Slides
Page 1
INVESTORPRESENTATIONNOVEMBER 2025CREATING ENERGY| CREATING VALUE
Page 2
BAYTEX ENERGY / NYSE / TSX BTE2 ADVISORYIn this presentation, we refer to certain specified financial measures which do not have any standardized meaning prescribed by International Financial Reporting Standards (“IFRS”).While these measures are commonly used in the oil and natural gas industry, our determination of these measures may not be comparable with calculations of similar measurespresented by other reporting issuers. This presentation also contains oil and gas disclosures, various industry terms, and forward-looking statements, including various assumptionson which such forward-looking statements are based and related risk factors. Please see the Company’s disclosures located at the end of this presentation for further detailsregarding these matters.All slides in this presentation should be read in conjunction with “Forward Looking Statements Advisory”, “Specified Financial Measures Advisory”, “Capital Management MeasuresAdvisory” and “Advisory Regarding Oil and Gas Information”.This presentation should be read in conjunction with the Company’s consolidated interim unaudited financial statements and Management’s Discussion and Analysis (“MD&A”) forthe period ended September 30, 2025.There is no representation by Baytex that actual results achieved will be the same in whole or in part as those referenced in the forward-looking statements. The future orientedfinancial information and forward-looking statements are made as of October 30, 2025 and Baytex disclaims any intent or obligation to update publicly any forward-lookingstatements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.All amounts in this presentation are stated in Canadian dollars unless otherwise specified.
Page 3
BAYTEX ENERGY / NYSE / TSX BTE3 A DIVERSIFIED NORTH AMERICAN E&P OPERATORMarket SummaryTSX, NYSE | BTETicker SymbolCanada: 12 million | US: 23 millionAverage Daily Volume (1)768 millionShares Outstanding(2)$2.5 billion / $4.7 billionMarket Capitalization / Enterprise Value(3)$0.09 | 2.8%Annual Dividend per Share | Dividend Yield (4)(5)Operating Statistics~ 148 Mboe/dProduction (working interest) (6)85% liquidsProduction Mix (6)~ $1.2 billionE&D Expenditures (6)660 MMboeReserves – 2P Gross (7)1.6 millionNet Acres2025 Production by Business Unit 2025 Production by Commodity(1) Average daily trading volumes for October 1-29, 2025. Volumes are a composite of all exchanges. (2) Shares outstanding as at October 29, 2025. (3) Enterprise value based on closing share price on the Toronto Stock Exchange on October 29, 2025 and net debt as at September 30, 2025. Enterprise value is calculated as market capitalization plus net debt and is used to assess the valuation of the Company. Net debt is a capital management measure. Refer to the Capital Management Measures Advisory section in this presentation for further information.(4) Refer to the Dividend Advisory section in this presentation for further information.(5) Dividend yield is calculated by dividing the annualized per share dividend by the market share price for the applicable period.(6) Production, production mix, and exploration and development (“E&D”) expenditures represents 2025 guidance. (7) Baytex’s year-end 2024 reserves were evaluated by McDaniel & Associates Consultants Ltd, (“McDaniel”), an independent qualified reserves evaluator in accordance with National Instrument 51-101 “Standards of Disclosure for Oil and Gas Activities” (“NI 51-101”). See “Advisory Regarding Oil and Gas Information”. OUROPERATING AREAS Heavy OilLight OilNGLsNatural GasU.S. Light Oil (Eagle Ford)Canada Light Oil (Duvernay /Viking)Canada Heavy Oil (Peace River/Peavine/Lloydminster)Other
Page 4
BAYTEX ENERGY / NYSE / TSX BTE4 INVESTMENT HIGHLIGHTSPrioritizing free cash flow(1)High-quality oil-weighted portfolio with more than 10-years of drilling inventory Track record of new discoveriesDisciplined Reinvestment and Capital AllocationPrioritizing balance sheet in the near-termAnnual dividend of $0.09 per share (declared quarterly)Repurchased 11% of shares outstanding since June 2023Shareholder ReturnsSignificant credit capacityLong-term notes termed out to 2030 and 2032Resilient through the commodity price cyclesFinancial Position Operational Excellence to Deliver Long-Term Value and Increasing Shareholder Returns (1) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified FinancialMeasures Advisory section in this presentation for further information.
Page 5
BAYTEX ENERGY / NYSE / TSX BTE5 YTD 2025 HIGHLIGHTSOperating and financial results in line with full-year plan2% increase in production per share Net debt(1) reduced 7% ($173 million)Strong ExecutionAchieved record well performance with first pad (3-wells) delivering average peak 30-day initial rates of 1,865 boe/d per well (89% oil and NGL)11% improvement in drilling and completion costs per completed lateral foot, compared to 2024Pembina Duvernay Performance38 net operated wells onstream, realizing a 12% improvement in drilling and completion costs per completed lateral foot, compared to 2024Two successful refracs, extending inventory duration and improving capital efficienciesEagle Ford DevelopmentProduction increased 5% in Q3/2025, compared to Q2/2025Continued performance at Peavine, Peace River and LloydminsterDelivers strongest economic return across portfolioHeavy Oil Program Delivered solid results with record Pembina Duvernay well performance and continued debt reduction (1) Capital management measure. Refer to the Capital Management Measures Advisory section in this presentation for further information.
Page 6
BAYTEX ENERGY / NYSE / TSX BTE6 Production per share growth with reasonable leverageCREATING SHAREHOLDER VALUE (1) Calculated in accordance with the amended credit facilities agreement which is available on the SEDAR+ website at www.sedarplus.ca.(2) Total Debt to Bank EBITDA ratio based on year-end total debt and trailing 12-month Bank EBITDA. Production (boe/d) per thousand shares Total debt(1) to Bank EBITDA(1)(2)0.150.170.192022 2023 20240.8x1.1x1.1x2022 2023 2024
Page 7
BAYTEX ENERGY / NYSE / TSX BTE7 2025 OUTLOOK2025 Guidance~ $1.2 billionE&D Expenditures~ 148,000 boe/dProduction85%Oil and NGLsE&D Expenditures ($MM)Net Wells OnstreamOperating Area$69052U.S. Light Oil (2)$27095Canada Light Oil (3)$265117Canada Heavy Oil (4)$1,225264Total(1) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(2) U.S. Light Oil includes operated / non-operated Eagle Ford.(3) Canada Light Oil includes Duvernay / Viking.(4) Canada Heavy Oil includes Peace River (Bluesky) / Peavine (Clearwater) / Lloydminster (Mannville).Prioritizing free cash flow(1)Moderating growth profile and delivering stable productionStrong drilling, completion and operating performance across portfolioOperationally efficient development in the Eagle FordAdvance Pembina DuvernayCapital efficient heavy oil development ~ 148,000boe/d2025 productionDisciplined Reinvestment and Capital Allocation
Page 8
BAYTEX ENERGY / NYSE / TSX BTE8 -40-17862Jun-23 2H2023 1H2024 2H2024 1H2025 Current 2025 RETURN OF CAPITAL (1) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(2) 2025 free cash flow sensitivity based on 9-month actual results for 2025 and each assumed WTI price for H2/2025 along with the following commodity price assumptions: WCS differential – US$12/bbl; NYMEX Gas -US$3.75/MMbtu; Exchange Rate (CAD/USD) – 1.35. Baytex generated $198 million of free cash flow in the first nine months of 2025. Free Cash Flow PrioritiesStrengthening Balance Sheet2025 Free Cash Flow ($ millions)(1)(2)Shares Repurchased (millions)768Share count reduced 11% since June 2023-31-6 Shareholder return framework to prioritize balance sheetNear-term100% of free cash flow to debt repayment after funding quarterly dividendLong-termMaintain a prudent approach to shareholder returns, which has historically comprised a mix of share buybacks and quarterly dividends$0$200$400$600$60 $65 $70WTI (US$/Bbl)
Page 9
BAYTEX ENERGY / NYSE / TSX BTE9 MAINTAINING FINANCIAL STRENGTHC$ millionsTotal Debt(1)(2)$182Credit facilities(3)Long-term notes$1,0568.500% notes due April 1, 2030$8007.375% notes due April 1, 2032$1,856Total long-term notes$2,038Total debtSignificant credit capacityResilient through the commodity price cyclesStrong long-term notes maturity scheduleLess than 15% drawn on US$1.1B of total credit facilitiesRepurchased and cancelled US$41 million of 2030 long-term notes in 2025Total debt(2) target of $1.5 billion (~ 0.7x total debt to EBITDA(2) at US$70 WTI) Long-Term Notes Maturity Schedule (US$ millions)(1) Total debt as at September 30, 2025. (2) Calculated in accordance with the amended credit facilities agreement which is available on the SEDAR+ website at www.sedarplus.ca.(3) Revolving credit facilities total US$1.1 billion and mature June 2029. The revolving credit facilities are not borrowing base facilities and do not require annual or semi-annual reviews. Commitment to a Strong Balance Sheet 2025 2026 2027 2028 2029 2030 2031 2032US$575US$7598.5% Notes7.375% NotesRepurchased and cancelled in 2025 Principal amount outstanding as at September 30, 2025US$41
Page 10
BAYTEX ENERGY / NYSE / TSX BTE10010,00020,00030,00040,00050,000Q4 2025 Q1 2026 Q2 2026Hedged Volumes (bbl/d)CRUDE OIL HEDGE PORTFOLIO (1) Percentage of hedged volumes are based on 2025 production guidance (excluding NGLs), net of royalties. Balanced Approach to Risk Management~ 43%Disciplined hedge program to help mitigate volatility in revenue due to changes in commodity pricesUtilize wide 2-way collars and puts to ensure modest returns at lower commodity prices while maintaining exposure to upside and minimizing costsTarget up to 45% of Net Crude Oil Volumes(1) ~ 30%~ 38%Collars (Weighted Average)$65.86$67.28$71.69Ceiling (US$)$60.00$60.00$60.00Floor (US$)
Page 11
BAYTEX ENERGY / NYSE / TSX BTE11$0.82$1.152024 2028E Sustainable plan(1)(2) delivers significant valueFIVE-YEAR OUTLOOK (2024 – 2028) (1) Five-year outlook released on December 3, 2024 and based on a mid-cycle WTI price of US$75/bbl WTI. Year one (2024) based on actual results. Year two (2025) based on 2025 guidance. Years three through five (2026 to 2028) assume 0% annual production growth at flat US$75/bbl WTI. Budget and forecast beyond 2025 have not been finalized and are subject to a variety of factors including prior year’s results. For illustrative purposes only and should not be relied upon as indicative of future results. Baytex’s actual results may vary. (2) Commodity price assumptions 2025 to 2028: WTI - US$75/bbl; WCS differential – US$13/bbl; NYMEX gas – US$3.25/MMbtu; exchange rate (CAD/USD) – 1.40. (3) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(4) Calculated in accordance with the amended credit facilities agreement which is available on the SEDAR+ website at www.sedarplus.ca. 0-4% annual production growthBase plan delivers stable production; optionality for organic growth under higher commodity pricesProduction (boe/d per thousand shares)Strong economics across portfolio> 10 years of drilling inventory Prioritizing free cash flow(3)Balance sheet, quarterly dividend, share buybacks Balance sheet strengthTarget total debt(4)to Bank EBITDA(4) ratio < 1.0xFree Cash Flow (per share)(3) 0.190.242024 2028E
Page 12
BAYTEX ENERGY / NYSE / TSX BTE12 Shareholder Returns(1)(2) Compelling Returns ProfileUnderpinned by disciplined reinvestment and capital allocation Free Cash Flow(3)over Five-Year Outlook ($ millions)FIVE-YEAR OUTLOOK (2024 – 2028) Return of Capital(3) to Shareholders over Five-Year Outlook ($ millions)Includes dividends and share repurchases(1) Five-year outlook released on December 3, 2024 and based on a mid-cycle WTI price of US$75/bbl WTI. Year one (2024) based on actual results. Year two (2025) based on 2025 guidance. Years three through five (2026 to 2028) assume 0% annual production growth at flat US$65/bbl and US$75/bbl WTI scenarios, and ~ 2% annual production growth at flat US$85/bbl scenario. Budget and forecast beyond 2025 have not been finalized and are subject to a variety of factors including prior year’s results. For illustrative purposes only and should not be relied upon as indicative of future results. Baytex’s actual results may vary. (2) Commodity price assumptions 2025 to 2028 at WTI prices of US$65/bbl, US$75/bbl and US$85/bbl: WCS differential – US$13/bbl; NYMEX gas – US$3.25/MMbtu; exchange rate (CAD/USD) – 1.40. (3) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.$0$1,000$2,000$3,000$4,000$5,0002024 2025 2026 2027 2028US$65US$75US$85$0$1,000$2,000$3,0002024 2025 2026 2027 2028US$65US$75US$85
Page 13
ASSETOVERVIEW
Page 14
BAYTEX ENERGY / NYSE / TSX BTE14 w BUSINESS UNIT HIGHLIGHTS (1) Baytex’s year-end 2024 reserves were evaluated by McDaniel & Associates Consultants Ltd, (“McDaniel”), an independent qualified reserves evaluator in accordance with National Instrument 51-101 “Standards of Disclosure for Oil and Gas Activities” (“NI 51-101”). See “Advisory Regarding Oil and Gas Information”.(2) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(3) Net locations includes proved plus probable undeveloped reserves locations at year-end 2024 and unbooked future locations. See “Advisory Regarding Oil and Gas Information”.(4) Individual well economics based on constant pricing and costs and Baytex’s internal assumptions using an average type curve for wells within each asset that are expected to be developed in the five-year outlook (representing ~ 40% of our inventory of booked and un-booked risked locations). (5) Commodity price assumptions: WTI – US$75/bbl; WCS differential – US$13/bbl; NYMEX Gas - US$3.25/MMbtu; Exchange Rate (CAD/USD) – 1.40.(6) Cash Return on Capital Invested (“CROCI”) is a supplementary financial measure calculated as the undiscounted cash flow stream for an individual well divided by the cost to drill, complete, equip and tie-in a well. Heavy Oil –Canada (Peace River/Peavine/ Lloydminster)Light Oil – Canada (Viking/Duvernay)Light Oil – USA(Eagle Ford)44,000 boe/d18,000 boe/d82,000 boe/dProduction (2025E)96%83%81%% Liquids 745,000317,000178,000Land (net acres)137 MMboe109 MMboe401 MMboe2P Reserves(Gross)(1) 40%5%55%Asset Level Free Cash Flow (% of corporate) (2)~ 1,100~ 1,200~ 800Drilling Locations (net) (3)Individual Well Economics (4) (5)95% to > 250%55% to 90%45% to 90%IRRs8 to 13 months14 to 21 months14 to 26 monthsPayouts2.4x to 4.0x2.0x to 2.7x2.1x to 2.5xCROCI(6)
Page 15
BAYTEX ENERGY / NYSE / TSX BTE15 Eagle Ford255,000 gross acres, 70% operatedLowers full-company cash cost structure, improves operating netbacks and marginsProvides exposure to premium light oil U.S. Gulf Coast pricingExpect to bring 52 net wells to sales (~ 75% operated) in 2025 U.S. LIGHT OIL: EAGLE FORDStrong Operating Capability Increased Scale in a Premier Basin with Strong Market Access OPERATEDKARNES TROUGHWILSONKARNESGOLIADDEWITTGONZALESGUADALUPECALDWELLFAYETTELAVACAVICTORIA2025 Operated ActivityExpect to bring 40 operated wells onstream -37 Lower Eagle Ford wells and 3 Upper Eagle Ford wells Realized ~ 12% improvement in YTD drilling and completion costs per lateral footover 2024Typical 30-day peak crude oil rates in the black and volatile oil windows ~ 700 to 800 bbl/d (900 to 1,100 boe/d) per well~ US$9 million well cost based on 9,500 foot completed lateral length Two successful refracsextends inventory duration and improves capital efficienciesATASCOSABEE BASTROPLEE REFUGIO
Page 16
BAYTEX ENERGY / NYSE / TSX BTE16 CANADA LIGHT OIL: PEMBINA DUVERNAY / VIKINGHigh netback light oil Pembina Duvernay Shale is a growth asset in the Canadian portfolioPembina Duvernay143 net sectionsDemonstration-stage light oil resource playProduced 10,200 boe/d in Q3/2025 (77% liquids)8 net wells onstream in 2025Viking355 net sectionsStable production and high netbacksProduced 9,400 boe/d in Q3/2025 (83% liquids) Expect to bring ~ 85 net wells onstream in 2025 ALBERTASASKATCHEWANVIKINGPEMBINA DUVERNAYCALGARY RED DEERLLOYDMINSTERAsset swap consolidates southernacreage, enables more efficientdevelopment commencing in 2026.
Page 17
BAYTEX ENERGY / NYSE / TSX BTE17 CANADA HEAVY OIL: PEACE RIVER / PEAVINE / LLOYDMINSTERInnovative Multi-Lateral Drilling and Top-Tier EfficienciesClearwater at Peavine Delivers Exceptional Well Performance and EconomicsPeavine (Clearwater)Partnership with Peavine Métis Settlement covering 134.5 contiguous sectionsProduced 20,950 boe/d in Q3/2025 (100% oil) Expect to bring ~ 42 net MLHZ wells onstream in 2025 Peace River (Bluesky)524 net sectionsProduced 11,600 boe/d in Q3/2025 (86% oil)Expect to bring ~ 12 net MLHZ wells onstream in 2025Lloydminster (Mannville)523 net sectionsProduced 13,500 boe/d in Q3/2025 (98% oil)Targeting multiple horizons within the Mannville group of formationsExpect to bring ~ 58 net wells onstream in 2025ALBERTA PEACE RIVERPEAVINE LLOYDMINSTERCALGARY LLOYDMINSTERSASKATCHEWANB.C. EDMONTON
Page 18
BAYTEX ENERGY / NYSE / TSX BTE18 Lloydminster (Mannville)Farm-in agreement on 17.75 sections near Cold Lake Increases lands prospective for Mannville development in northeast Alberta to ~ 100 sectionsCANADA HEAVY OIL: LAND EXTENSIONSLeveraging heavy oil expertise and recent exploration successPeace River (Clearwater + Bluesky)Farm-in agreement on 66 sections near Peace River with prospectivity for the Bluesky formationAcquired 44.5 net sections on the Peavine Métis Settlement bringing total land position to 134.5 net sections Baytex legacy lands Recent land agreements
Page 19
SUPPLEMENTARY INFORMATION
Page 20
BAYTEX ENERGY / NYSE / TSX BTE20 BOARD OF DIRECTORSEfficient and Independent BoardComplementary Skills Suited to Govern the Combined BusinessEric T. GreagerPresident and CEOMark R. Bly Chair of the BoardTrudy M. CurranSteve D.L. ReynishDave L. PearceJennifer A.Maki Don G. HrapAngelaLekatsas Jeffrey E. WojahnTiffany (“T.J.”) Cepak10 board members, 9 of which are independent
Page 21
BAYTEX ENERGY / NYSE / TSX BTE21 FREE CASH FLOW(1)ALLOCATION POLICYTotal Debt(2)Above $1.5 billionAdjusted Funds Flow(3)Less: Exploration and Development ExpendituresLess: Abandonment and Reclamation / Leasing ExpendituresShare Repurchases Base Dividend Balance SheetDirect Shareholder ReturnFree Cash Flow (1) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(2) Calculated in accordance with the amended credit facilities agreement which is available on the SEDAR+ website at www.sedarplus.ca.(3) Capital management measure. Refer to the Capital Management Measures Advisory section in this presentation for further information.Shareholder returns increase to 75% of free cash flowTotal Debt Below $1.5 billionShareholder return framework to prioritize balance sheet
Page 22
BAYTEX ENERGY / NYSE / TSX BTE22 Q3 2025Q2 2025Q1 20252024Q4 2024Q3 2024Q2 2024Q1 2024Benchmark Prices$64.93$63.74$71.42$75.72$70.27$75.10$80.57$76.96WTI crude oil (US$/bbl)$3.07$3.44$3.65$2.27$2.79$2.16$1.89$2.24NYMEX natural gas (US$/MMbtu)Production110,204105,067102,527109,207106,888112,602110,734106,596Crude oil (bbl/d)19,06719,94819,04620,12921,20819,83620,16719,299Natural gas liquids (bbl/d)130,076138,482135,731142,262148,792132,175139,764148,353Natural gas (mcf/d)150,950148,095144,194153,048152,894154,468154,194150,620Oil equivalent (boe/d) (1) 86%84%84%85%84%86%84%84%% LiquidsAdjusted Funds Flow ($/boe)$63.22$61.16$71.38$70.43$66.60$71.97$75.93$67.12Total sales, net of blending and other expense(2)(13.05)(13.16)(16.02)(15.71)(14.69)(15.75)(17.14)(15.26)Royalties (3) (11.54)(11.95)(11.38)(11.67)(10.36)(11.76)(11.95)(12.65)Operating expense (3) (2.54)(2.44)(2.35)(2.38)(2.35)(2.60)(2.37)(2.18)Transportation expense (3) $36.09$33.61$41.63$40.67$39.20$41.86$44.47$37.03Operating Netback (2) (1.49)(1.65)(1.97)(1.46)(1.45)(1.26)(1.50)(1.64)General and administrative (3) (3.16)(3.33)(3.61)(3.68)(3.47)(3.53)(3.84)(3.89)Cash interest (3) (0.62)(0.88)(0.01)0.03(0.15)0.02(0.16)0.40Realized financial derivative (loss) gain (3)(0.42)(0.52)(0.30)(0.63)(1.29)0.76(1.00)(0.98)Other (4) $30.40$27.23$35.74$34.93$32.84$37.85$37.97$30.92Adjusted funds flow (5)(1) Barrel of oil equivalent ("boe") amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil. The use of boe amounts may be misleading, particularly if used in isolation. A boeconversion ratio of six thousand cubic feet of natural gas to one barrel of 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.(2) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to the Specified Financial Measures Advisory section in this presentation for further information.(3) Supplementary financial measure calculated as royalties, operating expense, transportation expense, general and administrative expense, cash interest expense or realized financial derivative gain or loss divided by barrels of oil equivalent production volume for the applicable period.(4) Other is comprised of realized foreign exchange gain or loss, other income or expense, current income tax expense or recovery and share-based compensation divided by barrels of oil equivalent production volume for the applicable period. Refer to the Q3 2025 MD&A available on the SEDAR+ website at www.sedarplus.ca for further information on these amounts.(5) Capital management measure. Refer to the Capital Management Measures Advisory section in this presentation for further information. SUMMARY OF OPERATING AND FINANCIAL METRICS
Page 23
BAYTEX ENERGY / NYSE / TSX BTE23 2025 GUIDANCE AND COST ASSUMPTIONS~ $1.2Exploration and development expenditures ($ billions) ~ 148,000Production (boe/d) Expenses:~ 22%Average royalty rate (%) (1)$11.75 - $12.00Operating ($/boe) (2)$2.40 - $2.55Transportation ($/boe) (2)$95 ($1.76/boe)General and administrative ($ millions) (2)$180 ($3.33/boe)Cash interest ($ millions) (2)< 1% of EBITDA(3)Current Income Taxes ($ millions)$15Leasing expenditures ($ millions)$20Asset retirement obligations ($ millions)(1) Specified financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable with the calculation of similar measures presented by other entities. Refer to theSpecified Financial Measures Advisory section in this presentation for further information.(2) Supplementary financial measure calculated as operating expense, transportation expense, general and administrative expense or cash interest expense divided by barrels of oil equivalent production volume for the applicableperiod.(3) Calculated in accordance with the amended credit facilities agreement which is available on the SEDAR+ website at www.sedarplus.ca.
Page 24
BAYTEX ENERGY / NYSE / TSX BTE24 2025 ADJUSTED FUNDS FLOW SENSITIVITIESEstimated Effect on Annual Adjusted Funds Flow(1)(2) ($MM)Sensitivities$225Change of US$5.00/bbl WTI crude oil $12Change of US$1.00/bbl WCS heavy oil differential$17Change of US$0.50/MMbtu NYMEX natural gas$18Change of $0.01 in the C$/US$ exchange rate (1) Capital management measure. Refer to the Capital Management Measures Advisory section in this presentation for further information.(2) Adjusted funds flow sensitivities are prior to the impact of the commodity hedging program.
Page 25
BAYTEX ENERGY / NYSE / TSX BTE25 FORWARD LOOKING STATEMENTS ADVISORYIn the interest of providing the shareholders of Baytex and potential investors with information regarding Baytex, including management's assessment of future plans andoperations, certain statements in this presentation are "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and"forward-looking information" within the meaning of applicable Canadian securities legislation (collectively, "forward-looking statements"). In some cases, forward-lookingstatements can be identified by terminology such as "anticipate", "believe", "continue", "could", "estimate", "expect", "forecast", "intend", "may", "objective", "ongoing", "outlook","potential", "project", "plan", "should", "target", "would", "will" or similar words suggesting future outcomes, events or performance. The forward-looking statements contained inthis presentation speak only as of the date hereof and are expressly qualified by this cautionary statement.Specifically, this presentation contains forward-looking statements relating to but not limited to: expectations for 2025 as to Baytex’s production on a boe/d basis, percentage ofproduction that will be liquids, exploration and development expenditures and our expected production by area and commodity; that we prioritize free cash flow; that we havemore than 10 years of drilling inventory; the allocation of free cash flow, including with respect to debt repayment, share buybacks and dividends; for 2025 our expected:production, percentage of production that will be liquids, the number of net wells onstream, exploration and development expenditures, 2025 priorities, production growth;expectations for 2025 free cash flow at prices of US$60 WTI, US$65 WTI and US$70 WTI; expectations regarding the quarterly dividend; that we are committed to a strongbalance sheet and that our $1.5 billion total debt target represents ~0.7x total debt to EBITDA at US$70 WTI; our hedging plans, including our target to hedge up to 45% of netcrude volumes, that we intend to utilize wide 2-way collars and puts to ensure a modest return on our highest breakeven assets and the percentage of our expected productionthat is hedged until the end of Q2/2026; with respect to our five-year outlook, our production growth rate, the expectation that we will prioritize free cash flow, that we target a totaldebt to EBITDA ratio of less than 1.0x, increase in production per share and free cash flow per share, free cash flow at specified prices for WTI, share buybacks and dividends atspecified prices for WTI; for 2025 the expected production rate, percentage of production that will be liquids and percentage contribution to asset level free cash flow, and theexpected individual well CROCI, payout and IRR for expected type wells for our business units; the expected number of net wells to sales for our assets in 2025; that we have 90section prospective for Clearwater development at Peavine and ~100 sections prospective for Mannville development in NE Alberta; our free cash flow allocation policy; our 2025guidance, including: our expected exploration and development expenditures, production, average royalty rate, expenses (operating, transportation, general and administrative,interest costs and current income taxes), leasing expenditures and asset retirement obligations; and the sensitivity of our annual adjusted funds flow to changes in WTI prices,WCS, NYMEX natural gas prices and the Canada-United States foreign exchange rate. In addition, information and statements relating to reserves are deemed to be forward-looking statements, as they involve implied assessment, based on certain estimates and assumptions, that the reserves described exist in quantities predicted or estimated, andthat they can be profitably produced in the future.
Page 26
BAYTEX ENERGY / NYSE / TSX BTE26 FORWARD LOOKING STATEMENTS ADVISORY (CONT.)These forward-looking statements are based on certain key assumptions regarding, among other things: petroleum and natural gas prices and differentials between light, mediumand heavy oil prices; well production rates and reserve volumes; success obtained in drilling new wells; our ability to add production and reserves through our exploration anddevelopment activities; that our core assets have more than 10 years development inventory at the current pace of development; capital expenditure levels; operating costs; ourability to borrow under our credit agreements; the receipt, in a timely manner, of regulatory and other required approvals for our operating activities; the availability and cost of labourand other industry services, including operating and transportation costs; interest and foreign exchange rates; the continuance of existing and, in certain circumstances, proposed taxand royalty regimes; our hedging program; our ability to develop our crude oil and natural gas properties in the manner currently contemplated; timing and amount of capitalexpenditures; our future costs of operations are as anticipated; the timing of drilling and completion of wells is as anticipated; that we will have sufficient cash flow, debt or equitysources or other financial resources required to fund our capital and operating expenditures and requirements as needed; that our conduct and results of operations will be consistentwith our expectations; that we will have sufficient financial resources in the future to allocate to shareholder returns; and current industry conditions, laws and regulations continuing ineffect (or, where changes are proposed, such changes being adopted as anticipated). Readers are cautioned that such assumptions, although considered reasonable by Baytex atthe time of preparation, may prove to be incorrect.Actual results achieved will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. Such factors include, butare not limited to: the risk of an extended period of low oil and natural gas prices (including as a result of tariffs); risks associated with our ability to develop our properties and addreserves; that we may not achieve the expected benefits of acquisitions and we may sell assets below their carrying value; the availability and cost of capital or borrowing; restrictionsor costs imposed by climate change initiatives and the physical risks of climate change; the impact of an energy transition on demand for petroleum productions; availability and costof gathering, processing and pipeline systems; retaining or replacing our leadership and key personnel; changes in income tax or other laws or government incentive programs; risksassociated with large projects; risks associated with higher a higher concentration of activity and tighter drilling spacing; costs to develop and operate our properties; risks associatedwith achieving our total debt target, production guidance, exploration and development expenditures guidance; the amount of free cash flow we expect to generate; risk that theboard of directors determines to allocate capital other than as set forth herein; current or future controls, legislation or regulations; restrictions on or access to water or other fluids;public perception and its influence on the regulatory regime; new regulations on hydraulic fracturing; regulations regarding the disposal of fluids; risks associated with our hedgingactivities; variations in interest rates and foreign exchange rates; uncertainties associated with estimating oil and natural gas reserves; our inability to fully insure against all risks; risksassociated with a third-party operating our Eagle Ford properties; additional risks associated with our thermal heavy crude oil projects; our ability to compete with other organizationsin the oil and gas industry; risk that we do not achieve our GHG emissions intensity reduction target; risks associated with our use of information technology systems; adverse resultsof litigation; that our Credit Facilities may not provide sufficient liquidity or may not be renewed; failure to comply with the covenants in our debt agreements; risks associated withexpansion into new activities; the impact of Indigenous claims; risks of counterparty default; impact of geopolitical risk and conflicts, loss of foreign private issuer status; conflicts ofinterest between the Corporation and its directors and officers; variability of share buybacks and dividends; risks associated with the ownership of our securities, including changes inmarket-based factors; risks for United States and other non-resident shareholders, including the ability to enforce civil remedies, differing practices for reporting reserves andproduction, additional taxation applicable to non-residents and foreign exchange risk; and other factors, many of which are beyond our control. Readers are cautioned that theforegoing list of risk factors is not exhaustive. New risk factors emerge from time to time, and it is not possible for management to predict all of such factors and to assess in advancethe impact of each such factor on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in anyforward-looking statements.These and additional risk factors are discussed in our Annual Information Form, Annual Report on Form 40-F and Management’s Discussion and Analysis for the year endedDecember 31, 2024, filed with Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission and in our other public filings. The above summary ofassumptions and risks related to forward-looking statements has been provided in order to provide shareholders and potential investors with a more complete perspective onBaytex’s current and future operations and such information may not be appropriate for other purposes.There is no representation by Baytex that actual results achieved will be the same in whole or in part as those referenced in the forward-looking statements and Baytex does notundertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except asmay be required by applicable securities law.
Page 27
BAYTEX ENERGY / NYSE / TSX BTE27 FORWARD LOOKING STATEMENTS ADVISORY (CONT.)Financial Outlook AdvisoryThis presentation contains information that may be considered a financial outlook under applicable securities laws about Baytex's potential financial position, including, but not limitedto, estimated EBITDA, exploration and development expenditures, allocation of free cash flow to shareholder returns, total debt to adjusted EBITDA, free cash flow and adjustedfunds flow, and the dividend payable by Baytex, all of which are subject to numerous assumptions, risk factors, limitations and qualifications, including those set forth herein. Theactual results of operations of Baytex will vary from the amounts set forth in this presentation and such variations may be material. This information has been provided for illustrationonly and with respect to future periods are based on budgets and forecasts that are speculative and are subject to a variety of contingencies and may not be appropriate for otherpurposes. Accordingly, these estimates are not to be relied upon as indicative of future results. Except as required by applicable securities laws, Baytex undertakes no obligation toupdate such financial outlook. The financial outlook contained in this press release was made as of the date of this press release and was provided for the purpose of providingfurther information about Baytex's potential future business operations. Readers are cautioned that the financial outlook contained in this presentation is not conclusive and is subjectto change.Share Buyback AdvisoryThe future acquisition by Baytex of its shares pursuant to a share buyback program, if any, and the level thereof is uncertain. Any decision to acquire shares of Baytex will be subjectto the discretion of the Baytex Board of Directors and may depend on a variety of factors, including, without limitation, Baytex's business performance, financial condition, financialrequirements, growth plans, expected capital requirements and other conditions existing at such future time including, without limitation, contractual restrictions, satisfaction of thesolvency tests imposed on Baytex under applicable corporate law and receipt of regulatory approvals. There can be no assurance that Baytex will buyback any shares of Baytex inthe future.Dividend AdvisoryFuture dividends, if any, and the level thereof is uncertain. Any decision to pay dividends on the common shares (including the actual amount, the declaration date, the record dateand the payment date) will be subject to the discretion of the Board of Directors of Baytex and may depend on a variety of factors, including, without limitation, Baytex’s businessperformance, financial condition, financial requirements, growth plans, expected capital requirements and other conditions existing at such future time including, without limitation,contractual restrictions and satisfaction of the solvency tests imposed on Baytex under applicable corporate law.
Page 28
BAYTEX ENERGY / NYSE / TSX BTE28 SPECIFIED FINANCIAL MEASURES ADVISORYIn this presentation, we refer to certain specified financial measures which do not have any standardized meaning prescribed by International Financial Reporting Standards (“IFRS”). While these measures are commonly used in the oil and naturalgas industry, our determination of these measures may not be comparable with calculations of similar measures presented by other reporting issuers. There are no significant differences in the calculations between historical and forward-lookingspecified financial measures.Non-GAAP Financial MeasuresFree cash flowFree cash flow in this presentation may refer to a forward-looking non-GAAP measure that is calculated consistently with the measures disclosed in the Company’s MD&A. The most directly comparable financial measure for free cash flow disclosedin the Company's primary financial statements is cash flows from operating activities. For the three months ended September 30, 2025, cash flows from operating activities was $473 million and free cash flow was $143 million. For the nine monthsended September 30, 2025, cash flows from operating activities was $1.3 billion and free cash flow was $198 million. For information on the composition of free cash flow and how the Company uses this measure, refer to the “Specified FinancialMeasures” section of the MD&A for the three and nine months ended September 30, 2025, which is incorporated herein by reference, and available on the SEDAR+ website at www.sedarplus.ca.Asset level free cash flowAsset level free cash flow represents the free cash flow for a set of assets and is used to assess the operating performance of a specific business unit. Asset level free cash flow is calculated the same as free cash flow, with the exclusion ofcorporate costs. This measure is comprised of petroleum and natural gas sales, adjusted for blending expense, royalties, operating expense, transportation expense, additions to exploration and evaluation assets, additions to oil and gas propertiesand asset retirement obligations settled.Operating netbackThe most directly comparable financial measure for operating netback disclosed in the Company's primary financial statements is petroleum and natural gas sales. For the three months ended September 30, 2025, petroleum and natural gas saleswere $928 million and operating netback was $501 million. For the nine months ended September 30, 2025, petroleum and natural gas sales were $2.8 billion and operating netback was $1.5 billion. For information on the composition of operatingnetback and how the Company uses this measure, refer to the “Specified Financial Measures” section of the MD&A for the three and nine months ended September 30, 2025, which is incorporated herein by reference, and available on the SEDAR+website at www.sedarplus.ca.Total sales, net of blending and other expenseTotal sales, net of blending and other expense may refer to a forward-looking non-GAAP measure that is calculated consistently with the measures disclosed in the Company’s MD&A. The most directly comparable financial measure for total sales,net of blending and other expense disclosed in the Company's primary financial statements is petroleum and natural gas sales. For the three months ended September 30, 2025, petroleum and natural gas sales were $928 million and total sales,net of blending and other expense were $878 million. For the nine months ended September 30, 2025, petroleum and natural gas sales were $2.8 billion and total sales, net of blending and other expense were $2.6 billion. For information on thecomposition of total sales, net of blending and other expense and how the Company uses these measures, refer to the “Specified Financial Measures” section of the MD&A for the three and nine months ended September 30, 2025, which isincorporated herein by reference, and available on the SEDAR+ website at www.sedarplus.ca.Return of capitalReturn of capital is comprised of dividends declared and the consideration paid for the repurchase and cancellation of common shares and is used to measure the amount of capital returned to shareholders during a given period. Return of capital inthis presentation may refer to a forward-looking non-GAAP measure and is calculated consistently with the historical return of capital. Historical return of capital for the three and nine months ended September 30, 2025 and 2024 is calculatedbelow.Non-GAAP Financial RatiosFree cash flow per shareFree cash flow per share is calculated as free cash flow at an assumed WTI price divided by the number of shares outstanding during the applicable period. This measure is used by management to compare against earnings per share metrics.There are no significant differences in calculations between historical and forward-looking specific financial measures.Average royalty rateAverage royalty rate is used calculated as royalties divided by total sales, net of blending and other expense which is a non-GAAP measure.
Page 29
BAYTEX ENERGY / NYSE / TSX BTE29 CAPITAL MANAGEMENT MEASURES ADVISORYThis presentation contains the terms "adjusted funds flow“ and "net debt”, which are capital management measures. We believe that the inclusion of these capital managementmeasures provides useful information to financial statement users when evaluating the financial results of Baytex. Net debt and adjusted funds flow are calculated consistently withthe measures disclosed in the Company’s MD&A. The most directly comparable financial measures for net debt and adjusted funds flow disclosed in the Company's primary financialstatements are credit facilities and cash flows from operating activities, respectively.As at September 30, 2025, credit facilities were $167 million and net debt was $2.2 billion. For the three months ended September 30, 2025, cash flows from operating activities were$473 million and adjusted funds flow was $422 million. For the nine months ended September 30, 2025, cash flows from operating activities were $1.3 billion and adjusted funds flowwas $1.3 billion.For information on the composition of these measures and how the Company uses them, refer to the “Specified Financial Measures” section of the MD&A for the three and ninemonths ended September 30, 2025, which is incorporated herein by reference, and available on the SEDAR+ website at www.sedarplus.ca.
Page 30
BAYTEX ENERGY / NYSE / TSX BTE30 ADVISORY REGARDING OIL AND GAS INFORMATIONThe reserves information contained in this presentation has been prepared in accordance with National Instrument 51-101 -Standards of Disclosure for Oil and Gas Activities of theCanadian Securities Administrators ("NI 51-101"). The determination of oil and gas reserves involves the preparation of estimates that have an inherent degree of associateduncertainty. Categories of proved and probable reserves have been established to reflect the level of these uncertainties and to provide an indication of the probability of recovery.The estimation and classification of reserves requires the application of professional judgment combined with geological and engineering knowledge to assess whether or not specificreserves classification criteria have been satisfied. Knowledge of concepts, including uncertainty and risk, probability and statistics, and deterministic and probabilistic estimationmethods, is required to properly use and apply reserves definitions.The recovery and reserves estimates described herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual reserves and futureproduction from such reserves may be greater or less than the estimates provided herein. The estimates of reserves for individual properties may not reflect the same confidencelevel as estimates of reserves for all properties, due to the effects of aggregation. Complete NI 51-101 reserves disclosure for year-end 2024 is included in our Annual InformationForm for the year ended December 31, 2024 which has been filed with Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission.This presentation discloses drilling inventory and potential drilling locations. Drilling inventory and drilling locations refers to Baytex’s total proved, probable and unbooked locations.Proved locations and probable locations account for drilling locations in our inventory that have associated proved and/or probable reserves. Unbooked locations are internalestimates based on our prospective acreage and an assumption as to the number of wells that can be drilled per section based on industry practice and internal review. Unbookedlocations do not have attributed reserves. Unbooked locations are farther away from existing wells and, therefore, there is more uncertainty whether wells will be drilled in suchlocations and if drilled there is more uncertainty whether such wells will result in additional oil and gas reserves, resources or production. In the Eagle Ford, Baytex’s net drillinglocations include 331 proved and 140 probable locations as at December 31, 2024 and 294 unbooked locations. In the Duvernay, Baytex’s net drilling locations include 42 provedand 20 probable locations as at December 31, 2024 and 153 unbooked locations. In the Viking, Baytex’s net drilling locations include 541 proved and 168 probable locations as atDecember 31, 2024 and 261 unbooked locations. In the heavy oil business unit, Baytex’s net drilling locations include 149 proved and 112 probable locations as at December 31,2024 and 839 unbooked locations.References herein to average 30-day initial production rates and other short-term production rates are useful in confirming the presence of hydrocarbons, however, such rates arenot determinative of the rates at which such wells will commence production and decline thereafter and are not indicative of long-term performance or of ultimate recovery. Whileencouraging, readers are cautioned not to place reliance on such rates in calculating aggregate production for us or the assets for which such rates are provided. A pressuretransient analysis or well-test interpretation has not been carried out in respect of all wells. Accordingly, we caution that the test results should be considered to be preliminary.Where applicable, oil equivalent amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil. BOEs may be misleading,particularly if used in isolation. A boe conversion ratio of six thousand cubic feet of natural gas to one barrel of oil is based on an energy equivalency conversion method primarilyapplicable at the burner tip and does not represent a value equivalency at the wellhead.Notice to United States ReadersThe petroleum and natural gas reserves contained in this presentation have generally been prepared in accordance with Canadian disclosure standards, which are not comparable inall respects to United States or other foreign disclosure standards. For example, the United States Securities and Exchange Commission (the "SEC") requires oil and gas issuers, intheir filings with the SEC, to disclose only "proved reserves", but permits the optional disclosure of "probable reserves" (each as defined in SEC rules). Canadian securities lawsrequire oil and gas issuers disclose their reserves in accordance with NI 51-101, which requires disclosure of not only "proved reserves" but also "probable reserves". Additionally,NI51-101 defines "proved reserves" and "probable reserves" differently from the SEC rules. Accordingly, proved and probable reserves disclosed in this presentation may not becomparable to United States standards. Probable reserves are higher risk and are generally believed to be less likely to be accurately estimated or recovered than proved reserves.In addition, under Canadian disclosure requirements and industry practice, reserves and production are reported using gross volumes, which are volumes prior to deduction of royaltyand similar payments. The SEC rules require reserves and production to be presented using net volumes, after deduction of applicable royalties and similar payments.Moreover, Baytex has determined and disclosed estimated future net revenue from its reserves using forecast prices and costs, whereas the SEC rules require that reserves beestimated using a 12-month average price, calculated as the arithmetic average of the first-day-of-the-month price for each month within the 12-month period prior to the end of thereporting period. As a consequence of the foregoing, Baytex's reserve estimates and production volumes in this presentation may not be comparable to those made by companiesutilizing United States reporting and disclosure standards.
Page 31
BAYTEX ENERGY / NYSE / TSX BTE31 NOTES
Page 32
Eric T. GreagerPresident and Chief Executive OfficerChad L. KalmakoffChief Financial OfficerChad E. LundbergChief Operating OfficerBrian G. EctorSenior Vice President, Capital Markets and Investor Relations587.952.3237 BAYTEX ENERGY CORP.Suite 2800, Centennial Place520 – 3rd Avenue S.W.Calgary, Alberta T2P 0R3TF1.800.524.5521CONTACT INFORMATION