Slide 1: Fourth Quarter 2020 Investor Presentation
peson > Fourth Quarter 2020 Investor Presentation Technology * Deployed « Simply
Slide 2: Forward-looking statements
This presentation contains “forward-looking statements” and/or “forward-looking information” under applicable securities laws (collectively referred to as “forward-looking statements”). All statements other than statements of historical facts contained in this presentation, including statements rega
Slide 3: Who We Are
Who We Are Pason is a leading energy services and technology company. We develop and deliver high- value hardware, software, and services, primarily for the drilling industry. Our motto is: Technology Deployed Simply Nv = t = 2 19) vu By i= er ~< YEARS OF INNOVATION 1978-2018
Slide 4: Pason Highlights
Pason Highlights 1 Clear Market Leader Sustained leading market positions in North America, South America, and Australia Access to the majority of land rigs and users of drilling data in the Western Hemisphere High barriers to entry for profitable operations driven by scope of technology, service in
Slide 5: Overview of Pason
Overview of Pason
Slide 6: Company Snapshot
Company Snapshot Established 1978; public since 1996 COTO Tia eaglea) Calgary, AB, Canada Uae ailes) Houston, TX, United States Argentina, Australia, Bolivia, Brazil, TERT VETS ea] Colombia, Dubai, Ecuador, Mexico, Peru, Saudi Arabia (JV) E&P Operators USNS) Drilling Contractors Other Oilfield Servi
Slide 7: Technology Deployed Simply
Technology * Deployed « Simply
Slide 8: Market Positions and Global Reach
Market Positions and Global Reach * Headquarters © Regional Offices
Slide 9: Overview of the Pason Data Ecosystem
Overview of the Pason Data Ecosystem e Gaus Field / Rig Site = mp Cloud / Office Gazahecem Third-Party Assets Customer Back-Office Systems Products * RigSystems = p-=="1 1 ' + ERPs, Payroll Systems * Downhole Tools i ! | « Real Time Operation Centers Neve H | | + Upstream Databases e e H 1 | + Analy
Slide 10: Superior Service Model
Superior Service Model PASON SUPPORT SERVICE 10
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Slide 12: Data Capture by Pason
Data Capture by Pason eo + oil and gas wells in Pason DataHub, including more than ? 150,000 drilled since 2014 }- active drilling rigs simultaneously feeding data to the ? Pason DataHub during peak activity levels (in 2014) Categories of Data Captured Examples of Data Time/depth-based senor data: D
Slide 13: Financials
Financials
Slide 14: Financial Summary
Financial Summary TOTAL REVENUE ($MILLIONS) 2016 2017 2018 2019 2020 REVENUE PER INDUSTRY DAY ($) FOR NORTH AMERICAN BUSINESS UNIT 2014 «2015. «2016-2017, 2018 = 2019 2020 REVENUE BY PRODUCT 12 MONTHS ENDED DECEMBER 31, 2020 Analytics & Other Drilling Intelligence Communications ye Mud Management &
Slide 15: Financial Summary: Adjusted EBITDA
Financial Summary ADJUSTED EBITDA ($MILLIONS) 15
Slide 16: Over $500 million returned to shareholders over the past 10 years
Over $500 million returned to shareholders over the past 10 years
Slide 17: Outlook
Outlook
Slide 18: Pason's Long-Term Growth Strategy
Pason’s Long-Term Growth Strategy $ 3. Establish pillars of growth beyond O&G • Energy Toolbase (ETB) 2. Enter adjacent O&G spaces • Intelligent Wellhead Systems (IWS) 1. Defend and grow the core business International growth New products for the drilling market • Rig site • Pricing • Back office •
Slide 19: Significant Investments in R&D and IT
Significant Investments in R&D and IT R&D and IT Spending In CAD millions (includes expensed and deferred development costs) 42 43 38 31 32 28 27 25 2013 2014 2015 2016 2017 2018 2019 2020 % of Revenue 10% 9% 13% 16% 11% 10% 11% 18% Portfolio of R&D initiatives balanced between: 1. Sustaining and im
Slide 20: Well positioned in the Intelligence Layer of Energy Storage
Energy Toolbase Well positioned in the “Intelligence Layer” of Energy Storage In Sep. 2019, announced the acquisition of an 80% interest of Energy Toolbase (ETB), a US-based SaaS company. ETB provides industry-leading software package to model the economics and build proposals for solar and energy s
Slide 21: Appendix
Appendix
Slide 22: Pason's History
Pason’s History 1978: Founded by Wayne Parks and Ron Mason who created the name “Pason” based ona hybrid of their last names 1980: Acquired by Badger Drilling Ltd. | | Bane De. 1987: Acquired by Jim Hill (current Early 1990s: Inventor Brian Taylor designe’ d and introduced the Pit 2006: Entered Volu