Investor Presentation September, 2016 1 *Rig 580, Oklahoma SCOOP - PowerPoint PPT Presentation

Investor Presentation September, 2016 1 *Rig 580, Oklahoma SCOOP

Forward-looking statements Certain statements contained in this presentation, including statements that contain words such as "could", "should", "can", "anticipate", "estimate", "intend", "plan", "expect", "believe", "will", "may", "continue", "project", "potential" and similar expressions and statements relating to matters that are not historical facts constitute "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 (collectively, "forward-looking information and statement"). In particular, forward looking information and statements include, but are not limited to, the following: our contract log for 2016 and 2017; expectations on the delivery of 2 additional rigs to Kuwait; our capital expenditure plan for 2016; and the potential amount in annual fixed cost savings due to the steps taken by Management to position Precision for a prolonged downturn. These forward-looking information and statements are based on certain assumptions and analysis made by Precision in light of our experience and our perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. These include, among other things: low oil and natural gas prices will continue to pressure customers into reducing or limiting their drilling budgets; the status of current negotiations with our customers and vendors; continuing demand for Tier 1 rigs; customer focus on safety performance; existing term contracts being neither renewed nor terminated prematurely; our ability to deliver rigs to customers on a timely basis; and the general stability of the economic and political environments in the jurisdictions where we operate. Undue reliance should not be placed on forward-looking information and statements. Whether actual results, performance or achievements will conform to our expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results to differ materially from our expectations. Such risks and uncertainties include, but are not limited to: volatility in the price and demand for oil and natural gas; fluctuations in the demand for contract drilling, well servicing and ancillary oilfield services; our customers’ inability to obtain adequate credit or financing to support their drilling and production activity; changes in drilling and well servicing technology which could reduce demand for certain rigs or put us at a competitive disadvantage; shortages, delays and interruptions in the delivery of equipment supplies and other key inputs; the effects of seasonal and weather conditions on operations and facilities; the availability of qualified personnel and management; a decline in our safety performance which could result in lower demand for our services; changes in environmental laws and regulations such as increased regulation of hydraulic fracturing or restrictions on the burning of fossil fuels and greenhouse gas emissions, which could have an adverse impact on the demand for oil and gas; terrorism, social, civil and political unrest in the foreign jurisdictions where we operate; fluctuations in foreign exchange, interest rates and tax rates; and other unforeseen conditions which could impact the use of services supplied by Precision and Precision’s ability to respond to such conditions. Readers are cautioned that the forgoing list of risk factors is not exhaustive. Additional information on these and other factors that could affect our business, operations or financial results are included in reports on file with applicable securities regulatory authorities, including but not limited to Precision’s Annual Report, Annual Information Form and 40- F for the year ended December 31, 2015, which may be accessed on Precision’s SEDAR profil e at www.sedar.com, under Precision’s EDGAR profile at www.sec.gov, or on our website at www.precision.com. The forward-looking information and statements contained in this presentation are made as of the date hereof and Precision undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a results of new information, future events or otherwise, unless so requires by applicable securities laws. 2

Historical North American Drilling Activity U.S. Land Rig Count Canadian Land Rig Count 10 Year History 5 Year History 800 2,000 1804 2014 Average Active Rigs 700 1,800 600 1,600 1,400 500 1,200 943 400 2015 Average Active Rigs 378 1,000 2014 Average 300 Active Rigs 189 2015 Average 800 +28% Active Rigs 200 increase in rig count since 600 May lows 100 107 461 400 2016 Year to 2016 Year to Date Average Date Average 0 200 January February March April May June July August September October November December Jan, 2006 Jan, 2008 Jan, 2010 Jan, 2012 Jan, 2014 Jan, 2016 Jan, 2018 3 Source: Baker Hughes land rig count as of September 2 nd , 2016

Market Share Growth 300 Precision continues to deliver High Performance, High Value services, operating the second most active PD Active North American Drilling Rigs 250 Canadian Based Peer A fleet in North America. U.S. Based Peer B U.S. Based Peer C U.S. Based Peer D 200 150 100 50 0 Jan/15 Jul/15 Jan/16 Jul/16 Sep/16 4 Peers A, B, and C operate in Canada and the U.S. Peer D operates only in the U.S.

Precision Responding to Improving Outlook  Reactivated 25 rigs in Canada from low of 10 rigs to 35 rigs  Reactivated 10 rigs in the U.S. from low of 21 rigs to 31 rigs  Filled ~600 positions 100 Reactivated 35 80 Rigs 60 Canada 40 20 U.S. 0 Jan Feb Mar Apr May Jun Jul Aug Sep 2016 Precision Average Active Rigs 5

Financial Performance – Precision’s Resilient Margins Six months ended June 30 Fiscal 2016 2015 2015 ($ in millions) Revenue $466 $847 $1,556 EBITDA $122 $252 $474 Margin 26% 30% 30% Drilling Utilization Days Canada 5,197 8,557 17,238 U.S. 5,084 12,416 21,172 International 1,400 2,263 4,084 Total Days 11,681 23,236 42,494 6 6 *Rig 575, Permian

Precision’s 2016 Strategic Priorities Manage strong liquidity position Sustain High Performance, High Value competitive positioning Position for a rebound 7

Manage Strong Liquidity Position Available liquidity as of 6/30/2016 1 $731 Million $456 Million $1.2 Billion Revolver/ Operating Cash Facilities Availability (Matures June 3, 2019) Attractive Capital Structure 2 Net debt to total capital: 39%  Interest coverage: 2.5x  Long maturity, low cost debt Average interest rate of 6.2%  First Principal Payment due 2019 3 2019: $200 million  2020: US$650 million  2021: US$390 million  2024: US$400 million  *Rig 570, Duvernay 1) Calculated as undrawn portion of revolver (adjusted for LCs outstanding) and cash using CAD/USD exchange rate and balance sheet numbers as at 6/30/2016. 2) Statistics refer to balance sheet and trailing twelve months income statement as of 6/30/2016. Net debt to total capital equals ratio of long-term debt less cash to long-term debt less cash plus equity. Interest coverage equals EBITDA divided by interest. Available liquidity, adjusted for amendment of revolver post quarter end. 8 3) Current blended cash interest cost of our debt is approximately 6.2%.

Sustain High Performance, High Value Competitive Advantage Signed Four Term Contracts in Late Q2  2016, Improving 2017 Visibility Reactivated 35 Rigs Throughout North  America, including the Permian, Niobrara, Marcellus, Viking, Canadian Bakken, Montney, Duvernay Majority of the Rigs Reactivated have  been Super Triple 1500s in the U.S. and Super Triple 1200s in Canada Currently Operating 66 Rigs in North  America, 11% Market Share – up from 8% Market Share in Q3 2014 *Rig 556, Louisiana, Drilling with fully integrated Directional Drilling services 9

Position for the Rebound – Toughnecks Recruiting Program 102,224 Applications processed 2013-2015 (10,000 Applications in 2016 1 ) 1,200 – 1,400 Screened candidates in the system – ready to work 1 536 Drillers ~50% at lower positions 1 275 Rig Managers ~50% at lower positions Rig Placement Targeted System Brand & Selection Screening New Hire Advertising Interviews & Testing 35 drilling rigs reactivated from Q2 lows, ~600 positions filled *Houston training rig 10 10 1. As of June 30 th 2016.

Position for the Rebound – 238 High Performance Super Series Rigs  $2.8 Billion in Drilling Expansion and Upgrade Capital Investment from 2011 – 2016E  Super Series Rigs Designed for Today’s Unconventional Development Drilling Programs 1,2,3 118 Tier 1 Rigs Added 8 6 International $702 Expansion 5 & Upgrade $619 2 Capital 2 U.S. 101 101 $530 88 79 72 2 $409 $359 52 Canada 128 129 125 119 $160 114 90 2011 2012 2013 2014 2015 2016E 2011 2012 2013 2014 2015 2016E As of July 21 st 2016 - Includes 2 newbuild rigs for Kuwait to be delivered late 2016. Excludes 16 upgrade candidates. 1) 2) Includes 97 newbuild rigs and 21 major upgrades. 11 11 3) Decommissioned 36 rigs in 2011, 52 rigs in 2012, 29 rigs in 2014 and 79 rigs in 2015 – total of 196 rigs.