Schachter Energy Conference – Oct 19, 2019Garnet Amundson – President and CEO

DisclaimerFORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements and forward-looking information regarding Essential Energy Services Ltd. (the “Corporation” or “Essential”) withinthe meaning of applicable securities laws. In particular, this presentation contains forward-looking statements including expectations regarding 2019 capital spendingand timing; expectations regarding industry challenges and implications; expectations regarding Essential’s businesses/service lines, areas of growth, opportunities,activity, pricing, cost structure, outlook, market share, competition, competitive advantages, services offered and the demand for those services; expectations regardingfree cash flow generation in 2019; Essential’s focus on what it can control and the elements; the advantages of low debt; expectation that low debt provides growthpotential; expectations regarding industry deep coil supply; the ability for ECWS to grow its deep coil if market demand dictates; and the low cost and timeframe tocomplete a retrofit. By their nature, forward-looking statements and information involve known and unknown risks and uncertainties that may cause actual results todiffer materially from those anticipated. Many of these factors and risks are described under the heading “Risk Factors” in the Corporation’s Annual Information Form forthe year ended Dec 31/18 and the Corporation’s other filings on record with the securities regulatory authorities, which may be accessed through the SEDAR website(www.sedar.com). Although the Corporation believes the expectations and assumptions on which such forward-looking statements and information are based arereasonable, the Corporation can not provide assurance these expectations will prove to be correct. Accordingly, readers should not place undue reliance on the forward-looking statements and are cautioned that the foregoing factors are not exhaustive. The forward-looking statements and information contained in this presentation aremade as of the date hereof and the Corporation undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a resultof new information, future events or otherwise, unless so required by applicable securities laws. This presentation contains an EV/EBITDAS measure based on analystconsensus estimates for EBITDAS as of a particular point in time. The Corporation includes this measure for reference only and not for the purpose of endorsement. Theestimates underlying the EBITDAS estimate reflect the views of the analysts and may not reflect the views of management of the Corporation as at the point in timewhen the applicable estimate was given or as of the date of this presentation. Essential adopted International Financial Reporting Standards (“IFRS”) 16. Comparativeinformation has not been restated and therefore, may not be comparable. See page 19 for the first half 2019 (“H1/19”) implications on gross margin and EBITDAS. Forfurther information, see Essential’s June 30/19 Management’s Discussion and Analysis (“MD&A”) and Financial Statements which may be accessed through the SEDARwebsite (www.sedar.com).

NON-IFRS MEASURESThroughout this presentation, certain terms used are not measures recognized by IFRS and do not have standardized meanings prescribed by IFRS including:

• Bank EBITDA – generally defined in Essential’s Credit Facility as EBITDAS, including the equity cure, excluding onerous lease contract expense and severance costsand excluding the impact of IFRS 16.

• EBITDAS – earnings before finance costs, income taxes, depreciation, amortization, transaction costs, losses or gains on disposal, write-down of assets, impairmentloss, foreign exchange gains or losses and share-based compensation, which includes both equity-settled and cash-settled transactions.

• Funded Debt – generally defined in Essential’s Credit Facility as long-term debt plus deferred financing costs and bank indebtedness, net of cash. It does notinclude the lease liability related to IFRS 16.

• Working capital – current assets less current liabilities.

A reconciliation of Bank EBITDA and EBITDAS to the IFRS measure, net income, can be found in Essential’s MD&A, which may be accessed through the SEDAR website(www.sedar.com). These measures may not be consistent with the calculation of other companies.

® Registered trademark of Essential Energy Services Ltd.2

Essential Energy Services

3

We deliver oil and natural gas services to E&P customers as they complete, work-over and decommission wells

Completions: the process of preparing a well for production after it has been drilled

Work-overs: the repair or stimulation of an existing producing well to restore, prolong or enhance production

Decommissioning: the process to permanently close off a well when it is no longer used for production

Essential Energy Services

4

We deliver oil and natural gas services to E&P customers as they complete, work-over and decommission wells

What: our equipment and crews are hired by E&P companies to get production out of the ground in an efficient and cost-effective manner

Where: primarily western Canada; with downhole tool operations in the U.S.

Commodity exposure: oil, liquids-rich gas, natural gas

ECWS

Coil Tubing Rigs

Fluid Pumpers

Nitrogen Pumpers

Tryton Tools

MSFS® Tools

Conventional Tools

Rentals

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Our Vision

Safe People and Service Delivery

Customer Well Production

High Quality Equipment

SAFE PRODUCTION

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Where We Operate

Canada: The key basins including the Montney, Duvernay, Bakken, Cardium and Viking

U.S.: The Permian, Eagle Fordand Anadarko basins

Montney

Duvernay

VikingCardium

Bakken

Permian

Anadarko

Eagle Ford

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Company History

2005• Builders Energy Services Trust IPO (BET.UN)

2006• Essential Energy Services Trust spun-out from Avenir Diversified (ESN.UN)

2008

• Essential and Builders merger, continued as Essential (ESN.UN); industry downturn began

2010• Conversion to a Corporation (ESN); industry fundamentals improved

2011• Acquisition of Technicoil (TEC) expanded the coil tubing fleet

2014• Industry downturn began

2016• Asset swap with Precision Drilling (service rigs exchanged for coil tubing rigs and cash)

2019• Industry downturn continues

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The WCSB - An Evolving Industry

2005• 24,769 wells drilled; primarily shallow; 26% oil/ 74% gas; 10% horizontal

2009• 8,417 wells drilled; 49% oil/ 51% gas; 29% horizontal

2013• 11,068 wells drilled; 83% oil/ 17% gas; 70% horizontal

2018• 6,948 wells drilled; 81% oil/ 19% gas; 88% horizontal

2019• 5,100 forecast wells drilled (PSAC Jul 31/19)

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A Track Record of M&A Success

• Three public company events (IPO, ESN.UN/BET.UN merger, TEC acquisition)

• 21 private company acquisitions and integrations – primarily 2005 to 2008 as the former Builders Energy Services Trust

• Eight service line dispositions - to attain focus and adjust to industry evolution

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Current Industry Challenges

WCSB Oil and Gas Industry

Additional pipeline export capacity is needed – including pipelines to new markets

The industry has been under siege from environmental and other interest groups – many funded by U.S. groups

Lack of political leadership and foresight….a made in Canada problem

• Bill C-69, Bill C-48

• Non-competitive taxation

• Pipeline expansions blocked

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Current Industry Challenges

Implications

Alberta oil production curtailments

Low Canadian realized commodity prices

Diminished access to growth capital

Deeply undervalued Canadian energy stocks

Negative share price implications

Reduced E&P capital spending

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Why Canadian Oil and Gas?

• Stringent environmental, safety and labour standards

• Lack of export pipelines cost the Canadian economy $20.6 billion in 2018 (~1% of Canada’s GDP)(1)

• Actions against responsible production of Canadian oil & natural gas have driven away investment capital and good jobs

• Canada = only 1.6% of world greenhouse gas emissions(2)

(1) Fraser Institute, Apr 30/19.(2) Environment and Climate Change Canada (2019) Canadian Environmental Sustainability Indicators: Global greenhouse gas emissions.

The world needs more Canadian energy

Corporate Overview

• Undervalued by many metrics (EV/EBITDAS, Price to Book)

• Funded debt to bank EBITDA: 0.4x at June 30/19

• Variety of tools provide customers a choice

• Low capital intensity

• Strong customer relationships

• Suitable for complex, long-reach horizontal wells

• Deep fleet capacity can be increased as market demand dictates

Why Invest in Essential?

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Innovative Tool Business

Low Debt

Low Valuation

Industry Leading Coil Tubing Fleet

Corporate Snapshot

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(1) Long-term debt does not include lease liabilities related to IFRS 16.(2) Sep 30/19 market capitalization and Jun 30/19 long-term debt.(3) Sep 30/19 market capitalization, Jun 30/19 long-term debt and Sep 30/19 analyst consensus.(4) Sep 30/19 share price and Jun 30/19 book value of shareholders’ equity.

Sep 30/19

Trading Price

52 Week Range

$0.29

$0.24 - $0.54

Market Capitalization $41 million

Long-term Debt(1) (Jun 30/19) $7 million

Enterprise Value(2) $48 million

Working Capital (Jun 30/19) $48 million

Valuation Metrics:

EV/2020 EBITDAS(3) 2.3x

Price/Book(4) 0.3x

Very low valuation: working capital value is the same as enterprise value (i.e. there is no value in the share price for fixed assets or value for the tool business aside from inventory and accounts receivable)

Share Price Performance

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ESN

-80%

-60%

-40%

-20%

0%

20%

40%

60%

Select Canadian Oilfield Service CompaniesShare Price Performance YTD to Sep 30/19

Ownership - Institutional and Geographic

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(1) Source: TSX InfoSuite, Company information.

Reported Institutional Ownership(1): Sep 30/19

Ewing Morris & Co. Investment Partners 12%

Edgepoint Investment Group 9%

Mackenzie Investments 5%

I.G. Investment Management 3%

Other 12%

Total 41%

Geographic Ownership: Mar/19

Canada 84%

U.S. 15%

Other 1%

Total 100%

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Management Team and Ownership

TitleYears of Service

Key Areas of Responsibility

Garnet Amundson(1) President, CEO, Board Member, Found of Builders

15 CEO and COO duties

Jeff Newman Chief Financial Officer 12Financial disclosure and controls, M&A, tax, litigation, insurance, IT

Eldon HeckVP, Downhole Tools &

Rentals14 Downhole Tools & Rentals

Karen PerasaloVP, Finance & Corporate

Secretary13

Banking, capital markets, IR, corporate secretary, governance

(1) Mr. Amundson owns 1.1 million shares; he has never sold a share in 15 years.

Management and Board of Director ownership: 2%

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Financial and Operating Results

6 Months Annual

($ millions) H1/19 H1/18 2018

Essential

Revenue $75 $98 $190

Gross margin(1) $14 $17 $33

EBITDAS(1) $9 $11 $20

Long-term debt(2) $7 $19 $21

Tryton Revenue Split H1/19 H1/18 2018

MSFS® 31% 47% 45%

Conventional Tools & Rentals

69% 53% 55%

ECWS Operating Hours H1/19 H1/18 2018

Coil Tubing Rigs 20,544 25,481 46,979

Pumpers 25,430 33,675 63,058

(1) Effective Jan 1/19, Essential adopted the IFRS 16 – Leases standard without restatement of 2018 comparative information. This change in accounting policy increased gross margin by $1.8MM and EBITDAS by $2.5MM for the first six months of 2019.

(2) Long-term debt does not include lease liabilities related to IFRS 16.

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Essential - Customer Diversification

0%

5%

10%

15%

A B C D E F G H I J

% o

f R

eve

nu

e b

y C

ust

om

er

H1/19 2018

• Customers include small to large, regional to multinational, E&P companies

• In H1/19, Essential worked for 345 customers; 530 in 2018 (full year)

• Top 10 customers H1/19 and 2018 (full year) represent approximately 60% of revenue

• H1/19 and 2018 (full year) no single customer accounted for more than 15% of revenue

Essential - Top Customers

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Customers are looking for:

• Stable (or reduced) pricing

• Strong safety record (e.g. low TRIF)

• The right technology for the task

• Crew competency and continuity

• Efficiencies

Proud to have customers like:

The Service Lines: ECWS and Tryton

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Segment Overview

• One of the largest deep coil tubing fleets in Canada – completions work

• Strongest demand for Gen III and IV rigs and high-rate fluid pumpers

• Canadian operations

• 260 employees

• H1/19 revenue down 21% vs. H1/18; gross margin up 9%

• Multi-stage frac system (MSFS®) tools – completions work

• Conventional downhole tools –production and decommissioning work

• Rentals – drilling-related work

• Canada, U.S. and international

• 105 employees

• H1/19 revenue down 27% vs. H1/18; gross margin down 42%

ECWS Tryton

Tryton$6MM

ECWS$9MM

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Segmented Results H1/19

Tryton$32MM

ECWS$42MM

(1) Chart excludes centralized overhead costs.(2) H1/18 GM% is not restated for IFRS 16.

H1/19 Revenue$ 75MM

H1/19 Gross Margin

$ 14MM(1)

Gross Margin as a % of Revenue H1/19 H1/18(2)

ECWS 21% 15%

Tryton 18% 22%

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ECWS - Coil Tubing Rigs

Gen IV Conventional Coil Tubing Rig

Coil Tubing - Completions & Work-Overs

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• The number of long-reach horizontal wells increases the demand for Essential’s coil tubing rigs

• In the well completion phase, coil tubing rigs are used for:

Pre-Fracturing

Confirmation runs

Placement of tools to isolate a portion of the well

during fracturing

Fracturing

Frac-thru coil

Annular fracturing

Convey and actuate sliding sleeve tools

“Plug-and-perf” operations

Post-Fracturing

Confirmation runs

Cleanouts

Mill-out/drill-out ball and seat systems

• In the post completion phase, coil tubing rigs are used for work-overs and decommissioning

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Coil Tubing Fleet

At June 30/19ActiveFleet

Reach/ Depth(m at 2 ⅜”)

Target MarketTotal Fleet

Gen I 1 2,700 Cleanouts 2

Gen II 4 4,500 Bakken, Cardium, Montney, Viking 14

Gen III 8 6,500 Montney, Duvernay 8

Gen IV(1) 3 7,200(2) Montney, Duvernay 5

Total 16 29

(1) Gen IV includes a retrofit that is expected to be in-service in late 2019.(2) 7,200m when coil tubing is transported on the rig; 9,400m if coil tubing is transported separately.

• Greatest customer demand is for the Gen III and IV rigs for complex, long-reach horizontal wells

• More rigs can be activated as demand dictates

• Fleet includes masted and conventional rigs

Fracturing with Coil

28%

Milling Frac Seats/Bridge

Plugs 39%

Cleanouts14%

Stage Tool/Debris Sub Milling

12%

Other 7%

ECWS - Job Type

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Annual 2018

Notes:• Fracturing with coil: third party fracturing equipment working in conjunction with an Essential coil tubing rig. This includes fracturing through coil

or annular coil fracturing with a sliding sleeve system.• Other includes camera work, fishing, logging and other work.

Fracturing with Coil 32%

Milling Frac Seats/Bridge

Plugs 37%

Stage Tool/Debris Sub

Milling 13%

Confirmation Run 6%

Cleanouts 6% Other 6%

H1/19

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Fluid Pumpers

• Maintain downhole circulation

• Provide ancillary acid or solvent treatments

• Inject friction reducers or chemicals into the wellbore

• Often paired with our coil tubing fleet

• Stand alone pump down work, pre-fracture testing and frac support work

Quintuplex Fluid Pumper

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Fluid Pumper Fleet

At June 30/19ActiveFleet

PumpingPressure (psi)

Total Fleet

Singles 0 10,000 – 15,000 3

Doubles 7 10,000 8

Quintuplex 7 15,000 8

Total 14 19

• Greatest customer demand is for the high-rate (quintuplex) fluid pumpers for complex, long-reach horizontal wells

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Nitrogen Pumpers

Nitrogen Pumper

• Pump inert nitrogen gas into the wellbore for stimulation or work-over operations

• Purge the coil tubing of fluids once the coil tubing work has been completed

• ECWS has six active nitrogen pumpers

ECWS - The Opportunities

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Even in a flat to declining activity period (2019-20) there is good potential for a solid business:

• 25% market share in a tight deep coil tubing market

• Tight market for high-rate fluid pumpers – potential for distressed assets from competitors?

• Gen IV retrofits – potential for low cost fleet additions

• Cost structure – proven expertise managing variable cost structure; fixed costs can be adjusted as needed

• Customers – strong, diversified customer base

Long-reach horizontal well capabilities

Canada - Deep Coil Market Considerations

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Number of “relevant” deep/large diameter industry coil tubing rigs is small relative to

the number of drilling and services rigs

Active industry deep coil rigs(1)

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(1) Based on public disclosure and internal estimates.

ECWS’s deep coil rig market share25%

ECWS - Deep Capabilities

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• WCSB exposure - Montney and Duvernay

• Wells are deeper, horizontal, often high pressure and complex

• Gen III and Gen IV coil tubing rigs and quintuplex fluid pumpers are best-suited for these regions

• Require skilled, experienced crews with a focus on safety

ECWSCoil completion 7,267m with a

Gen IV rig (2 ⅜” coil)in the Duvernay

Record Depths:

Industry (WCSB)Deepest well drilled

7,848m

ECWS - Gen IV Retrofit Program

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• First retrofit in-service Q4/18; second retrofit expected late 2019

• Reel trailer upgrade completed in Q1/19

• Features include:

o Lighter - ease of movement between work sites

o “Quick change” reel system for on-location reel swaps in two hours or less

o 130K and 160K injector capacity; higher capacity ensures no slippage or inefficiencies on deepest horizontal wells

• Three additional Gen IV retrofits can be added – as market demand dictates, for low capital cost

Suitable for Montney and Duvernay deep wells

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Tryton - Downhole Tools & Rentals

MSFS®: Ball & Seat “Cut-away”

MSFS®: Composite Bridge Plug

Conventional Packers

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Tryton - Three Service Lines

MSFS® Tools

• Completions focused

• Multiple products

• Allows producers to isolate and fracture intervals of horizontal sections of a well separately and continuously

• Primarily provided in Canada

Conventional Tools

• Completion, production and decommissioning operations

• Includes conventional packers, tubing anchors, bridge plugs, cement retainers and related accessories

• Canada, U.S. and international

Tryton Rentals

• Drilling focused

• Offers a broad range of oilfield equipment including specialty drill pipe and blowout preventers

• Canadian operations

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Tryton - Tool Diversity for Growth

MSFS® Tools – Growing the Number of Choices• Ball & Seat

o Continues to be the most common methodo New: Passport® tool – larger inner diameter; ability to frac more stages (patent

pending)

• V-Sleeveo Unlimited number of stages; coil actuatedo Completed a 53-stage job in a single tool run in the Cardiumo New: closable design allows customers to selectively close zones after the frac

(patent pending)

• Composite Bridge Plugo Unlimited number of stages; quick to mill-out

• Hybrid MSFS® – Ball & Seat plus Composite Bridge Plugo Ball & Seat at the “toe” and Composite Bridge Plugs toward the “heel”o Unlimited number of stageso Completed two 90-stage MSFS® jobs in the Montney – including the deepest well

drilled to-date in western Canada at 7,848m

Variety of tools to meet customer needs

Tryton - The Opportunities

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MSFS® Tools

• New product development – Passport® tool; closable V-Sleeve

• Patents pending

Conventional Tools

• Likely #1 market share in Canada

• Advantages: inventory, experienced toolhands and locations

• Production and decommissioning work

Low capital investment with relatively steady margins

Essential:Capital Spending and Low Debt

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Capital Spending Overview

Annual 2019 2018 2017

($ millions) Forecast Actual Actual

Growth $1 $6 $11

Maintenance 7 10 9

Total $8 $16 $20

• 2019 capital spending is modest due to uncertain outlook; focuses on maintenance capital

• Includes a Gen IV retrofit – due to anticipated demand in Q1/20

Gen IV Conventional Coil Tubing Rig – Rig 2049 Retrofit – Leading Edge

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Advantages of Low Debt

• $50MM credit facility: only 15% drawn at June 30/19

• Debt was reduced and kept low through the downturn

• Reduced financial pressure

• Ability to grow deep coil and pumping by re-investing operating cash flow, as market demand dictates

(1) Working capital at June 30/19 ($48 million) was well in excess of long-term debt ($7 million).

$0

$10

$20

$30

$40

$50

$60

Q4/14 Q4/15 Q4/16 Q4/17 Q4/18 Q2/19

Long-term debt

Long-term debt

Q2

/19

Wo

rkin

g C

apit

al(1

)

$ m

illio

ns

A Recap

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Focus on What We Can Control

Effective Debt Management

Services that Meet Customer Demand

Cost Management Modest Capital Spending

• Montney and Duvernay exposure

• Gen IV retrofits: fleet capacity can be increased and “deepened” - relatively low cost / short timeframe - as market demand dictates

• Competitor equipment left Canada in 2018 –decreasing the industry deep coil supply

Operational Strengths

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Industry Leading Coil Tubing Fleet

• Variety of MSFS® tools provide customers with choice

• Low capital intensity

• Completions, production and decommissioning work – provides some stability of demand

Innovative Tool Business

• Strong customer relationships

• The spectrum of small to large; regional to multi-national

Customer Diversity

• Funded debt to bank EBITDA: 0.4x at June 30/19

• Working capital well in excess of debt at June 30/19

• Simple debt structure

Financial Strengths

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Low Debt

• Undervalued by many metrics

• Working capital the same as enterprise value –no value for fixed assets or the tool business

Low Valuation

• Free cash flow expected in 2019 despite anticipated lower activity compared to 2018Free Cash Flow

Garnet AmundsonPresident, Chief Executive Officer & Director

1100, 250 – 2nd Street SWCalgary, Alberta T2P 0C1(403) 513-7272 service@essentialenergy.ca

www.essentialenergy.ca

TSX:ESN