1

Investor Presentation

March, 2017

*Rig 580, Oklahoma SCOOP

2

Forward-looking statements

Certain statements contained in this report, including statements that contain words such as "could", "should", "can", "anticipate", "estimate", "intend", "plan",

"expect", "believe", "will", "may", "continue", "project", "potential" and similar expressions and statements relating to matters that are not historical facts

constitute "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of

the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 (collectively, "forward-looking information and statements").

In particular, forward looking information and statements include, but are not limited to, the following: our strategic priorities for 2017; our capital expenditure

plans for 2017; anticipated activity levels in 2017 and our scheduled infrastructure projects; anticipated demand for Tier 1 rigs; the average number of term

contracts in place for 2017.

These forward-looking information and statements are based on certain assumptions and analysis made by Precision in light of our experience and our

perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances. These

include, among other things: the fluctuation in oil prices may pressure customers into reducing or limiting their drilling budgets; the status of current negotiations

with our customers and vendors; customer focus on safety performance; existing term contracts are neither renewed nor terminated prematurely; our ability to

deliver rigs to customers on a timely basis; and the general stability of the economic and political environments in the jurisdictions where we operate.

Undue reliance should not be placed on forward-looking information and statements. Whether actual results, performance or achievements will conform to our

expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results to differ materially from our

expectations. Such risks and uncertainties include, but are not limited to: volatility in the price and demand for oil and natural gas; fluctuations in the demand for

contract drilling, well servicing and ancillary oilfield services; our customers’ inability to obtain adequate credit or financing to support their drilling and production

activity; changes in drilling and well servicing technology which could reduce demand for certain rigs or put us at a competitive disadvantage; shortages, delays

and interruptions in the delivery of equipment supplies and other key inputs; the effects of seasonal and weather conditions on operations and facilities; the

availability of qualified personnel and management; a decline in our safety performance which could result in lower demand for our services; changes in

environmental laws and regulations such as increased regulation of hydraulic fracturing or restrictions on the burning of fossil fuels and greenhouse gas

emissions, which could have an adverse impact on the demand for oil and gas; terrorism, social, civil and political unrest in the foreign jurisdictions where we

operate; fluctuations in foreign exchange, interest rates and tax rates; and other unforeseen conditions which could impact the use of services supplied by

Precision and Precision’s ability to respond to such conditions.

Readers are cautioned that the forgoing list of risk factors is not exhaustive. Additional information on these and other factors that could affect our business,

operations or financial results are included in reports on file with applicable securities regulatory authorities, including but not limited to Precision’s Annual

Information Form for the year ended December 31, 2015, which may be accessed on Precision’s SEDAR profile at www.sedar.com or under Precision’s

EDGAR profile at www.sec.gov. The forward-looking information and statements contained in this news release are made as of the date hereof and Precision

undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a results of new information, future events or

otherwise, except as required by law.

3

0

100

200

300

400

500

600

700

800

January

Febru

ary

Marc

h

April

May

June

July

August

Septe

mber

Oct

ober

Novem

ber

Dece

mber

2012-2016 Range

2014

2016

2017

Historical North American Drilling Activity

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

Jan, 2006

Jan, 2014

Jan, 2016

Jan, 2018

Jan, 2012

Jan, 2010

Jan, 2008

+94%increase in rigcount sinceMay lows

U.S. Land Rig Count10 Year History

Canadian Land Rig Count5 Year History

Source: Baker Hughes land rig count as of March 3rd, 2017

4862016 Year to Date Average

1282016 Year to Date Average

9432015 Average Active Rigs

3782014 Average

Active Rigs

18042014 Average

Active Rigs

4

Market Share Growth

0

50

100

150

200

250

300

Jul/16

May/1

6

Mar/

16

Jan/1

6

Nov/1

5

Sep/1

5

May/1

7

Jul/15

May/1

5

Mar/

15

Jan/1

5

Mar/

17

Jan/1

7

Nov/1

6

Sep/1

6

Precision continues to deliver High Performance, High Value services, operating one of the most active fleets in North America.

Acti

ve

No

rth

Am

eri

ca

n D

rill

ing

Rig

s

Peers A, B, and C operate in Canada and the U.S. Peer D operates only in the U.S.

PD

U.S. Based Peer D

Canadian Based Peer A

U.S. Based Peer B

U.S. Based Peer C

Source: Company disclosure, CAODC, and RigData as of February 17th, 2016

5

• Gained market share in North America

• Continued fleet investment

• Sustained rig training standards

• Improved rig efficiency and safety

• Reactivated 60+ rigs in Canada

• Reactivated 20+ rigs in the U.S.

• No fixed cost increase

• Rigs were not cannibalized, no catchup maintenance capital is required

Precision’s 2016 Strategic Priorities: Scorecard

Sustained High Performance, High Value competitive positioning

Positioned for a rebound

Managed strong liquidity position

• Retired 2019 Senior Notes, and partially redeemed 2020 and 2021 Senior Notes

• Reduced total debt by $213 million

• Extended debt maturities

• Access to undrawn revolver

• Solid cash balance

6

Precision’s 2017 Strategic Priorities

Commercialize rig automation and efficiency-driven technologies across our Super Series fleet

Maintain strict financial discipline in pursuing growth opportunities with a focus on free cash flow and debt reduction

Deliver High Performance, High Valueservice offerings in an improving demand environment while demonstrating fixed cost leverage

7

Precision’s 2017 Strategic Priorities

Commercialize rig automation and efficiency-driven technologies across our Super Series fleet

Maintain strict financial discipline in pursuing growth opportunities with a focus on free cash flow and debt reduction

Deliver High Performance, High Valueservice offerings in an improving demand environment while demonstrating fixed cost leverage

8

119Tier 1 Rigs

Added

Precision’s 239 High Performance Super Series Rigs

75

114 119 125 128

43

7279

88101 102

2012

2

2011

U.S.

International

2016E

129

8

2

5

2013

2

Canada

2015

6

2014

1) As of December 31st 2016. Excludes 16 upgrade candidates. 2) Includes 98 newbuild rigs and 21 major upgrades.3) Decommissioned 36 rigs in 2011, 52 rigs in 2012, 29 rigs in 2014 and 79 rigs in 2015 – total of 196 rigs.

1,2,3

$702

2013

$359

2012 2016

$169

2015

$409

2014

$56

2017E

$619

2011

$530

$2.9 Billion in Drilling Expansion and Upgrade Capital Investment from 2011 – 2017E

Super Series Rigs Designed for Today’s Unconventional Development Drilling Programs

Expansion & Upgrade Capital

8

9

Average market cap. of ~$29 billion (median ~$11 billion).2

Credit risk of contract book remains low.

All contracts have performed.

Strong Contract Book backed by Well Capitalized Customers

National OilCompanies

8%

Private24%

Public 68%

1. Includes Canada, U.S. and International operations and accounts for 86% of total revenue.2. As of February 23rd, 2016.

2016 Top 50 Customers1

2620

26

21

8

8

60

2017 AverageQ1 2017 Average

49

Average Term Contracts

International

Canada

US

Added 17 rig years to 2017 contract book in 2016.

10

Precision’s 2017 Strategic Priorities

Commercialize rig automation and efficiency-driven technologies across our Super Series fleet

Maintain strict financial discipline in pursuing growth opportunities with a focus on free cash flow and debt reduction

Deliver High Performance, High Valueservice offerings in an improving demand environment while demonstrating fixed cost leverage

11

Sustain High Performance, High Value Competitive Advantage

*Rig 576, Drilling in West Texas (Permian Basin)

Added 17 rig years to 2017

contract book, improving visibility

and market share

Reactivated 100+ rigs throughout

North America, including the

Permian, Niobrara, Marcellus,

Viking, Canadian Bakken,

Montney, Duvernay

Majority of the rigs reactivated

have been Super Triple 1500s in

the U.S. and Super Triple 1200s in

Canada

12

Toughnecks Recruiting Program

102,224Applications processed

2013-2015

(16,000 Applications in 2016 1)

1,200 – 1,400 Screened candidates in the

system – ready to work

517Drillers ~50% at lower

positions

280Rig Managers ~40% at

lower positions

Brand & Advertising

Targeted Selection

Interviews

System Screening & Testing

New Hire

Rig Placement

1

1

1. As of September 30th 2016.

100+ drilling rigs reactivated from Q2 lows, ~1800 positions filled

*Houston training rig12

13

Precision’s 2017 Strategic Priorities

Commercialize rig automation and efficiency-driven technologies across our Super Series fleet

Maintain strict financial discipline in pursuing growth opportunities with a focus on free cash flow and debt reduction

Deliver High Performance, High Valueservice offerings in an improving demand environment while demonstrating fixed cost leverage

14

High Performance – Precision Super Triple Efficiency

Reducing well cost while improving performance and

efficiency

Average Canada downtime of 0.42% and 1.39% for U.S.

74% improvements in recordable frequency

57% efficiency gain in average rig move days

6 days faster wells on PD integrated services with

reduced headcount on location

0

2,000

4,000

6,000

8,000

10,000

12,000

0 4 8 12 16 20 24 28 32

Ho

le D

ep

th (

Fe

et)

Drilling Days

Competitor A

Competitor B

PD Planned Well

PD Well

2-Man Directional Crew w/ Remote

MWD & DD

6 days fasterFeb/16Dec/15Oct/15Aug/15Jun/15Apr/15Feb/15

2016*20152014201320122011

0.59% 0.61%

0.41% 0.42% 0.45%

201320122011 2016*20152014

0.50%

Ca

na

dia

n

Do

wn

tim

e

Re

co

rda

ble

Fre

qu

en

cy

We

st

Te

xa

sA

vg

. M

ove

Da

ys

2.09%1.73% 1.65%

0.84%1.39%

20122011 2016*20152014

1.58%

2013

U.S

.D

ow

nti

me

* 2016 data is partial through November.

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“OMNI-PAD”

WALKING

SYSTEM

825,000 LBS

HOOKLOAD

25,000’+FT

RACKING

CAPACITY

1,500 HPTDS-11

TOPDRIVE(3) 1,600HP

7,500PSI

PUMPS

(4) CAT 3512

GENSETS

TWO-SPEED

DRAWWORKS

UMBILICALLY

CONNECTED

BACKYARD

COMPLEX

INTEGRATED

POWER

MANAGEMENT

SYSTEM

High Performance – Precision Super Triple

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TRANSFER

TANK

DRILLING PROCESS

AUTOMATION

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Lowering Cost and Improving Performance

Nisku - AlbertaHouston – Texas

Vertically Integrated

Centralized Procurement

Repair & Maintenance

• Leverage Scale• Centralized Support

Rig Build & Construction

State of the Art Training Rigs

*Houston Technical Centre 16

17

Comprehensive North American Footprint / Targeted International Markets

Dots representative of areas where Precision has had operations in 2014 and 2015

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High Performance Well Service Operations

Largest service rig provider in the WCSB and an

established presence in the U.S.

Ideally suited to address maintenance,

optimization and completion needs

200 Well Service rigs and Snubbing units

Includes recent acquisition of Essential’s well

service rig fleet

Localized operations and management teams

Centralized technical support services

Centralized HSE support & training center

Precision Well Service Facility, Red Deer, Alberta

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Geographical Diversification

0%

20%

40%

60%

80%

100%

U.S.

International

2016201520142013

Canada

201220112010200920082007

2007 to 2016 Geographical Diversification

Canadian revenue diversified from 95% to 38%

U.S. revenue increased from 5% to 44%

International expansion from 0% to 18%

Rig 89, Saudi Arabia

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Responsive Capital Allocation

$187

$721

2017 Capital – $108 million

$52 million for Upgrades

$52 million for Maintenance and Infrastructure

$4 million for Expansion Capital

$56$52

Expansion & Upgrades

Maintenance & Infrastructure

$1,000

$500

$02017E20162015201420132012201120102009

Annual Capital Spending ($ in millions) *Rig 904, Kuwait

20

21*Rig 575, Permian

Financial Performance – Precision’s Resilient Margins

21

Despite a ~37% decline in drilling days in 2016 compared to 2015, EBITDA margin declined by only ~20% due to aggressive cost management and rig contract performance

($ in millions) 2016 2015

Revenue $284 $345 $951 $1,556

EBITDA $65 $111 $228 $474

Margin 23% 32% 24% 30%

Drilling Utilization Days/Average Active Rigs

Canada 4,672 / 51 4,176 / 45 12,722 / 35 17,238 / 47

U.S. 3,570 / 39 4,109 / 45 11,343 / 31 21,172 / 58

International 742 / 8 822 / 9 2,786 / 8 4,084 / 11

Revenue per Utilization Day

Canada (Cdn$) $19,867 $25,589 $21,084 $23,670

U.S. (US$) $20,721 $24,498 $25,601 $25,901

International (US$) $52,816 $46,767 $45,753 $43,491

Three months ended Dec. 31 Fiscal

2015

Fiscal

2016

22

Manage Strong Liquidity Position

Liquidity as of 12/31/2016 1

$868 Million$753 Million $116 Million

Revolver/ Operating Facilities (Matures June 3, 2019)

Cash

1) Calculated as undrawn portion of revolver (adjusted for LCs outstanding) and cash using CAD/USD exchange rate and balance sheet numbers as at 12/31/2016.2) Statistics refer to balance sheet and trailing twelve months income statement as of 12/31/2016. Net debt to total capital equals ratio of long-term debt less cash to long-term debt less

cash plus equity. Interest coverage equals EBITDA divided by interest. Available liquidity, adjusted for amendment of revolver post quarter end.3) Current blended cash interest cost of our debt is approximately 6.4%.

US$400US$350

US$319US$372

20242017 202320222021202020192018

Senior Debt Maturity Profile

No Maturities Until November 2020

Reduced total debt by $213 million

Retired $200 million 2019 Senior Notes

Redeemed US$250 million of 2020 and

US$53 million of 2021 Senior Notes

Issued US$350 million of 2023 Senior Notes

Improved financial flexibility

Extended maturity profile

Attractive capital structure 2

Net debt to total capital: 46%

Interest coverage: 1.6x

Average Interest Rate of 6.4%

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Precision Drilling Investment Merits

Leading North American driller with global diversification

High Performance Tier 1 fleet of rigs with Tier 1 crews

Strong balance sheet with $116 million of cash

Contract position backed by excellent customer base

Experienced organization and management team

Delivering Shareholder Value

TSX: PD NYSE: PDS* Cash balance as at 12/31/2016

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Appendix

25

PEOPLE

SYSTEMS & SCALE

DRILLING TECHNOLOGY

LOWER RISK

MAXIMUM EFFICIENCY

ATTRACTIVE RETURNS

PRODUCES

26

SYSTEMS&

SCALE

IT Infrastructure and ERP

Supply Chain Management• Leverage Procurement• Vendor Management• Centralized Support

Technical Support centres• Asset Integrity• Maintenance Standard• Centralized Support• In House Repair & Rebuild

Manufacturing + Capital Projects• Engineering• Project Management• Equipment Manufacturing (Rostel)

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Staffing for a Rebound – Retention and Development of Key Personnel

Leadership

Development

Programs

Career Path

Management

Structured Promotion

Programs

Long-term

Compensation Programs

Field Training

Investments

Permanent Training

Facilities with Fully

Functioning Rigs

Tier 1 Assets

World-Class Safety

Culture and

Processes

Precision HR Training and Processes

Structured Measured Retention Programs for Key Personnel

Structured

Competency

Standards

28

9,542 employees completed training through Precision Tech centres in 2013 – 2016

29

Safety & Operations

Training

Rig Build & Construction

Repair & Maintenance

Nisku Drilling Support Centre

30

International Revenue Growth

Inte

rna

tio

na

l R

eve

nu

e (

mil

lio

ns)

$240

$200

$160

$120

$80

$40

$0201620152014201320122011

Revenue

• Initiated Saudi with 3 Rigs

• Deployed additional 3 Rigs to Mexico

• Initiated Kurdistan with 2 Rigs

• Initiated Kuwait with 2 Rigs

• Deployed additional 1 rig to Saudi

• Deployed 1 rig to Georgia• Deployed additional 1 rig to Kuwait• Signed 2 newbuild contracts for

delivery to Kuwait late 2016

• 4th and 5th Kuwait rigs started operations in Q4

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Commodity • Vertical gas • Vertical gas• Vertical oil• Horizontal gas emerges

• Horizontal gas, development mode• Horizontal oil/liquids growth• Vertical oil• Vertical gas declining

Customers • Small independents• Highly cyclic customer

demand

• Large cap independents• Mid cap independents• Small cap independents

• Integrated oil companies• National oil companies • Large cap independents• Mid cap independents• More stable demand

UnconventionalBasins

• Oil Sands • U.S. focused• 3 to 5 basins

• U.S. and Canada • Emerging Internationally• 20+ basins

Barriers to Entry & Competitive Advantage

• Low barriers• No differentiation

• Rig ownership• Capital• Technology bifurcation

emerging• High performance contractors

emerge• Shortage of Tier 1 rigs

• Technology bifurcation complete• Rig efficiency dominates• Scale benefits apparent• Capital needs large• Established track record• Robust support systems• Tier 1 rigs in demand

North American Market Has Transitioned To Industrialized Resource Drilling

1985-2005Reservoir Drilling

2005-2010Resource Drilling Emergence

2010-PRESENTIndustrial Resource Drilling

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Precision’s Tier 1 Super Series Fleet

High Performance Development Drilling Technology

INDUSTRY LEADING RIGSDelivering unrivaled economics through High Performance

Rapid Mobility Walking/skidding system Location to location Sophisticated connections

Small footprint Integrated components Cold weather operations

Smart Design

Automation & Safety Features

Pipe handling Electronics and hydraulics Advanced control systems

1) ST-1500 Requires as few as 42 truck loads in addition to 12 loads of tubular and any operator rental loads2) Requires as few as 36 truck loads in addition to 10 loads of tubular and any operator rental loads

Super Triple 1500 1

Super Triple 1200 2Super Single

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800, 525-8th Avenue S.W.

Calgary, Alberta, Canada T2P 1G1

Telephone: 403.716.4500

Facsimile: 403.264.0251

www.precisiondrilling.com