Oil Light Oil Average production boe/d 27,800 – 28,300 Based on midpoint Capital expenditures $ millions 120 – 125 Average production boe/d 13,900 14,150 Decommissioning expenditures $ millions 14 – 15 Capital expenditures1 $ millions 64 5
Slide 20: 2025 Capital Program
2025 CAPITAL PROGRAM Development focused H2 2025 capital program in Peace River and Willesden Green Q1-Q3 2025 Q4 2025E 2025E Gross (Net) Wells Gross (Net) Wells Gross (Net) Wells DEVELOPMENT WELLS Heavy Oil Assets Peace River (Bluesky) 14 (12.4) - 14 (12.4) Peace River (Clearwater) 21 (21.0) 4 (4.0
Slide 21: Strategic Pembina Disposition
STRATEGIC PEMBINA DISPOSITION Rationalizes portfolio at a value accretive to our shareholders • Sold operated Pembina assets in April 2025 for proceeds of $326 million including the monetization of the IPO share position in August 2025 T52 R4 W5 Sales Metrics Pembina • ~10,300 boe/d production (2024
Slide 22: Pembina Cardium Unit #11 Asset
PEMBINA CARDIUM UNIT #11 ASSET Non-Operated unit with years of low-risk inventory 45% WI 1,920 boe/d 19% decline rate • Large non-operated unit with 45% working interest, 35 gross (non-operated) (Q3 2025 production (PDP, 3-year average) sections • Historically underdeveloped area in the heart of the
Slide 23: Viking Asset
VIKING ASSET Stable returns with development upside History of unlocking reserves and production value 100% WI 1,156 boe/d 23% decline rate (operated) (Q3 2025 production (PDP, 3-year average) • Sweet, light oil development play with associated natural gas • Significant drilling inventory, including
Slide 24: Considerable Future Value from Tax Pools
CONSIDERABLE FUTURE VALUE FROM TAX POOLS $2.2 billion of tax pools in unrecognized value to be leveraged with future growth Amount of Pools Illustrative Value of Tax Pools TA X P O O L C O M P O S I T I O N Utilized by Year1 @ 8% Discount Rate2 (Q3 2025) $200 million $329 million $4.55/share $0.3 bi
Slide 25: 2024 Reserves Highlights
2024 RESERVES HIGHLIGHTS Growth in reserves volumes and values reflect development program success Y E A R - E N D 2 0 2 4 R E S E R V E S S U M M A RY 8th Consecutive Year Proved Developed Total Proved Total Proved of >100% reserve replacement (1P & 2P) Producing (PDP) (1P) Plus Probable (2P) 2024
Slide 26: 2024 Reserves Locations
2024 RESERVES LOCATIONS Significant unbooked potential Replacing production by >146% and increasing booked locations with significant future inventory potential BOOKED RESERVE LOCATIONS OBE LAND (number, 2P, net) (net sections prospective for formation) 450 129 135 Willesden Green - Cardium 458 Pemb
Slide 27: Well Economics
WELL ECONOMICS HALF CYCLE RESERVE TYPE CURVE ECONOMICS1,2 PEACE RIVER WILLESDEN GREEN VIKING Formation Bluesky3 Clearwater Cardium4 Belly River W. Viking (Esther)5 Well Length 10 legs 8 legs 2.0 mile 1.6 mile 1.8 mile DCET Capex $3.3 million $2.3 million $4.5 million $5.5 million $2.1 million EUR 25
Slide 28: Experienced Team with Strong Technical Skills
EXPERIENCED TEAM WITH STRONG TECHNICAL SKILLS Working together as a top tier developer that provides solid returns to stakeholders MANAGEMENT TEAM EMPLOYEES FINANCIAL AND COMMERCIAL Stephen E. Loukas President and Chief Staff & contractors with deep experience Strong financial, commercial and capita
Slide 29: Advisory
ADVISORY This presentation should be read in conjunction with the Company’s unaudited interim consolidated financial statements and MD&A for the three and nine months ended September 30, 2025. All dollar amounts contained in this presentation are expressed in millions of Canadian dollars unless othe
Slide 30: Endnotes
Endnotes
Slide 31: Endnotes
ENDNOTES Slide 2: Overview Market capitalization determined with share price on the close of business on January 21, 2026, on the TSX ($9.33 per Slide 12: Light Oil Assets share) and common shares outstanding at December 31, 2025. Enterprise value calculated by adding net debt as at Booked locations
Slide 32: Endnotes, Cont.
ENDNOTES, CONT. Slide 23: Viking Asset Slide 16: Why Invest in Obsidian Energy Booked reserve locations reflects locations as defined by our Independent, Qualified Reserves Evaluator in their Percentage of shares purchased and cancelled through the share buyback program calculated based on shares ou
Slide 33: Definitions and Industry Terms
DEFINITIONS AND INDUSTRY TERMS 2026E means the guidance for 2026 for the full year, based on internal Debt is bank debt and senior notes NPV or NPV Btax 10% means net present value, before tax discounted at assumptions and estimates 10% Decommissioning means decommissioning expenditures H2 2025E mea
Slide 34: Non-GAAP Measures Advisory
NON-GAAP MEASURES ADVISORY Throughout this presentation and in other materials disclosed by the Company, we employ certain measures to analyze financial performance, financial position and cash flow. These non-GAAP and other financial measures do not have any standardized meaning prescribed by IFRS
Slide 35: Oil and Gas Information Advisory
OIL AND GAS INFORMATION ADVISORY Barrels of oil equivalent (“boe”) may be misleading, particularly if used in isolation. A boe conversion ratio of six Test Results and Initial Production Rates thousand cubic feet of natural gas to one barrel of crude oil is based on an energy equivalency conversion
Slide 36: 2024 Reserves Disclosure and Definitions
2024 RESERVES DISCLOSURE AND DEFINITIONS Unless otherwise noted, any reference to 2024 reserves in this presentation are based on the report (the “Reserves Each of the reserves categories (proved and probable) may be divided into developed and undeveloped Report”) prepared by GLJ Ltd. dated January
Slide 37: Forward-Looking Information Advisory
FORWARD-LOOKING INFORMATION ADVISORY Certain statements contained in this document constitute forward-looking statements or information (collectively With respect to forward-looking statements and FOFI contained in this document, the Company has made assumptions "forward-looking statements") within
Slide 38: Forward-Looking Information Advisory (Cont.)
FORWARD-LOOKING INFORMATION ADVISORY (CONT.) Although the Company believes that the expectations reflected in the forward-looking statements and FOFI contained capacity constraints; fluctuations in foreign exchange, including the impact of the Canadian/U.S. dollar exchange rate in this document, and
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