Obsidian Energy Corporate Presentation November 2017 Important - PowerPoint PPT Presentation

Obsidian Energy Corporate Presentation November 2017

Important Notices to the Readers This presentation should be read in conjunction with the Company's audited consolidated financial statements, management's discussion and analysis ("MD&A") for the three and nine months ended September 30, 2017. All dollar amounts contained in this presentation are expressed in millions of Canadian dollars unless otherwise indicated. Certain financial measures included in this presentation do not have a standardized meaning prescribed by International Financial Reporting Standards (“IFRS”) and therefore are considered non -generally accepted accounting practice ("non-GAAP") measures; accordingly, they may not be comparable to similar measures provided by other issuers. This presentation also contains oil and gas disclosures, various industry terms, and forward-looking statements, including various assumptions on which such forward-looking statements are based and related risk factors. Please see the Company's disclosures located in the Appendix at the end of this presentation for further details regarding these matters. 2 ObsidianEnergy.com | TSX/NYSE: OBE

Obsidian Energy Corporate Profile Corporate Metrics Peace Share Price $/share $1.37 River Oct. 31st, 2017 4,823 boe/d OBE-TSX Daily Volume MM 1.0 % of shares outstanding 0.2% OBE -NYSE Daily Volume MM 1.0 % of shares outstanding 0.2% Market Capitalization $MM $690 Deep Basin Cardium Net Debt $MM $410 New Wells on Q4 2017 18,876 boe/d Enterprise Value $MM $1,100 Q3 2017 Operating Metrics Production boe/d 30,166 % Liquids % 62% Index Map Operating Costs $/boe $12.26 Alberta Netback $/boe $18.70 Viking 1,766 boe/d 2017 Capital Budget $MM $160 Operating cost are net of carry and netbacks include hedging Legacy Asset Production of 4,701 boe/d Note: Production numbers as of Q3 2017 See end notes 3 ObsidianEnergy.com | TSX/NYSE: OBE

A Balanced Portfolio with Significant Optionality Car ardi dium Meaning eaningful ul Free ee Cash h Flow w Gener neratio ation Wate terfloo flood Appro proach ch with h Primar mary y Optio tional nality ity LOW DECLINE BASE Peace ace Ri River PRODUCTION & STABLE CASH FLOW Manu nufac factur ured ed Cold ld Flow, w, High gh Rate te & L Low Cost Multip ltiple le Egres ess s Optio tions ns BALANCED SHORT & INTERMEDIATE CYCLE Alberta rta Viking DEVELOPMENT Short t Cycle le Inves estm tmen ent t to Togg ggle le Growth wth LIQUIDS WEIGHTED, Industr dustry y Lead ading ing Initia ial l Productio ction n Rate tes SUSTAINABLE Deep p Basin GROWTH Multi lti Horizo izon n Pote tential ntial Focus cus Highl ghly y Eco cono nomic ic Mannv nnvill lle e Develo elopment ent 4

On Track to Meet all 2017 Guidance Metrics Q4 A&D Adj. FY 2017 Total Operating Production Production Expenditures Expenses boe/d boe/d $MM $/boe Reite teratin ing g On Track For 34,000 32,000 $180 $14.00 Total al Capita tal l On Double le Digit it High gh End of Track ack for Guid idan ance Growth th Guid idan ance $160 Operat atin ing Costs ts on $140 30,500 31,500 track for Guid idanc ance $120 $13.50 $100 27,000 31,000 $80 Total $60 $13.00 Expenditures Operating Cost 23,500 Guidance $160 30,500 $40 Guidance Production $13.00 - $13.50 Guidance $20 30,500 - 31,500 20,000 $0 $12.50 30,000 Total Expenditures Guidance Q4 2016 Q4 2017 *Net of Peace e River Guidance r Carry See end notes 5 ObsidianEnergy.com | TSX/NYSE: OBE See end notes

Low Decline Rate Underpins Growth 16% Corporate Base Production Decline Rate Cardium Asset Under Historical Waterflood Capital Efficiencies of $6,500/boe/d on 2017 Optimization Projects Optimization of existing base wellbores Corporate Base Production boe/d 35,000 30,000 25,000 (boe/d) 22% 22 % Base + 2017 17 Develop elopmen ment Decline ne Rate te 20,000 2017 17 Base Product ction & 2017 17 Devel elopme ment Declines s 16% in 2019 19 16% Base e Decline e Rate 15,000 10,000 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Base Production 2017 Development 2018 Development See end notes 6 ObsidianEnergy.com | TSX/NYSE: OBE

Waterflood Performance is Impressive Pembina Waterflood Activity OBE Opera rate ted d Cardiu dium unit OBE Cardi dium land • Cardium Decline Rate lowered from Wate terf rflo lood d activ ivity ity since ce Q3 2016 Drilled 8 new Activ ively manage ged d inj. injectors in 2017 approximately 20% to 5% 2017 7 OBE well ll R10 R9W5 • Waterflood and base optimization projects initiated in 2016 T48 Cardium Base Production Decline boe/d Optimized Waterflood 20,000 T47 Actual 10 kms 17,500 Converted and reactivated 37 Decline 5% wells in PCU #9 since Q3 2016 Decline 20% 5 miles Drilled 8 new injectors to 15,000 support 2017 new drills Decline 10% Actively managing more than 120 existing injectors Decline 20% 12,500 10,000 Jan-16 Jul-16 Jan-17 Jul-17 Base with No Waterflood Support Base with Waterflood Support Actual Base Production with Waterflood and Optimization Support See end notes 7 ObsidianEnergy.com | TSX/NYSE: OBE

R10W5 R5 R5 Early Cardium Rates Above T50 Type Curve WILLESDEN GREEN • 11-03-43-8W5 Pad PCU #9 Program is PEMBINA >100 boe/d above type R8W5 curve T43 • Crimson (Willesden PCU#9 6-35-48-9W5 Pad R10W5 5 5 kms kms Green) wells on WILLESDEN 3 miles T45 GREEN production by year end T48 11-03-43-8W5 CARDIUM 4 well Hz pad Expected on production by YE 2017 T47 5 kms s 15 kms 3 miles 10 miles 100/15-02-48-9W5 On Production: 10/8/2017 Initial Stabilized Rate: 195 boe/d 102/13-02-48-9W5 INDEX X MAP On Production: 10/8/2017 Initial Stabilized Rate: 140 boe/d 103/14-02-48-9W5 OBE land T40 OBE producing well On Production: 10/8/2017 Industry HZ well Initial Stabilized Rate: 205 boe/d 8 ObsidianEnergy.com | TSX/NYSE: OBE

R10 R5 R5 R1W4 AB Viking 102/02-18-32-1W4 100/14-06-33-2W4 On Production: 9/5/2017 On Production: 9/15/2017 IP30: 218 boe/d IP30: 118 boe/d Program Percent Liquids: 39% Percent Liquids: 57% Continues to 102/01-30-32-2W4 100/02-18-32-1W4 On Production: 8/30/2017 On Production: 8/28/2017 IP30: 248 boe/d IP30: 295 boe/d T35 T35 Percent Liquids: 29% Percent Liquids: 50% Exceed Misty GP Expectations Compeer GP Esther GP Continuing to evolve development strategy to Monitor West GP GP enhance economics and maximize capital efficiency T30 T30 103/02-23-32-2W4 102/03-18-32-1W4 On Production: 9/27/2017 On Production: 10/3/2017 IP30: 296 boe/d IP30: 237 boe/d Percent Liquids: 46% Percent Liquids: 73% 102/02-23-32-2W4 100/03-18-32-1W4 On Production: 9/26/2017 On Production: 10/13/2017 IP30: 227 boe/d IP30: 212 boe/d Percent Liquids: 46% Percent Liquids: 76% INDE DEX MAP 15 kms T25 102/04-18-32-1W4 100/04-18-32-1W4 10 miles On Production: 10/7/2017 On Production: 10/11/2017 IP30: 179 boe/d IP30: 188 boe/d OBE gas plant Percent Liquids: 66% Percent Liquids: 76% OBE land 9 ObsidianEnergy.com | TSX/NYSE: OBE

R20W5 R15 PROP Program 100/15-34-83-18W5 104/16-36-82-18W5 On Production: 10/14/2017 On Production: 10/9/2017 IP25: 47 bopd IP22: 236 bopd Drill Cost: $74/m Drill Cost: $79/m Returned to 103/14-34-83-18W5 the Heart of On Production: 9/20/2017 1-5-83-17W5 Surface IP30: 201 bopd 2 Wells Drill Cost: $69/m TD Wells: 11/7/2017 Harmon 102/14-34-83-18W5 T85 T85 On Production: 9/21/2017 100/10-36-82-18W5 IP29: 79 bopd On Production: 10/29/2017 Valley South Drill Cost: $62/m First Oil: 11/6/2017 Harmon Valley Drill Cost: $84/m • 100/15-34-82-18W5 Economics still 100/04-36-82-18W5 On Production: 8/31/2017 On Production: 10/3/2017 attractive post carry IP30: 288 bopd Last 30 Days: 215 bopd Drill Cost: $65/m Drill Cost: $120/m • Harmon Well costs dropped 17% Valley South Seal in H2 versus H1 due to T80 T80 102/08-25-82-18W5 optimized well length On Production: 8/12/2017 100/02-27-82-18W5 and cheaper cost per Last 30 Days: 216 bopd On Production: 8/31/2017 Drill Cost: $120/m meter IP30: 78 bopd Drill Cost: $51/m 102/15-26-82-18W5 On Production: 9/20/2017 Last 30 Days: 302 bopd Drill Cost: $107/m INDE DEX MAP Obsidian Energy 55% Ownership OBE land 15 kms Acquired land in 2017 In the Peace River Oil Partnership 10 miles PROP See end notes 10 ObsidianEnergy.com | TSX/NYSE: OBE

100/02-03-044-09W5 MNVL R8W5 Deep Basin On Production: 10/26/2017 Initial Rate: 3.9 MMCFD, 33 bbl/mmcf free condensate 30 bbl/mmcf other liquids Results are Currently choked for liquids 100/14-30-043-07W5 MNVL Liquids Rich On Production: 8/30/2017 Initial Rate: 3.2 MMCFD, T44 8 bbl/mmcf free condensate 31 bbl/mmcf other liquids • Foray into Deep Basin executed on schedule and WILLESDEN on budget GREEN • Tested different upper Mannville targets with variable pressure and reservoir quality • 2 of 3 wells are flow rate restricted to optimize liquids rates T41 100/02-07-043-07W5 MNVL On Production: 10/12/2017 Initial Rate: 3.4 MMCFD, 38 bbl/mmcf free condensate INDEX MAP 10 kms 24 bbl/mmcf other liquids Currently choked for liquids 5 miles OBE land Obsidian Energy 80% Working Interest OBE operated Cardium unit See end notes 11 ObsidianEnergy.com | TSX/NYSE: OBE