Rubellite Energy Corp. · TSX:RBY
Rubellite Energy — Investor Presentation (March 2025)
51 slides from Rubellite Energy's investor presentation, Mar 10, 2025
Slide 1: Rubellite Energy Corp. Corporate Overview
Rubellite Energy Corp. Corporate Overview March 10, 2025
Slide 2: Corporate History
Corporate History Incorporated in July 2021 as pure play Clearwater multi-lat focused junior E&P In September 2021, Rubellite acquired Perpetual’s Clearwater Assets for $65.5 MM • 350 bbl/d of heavy oil production and 100 net sections of undeveloped land RBY Executing growth focused business pla
Slide 3: 2024 Strategic Transactions
2024 Strategic Transactions Strategic transactions since Q2 2024 drive scale, enhanced financial flexibility and optionality Buffalo Mission and Perpetual Recombination Transactions Production (boe/d)(1) Development Inventory (net locations)(2) Land (net sections)(3) +240% +146% +167% 847 11,000 372
Slide 4: Buffalo Mission Energy Corp. Acquisition – Closed August 2, 2024
Buffalo Mission Energy Corp. Acquisition – Closed August 2, 2024 Highly complimentary Mannville Stack Asset Base added to existing Clearwater operations Acquisition Highlights Clearwater and Mannville Stack Play Fairways $97.5 million total consideration(1) • $23.5 million of assumed net debt, $62
Slide 5: Rubellite & Perpetual Recombination – Closed October 31, 2024
Rubellite & Perpetual Recombination – Closed October 31, 2024 Valuable synergies with increased scale, greater liquidity, funds flow diversification and optionality Perpetual shareholders Perpetual senior notes Rubellite shareholders received 1 New Share for ($26.2 MM face value) received 1 New Shar
Slide 6: Corporate Profile
Corporate Profile Fully funded growth-focused heavy oil multi-lat E&P Company TSX :R BY Investment Highlights Capitalization Large scale, focused asset base in the South Clearwater and Mannville Stack fairways Rank as some of the top conventional plays in the WCSB on half-cycle returns TSX RBY Ful
Slide 7: Heavy Oil Asset Performance
Heavy Oil Asset Performance Strong operational momentum in Clearwater and Mannville Stack heavy oil asset base Heavy Oil Sales (bbl/d)(1) 9,000 Key Operational Metrics 8,000 – 8,200 bbl/d 8,000 7,000 >900 >10,000m >100 Production (bbl/d) 6,000 5,000 Lateral legs drilled Average meters per well Multi
Slide 8: 2024 Reserves Highlights
2024 Reserves Highlights Organic growth and acquisitions combined for reserve value creation 2024 Corporate Reserves Additions(1) Reserves Growth(1) Proved plus Probable 60,000 • TPP increased 231% year-over-year 50,000 • TPP per Debt Adjusted Share increased 69% year-over-year Reserves Mboe • TPP
Slide 9: Net Present Value of Reserves
Net Present Value of Reserves Reserve additions through drill bit and acquisitions drove YOY increase in NPV10 of 124% YE 2024 Net Present Value (NPV10) of TPP Reserves(1) YE 2024 Reserve Value Reconciliation to YE 2023(2) NPV(10) $MM(1) 800 155 722 700 -6 $134 600 19 143 $307 500 119 $190 400 322 3
Slide 10: Net Asset Value (“NAV”)
Net Asset Value (“NAV”) Operational Momentum Continues Net Asset Value (Discounted at 10%)(1) $700 $7.00 YE 2024 Net Asset Value(1)(2) $6.47 Reserve Category Recognition Level Build-Up $600 PDP, including FMV of Undeveloped Land - $1.97/Share $6.00 P+PDP(2) = $2.40/Share | $2.92/Share $500 TP(2) = $
Slide 11: Rubellite Asset Profile
Rubellite Asset Profile Heavy oil production of >8,000 bbl/d & total production of >12,000 boe/d Asset Map Asset Summary Land Well Count Current Production Area Dec 2024 (net acres)(1) (net producing) (boe/d)(2) Bitum en Greater Figure Lake 158,771 94.0 5,228 Frog Lake 23,232 39.2 2,223 Ukalta 23,41
Slide 12: Highly Economic Heavy Oil Development Inventory
Highly Economic Heavy Oil Development Inventory(1)(4) ~316 booked and unbooked development heavy oil drilling location inventory(1) with attractive type curve investment returns Before Tax IRR ($70 WTI Flat Pricing) 120% Frog Lake Top half of W aseca South developm ent 100% inventory 80% Before Tax
Slide 13: Southern Clearwater Play History
Southern Clearwater Play History Active development, pool extension and well design optimization activity ongoing Southern Clearwater Play Fairway Play History Figure Lake and Edw and – Development & Step-out Delineation Fueling RBY Growth 4,953 bbl/d Q4 2024 sales Newbrook 5,228 bbl/d December
Slide 14: Rubellite Asset Profile | Greater Figure Lake
Rubellite Asset Profile | Greater Figure Lake 2025 Activity – Clearwater Pool Development Asset Map Asset Summary Working Interest: 100% Q4 2024 Production: 4,953 bbl/d 100% heavy oil 5,228 bbl/d December 2024 sales 94.0 net multi-laterals on sales production Figure Lake 2024 Activity – 34 (34.0
Slide 15: Figure Lake & Edwand Performance
Rubellite Asset Profile | Figure Lake & Edw and P erform ance 2024 step-out and delineation well results Asset Map – IP(30) 2024 Step-Out Wells 2024 “Step Out” Drilling Results – 50m spacing 6 step-out delineation wells at or exceeding type well performance Material production improvement vs. le
Slide 16: Figure Lake Down-Space Development Plan
Rubellite Asset Profile | Figure Lake Dow n-Space Developm ent P lan Accelerating production and improving recovery factor per well across same drainage area Clearwater Development Decreasing Inter-Leg Spacing from 50m to 33m: Historical well design: ~50m inter-leg spacing Increases IRR by 16% t
Slide 17: Rubellite Asset Profile | Frog Lake
Rubellite Asset Profile | Frog Lake Waseca development and operations optimization Asset Map Asset Summary Primary target - Waseca A member of the Mannville Stack with upside in the Sparky and General Petroleum (GP) Working Interest: ~50% Joint Economic Development Agreements in place with Frog La
Slide 18: Frog Lake Exploitation
Rubellite Asset Profile | Frog Lake Ex ploitation Mannville Stack – Waseca North and Waseca South Waseca Development Switched to Oil-Based Mud in 2025 to: Historical well design: Improve hole cleaning and stability • ~25m inter-leg spacing Reduce water handling and disposal costs • ~15,000m MD
Slide 19: Project Pipeline
Project Pipeline Feeding a “pipeline” of primary development projects from new exploration plays Exploration Projects in Appraisal Stage (unbooked): Dawson Clearwater – 11.0 net Locations 23.0 net sections Horizontal test well drilled in Q1 2023 – Winter production only Frog Lake General Petrole
Slide 20: Rubellite Asset Profile | East Edson
Rubellite Asset Profile | East Edson Deep Basin Wilrich Liquids-Rich Gas Asset Map Asset Summary To Rosevear Working Interest: 50% Non-operated interest with best-in-class operator (Tourmaline – TSX:TOU) Net Production: 4Q 2024(1) sales: 2,627 boe/d (14.1 MMcf/d; 275 bbl/d NGL) December 2024 s
Slide 21: East Edson Liquids Rich Gas
Rubellite Asset Profile | East Edson Liquids R ich Gas Provides commodity diversification, financial flexibility and material optionality Significant exposure to higher gas prices 2 net wells/year to keep production flat at ~4,500 boe/d 3 net wells/year for modest growth to ~5,500 boe/d $12 MM/yea
Slide 22: 2025 Annual Capital Spending Plan
2025 Annual Capital Spending Plan Development, Delineation and Exploration 2025 Exploration and Development Capital Spending 2025 E&D Drilling Program 37.8 net wells $95 MM Base Budget(1) Development: Figure Lake: 18 (18.0 net) Frog Lake: 24 (14.0 net) East Edson: 4 (2.0 net) Minors, $1.0 Othe
Slide 23: Guidance and Balance Sheet
Guidance and Balance Sheet Growth-focused development plans funded out of Adjusted Funds Flow at current strip prices Guidance (M arch 10, 2025) Balance Sheet Q1 2025 2025 Perpetual Rubellite Year End 2024(1) (1)(2)(3) Q2/24 Q3/24 E&D Capital Expenditures ($ MM) $22 - $24 $95 - $110 (2) Revolving Ba
Slide 24: Commodity Price Risk Management
Commodity Price Risk Management Price protection on over 50% of 2025 oil production and 16% of gas production net of royalties(1) Oil Price Risk Management Gas Price Risk Management Oil Hedges (bbl/d) Current RBY Gas Hedges 6,000 90% 10,000 90% 80% 80% 5,000 70% 70% 7,500 4,000 60% 60% 50% 50% 3,000
Slide 25: Operational Excellence
Operational Excellence Striving for continuous performance improvement Environment Water :Oil based mud drillings with no fresh water-based fracture stimulation in Clearwater play Land: Surface footprint minimized with multi-well pad development. Onsite drill cutting cleaning and oil-based mud recov
Slide 26: Investment Highlights
Investment Highlights Junior E&P growth opportunity in the Clearwater and Mannville Stack multi-lat heavy oil plays 582 net sections of prospective Clearwater, Mannville Stack and Heavy Oil exploration lands Expanding Pure Major producing properties at Figure Lake (Clearwater) and Frog Lake (Man
Slide 27: Creating Differentiated Value for Shareholders
Creating Differentiated Value for Shareholders Junior E&P growth opportunity in the prolific Clearwater and Mannville Stack Multi-lat plays Robust Organic Production Growth Profile Expanding Conservative Pure Play Capitalization Heavy Oil and Risk Multi-lat Mitigation Asset Base Fully Funded Managem
Slide 28: Additional Information
Additional Information Sue Riddell Rose, President & CEO Ryan Shay, Vice President, Finance & CFO 3200, 605 – 5 Avenue SW Calgary, Alberta Canada T2P 3H5
Slide 29: Appendix
APPENDIX Rubellite Energy Corp. 28
Slide 30: Historical Financing
Historical Financing Strong insider support for equity and subordinated debt financings Rubellite acquired all of Perpetual’s Clearwater Assets for total consideration of $65.5 MM (including $59.2 MM in cash) • Incorporated on July 12, 2021; Clearwater Assets conveyed on July 15th • Plan of Arrang
Slide 31: Experienced Management and Independent Board of Directors
Experienced Management and Independent Board of Directors Board expanded through Recombination Transaction Rubellite Independent Board of Directors (Non-Executive) Perpetual Independent Board of Directors (Non-Executive) Tamara MacDonald, Independent Director Geoffrey M erritt, Independent Director
Slide 32: Commodity Price Risk Management
Commodity Price Risk Management Position Details Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Q2 26 Q3 26 Q4 26 WTI CAD/bbl Swap Volume (bbl/d) 2,300 1,900 1,700 - - - - - ($CAD/bbl) $99.54 $99.16 $99.12 - - - - - WTI USD/bbl Swap Volume (bbl/d) 2,400 2,650 1,800 400 - - - - ($USD/bbl) $74.41 $72.23 $71.98 $74.86
Slide 33: Slide Notes and Advisories
SLIDE NOTES AND ADVISORIES Rubellite Energy Corp. 32
Slide 34: Slide Notes (continued)
Slide Notes (continued) Slide 1 1. All the land is shown net to Rubellite’s working interest 2. See “Drilling Locations” in the Advisories 3. Free funds flow is a non-GAAP measure. See “Non-GAAP and Other Financial Measures” in the Advisories 4. Operating netback is determined by deducting royalties
Slide 35: Slide Notes (continued)
Slide Notes (continued) Slide 4 1. See “Drilling Locations” in the Advisories 2. All the land is shown net to Rubellite’s working interest Slide 5 1. Current shares outstanding as at March 7, 2025 and 7.0 million share awards outstanding (excluding 2.3 million legacy Perpetual awards that are settle
Slide 36: Slide Notes (continued)
Slide Notes (continued) Slide 7 1. Heavy oil operating netback per bbl is determined by deducting royalties, net production and operating expenses, and transportation costs from oil revenue, as determined in accordance with IFRS, divided by the Company’s total heavy oil sales production 2. "McDaniel
Slide 37: Slide Notes (continued)
Slide Notes (continued) Slide 8 1. "McDaniel" means McDaniel & Associates Consultants Ltd., independent qualified reserves evaluators 2. “McDaniel Reserve Report” means the independent engineering evaluation of the crude oil, natural gas and NGL reserves, prepared by McDaniel with an effective date
Slide 38: Slide Notes (continued)
Slide Notes (continued) Slide 9 1. "McDaniel" means McDaniel & Associates Consultants Ltd., independent qualified reserves evaluators 2. “McDaniel Reserve Report” means the independent engineering evaluation of the crude oil, natural gas and NGL reserves, prepared by McDaniel with an effective date
Slide 39: Slide Notes (continued)
Slide Notes (continued) Slide 10 1. See “Drilling Locations” in the Advisories 2. All the land is shown net to Rubellite’s working interest 3. Before Payout and After Payout is a non-GAAP ratio. See “Non-GAAP and Other Financial Measures” in the Advisories Slide 11 1. See “Drilling Locations” in the
Slide 40: Slide Notes (continued)
Slide Notes (continued) Slide 14 1. See “Drilling Locations” in the Advisories 2. All the land is shown net to Rubellite’s working interest Slide 15 1. See “Drilling Locations” in the Advisories 2. All the land and the drilling locations shown are net to Rubellite’s working interest 3. Payout is a n
Slide 41: Slide Notes (continued)
Slide Notes (continued) Slide 16 1. See “Drilling Locations” in the Advisories 2. All the land and the drilling locations shown are net to Rubellite’s working interest 3. “PPUD” means locations that have been booked in the proved plus probable undeveloped category in the McDaniel Reserve Report 4. "
Slide 42: Slide Notes (continued)
Slide Notes (continued) Slide 18 1. See “Drilling Locations” in the Advisories 2. All the land and the drilling locations shown are net to Rubellite’s working interest 3. "McDaniel" means McDaniel & Associates Consultants Ltd., independent qualified reserves evaluators 4. “McDaniel Reserve Report” m
Slide 43: Slide Notes (continued)
Slide Notes (continued) Slide 22 1. See “Drilling Locations” in the Advisories 2. Capital is a non-GAAP measure. See “Non-GAAP and other Financial Measures” in the Advisories 3. Net debt is a non-GAAP measure. See “Non-GAAP and other Financial Measures” in the Advisories 4. Copies of the Company’s c
Slide 44: Slide Notes (continued)
Slide Notes (continued) Slide 25 1. See “Drilling Locations” in the Advisories 2. Capital is a non-GAAP measure. See “Non-GAAP and Other Financial Measures” in the Advisories 3. All the land and the drilling locations shown are net to Rubellite’s working interest 4. Free funds flow is a non-GAAP mea
Slide 45: Advisories
Advisories General This Corporate Overview (this "presentation") of Rubellite Energy Corp. ("Rubellite" or the "Company") is for discussion and information purposes only and any unauthorized use is strictly prohibited. These materials should be read in conjunction with the Company’s most recently fi
Slide 46: Advisories (continued)
Advisories (continued) N on-GAAP and Other Financial M easures (continued) “Adjusted working capital” deficiency or surplus includes total current assets and current liabilities excluding short-term risk management contract assets and liabilities related to the Company’s risk management activities.
Slide 47: Advisories (continued)
Advisories (continued) Non-GAAP Financial Ratios (continued) “Payout” is calculated as the time at which a well or project’s cumulative operating netback equals total capital expenditures. “Before payout” or “BPO” is the working interest before the point in time when the well has recovered from prod
Slide 48: Advisories (continued)
Advisories (continued) Undue reliance should not be placed on forward-looking information, which is not a guarantee of performance and is subject to a number of risks or uncertainties, including without limitation those described herein and under "Risk Factors" in Rubellite’s most recently filed Ann
Slide 49: Advisories (continued)
Advisories (continued) Reserve Data and Other M etrics There are numerous uncertainties inherent in estimating quantities of crude oil, natural gas and natural gas liquids ("NGL") reserves and the future cash flows attributed to such reserves. The reserve and associated cash flow information set for
Slide 50: Advisories (continued)
Advisories (continued) Oil and Gas R eserve Definitions Reserves: are estimated remaining quantities of crude oil and natural gas and related substances anticipated to be recoverable from known accumulations, as of a given date, based on the analysis of capital assumptions, and engineering data; the
Slide 51: Advisories (continued)
Advisories (continued) BOE Volum e Conversions Barrel of oil equivalent (“boe”) may be misleading, particularly if used in isolation. In accordance with NI 51-101, a conversion ratio for conventional natural gas of 6 Mcf:1 bbl has been used, which is based on an energy equivalency conversion method
Rubellite Energy — Investor Presentation (March 2025) on 6ix