INVESTOR PRESENTATION September 2019 FORWARD LOOKING STATEMENTS - PDF document

INVESTOR PRESENTATION September 2019

FORWARD LOOKING STATEMENTS This document contains statements that constitute forward-looking statements within the meaning of applicable securities legislation. These forward-looking statements include, among others, the Company’s prospects, expected revenues, expenses, profits, expected developments and strategies for its operations, and other expectations, beliefs, plans, goals, objectives, assumptions, information and statements about possible future events, conditions, results of operations or performance. These forward-looking statements are identified by their use of terms and phrases such as “anticipate,” “achieve”, “achievable,” “believe,” “estimate,” “expect,” “intend”, “plan”, “planned”, and other similar terms and phrases. Forward-looking statements are based on current expectations, estimates, projections and assumptions that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks and uncertainties include: fluctuating prices for crude oil and natural gas; changes in drilling activity; general global economic, political and business conditions; weather conditions; regulatory changes; and availability of products, qualified personnel, manufacturing capacity and raw materials. If any of these uncertainties materialize, or if assumptions are incorrect, actual results may vary materially from those expected. 2

AGENDA Canadian Industry Company Overview Overview and and Ongoing Near Term Investment Trican’s Business Market Outlook Summary Competitive Transformation Positioning 3

TRICAN OVERVIEW

WHAT WE DO  Focused in Canada, Trican has a highly trained workforce Completion Drilling dedicated to safety and Cycle Cycle operational excellence who Fracturing provide a comprehensive array Cementing Coil Tubing Services of specialized products and Fluid Management services using equipment required for the exploration and development of oil and gas Production reserves Full Cycle Cycle  Trican has been servicing wells Technical Coil Tubing Expertise in western Canada for more Acidizing Customer than 22 years Pipeline Services Engineering Support Reservoir Expertise Industrial Services  Trican service lines cover 60% Chemical Services Laboratory Services to 70% of a typical well cost. Remedial Cementing 5

BUSINESS TRANSFORMATION: 2015 AND ONGOING EFFORTS  The 2014 oil supply glut, required Trican Restructure Refocus take decisive action  The Company’s actions have positioned Trican to weather and take advantage of near-term North American energy market Returns Right Size turbulence 6

TRICAN STRENGTH: FINANCIAL STRENGTH & RESILIENCY Debt / Tangible Capital  Company has deleveraged by more than $700 0.60 $800 million and improved asset coverage relative to Debt / Tangible Capital $700 Total Debt (millions) 0.50 2015 cyclical low $600 0.40 $500 0.30 $400  Monetizing stranded capital by selling $300 0.20 permanently idled assets $200 0.10 $100 - $  $nil debt less cash at June 30, 2019 Q1/15 Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18 Q1/19 Q2/19  Financial position allows opportunistic evaluation Total Debt (RHS) Debt / Tangible Capital (LHS) of investment opportunities in volatile North American energy market Canadian Results ($millions) $1,200  Lowered fixed costs and increased proportion of $1,000 $800 variable costs to make the company more resilient $600 during a down cycle $400 $200  Continue to evaluate prudent options to diversify $0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 our revenue streams and cash flow resiliency of Revenue Adjusted EBITDA through the cycles See non-GAAP measure Adjusted EBITDA as more fully described in Trican’s MD&A. 7

TRICAN STRENGTH: DIVERSIFIED SERVICE LINES Market Leading Positions  Canadian market leader in fracturing services (based Trailing 12 Month Revenues: on market share) Service Line Breakdown  Canadian market leader in cementing services Industrial Services, (based on market share) Fluid 1% Other, 4% Management, 4%  Supporting service lines: coil tubing, nitrogen, acid, Coil Services, 6% water management services, pipeline and industrial services Cementing, 16% Strong Financial Position  2018 revenue of $900 million Hydraulic Fracturing, 69%  H1 2019 revenue of $356 million  Market capitalization $289 million (September 5, 2019)  Cash exceeded debt by $12 million at June 30, 2019

TRICAN STRENGTH: DRIVING EFFICIENCY IN THE CANADIAN MARKET  Deliver exceptional customer service • Drive efficiency in our business to lower our costs and the cost to our customers • Integrate small service lines with larger business lines to improve cost structure and customer efficiency • Reduce product chemistry costs resulting in lower well costs for our customers  Ongoing innovations • Large natural gas dual fuel fleet (149,000 HHP) in western Canada to help reduce well costs and GHGs • Introducing new technology to reduce tractors on location which will provide fuel savings, result in less engine hours, and reduce GHGs • Implemented large bore treating iron, reducing repair and maintenance costs • Implementing equipment monitoring technology that will reduce repairs and extend equipment life through data management • Developed new cement blends to lower costs to customers • Lowered Fracturing product costs through implementation of new fluid systems 9

TRICAN STRENGTH: RIGHT FRACTURING FLEET  Large dual fuel fleet to offer fuel savings: 149,000 HHP of natural gas bi-fuel pumps Fracturing Type of Pump Pump HHP % of  Largest fleet of continuous duty pumps; Fleet (#) Fleet most efficient style of fracturing pump, Continuous 2,700 / 3,000 HHP 126 344,700 58% Duty designed for higher well service intensity plays: Mid Tier 2,500 HHP 95 237,500 40% • Equipment is well maintained, hot Legacy 2,250 HHP 5 11,250 2% stacked and requires no capex to activate Total Fracturing 226 593,450 • Allows Trican to continue to efficiently Fleet operate in the highest service intensity resource plays: Montney, Duvernay See MD&A for definition of Fracturing Fleet terms; Dual fuel HHP includes delivery of 10 retrofitted pumps for September / October and Deep Basin (estimated to account for ~ 80% of the required HHP demand in Canada) 10

TRICAN STRENGTH: ALIGNING COST STRUCTURE TO NEW CANADIAN MARKET  To align our business to the new post 2015 Canadian market dynamics and lower average well counts: • Merged with Canyon, ~ $55 million of Synergies • Modernized system infrastructure to support further business optimization • Since 2017, sold $45 million of excess property and equipment at values approximating net book value • Realized $25 million cost reductions since late 2018 11

TRICAN STRENGTH: ALIGNING COST STRUCTURE TO NEW CANADIAN MARKET  To align our business to the new post 2015 Canadian market dynamics and lower average well counts: • Implementing cost reductions of an additional $15 million in Q4 to align with the current Canadian well count of ~ 5,000 wells - Closed two cement locations in late June and consolidating locations in Red Deer, Grande Prairie and Nisku - Reduced fracturing crews to approximately 8 fleets from 10.5 last year - Reduced cement trucks to 22 from 26 to better align with reduced average drilling rig count (cement activity aligns with rig count) - Added 2 coil units to improve leverage on coil fixed cost structure • Targeting $12 million additional cost savings through lean initiatives in the next 6 months Field and Shared Service / SG&A Employee 12 10 1-Jul 9.4 8 Dec-18 Dec-15 8.2 5.5 6 Dec-17 6.5 4 Dec-16 4.4 2 0 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18 1-Mar 1-Jun Field & Shared Service / G&A Yearly Avg Field & Shared Service / G&A Expon. (Field & Shared Service / G&A) 12

TRICAN STRENGTH: FRACTURING COMPETITIVE LANDSCAPE IMPROVING  Canadian competitive landscape much better than U.S. market  Supply is dropping which will balance market quicker than anticipated Hydraulic Capacity Active Fleets Horsepower Crewed  (HHP) Equipment capacity down approximately 275,000 HP since Q1; continues to drop Trican 593,450 347,000 8 Competitor A 306,000 190,000 5  Trican and industry will not staff additional capacity until prices Competitor B 298,000 170,000 6 improve Competitor C 190,000 175,000 3  Estimated industry demand of ~1,000,000 HHP average in Q319 Competitor D 250,000 140,000 3 • Approximately 70 to 75% utilization Competitor E 263,000 175,000 5  Approximately 980,000 HHP overcapacity in the basin (unstaffed) Competitor F* 80,000 75,000 4 and 237,000 HHP overcapacity (staffed) Competitor G* 50,000 50,000 4 • Roughly 6 larger staffed fleets 2,030,450 1,322,000 38 • Roughly 18 larger total fleets • Roughly 50 additional rigs in deeper plays uses all capacity in basin * Smaller crews not suitable for all higher intensity plays (~30% increase in activity) Source: Competitor company reports, internal company data, and internal estimates • An increase in the average rig count by approximately 25 rigs would absorb all excess staffed equipment (6 fracturing crews) 13