CorporateCorporateOverviewOverview June 2015June 2015

TSX Venture: EBYTSX Venture: EBY

This disclosure contains forwardThis disclosure contains forward--looking statements includinglooking statements includingopinions, assumptions, estimates and expectations of futureopinions, assumptions, estimates and expectations of futureproduction, cash flow and earnings. Forwardproduction, cash flow and earnings. Forward--looking statementslooking statementsare subject to a wide range of risks and uncertainties, andare subject to a wide range of risks and uncertainties, andalthough the Company believes that the expectations representedalthough the Company believes that the expectations representedby such forwardby such forward--looking statements are reasonable, there can belooking statements are reasonable, there can beno assurance that such expectations will be realized. Any numberno assurance that such expectations will be realized. Any numberof important factors could cause actual results to differ materiallyof important factors could cause actual results to differ materiallyfrom those in the forwardfrom those in the forward--looking statements including, but notlooking statements including, but notlimited to, the volatility of oil and gas prices, the ability tolimited to, the volatility of oil and gas prices, the ability toimplement corporate strategies, the state of domestic capitalimplement corporate strategies, the state of domestic capitalmarkets, the ability to obtain financing, changes in oil and gasmarkets, the ability to obtain financing, changes in oil and gasacquisition and drilling programs, operating risks, productionacquisition and drilling programs, operating risks, productionrates, reserve estimates, changes in general economic conditionsrates, reserve estimates, changes in general economic conditionsand other factors more fully described from time to time in theand other factors more fully described from time to time in thereports and filings made by the Company with securities regulatoryreports and filings made by the Company with securities regulatoryauthorities.authorities.

This disclosure contains forwardThis disclosure contains forward--looking statements includinglooking statements includingopinions, assumptions, estimates and expectations of futureopinions, assumptions, estimates and expectations of futureproduction, cash flow and earnings. Forwardproduction, cash flow and earnings. Forward--looking statementslooking statementsare subject to a wide range of risks and uncertainties, andare subject to a wide range of risks and uncertainties, andalthough the Company believes that the expectations representedalthough the Company believes that the expectations representedby such forwardby such forward--looking statements are reasonable, there can belooking statements are reasonable, there can beno assurance that such expectations will be realized. Any numberno assurance that such expectations will be realized. Any numberof important factors could cause actual results to differ materiallyof important factors could cause actual results to differ materiallyfrom those in the forwardfrom those in the forward--looking statements including, but notlooking statements including, but notlimited to, the volatility of oil and gas prices, the ability tolimited to, the volatility of oil and gas prices, the ability toimplement corporate strategies, the state of domestic capitalimplement corporate strategies, the state of domestic capitalmarkets, the ability to obtain financing, changes in oil and gasmarkets, the ability to obtain financing, changes in oil and gasacquisition and drilling programs, operating risks, productionacquisition and drilling programs, operating risks, productionrates, reserve estimates, changes in general economic conditionsrates, reserve estimates, changes in general economic conditionsand other factors more fully described from time to time in theand other factors more fully described from time to time in thereports and filings made by the Company with securities regulatoryreports and filings made by the Company with securities regulatoryauthorities.authorities.

Listing: TSX Venture Exchange

Symbol: EBY

Issued and Outstanding: 158.7 MM shares

Insider Ownership: +-40%

52 week high: $0.06 - low: $0.01

Listing: TSX Venture Exchange

Symbol: EBY

Issued and Outstanding: 158.7 MM shares

Insider Ownership: +-40%

52 week high: $0.06 - low: $0.01

Shelby Beattie, President and CEO

Over 35 Years industry experience specializing in exploration, production, and project management.

Mike Rice, CFO

Over 16 years of industry experience specializing in energy financing and production operations.

Gibson C. Scott, COO

Over 37 years of global industry experience. Formerly the Canadian Manager of Sperry-Sun Drilling

Services, a directional drilling services company owned by Halliburton.

Andrew Alff, Geologist

Over 36 years of experience in geology with specific domain experience in fault and fracture detection in

Texas.

Hugh Scott, Landman

Over 30 Years industry experience specializing in mineral rights acquisition and management.

Shelby Beattie, President and CEO

Over 35 Years industry experience specializing in exploration, production, and project management.

Mike Rice, CFO

Over 16 years of industry experience specializing in energy financing and production operations.

Gibson C. Scott, COO

Over 37 years of global industry experience. Formerly the Canadian Manager of Sperry-Sun Drilling

Services, a directional drilling services company owned by Halliburton.

Andrew Alff, Geologist

Over 36 years of experience in geology with specific domain experience in fault and fracture detection in

Texas.

Hugh Scott, Landman

Over 30 Years industry experience specializing in mineral rights acquisition and management.

Emerald Bay Energy Inc. (EBY-V), a Canadian oil & gas producer publiclytraded on the TSX Venture Exchange, was founded in 1998 as a Researchand Development entity to develop the patented Lateral Drainhole DrillingTechnology.

In 2005, the Company wound down it’s R&D efforts and transitioned to anE&P focus for exploration and development of Central Alberta natural gas.By the time natural gas prices collapsed in 2009 the Company hadestablished a significant land position in Alberta with over 50 drillinglocations and had grown production to over 200 boe/day.

With Alberta production shut-in due to instability in natural gas prices,Emerald Bay began the transition to pursue South Texas oil opportunities in2010 and 2011

Emerald Bay Energy Inc. (EBY-V), a Canadian oil & gas producer publiclytraded on the TSX Venture Exchange, was founded in 1998 as a Researchand Development entity to develop the patented Lateral Drainhole DrillingTechnology.

In 2005, the Company wound down it’s R&D efforts and transitioned to anE&P focus for exploration and development of Central Alberta natural gas.By the time natural gas prices collapsed in 2009 the Company hadestablished a significant land position in Alberta with over 50 drillinglocations and had grown production to over 200 boe/day.

With Alberta production shut-in due to instability in natural gas prices,Emerald Bay began the transition to pursue South Texas oil opportunities in2010 and 2011

AlbertaAlberta

EdmontonEdmonton

CalgaryCalgary

Pilot project Natural gas fired

electrical powergeneration plant

Gas wells areused as the fuelfor the powerplant

4 generatorsrated at 980 kW

Pilot project Natural gas fired

electrical powergeneration plant

Gas wells areused as the fuelfor the powerplant

4 generatorsrated at 980 kW

Initial results from“pilot” operations verypromising

Recently installedsoftware to optimizesales during peakperiods

Great opportunity forfuture growth inCentral Alberta

Initial results from“pilot” operations verypromising

Recently installedsoftware to optimizesales during peakperiods

Great opportunity forfuture growth inCentral Alberta

Volatile oil prices have been part of this business sincethe mid 70s.

Example: February 2009: $43.58 per bbl December 2009: $61.25 per bbl

Experience has also shown us that drilling andcompletion costs drop as well. Drilling and completioncosts for our U.S. projects have dropped over 40% in thelast 6 months.

Owning our own operations equipment such as servicerigs, water trucks, backhoes, etc. allow us to beprofitable in a lower price environment.

Volatile oil prices have been part of this business sincethe mid 70s.

Example: February 2009: $43.58 per bbl December 2009: $61.25 per bbl

Experience has also shown us that drilling andcompletion costs drop as well. Drilling and completioncosts for our U.S. projects have dropped over 40% in thelast 6 months.

Owning our own operations equipment such as servicerigs, water trucks, backhoes, etc. allow us to beprofitable in a lower price environment.

With over 2 ½ years of planning and development, EBY isnow positioned for growth with plans to exploit numerousoil opportunities in South Texas.

EBY put in place strategic partnerships with key privateinvestors and industry partners for Texas acquisitions anddevelopment.

Business model created to acquire a mix of low-risk solidreturn with medium-to-high risk exploration.

With over 2 ½ years of planning and development, EBY isnow positioned for growth with plans to exploit numerousoil opportunities in South Texas.

EBY put in place strategic partnerships with key privateinvestors and industry partners for Texas acquisitions anddevelopment.

Business model created to acquire a mix of low-risk solidreturn with medium-to-high risk exploration.

Management has drilled over 200 wells within the focusarea since 1981

Access to quality services at competitive costs Finding, development, and operating costs competitive

or better than Canada Large percentage of land/minerals held privately Small companies with regional expertise and knowledge

base can assemble a significant land position quickly

Management has drilled over 200 wells within the focusarea since 1981

Access to quality services at competitive costs Finding, development, and operating costs competitive

or better than Canada Large percentage of land/minerals held privately Small companies with regional expertise and knowledge

base can assemble a significant land position quickly

Texas

San AntonioSan AntonioHoustonHouston

TexasAustinAustin

Wooden HorseCottonwood CreekNash Creek

SomersetTaylor-InaSomersetTaylor-Ina

Provides the Company with low-risk “oil” targets fordiversification with Central Alberta Gas/Power Gen

125+ “in-fill” drilling targets in 3 counties “Stacked” zones of interest are:

Escondido Olmos Anacacho

Management has extensive experience in the area Excellent geologic control with year-around access to

drilling locations Long life reserves

Provides the Company with low-risk “oil” targets fordiversification with Central Alberta Gas/Power Gen

125+ “in-fill” drilling targets in 3 counties “Stacked” zones of interest are:

Escondido Olmos Anacacho

Management has extensive experience in the area Excellent geologic control with year-around access to

drilling locations Long life reserves

Oil produced from traps generated by faults

Shale barrier provides the trap on the down thrown side

Fault throws can trap the intervals and provide commercialopportunities with the use of horizontal drilling practicesand properly designed facilities to handle fluid quantities

Caldwell, Bastrop, and Guadalupe Counties have beenthe source of multiple Limestone developments

EBY geologist (Andy Alff) has spent the last 30+ yearsmapping the fault structures in the region

Oil produced from traps generated by faults

Shale barrier provides the trap on the down thrown side

Fault throws can trap the intervals and provide commercialopportunities with the use of horizontal drilling practicesand properly designed facilities to handle fluid quantities

Caldwell, Bastrop, and Guadalupe Counties have beenthe source of multiple Limestone developments

EBY geologist (Andy Alff) has spent the last 30+ yearsmapping the fault structures in the region

Zones of Interest◦ Austin Chalk◦ Buda Limestone◦ Georgetown◦ Edwards Limestone

INFRASTRUCTURE COMPLETE!◦ 3 exploratory wells (1 horizontal and 2 vertical)◦ 5 pay zones tested during the past 14 months◦ 1 Salt Water Disposal well (40,000 BPD capacity)◦ 3D seismic program underway to provide fault clarity

and accuracy for the next phase of drilling

Zones of Interest◦ Austin Chalk◦ Buda Limestone◦ Georgetown◦ Edwards Limestone

INFRASTRUCTURE COMPLETE!◦ 3 exploratory wells (1 horizontal and 2 vertical)◦ 5 pay zones tested during the past 14 months◦ 1 Salt Water Disposal well (40,000 BPD capacity)◦ 3D seismic program underway to provide fault clarity

and accuracy for the next phase of drilling

Zones of Interest◦ Pecan Gap◦ Austin Chalk◦ Buda◦ Edwards Limestone

Activity to date:◦ Purchased existing producing well on the land. It has made over

60,000 bbls since 1937.◦ Secured a salt water disposal well permit◦ 3D seismic acquisition complete◦ Initial test well drilled to acquire sonic log and amplitude confirmation◦ 2nd phase of interpretation is complete◦ Drilling 2nd well in Q3 of this year

Zones of Interest◦ Pecan Gap◦ Austin Chalk◦ Buda◦ Edwards Limestone

Activity to date:◦ Purchased existing producing well on the land. It has made over

60,000 bbls since 1937.◦ Secured a salt water disposal well permit◦ 3D seismic acquisition complete◦ Initial test well drilled to acquire sonic log and amplitude confirmation◦ 2nd phase of interpretation is complete◦ Drilling 2nd well in Q3 of this year

Power Generation project continues in Central Alberta

Projects in Atascosa, Bexar, and Medina countiesprovide a low-risk growth play

Guadalupe County provides for potential “company-maker” projects with multiple exploration anddevelopment opportunities

Multiple pay zones tested and facilities in-place atWooden Horse - ready for development

Power Generation project continues in Central Alberta

Projects in Atascosa, Bexar, and Medina countiesprovide a low-risk growth play

Guadalupe County provides for potential “company-maker” projects with multiple exploration anddevelopment opportunities

Multiple pay zones tested and facilities in-place atWooden Horse - ready for development