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Questions? Bonterra shareholders should contact Kingsdale Advisors, the information agent and depositary for
the Offer, at 1-888-564-7333 (North American Toll-Free Number) or
+1-416-867-2272 (Outside North America) or via email at contactus@kingsdaleadvisors.com.
The offer and sale of Obsidian Shares pursuant to the Offer is subject to a registration statement (the Registration Statement) filed with the
United States Securities and Exchange Commission (the SEC) under the U.S. Securities Act of 1933, as amended. The Registration Statement includes various documents related to such offer and sale. OBSIDIAN ENERGY URGES INVESTORS AND
SHAREHOLDERS OF BONTERRA TO READ THE REGISTRATION STATEMENT AND ANY AND ALL OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE OFFER AND SALE OF OBSIDIAN SHARES AS THOSE DOCUMENTS BECOME AVAILABLE, AS WELL AS ANY
AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION. You will be able to obtain a free copy of such registration statement, as well as other relevant filings regarding Obsidian Energy or the
Offer, at the SECs website (www.sec.gov) under the issuer profile for Obsidian Energy, or on request without charge from the Corporate Secretary of Obsidian Energy at Suite 200, 207
9th Avenue, SW, Calgary, Alberta T2P 1K3.
Copies of the Offer Documents may also be obtained
free of charge upon request from the Corporate Secretary of Obsidian Energy at Suite 200, 207 9th Avenue, SW, Calgary, Alberta T2P 1K3. The Offer Documents will also be available on
Obsidian Energys website at www.obsidianenergy.com.
APPROVALS
The Offer has been unanimously approved by Obsidian Energys Board of Directors. Tudor, Pickering, Holt & Co. Securities Canada, ULC has
delivered an opinion to Obsidian Energys Board of Directors to the effect that, as of September 18, 2020, and based upon and subject to the assumptions, limitations, qualifications and other matters considered in connection with the
preparation of its opinion, the exchange ratio in the Offer was fair to Obsidian Energy from a financial point of view.
Obsidian Energy has engaged
Tudor, Pickering, Holt & Co. Securities Canada, ULC to act as its financial advisor, Stikeman Elliott LLP, Bennett Jones LLP and Paul, Weiss, Rifkind, Wharton & Garrison LLP as its legal counsel, Kingsdale Advisors as the
information agent and the depositary in respect of the Offer and Longview Communications & Public Affairs as its strategic communications advisors.
ADDITIONAL READER ADVISORIES
NO OFFER OR SOLICITATION
This news release does not constitute an offer to buy or sell, or an invitation or a solicitation of an offer to buy or sell, any securities of
Obsidian Energy or Bonterra. The Offer is made exclusively by means of, and subject to the terms and conditions set out in, the Offer Documents. While the Offer will be made to all holders of Bonterra Shares, the Offer will not be made or directed
to, nor will deposits of Bonterra Shares be accepted from or on behalf of, holders of Bonterra Shares in any jurisdiction in which the making or acceptance of the Offer would not be in compliance with the laws of such jurisdiction.
OIL AND GAS INFORMATION ADVISORY
Boe may be misleading,
particularly if used in isolation. A boe conversion ratio of six thousand cubic feet of natural gas to one barrel of crude oil is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency conversion ratio of 6:1, utilizing a conversion on a 6:1 basis is
misleading as an indication of value.