Whitebark Energy : Investor Presentation

Corporate Update - ASX:WBE‌‌‌‌‌‌‌

DISCLAIMER

No representation or warranty, expressed or implied, is made by Whitebark Energy Ltd that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, Whitebark Energy, their officers, employees and advisers expressly disclaim any responsibility for the accuracy or completeness of the material contained in this presentation and exclude all liability whatsoever (including in negligence) for any loss or damage which may be suffered by any person as a consequence of any information in this presentation or any error or omission there from. Whitebark Energy do not have any responsibility to update any person regarding any inaccuracy, omission or change in information in this presentation or any other information made available to a person nor any obligation to furnish the person with any further information.

This presentation contains certain statements which may constitute "forward-looking statements". Whitebark Energy believe that the expectations reflected in these statements are reasonable. However such statements are only predictions and are subject to inherent risks and uncertainties and changes in the underlying assumptions which could cause actual values, results, performance or achievements to differ materially from those expressed, implied or projected in any forward-looking statements.

The information in this presentation is an overview and does not contain all information necessary for investment decisions. In making investment decisions investors should rely on their own due diligence and consult with their own technical, legal, tax, business and/or financial advisers.

All dates in this presentation are for calendar years unless stated FY for financial year and all references to $ are in Australian currency, unless stated otherwise.

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WBE : ASX'S NEWEST OIL AND GAS PRODUCER

Whitebark Energy Limited : (ASX : WBE)

• Low cost production with identified upside in Canada1;

  • Acquired a 20% working interest in Point Loma Resources' (TSX

    : PLX) production and exploration assets in Alberta, Canada.

  • Current production rate of 900boepd (gross) with plans to increase to >2,000boepd in the next 12 months.

• High impact exploration in Australia2;

  • Whitebark is earning a 15% working interest in the TP/15 joint venture in the North Perth basin.

  • Xanadu-1 is planned to be drilled in the September quarter with an un-risked recoverable resource of 160 MMbbls.
• Warro provides long term optionality3;

  • Contingent Resource of 1.5Tcf and Recoverable Prospective Resource of ~2.3Tcf.

  • Warro drilling and testing results analysis ongoing.

  • ASX Release - 11 April 2017

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  • ASX Release - 13 February 2017

  • ASX Release - 19 November 2015

ALBERTA, CANADA - A PREMIER ADDRESS

• World class province - 3.3 million bopd and 11Bcf/d.

• 200 rigs operating (3,500 wells/yr) + 1,250,000hp frac pumps.

• Proven, prolific hydrocarbon basin.

• Supportive government and community.

• Attractive regulatory and fiscal regime.

• Underutilised extensive infrastructure.

• Low cost operating environment:

  • Drilling costs low, Speedy approvals.

• Easy access to up-to-date independent technical data.

• Connected to USA gas pipelines

• Cultural similarities to Australia.

  Copyright 2002 PennWell MAPSearch

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  CANADIAN PRODUCTION STRATEGY

  Acquiring production assets characterised by:

  Attractive acquisition price (circa; $20k/flowing boe/d, 3x operating cash flow/annum);

  • Ability to increase profit by unlocking stranded production or drilling infill wells;

  • Leveraging off underutilised infrastructure;

  • Cashflow positive in the current environment, therefore low operating costs;

  • Working with someone we know and trust - historical successful relationship with operator and JV partner.

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    POINT LOMA ACQUISITION DETAILS

    • Whitebark has acquired a 20% working interest in Point Loma Resources' land, property, equipment and production facilities for A$4.9 million.

      • 210,000 net acre portfolio - 42,000 acres net to Whitebark.

      • Existing production of 900 boe/d (25% liquids).

      • 65 producing wells and approximately 70MMcf/d in gas plant capacity (50MMcf/d spare capacity).

      • Compressors, tank farms, production facilities, pipelines and associated infrastructure.

      • 1P Reserves of 3.9MMboe and 2P Reserves of 4.98 - 0.78MMboe and 0.996 MMboe net to WBE respectively.

    • Whitebark and Point Loma have agreed a work program for the next three months that includes drilling three wells.

    Announcements March 1

    Closing of Acquisition Oil & Gas Assets

    April 10

    JV Funding - Salt Bush (WBE)

    May 24

    PLX Placement - Evenergy

    Part of the Zhonecheng Group, one of the largest privately owned independent petroleum refinery, oil products and LPG distribution and retail companies in China.

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    RIGHT LOCATION, RIGHT COUNTRY

    Paddle River is ~100km from central Edmonton, population 900,000. 7

    SCHEMATIC VIEW OF OIL TARGETS

    1600m

    OSTRACOD ●D

    Mannville Reservoir

    Nordegg / Banff Sub Crop Plays

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    PADDLE RIVER PRODUCTION PROJECT 2017

    Three opportunities in one, repeatable throughout 210,000 acre land position.

• Acquire stranded oil wells (with pipeline)

• Recomplete and drill 2 - 3 wells

• Upgrade and optimise facilities

• Added Reserves: >1 mmbbls

• Higher Production: + 400bopd

• Reduce OPEX: $7/boe (OPEX target $12boe)

  1.6km / 1 mile

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  DRILLING OPPORTUNITIES - MULTIPLE ZONE OIL AND LIQUIDS RICH GAS FAIRWAY

  • Low cost horizontal wells lifting the performance of proven conventional plays.

  • Drill, complete and 15 stage frac - $1.5m (+ tie in - site specific).

  • Production rates increasing from 100boe/d to 200+boe/d, EUR 260mboe / well.

  • Well payback 1-1.5 years, IRR 88%, NPV10 $2.5m.

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  • 100's drilling locations on existing 210,000 acres.

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    Formation	Zone	Bypass pay drilling Opportunities (1)	Follow up Opportunities(1)
    Manville	Glauconite	17	104
    Ostracod	19	121
    Ellerslie	5	30
    Jurassic	Nordegg	8	58
    Rock Creek	3	18

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    (1)See Forward Looking Statements for additional definitions of locations and opportunities. Follow up

    opportunities are wells on industry standard spacing that would result from a successful drilling opportunity. 10

    CANADIAN WORK PROGRAM SUMMARY

  • Funded from Whitebark's initial proceeds of $4.9m to October 17

    Production Growth

    • Acquisition

      • Paddle Creek - stranded production.

      • SE - existing production with infill opportunities.

    • Development Drilling

      • Two firm development wells bringing on circa 400-500 boe/d.

        Infrastructure Enhancement - unlocking stranded assets

    • Tidewater gathering system unlocking circa 3mmcf/d.

    • Paddle River new gathering system and wells to add reserves.

      Exploration Drilling

    • Exploration well targeting > 50mmboe prospect.

      Opex Reduction

    • Investment in facilities at Paddle River to reduce costs and enable full production capabilities of existing wells
• Q4 Drilling Outlook - 3 development wells proposed, part funded from cash flow

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160MMBBLS XANADU JV - PERTH BASIN WA

• Un-risked prospective recoverable resource of 160mmbbls (Refer Table 1).

• Situated in a proven hydrocarbon 'fairway'.

• Low cost exploration - prospect can be drilled from onshore.

• Close to existing infrastructure for commercialisation.

• Existing dataset with seismic and well data supports the decision to drill.

• The only large oil play to be drilled in the basin in the near future.

• The same exploration play as Hovea/Eremia and Cliff Head oil fields.

• WBE has committed to fund 20% of the well (circa $1.6m) to earn a 15% WI in the license.

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