Tourmaline Oil Corp. · TSX:TOU
Tourmaline Oil — Q4 2025 Earnings Presentation
47 slides from Tourmaline Oil's earnings presentation, Mar 5, 2026
Slide 1: Corporate Presentation
Corporate Presentation March 2026
Slide 2: Tourmaline Overview
Tourmaline Overview 2 The Scale, Resource, and Infrastructure Required to Profitably Grow in the WCSB and Provide Returns to Shareholders Mar 2026 Tourmaline Overview 5.2 MM Net Acres, 6.1 Billion Boe 2P Reserves(1) • Largest natural gas producer in Canada Drilled to Date • 3rd largest Canadian gas
Slide 3: Largest North American Natural Gas Producers
3 Largest North American Natural Gas Producers Mar 2026 Tourmaline is the largest natural gas producer in Canada, and the sixth largest gas focused producer in North America MMcf/d 2026E Natural Gas Production – Canada & US 8,000 7,000 Scale is a key component in driving down 6,000 costs, leveraging
Slide 4: Tourmaline: A Significant Canadian Liquids Producer
4 Tourmaline: A Significant Canadian Liquids Producer Mar 2026 Tourmaline is a significant liquids producer in Canada, with continued peer leading growth • Tourmaline is a ~50 mbpd condensate producer, and the largest producer of NGLs • Tourmaline is planning strong liquids growth with the first pha
Slide 5: EP Growth Plan
5 EP Growth Plan(1) Mar 2026 1,000,000 800,000 600,000 Boe/d Deep Basin 400,000 NEBC 200,000 - 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 After-tax After-tax E&P Capital Free Cash Eding Surplus Prod’n Cash Flow CFPS – Program(4) Flow(5) Base Dividend (Net Debt)(3
Slide 6: Tourmaline EP Project Summary
6 Tourmaline EP Project Summary Mar 2026 Tourmaline's NEBC build out will consist of thoughtfully timed expansions of 5 major processing complexes, providing >200 mboepd of high margin volume growth into the next decade Production Outlook mboepd 950 EP Plan “In Flight” EP Plan “In Planning” 900 S Mo
Slide 7: 2026 Production & FCF Migration
7 2026 Production & FCF Migration Mar 2026 Despite lower commodity prices than November strip, corporate actions allow for funds available for distribution to remain the same 800 2026 Production Changes$1,400 2026 FCF Migration mboepd $mm 700 690 30 $1,200 $1,165 20 630 10 600 $200 $1,000 $965 $915
Slide 8: Low Debt/Balance Sheet Strength and Low Costs
8 Low Debt/Balance Sheet Strength and Low Costs The Optimum Approach in Uncertain Times… Mar 2026 Large Canadian Producer Large Canadian Producers 2026 Net Debt / Cash Flow 2026 E&P Opex 2.5x $25.00 The ongoing NEBC infrastructure buildout and other parallel initiatives are expected to reduce opex b
Slide 9: NEBC Montney Gas/Condensate Complex
9 NEBC Montney Gas/Condensate Complex Mar 2026 Current Prod. 325,000 boepd Conroy Complex Current Reserves 3,866 mmboe (Dec 31, 2025) NRM Jedney Montney Drilling 8,814 horizontal locations Inventory (Dec 31, 2025) Aitken Complex NRM Aitken/Hwy Current Planned Tourmaline is one of the largest Process
Slide 10: NEBC Gas Complex Well Performance
10 NEBC Gas Complex Well Performance Mar 2026 Through longer laterals, improved completions, and accessing new prolific resource areas, the NEBC Montney posted ‘vintage best’ type curve performance in 2025 NEBC Well Performance Wellhead IP90 Bcf 0.6 On Prod 2025 On Prod 2024 0.5 On Prod 2023 On Prod
Slide 11: Alberta Deep Basin
11 Alberta Deep Basin Mar 2026 The contiguous Tourmaline interconnected Deep Basin Cretaceous gas asset is effectively Alberta’s Largest Gas Field Musreau /Kakwa TCPL • Current Production 330,000 boepd Netook • Current Reserves 1,950 mmboe (as at Dec 31, 2025) • Tourmaline Land Base 3.2 million acre
Slide 12: A Unique, Expanding Exploration Program
12 A Unique, Expanding Exploration Program 2025 Highlights and Significant Planned 2026 Wells Mar 2026 Conroy Exploration program success has created significant Aitken Basal Montney • D-F66-I / 094-B-16 incremental value in existing core complexes, the majority of • IP. 180 - 6.32 mmcf/d & 72 bbl/d
Slide 13: North American Natural Gas Reserves
13 North American Natural Gas Reserves Mar 2026 Companies that own the largest, lowest development cost, transport-integrated natural gas reserves, will increasingly dominate the Energy space in the next 20 – 30 years 28 26 Rockies LNG St. 2 Montney 2P Reserves (Tcf) LNG Canada Western Canadian Sedi
Slide 14: Multiple Decades of Tier Inventory
14 Multiple Decades of Tier 1 Inventory Mar 2026 Tourmaline’s deep inventory ownership provides multiple decades of very profitable development, plus no need to pursue large “resource reloads” in A&D market Drilled to Date $6.00 75 yrs of 2026 Drilling Drilling A.Tax Break-Even Gas Price (C$/GJ AECO
Slide 15: Continuous D&C Performance / Cost Improvements
15 Continuous D&C Performance / Cost Improvements Mar 2026 Wells Placed on Production Feet Average Lateral Feet per Well 180 Steady programs in both 10,000 the Deep Basin and NEBC 159 ~75% increase in DB/NEBC 160 lateral length since 2018 137 140 142 143 9,000 140 140 124 112 8,000 120 107 106 108 1
Slide 16: 2026 Natural Gas Transportation and Marketing Overview
16 2026 Natural Gas Transportation and Marketing Overview Feb 2026 Natural Gas Price Exposure 4% 1% 1% 8% 29% 49% 51% 52% 43% 24% Station 2 15% 17% 14% 15% 16% 2% 2% 2% 1% 2% 13% 13% 14% 14% 14% 13% 6% 6% 6% 6% 6% 3% 3% 2% 1% 2% 8% 8% 8% 10% 9% 2026 2027 2028 2029 2030 AECO US Gulf/LNG US Midwest Da
Slide 17: Tourmaline LNG Overview
17 Tourmaline LNG Overview Nov 2025 Tourmaline continues to grow its international pricing exposure Rockies LNG - Partner • A partnership of Western Canadian natural gas producers working together to supply Ksi Lisms LNG • Ksi Lisims has received a British Columbia Environmental Assessment Certifica
Slide 18: Guidance
18 Guidance Mar 2026 2026(1) Production – Boe/d 620,000 – 640,000 Cash Flow(i) - $MM $3,350 (at 630,000 boepd) CFPS - Diluted(i) $8.59 (at 630,000 boepd) E&P Capital Program(ii) - $MM $2,550 Capital Expenditures(i) - $MM $2,650 Free Cash Flow(iii) - $MM $700 (at 630,000 boepd) (1) Price Assumptions:
Slide 19: 2026 After Tax Cash Flow Sensitivity & Allocation
19 Tourmaline 2026 After Tax Cash Flow Sensitivity & Allocation Mar 2026 Tourmaline’s low cost structure drives sustainable return on, and of, capital opportunities • TOU’s maintenance budget, and dividend is fully funded at US$2/mcf NYMEX & C$2/Mcf AECO • TOU will manage growth capital in the EP pr
Slide 20: Growing Corporate Margins Through NEBC Development
20 Growing Corporate Margins Through NEBC Development Mar 2026 With 2026 cost reduction initiatives allowing for 7% YoY cost improvement ($0.70/boe), Tourmaline has raised its cost reduction target from $1.00/boe to $1.50/boe with additional opportunities to upsize through the NEBC Montney buildout
Slide 21: Free Cash Flow Allocation & Dividend Growth Track Record
Tourmaline Free Cash Flow Allocation & 21 Dividend Growth Track Record Mar 2026 The majority of Tourmaline’s free cash flow will be returned to shareholders; a growing base dividend will be the preferred method of shareholder returns • Base dividend will continue to grow alongside the base EP busine
Slide 22: Long Term Business Plan Growth & Leading Shareholder Returns
22 Tourmaline Long Term Business Plan Growth & Leading Shareholder Returns Mar 2026 2026 2028 2030 2032 800 Production Growth mboepd Deep Basin Growth 700 Continued Modest Growth Evolving Towards 1-2% Production Growth with NEBC Growth 600 Enhanced FCF Harvest Base Business 500 Large Project Sequenc
Slide 23: Appendix
APPENDIX
Slide 24: Historical EP Performance
24 Historical EP Performance Mar 2026 Production Per Share* Reserves Per Share* 600 16 500 14 12 Boe / 000 Shares Boe / Share 400 10 300 8 200 6 4 100 2 0 0 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Operating Costs / BOE Cash Flow P
Slide 25: Independently Recognized Canadian 2P Reserves
25 Independently Recognized Canadian 2P Reserves(1) Mar 2026 Tcf Natural Gas 2P Reserves MMbbl Conventional Liquid 2P Reserves 30 2,500 28 25 2,000 20 1,480 1,500 15 1,000 10 500 5 0 0 TOU Peer Peer Peer Peer Peer Peer Peer Peer Peer Peer Peer Peer Peer TOU Peer Peer Peer Peer Peer Peer Peer Peer Pe
Slide 26: Continuous Capital Efficiency Improvements
26 Continuous Capital Efficiency Improvements Mar 2026 $22,500 $20,900 $20,000 $17,500 $15,500 Tourmaline maintains best in class capital efficiencies $15,000 $12,400 $12,200 $12,500 $11,800 $/boepd $11,200 $10,700 $10,000 $9,500 $9,500 $8,650 $8,900 $8,000 $7,300 $7,500 $5,000 $2,500 $- (1) 2014 20
Slide 27: Tourmaline Midstream Assets
27 Tourmaline Midstream Assets Mar 2026 The infrastructure skeleton in all core operated complexes is now complete This infrastructure is essentially all new and in the ‘growth’ areas of the WCSB 33 working interest1 gas plants, 18 of which are 100% owned Montney and operated, 4 Topaz interest plant
Slide 28: The Growing Tourmaline Liquids Business
28 The Growing Tourmaline Liquids Business Mar 2026 Tourmaline’s diverse and profitable liquids marketing business • Liquids receive diversified pricing: WTI, FSPL, Namao/Peace, CRW, Mt. Belvieu, Conway, Far East Index, and Polypropylene netbacks • NGL volumes are meaningfully exposed to all Canadia
Slide 29: The Ever-Evolving Tourmaline Development Approach
29 The Ever-Evolving Tourmaline Development Approach Mar 2026 In the Alberta Deep Basin and the BC Montney Tourmaline is constantly seeking the balance between maximizing deliverability (growth), EUR (value), and overall economic return (CF/FCF). Tourmaline ultimately prioritizes IRR maximization, t
Slide 30: 2024-2031 NEBC Infrastructure Project Overview
2024-2031 NEBC 30 Infrastructure Project Overview July 2025 • This is the largest EP growth project in the WCSB over the next 5 years and is timed to the growing Canadian LNG business. • Tourmaline expects to add 1.1 bcf/d of new gas production and over 50,000 bpd of condensate and ngls over the nex
Slide 31: Gas Development Location Inventory and Economics
31 Gas Development Location Inventory and Economics(1) Mar 2026 AB Deep Basin AB Deep Basin NEBC Gundy NEBC North NEBC South North & West South MNTN MNTN MNTN Horizontal Horizontal Horizontal Horizontal Horizontal Total Well Costs (Drill, Case, Complete, $ Million) 6.20 6.05 5.70 5.80 6.72 Average R
Slide 32: Market Leading Return on and of Capital
32 Market Leading Return on and of Capital Mar 2026 Tourmaline’s return on capital employed (“ROCE”) cycles between 15-25% in strong commodity price environments and 5-15% in low commodity price environments with base dividends offering a 3% income yield with upside during strong pricing 36% The ‘Ma
Slide 33: Environmental Performance Investment
33 Environmental Performance Investment Mar 2026 Focusing on investment opportunities that maximize cost savings & environmental impact • Water: recycling, & pipeline infrastructure; ~95% recycling in NEBC, advancing AB towards 100% • Air: diesel displacement, pneumatic / venting reduction, power (h
Slide 34: Environmental Performance Improvement
34 Environmental Performance Improvement Mar 2026 Tourmaline has been aggressively and successfully pursuing a comprehensive environmental performance improvement strategy for over seven years. The Company is systematically improving its performance and reducing the impact of all aspects of activiti
Slide 35: Tourmaline Financial Position
35 Tourmaline Financial Position Excellent Liquidity, Resiliency & Capacity Mar 2026 Tourmaline has ample liquidity and capacity to weather adverse commodity prices $mm Debt Profile, Term, Capacity Change in: 2026 Cash Flow Sensitivities $3,325 Oil US$1/bbl $17 Sensitivity remains $2,550 primarily t
Slide 36: Tourmaline Technology Curve/Future Concepts, Requirements & Opportunities
36 Tourmaline Technology Curve/Future Concepts, Requirements & Opportunities • Cost saving via novel frac water sourcing/recycling • Waste heat recovery technology • Alternative hz frac programs/processes – Concurrent pairs, delayed flow-backs etc. • Novel drilling technology to reduce time/cost • U
Slide 37: Schedule A
37 Schedule A DRILLING LOCATIONS Estimated Drilling Inventory This document discloses drilling locations, as at December 31, 2025, and prior to the impact of the Peace River High Disposition, in four categories: (i) proved undeveloped locations; (ii) probable undeveloped locations; (iii) unbooked lo
Slide 38: Schedule A continued
38 Schedule A continued Deep Basin well count : • Total horizontal Deep Basin locations = 18,407 (1-2 wells per section per zone depending on zone) • Less existing horizontals, and less 20% of existing vertical producers = 3,271 • Remaining Horizontal Locations = 15,223 • Remaining Vertical Location
Slide 39: Schedule B
39 Schedule B Prospective locations are unbooked locations that are not included in inventory. Unbooked locations are internal estimates based on the Company's prospective acreage and an assumption as to the number of wells that can be drilled per section based on industry practice and internal revi
Slide 40: Forward Looking Information
40 Forward Looking Information Certain information contained in this presentation constitutes forward-looking information within the meaning of applicable securities laws. This information relates to future events or the Company's future performance. All information other than information of histori
Slide 41: Forward Looking Information
41 Forward Looking Information With respect to forward-looking information contained in this presentation, assumptions have been made regarding, among other things: future crude oil and natural gas prices; future interests rates and currency exchange rates; the Company's ability to obtain qualified
Slide 42: Forward Looking Statement Advisories
42 Forward Looking Statement Advisories Oil and Gas Advisories Certain crude oil and natural gas liquids ("NGLs") volumes have been converted to millions of cubic feet equivalent ("mmcfe") or thousands of cubic feet equivalent ("mcfe") on the basis of one barrel ("bbl" of crude oil or NGLs to six th
Slide 43: Forward Looking Statement Advisories
43 Forward Looking Statement Advisories Non-GAAP Financial Measures Cash Flow Management uses the term “cash flow" for its own performance measure and to provide shareholders and potential investors with a measurement of the Company’s efficiency and its ability to generate the cash (net of current i
Slide 44: Forward Looking Statement Advisories
44 Forward Looking Statement Advisories Non-GAAP Financial Measures (con’t) E&P Capital Program Management uses the term "EP expenditures" or exploration and production expenditures as a measure of capital investment in exploration and production activity which is defined as capital expenditures (a
Slide 45: Forward Looking Statement Advisories
45 Forward Looking Statement Advisories Non-GAAP Financial Measures (con’t) Free Cash Flow Management uses the term “free cash flow" for its own performance measure and to provide shareholders and potential investors with a measurement of the Company’s efficiency and its ability to generate the cash
Slide 46: Forward Looking Statement Advisories
46 Forward Looking Statement Advisories Non-GAAP Financial Ratios Operating Netback per-boe Management calculates “operating netback per-boe” as operating netback divided by total production for the period. Operating netback per-boe is a key performance indicator and measure of operational efficienc
Slide 47: Forward Looking Statement Advisories
47 Forward Looking Statement Advisories Capital Management Measures Adjusted Working Capital Management uses the term “adjusted working capital” for its own performance measures and to provide shareholders and potential investors with a measurement of the Company’s liquidity. A summary of the compos