Presentation: Overcoming challenges in the exploration of Albania’s high potential carbonate

structures

Peter Sider, Vice President, Engineering, Operations and Business Development, Petromanas

E X P L O R I N G H I G H I M P A C T I N T E R N A T I O N A L O P P O R T U N I T I E S

T S X - V : P M I w w w . p e t r o m a n a s . c o m

Petromanas Albania GmbH Albania Oil, Gas and Energy Summit

March 17, 2015

P A G E 3

C AU T I O N A RY N OT E S

Forward-Looking Information

This presentation contains forward-looking information within the meaning of applicable securities laws and is based on the expectations, estimates and projections of management of Petromanas as of March 2015 unless otherwise stated. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "potential", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information. More particularly and without limitation, this presentation contains forward-looking information concerning the objectives of Petromanas for 2015, corporate strategy, exploration plans and objectives, development and drilling plans, quantity and potential of its resources, the exploration and development characteristics of its oil and natural gas properties, and expectations as to timing and costs of implementing its plans.

The forward-looking information has been made in reliance on certain assumptions that management of Petromanas believes are reasonable at this time, including assumptions as to the timing and drilling of wells and its ability to meet operational commitments; anticipated geological and well performance; its ability to receive, in a timely manner, necessary regulatory and governmental operational approvals; expectations and assumptions concerning commodity prices and interest and foreign exchange rates; planned construction activities; applicable tax laws; the sufficiency of budgeted capital expenditures in carrying out planned activities and the ability to obtain financing on acceptable terms if at all; the availability and cost of labour, equipment, supplies and services; and that there will be no significant events occurring outside of the normal course of business of Petromanas. Accordingly, readers should not place undue reliance on the forward-looking information contained in this presentation.

Since forward-looking information addresses future events and conditions, by its very nature it involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risks associated with the industries in which Petromanas operates in general such as operational and exploration risks; delays or changes in plans with respect to growth projects or capital expenditures; delays in obtaining governmental approvals, permits or financing; political risks; access to drilling rigs, completion equipment, seismic equipment, infrastructure, operational personnel; costs and expenses; risks of litigation; title disputes; health, safety and environmental risks; commodity price, interest rate and exchange rate fluctuations; environmental risks; competition; ability to access sufficient capital from internal and external sources; and changes in legislation, including but not limited to tax laws and environmental regulations.

Readers are cautioned that the foregoing lists are not exhaustive. Additional information on other factors that could affect the operations or financial results of Petromanas are included in reports on file with applicable securities regulatory authorities, including the Annual Information Form for the year ended December 31, 2013, dated April 25, 2014 which may be accessed on Petromanas' SEDAR profile at www.sedar.com. Petromanas undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

No Representation or Warranty - Petromanas does not make any representation or warranty, express or implied, and assumes no responsibility for the accuracy, reliability or completeness of the information contained in this presentation or any other oral or written communication, and nothing contained in this presentation is, or shall be relied upon as, a promise or representation by Petromanas as to the past or future performance of Petromanas. Neither Petromanas nor any of its directors, officers or employees will have any liability to the reader or any other persons resulting from the reader's use of the information in the presentation.

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C AU T I O N A RY N OT E S

Boe Estimates - boe means barrel of oil equivalent, using the conversion factor of 6 mcf of natural gas being equivalent to one bbl of oil. Boes may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

Resource Estimates - Statements relating to undiscovered petroleum initially-in-place ("UPIIP") and resources are deemed to be forward-looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the resources described exist in the quantities predicted or estimated and can be profitably produced in the future. Resources do not constitute, and should not be confused with, reserves. Petromanas has not established any reserves and has no production.

UPIIP is that quantity of petroleum that is estimated, on a given date, to be contained in accumulations yet to be discovered. The recoverable portion of UPIIP is referred to as "prospective resources" and the remainder is "unrecoverable". The evaluations of the UPIIP in respect of the Ger and Ledeuix Permits in France were prepared by GLJ Petroleum Consultants Ltd. in accordance with the requirements of National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities ("NI 51-101") and the COGE Handbook with effective dates of September 30, 2011 and June 30, 2014, respectively. Due to the uncertainty as to how the plays will be developed, no estimate of contingent or prospective resources was provided in the GLJ reports. No risking for development risk or political risk was made. There is no certainty that any portion of the resources will be discovered. A recovery project cannot be defined for this volume of UPIIP at this time. There is also no certainty that it will be commercially viable to produce any portion of the resources. Prospective resources are those quantities of petroleum that are estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective resources have both an associated chance of discovery (geological chance of success) and a chance of development (economic, regulatory, market and facility, corporate commitment or political risks). The chance of commerciality is the product of these two risk components. There is no certainty that any portion of the prospective resources will be discovered. If a discovery is made, there is no certainty that it will be developed or, if it is developed, there is no certainty as to the timing of such development or that it will be commercially viable to produce any portion of the prospective resources. The estimates contained in this presentation have not been risked for chance of discovery or chance of development. The prospective resource estimates in this presentation in respect of Petromanas' Albanian properties are derived from the "Prospective Resource Assessment and Evaluation" prepared by GLJ Petroleum Consultants Ltd. in accordance with the requirements of NI 51-101 and the COGE Handbook, with an effective date of July 31, 2011. Additional information in respect of the prospective resources can be found in Petromanas' Annual Information Form for the year ended December 31, 2013 dated April 25, 2014.

Oil and Gas Analogous Information - Certain information in this presentation may constitute "analogous information" as defined in NI 51-101. This analogous information is derived from historical data that is internally available at Petromanas. Some of this data may not have been prepared by qualified reserves evaluators or auditors and the preparation of any of this data may not be in strict accordance with COGE Handbook. Petromanas believes that the provision of this analogous information is relevant to Petromanas' activities, given its ownership interests and operations (either ongoing or planned) in the areas in question. However, readers are cautioned that there is no certainty that any of Petromanas' activities or prospects will yield results or be successful to the extent in which operations on the areas in which the analogous information is derived from were successful, or at all.

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AG E N DA

Item Slide

About Petromanas 5

PSC History and Investment to Date 7

Drilling Challenges 12

Blocks 2-3 Potential 16

2015 and Onward 18

Molisht-1

P A G E 6

Exchange TSX Venture

Symbol PMI

52 Week Range C$0.05 - $0.40

Stock Price (March 13, 2015) C$0.065

Market Capitalization C$45 million

Basic Shares Outstanding1 694 million

Options2 40 million

Performance Shares4 50 million

Total 784 million

Current Working Capital3 US$16 million

Option Proceeds C$11 million

1. Management and Board of Directors own 13% 2. Average exercise price of C$0.27 3. Includes restricted cash @ Sept 30, 2014

4. Includes up to 50 million common shares of PMI issuable based on reserve performance milestones on the Albanian licenses: -25 million shares upon receipt of a report pursuant to National Policy 51-101 confirming 2P reserves of > 50 million barrels of oil equivalent (“boe”) -0.5 million shares for each 50 million boe over and above the initial 50 million boe to a maximum of 25 million common shares. Maximum dilution achieved at 2,550 million boe

A B O U T P E T RO M A N A S : M A R K E T C A P I TA L I Z AT I O N

P A G E 7

Albania

Blocks 2-3 Working interest: PMI 25% (Shell 75%) Net acres 213,000 (gross 852,000) World class exploration Discovery well 2013

France

Ger and Ledeuix Permits 11 TCF produced in Aquitaine Basin Working interest: 100% Net acres: 170,000 TCF gas exploration

Australia

EP464 and EP486 Canning Basin Working interest: 100% Net acres: 1,600,000 Conventional and non conventional opportunity

A B O U T P E T RO M A N A S : O U R A S S E T S

P A G E 8

P RO D U C T I O N S H A R I N G C O N T R AC T S : OV E RV I E W

Blocks A-B

Blocks D-E

Blocks 2-3

Prospects/ Leads

West Gjurica West Rova,

Papri

Shpirag discovery, Molishti, Golemaj,

Mollassi

Net Acres 345,788 259,650 213,000

(852,000 gross)

Seismic 189 km 2D Shot 2008

105 km 2D Shot 2010

590 km 2D 2011 - 2013

Drilling Activity

Juban-1 - Shpirag-2, Molisht-1

Working Interest

100% PMI 100% PMI 25% PMI / 75% Shell

Status Relinquished after Second Exploration

Period

Relinquished after Second Exploration

Period

Entered Second Exploration Period

June 6, 2014

Map shows Production Sharing Contracts held by Petromanas over time and is not current

P A G E 9

B LO C K S A - B P RO D U C T I O N S H A R I N G C O N T R AC T

100% working interest

Seismic

• 189 kilometres 2D, shot 2008

Juban-1 well

• Spud November 23, 2012

• Total depth: 1,716 metres on December 27, 2012

• Final cost: $6.5 million

• Negligible amounts of hydrocarbons

Relinquishment

• Completed work commitments under two of three exploration periods

• Elected to not enter the third exploration period and relinquish the blocks

• Juban-1 drilling location fully remediated

P A G E 1 0

B LO C K S D - E P RO D U C T I O N S H A R I N G C O N T R AC T

100% working interest

Seismic

• 105 kilometres 2D, shot 2010

• 250 kilometres reprocessed

Well not drilled

Petromanas forfeited $6 million bank guarantee

Blocks relinquished

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B LO C K S 2 - 3 P RO D U C T I O N S H A R I N G C O N T R AC T

25% working interest

• Initial farmout to Royal Dutch Shell (50%) 2012

• Second farmout to Royal Dutch Shell (25%) 2013

Seismic

• 590 kilometres 2D, shot 2011 and 2013

Shpirag-2 well

• Spud June 2012

• Total depth: 5,547 metres June 2013

• Discovery declared December 2013

Molisht-1 well

• Spud August 2013

• Plugged back to ~4,200 metres

• Suspended pending re-entry

• Depth of lower reservoir is estimated to be ~4,700 – 4,800 metres measured depth

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I N V E S T M E N T I N A L B A N I A

* Includes $6 million bank guarantee

Blocks Working Interest Investment to Date

A-B 100% Petromanas $18 million

D-E 100% Petromanas $18 million*

2-3 25% Petromanas (75% Shell) ~$260 million

Juban-1 (Blocks A-B) 2D Seismic Program 2012-2013

Testing Shpirag-2 (Blocks 2-3) Drilling Molisht-1 (Blocks 2-3)

P A G E 1 3

BASEMENT

Triassic Evaporite?

Berati Thrust Sheet

Sea Level

-2500m

-5000m

-7500m

-10000m

-12500m

-15000m

Cakran Oil Field (Carbonate)

Visoka /Ballsh Oil Fields (Carbonate)

Patos-Marinza Oil Field (Clastics)

Jurassic carbonate

Shpirag-2 Well

Shpirag-1 (tested oil)

Blocks 2-3

D R I L L I N G C H A L L E N G E S : C O M P L E X G E O L O G Y

P A G E 1 4

D R I L L I N G C H A L L E N G E S : H I S T O R Y

Operator Well Total Depth Drilling Time (spud to rig release)

Albpetrol

Pashnik-1 3,630 metres 31 months

Sqepur-6 5,300 metres 22 months

Osmanzene-4 2,956 metres 10 months

Occidental

Shpirag-1 5,142 metres 11 months

Shpirag-1 ST 5,233 metres

Shpirag-1 ST1 4,266 – 5,055 metres 5 months

Shpirag-1 ST2 4,266 – 5,442 metres

Petromanas

Shpirag-2 5,553 metres 12 months

Molisht-1 4,657 metres 14 months

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D R I L L I N G C H A L L E N G E S

1. Severe Lost Circulation

2. Deviation

3. Tectonically Stressed Shale

4. Fault Affected Zones Berati Imbricates

5. Slow Penetration (Cherts)

6. Complex Geology - Imbricates

7. Seismic Resolution

8. Packoffs/Stuck Pipe

P A G E 1 6

D R I L L I N G O P T I M I Z AT I O N / M I T I G AT I O N S

Additional casing strings

Geomechanical studies – increased mudweights

Case off Berati Fault

Continuous mud circulation

Cuttings measurements (sloughing/cavings)

Drilling parameter (ROP, wiper trips)

Rotary Steerable (stationary drill pipe)

Higher horsepower drilling rig

P A G E 1 7

B L O C K S 2 - 3 P O T E N T I A L : I T A L I A N A N A L O G Y Val d’Agri (Italy)

Discovery 1988 Working interest: ENI 61%, Shell 39% Recoverable reserves: 718mmbo and 805bcf Current production: 85,000bopd and 125mmcfd Sub-thrust carbonate reservoir

Tempa Rossa (Italy) Discovery 1989 Working interest: Total 50%, Mitsui 25%, Shell 25% Recoverable reserves: 290mmbo and 11mmbl LPG Current production (est. 2016): 33,000bopd Sub-thrust carbonate reservoir

Patos-Marinza (Albania - Europe’s largest oil field) Discovery 1926 WI: Bankers Petroleum 100% OOIP > 5 billion Current production: 22,000bopd Heavy oil clastic reservoir Oil leaked from breached carbonates into Patos-Marinza clastics

100km

Source: Wood Mackenzie

P A G E 1 8

Shpirag-3 Spud in 2015

Molisht-1 Drilled to 4,200 metres Suspended pending re-entry

Golemaj Prospect

Shpirag-2 Discovery

B LO C K S 2 - 3 P OT E N T I A L : E X P LO R AT I O N S U M M A RY

P A G E 1 9

P E T RO M A N A S I N A L BA N I A : 2 0 1 5 A N D O N WA R D

Drilling Shpirag-3

Deepening Molisht-1

2D seismic over Golemaj prospect

Photo: Shpirag-3 lease

www.petromanas .com

Peter Sider Vice President, Engineering, Operations, and Business Development

+1 (403) 457-4400 info@petromanas.com