Saturn Oil & Gas Inc. · TSX:SOIL
Saturn Oil & Gas — Investor Presentation (May 2025)
31 slides from Saturn Oil & Gas's investor presentation, May 2025
Slide 1: A Proven Blueprint for Unlocking Value
OTCQX: OILSF TSX: SOIL A Proven Blueprint for Unlocking Value. May 2025 CORPORATE PRESENTATION
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements All forward-looking statements are based on Saturn's beliefs government policy changes; uncertainties associated with and assumptions based on information available at the time credit facilities and counterparty credit risk; and changes in This presentation is f
Slide 3: Deploying the Saturn Blueprint
Deploying the Saturn Blueprint Saturn is an oil-weighted producer focused on expanding per share metrics through the development of our low-decline, long runway asset base in Saskatchewan & Alberta How Our Blueprint Unlocks Value: • Track record of acquiring assets at attractive valuations and integ
Slide 4: About Saturn: How We Stand Out
About Saturn A Returns-Driven Canadian Energy Company Focused on the Efficient and Innovative Development of High-quality, Light Oil Weighted Assets Three diversified, light oil, core operating How We Stand Out areas across 1,800 net sections of land Diversified Asset Base • ~85% high-value light oi
Slide 5: Corporate Profile
Corporate Profile Saturn is a Low Decline, Low Royalty, Light Oil Producer Leveraging Our Saskatchewan Advantage 3 - Y E A R P R O D UC T I O N H I S T O R Y ( M B o e / d ) Financial & Operational (TSX: SOIL | OTCQX: OILSF) 41.7 41,680 Shares Outstanding1 (Basic) 196.2 MM 41.1 BOE/D 39.0 Basic Mark
Slide 6: Building On the Saturn Blueprint
Building On the Saturn Blueprint Positioning Saturn with Ongoing Financial Flexibility to Continue Delivering Shareholder Value 01. Acquire 02. Optimize 03. Reduce 04. Repeat Net Debt Acquire Optimize Reduce Net Debt Repeat mid-life cycle assets at attractive to reduce costs, improve targeting ≤1.0x
Slide 7: Saturn's Blueprint in Action: Growth Trajectory
Saturn’s Blueprint in Action: Growth Trajectory Asset Base Growth & Production Expansion Increases Ability to Generate Free Cash Flow 2021 2022 2023 2024 2025 Acquisitions June 2021 July 2022 February 2023 June 2024 resulted in a Oxbow Viking Ridgeback Battrum/Flat Lake diversified asset (SE Saskatc
Slide 8: Fueling Free Cash Flow with Strategic Growth
Fueling Free Cash Flow with Strategic Growth Repeated Success Completing Accretive Acquisitions That Drive Strong Free Funds Flow A D J US T E D FU N D S FL O W ( “ A FF” ) 1 G R O W T H Millions $ Capital Return $ 443.0 AFF1 in Last 12 Months MM Framework 131.1 131.1 129.2 • Share buybacks commence
Slide 9: Highlights from a Record Quarter: Q1/25
Highlights from a Record Quarter: Q1/25 Applying Saturn’s Innovative Optimization OPERATING NETBACK GROWTH Approach Contributes to Margin Expansion OPERATING & TRANSPORTATION COSTS 1 ($/BOE) $60 63% Operating netback $120 Operating Expenses Transportation Expenses Operating Netback, Net of Derivativ
Slide 10: Systematic Net Debt Reduction
Systematic Net Debt Reduction Growing Free Funds Flow Supports 10% Annual Principal Prepayment on Sr. Notes (2.5%/quarter)2 FO R E C A S T N E T D E B T / FR E E FU N D S FL O W 1 2 0 2 5 - 2 0 2 7 Meaningful Liquidity Supports Flexibility 800 170 • ~$230MM of liquidity (Mar 31/25) comprised of ~$80
Slide 11: Mitigating Risk
Mitigating Risk Robust Risk Management Program to Secure 50% 30% Cash Flow Stability, Mitigate Commodity and FX Price Risks ~ ~ oil and liquids volumes oil and liquids volumes Hedging Program hedged in 2025 hedged into 2026 Protects Balance Sheet (net of royalties) (net of royalties) • Hedge 55-60%
Slide 12: Saturn's Operations
Saturn’s OTCQX: OILSF Operations TSX: SOIL ~2.3 K • Focus on mid-life cycle assets with high oil weighting Identified Drilling Locations1 • Similar full and half cycle costs since ~18 Yrs infrastructure already built out Years of • Assets feature low decline, lower cost, Development Inventory repeat
Slide 13: Southeast Saskatchewan
Southeast Saskatchewan Anchor Area with High Rate of Return, Abundant Seismic Coverage, Large Scale Owned Infrastructure Overview Area Map Play Types: • Bakken at Viewfield Oxbow OHML • Conventional Mississippian: Midale, Frobisher, Tilston, Bakken Wells Spearfish at Oxbow • Torquay, Oungre + Bakken
Slide 14: West Saskatchewan
West Saskatchewan Resource Plays, Repeatability, Steady Production and Cash Flow Overview Area Map Play Types: • Viking at Kindersley, Herschel and Plato Kindersley Herschel • Lower Shaunavon at Battrum • Waterflooding the Viking at Battrum • Kindersley • Herschel 2025 Capital Development Focus: • P
Slide 15: Central Alberta
Central Alberta Resource Play, Large Prospect Inventory, Significant Expansion Potential Overview Area Map Play Types: • Cardium at Brazeau (W./E. Pembina) and Lochend 7-30 Pad • Montney oil window at Kaybob Montney Wells Kaybob 2025 Capital Development Focus: • Kaybob • West Pembina W. Pembina Incr
Slide 16: 2025 Guidance (Dec 2024)
2025 Guidance (Dec 2024) 2 0 2 5 P R O D UC T I O N P R O FI L E : B A S E + D E V E L O P M E N T 85% of 2025 budget is allocated to activities that add new volumes, 45,000 2025 Avg Production1 with capital expenditures, production levels and free funds flow 40,000 35,000 generation interconnected,
Slide 17: Continued Return of Capital in 2025
Continued Return of Capital in 2025 Phased capital return framework prioritizes net debt reduction, Key Assumptions 2025 shareholder returns and growing production per share, including WTI Oil Price (USD / Bbl) $70.00 through tuck-in acquisitions FX (CAD / USD) 0.72x AECO (CAD / GJ) $2.50 WCS – WTI
Slide 18: Peer Comparison & Research Coverage
Peer Comparison & Research Coverage UN H E D G E D D E B T A D J U S T E D FR E E C A S H FL O W Y I E L D 1 , 3 2 0 2 5E 2 0 2 5E E V / D A C F 2 , 3 14% 5.0 12% 4.0 10% Avg: 3.2x 3.0 8% 6% Avg: 4.5% 2.0 4% 1.0 2% 0% 0.0 1 SOIL 2 3 4 5 6 7 8 9 10 11 12 13 14 1 2 SOIL 3 4 5 6 7 8 9 Peer Group Peer G
Slide 19: The Saturn Investment Opportunity
The Saturn Investment Opportunity 01. 02. 03. Diversified Downside Compelling Asset Base Protection Upside • ~85% weighted to high-value • Discounted valuation + higher • Potential for rerate with light oil & liquids free funds flow yield vs peers ongoing deleveraging • Low ~22% production decline •
Slide 20: Appendix
Appendix SATURN OIL + GAS | CORPORATE PRESENTATION TSX: SOIL | OTCQX: OILSF 20
Slide 21: Robust 2024 Reserves Expansion
Robust 2024 Reserves Expansion RESERVES GROWTH HISTORY (MMBOE) 250 2024 Organic* Additions PDP 1P 2P 200 $5.56 $8.36 $13.77 • PDP of 6.3 mmboe +38% vs 2023 NAV PER BASIC SHARE3 • 1P of 6.8 mmboe • 2P of 10.6 mmboe 150 * Excluding acquisitions • Expanded inventory of drilling opportunities, with >1,1
Slide 22: Three Year Outlook Pillars
Three Year Outlook Pillars Committed to Long-Term Resilience, Financial Strength, and Deploying our Saturn Blueprint RESPONSIBLE DEVELOPMENT FREE FUNDS FLOW FOCUS BALANCE SHEET OPTIMIZATION 38,000 to 40,0001 450 to $475 MM 40% Reduction boe/d (~85% oil & liquids) free funds flow2,5 over 3 years in n
Slide 23: Management
Management A Long History of Value Creation in the Oil & Gas Production Space John Jeffrey Justin Kaufmann Scott Sanborn Grant MacKenzie Chief Executive Officer Chief Development Officer Chief Financial Officer Chief Legal Officer Former CFO and founding partner Former Manager of Axiom Group Former
Slide 24: Management
Management A Long History of Value Creation in the Oil & Gas Production Space Jamie Kuntz Tyler Cheetham Joel Robertson Cindy Gray VP Operations VP Land Controller VP Investor Relations Former Facility & Pipeline Former Senior Landman roles at Over 10 years of oil and gas focused Former CEO and Foun
Slide 25: Directors
Directors Sound Governance and Strategic Oversight John Jeffrey, MBA, BA Dr. Thomas Gutschlag ▪ Former CFO and founding partner of Axiom Group ▪ Chairman, Cofounder and former CEO/CFO of Deutsche Rohstoff AG, a public company listed on the Frankfurt Stock Exchange with a focus on oil and gas develop
Slide 26: Saturn's Community Involvement
Saturn’s Community Involvement Driving Positive Change Through Diversified Partnerships, Donations, and Volunteering Fostering Healthy and Some of Our Previous and Ongoing Support has Included: Vibrant Communities Saturn is committed to driving positive change through strategic partnerships and targ
Slide 27: Disclaimer: Oil & Gas Advisories
Disclaimer Oil & Gas Advisories Information Regarding Disclosure on Oil and Gas Operational Capital Expenditures from operating activities before changes in non-cash Saturn uses development capital expenditures to monitor working capital, decommissioning expenditures and Information and Non-IFRS Mea
Slide 28: Disclaimer: Oil & Gas Advisories
Disclaimer Oil & Gas Advisories Net Debt on earning processing and other infrastructure-based average production, and the three year Outlook forecast the rates at which such wells will continue production and Net debt is a key capital management measure as it is used revenues, and as such third-part
Slide 29: Disclaimer: Oil & Gas Advisories
Disclaimer Oil & Gas Advisories Oil and Gas Metrics & Reserve "FD&A Cost" represents finding, developing and acquisition "Probable" reserves are those additional reserves that are Reserve Assumptions: Reserve evaluation calculations are cost as calculated as the sum of 2024 capital expenditures less
Slide 30: Supplemental Information Regarding Corporate Reserves
Disclaimer Oil & Gas Advisories SUPPLEMENTAL INFORMATION REGARDING CORPORATE RESERVES 1 Light and Medium Crude Oil (Mbbl) Heavy Crude Oil (Mbbl) Conventional Natural Gas (MMscf) Natural Gas Liquids (Mbbl) Total MBOE (Mboe) Reserves Category Gross Net Gross Net Gross Net Gross Net Gross Net Proved De
Slide 31: Head Office
TSX: SOIL | OTCQX: OILSF Head Office Saturn Oil & Gas Inc. Suite 2800, 525 – 8th Ave SW Calgary, Alberta T2P 1G1 info@saturnoil.com 403.268.7800 SATURN OIL + GAS | CORPORATE PRESENTATION TSX: SOIL | OTCQX: OILSF 31