Saturn Oil & Gas (SOIL) investor relations material

Strategic evolution and growth

• Production has grown from 200 bpd in June 2021 to 45,000 bpd, focusing on light oil in Saskatchewan and central Alberta.

• Asset acquisitions during market downturns, never paying more than 2x cash flow, have driven expansion.

• Emphasis on measured, balanced capital allocation, avoiding aggressive CapEx swings despite oil price volatility.

• Over 20 years of drilling inventory and a focus on sustainability and operational resilience.

• Prioritizes per-share value creation through debt reduction, share buybacks, and reserve growth.

Operational efficiency and asset management

• Operating costs on acquired assets reduced from CAD 24-25 to CAD 19-19.5 per barrel within six months.

• Maintains low corporate decline rates (22%-23%) and invests in waterfloods to further reduce declines.

• Three core areas: Central Alberta (Cardium), West Central Saskatchewan (Viking, Cantuar, Battrum), and Southeast Saskatchewan (crown jewel with extensive infrastructure).

• Southeast Saskatchewan offers high netbacks, low costs, and significant infrastructure, supporting organic and acquisition-driven growth.

• Open hole multilateral drilling is a major growth driver, with several hundred locations and high net present value.

Capital allocation and shareholder returns

• Opportunistic approach to capital: repurchased debt at a discount and executed share buybacks, resulting in significant market cap gains.

• Reduced debt by over CAD 110 million and repurchased over 8% of outstanding shares in the past year.

• Focuses on maximizing free cash flow and reserves per share, with current reserves exceeding 200 million barrels and 180 million shares outstanding.

• PDP NAV per share exceeds CAD 5.5, with shares trading at deep value relative to peers.

• Plans to continue buybacks, debt reduction, and incremental production growth if oil prices remain strong.