Jan Januar ary 2 y 201 017 7 Inve nvesto tor Present ntation - - PowerPoint PPT Presentation

Investor Relations | rmadell@blackdiamondgroup.com | 587-233-7462

Jan Januar ary 2 y 201 017 7 – Inve nvesto tor Present ntation Black Diamond Group Limited

Forward Looking Statements

This presentation contains forward-looking statements. The use of the words “anticipate”, “continue”, “estimate”, “expect”, “will”, “project”, “should”, “believe”, “intend” and similar expressions identify forward- looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward- looking statements. Management believes the expectations reflected in those forward-looking statements are reasonable but cannot give any assurance these expectations will prove to be correct.

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Revenue TTM* Non-rental Outsourced Non-Rental $45.6M Owned Rental Assets Rental $67.8M Logistics Outsourced Lodging $53.3M

Value Chain

Owning rental assets & outsourcing services

Manufacturing Transportation Catering & Maintenance Housekeeping & Laundry Safety & Camp Management Workspace Installation Ancillary Equipment Camps 3

*TTM based on Q3 2016

Current Environment

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Co Commo mmodities

• Key end markets steadily improving from lows

seen in early 2016

Activ ivit ity

• No meaningful increase in field activity in Q3

Financ inancing ings

• Significant 2016 producer and industry financings

Cap apit ital S al Spend nding ing

• Customers announcing both increased capital

spending and hiring of labourers requiring housing

Inf nfras astruc uctur ure & C Cons nstruc uctio ion

• Ongoing infrastructure spending across North

America

BDI F Financ inancial ial Posit itio ion

• $132.8 million of available liquidity under facilities

committed to 2019

• 50%
• 40%
• 30%
• 20%
• 10%

0% 10% Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16

2 year Spot Snapshot

WTI Natural Gas Metals Index

Camps & Lodging

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Three ee full ll se servic ice o

• pen c

camps: s: Sunday Creek Lodge Horn River Lodge Smoky River Lodge No large contracts rolling off in near term Opportunities and Wins in:

Hydro ro Mi Mini ning ng Flee eet Sa t Sales es above b e book value

0% 20% 40% 60% 80% 100% 2000 4000 6000 8000 10000 12000 14000 2011 2012 2013 2014 2015 Q3 2016 YTD

Utilization Unit/Bed Count

Assets vs Utilization

Units Rental Beds Managed Beds Utilization

Pricing Dynamics in the Market

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Private Washroom Semi-Private Washroom Dorm Style Pricing Pressure

Lower

Average

Higher

% Black Diamond Fleet >40% >45% >15%

25 50

Private Washroom Semi-Private Washroom Dorm Style % of Fleet

Black Diamond Fleet Composition

Young fleet capable

• f substantial

future revenue with minimal capital requirements

• Organ

anic Expan ansi sion

• $6.4 million in new capital, 5 new branches
• Scaling of existing branches
• MPA Syst

ystems L LLC

• Based in Texas, services Continental US
• 63 High Security Modular Buildings
• 400+ Disaster Recovery Contracts
• USD $3.1 million
• Shel

helter er Modul ular Inc nc.

• Based in Vancouver, also services surrounding

area

• ~100 Space rental units for $1.3 million along with

future production capacity

• Trave

velite te Trai ailers s Inc. c.

• Based in Ottawa, also services surrounding area
• 116 space rental units for ~$1.0 million

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BOXX Acquisition & Expansion

BOXX Branches 5 Branches

• pened in 2016

Areas serviced by recent acquisitions

BOXX Modular Performance

8 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0% 500 1000 1500 2000 2500 3000 3500 4000 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16

Average Utilization Number of Units

BOXX Assets vs Utilization

Total Fleet BOXX North America Utilization 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0% 500 1000 1500 2000 2500 3000 3500 4000 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16

Average Utilization Number of Units

BOXX Assets vs Utilization

Edmonton Fleet Total units in fleet BOXX North America Utilization 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0% 500 1000 1500 2000 2500 3000 3500 4000 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16

Average Utilization Number of Units

BOXX Assets vs Utilization

Edmonton Fleet Total units in fleet BOXX North America Utilization BOXX Edmonton Utilization 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0% 500 1000 1500 2000 2500 3000 3500 4000 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16

Average Utilization Number of Units

BOXX Assets vs Utilization

Edmonton Fleet Total units in fleet BOXX North America Utilization BOXX Edmonton Utilization BOXX minus Edmonton Utilization

BOXX Rental Revenue

9 $- $5 $10 $15 $20 $25 $30 $35 2011 2012 2013 2014 2015 Q3 2016 TTM

Millions ($)

BOXX Rental Revenue

BOXX NA $- $5 $10 $15 $20 $25 $30 $35 2011 2012 2013 2014 2015 Q3 2016 TTM

Millions ($)

BOXX Rental Revenue

BOXX NA w/o EDM BOXX Edmonton

Energy Services & International

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• Increasing rig counts in Canada, and US

regions we participate in

• Winter drilling season commencing
• Utilization increases being seen leading into

freeze up

• Iron ore pricing stabilization
• Rapid Deploy product offering
• Increased opportunities in education and

infrastructure spending

0% 10% 20% 30% 40% 50% 60% 70% 80% 500 1000 1500 2000 2500 2011 2012 2013 2014 2015 Q3 2016 YTD

Utilization Number of Units

Asset Count & Utilizations

Surface Rental Units Accomodation Units Surface Rental Utilization Accomodation Utilization 0.2 0.4 0.6 0.8 1 1000 1050 1100 1150 1200 1250 2011 2012 2013 2014 2015 Q3 2016 YTD

Utilization Number of Units

Asset Count & Utilization

Number of Units Average Utilization

Revenue Diversification Q3 2016

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42%

39%

15%

5%

BOXX Modular Camps & Lodging Energy Services International

General Construction Public Infrastructure Disaster Recovery Education Education Public Infrastructure Mining Natural Gas & LNG Energy Capital Expenditures Operations & Maintenance Pipelines & Infrastructure Mining & Renewables Drilling & Completions activity in Canada, North Dakota, Colorado

Operating Leverage

Existing asse asset base ase sc scenar arios s excluding an any a y additional al growth capi apital al

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Bus usines ness U Uni nit Inc ncrem emen ental Utilization Inc ncrem emen ental Annua nnual EBI EBITDA* Camps & Lodging +10% $11.6M +20% $23.2M +30% $34.8M BOXX Modular +10% $3.0M +20% $6.0M +30% $9.0M Energy Services +10% $2.9M +20% $5.8M +30% $8.6M CONSOLIDATED TOTALS +10% $17.5M +20% $35.0M +30% $52.4M

*EBITDA increase based on relative increase in utilization to Q3 TTM EBITDA, no rate increase assumed.

Investment Thesis

Current Valuation

Net Book Value* = $539.6M Enterprise Value** = $321.2M

EV d V discou

• unt to
• NBV

V = 4 40%

No value built in for:

Oper erati ting ng Lever erage Diversi sification Divi vidend end Gro rowth

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* Total assets - intangibles **Enterprise Value calculated based on $4.50 share price

Looking into Recovery

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Highlights

• Diverse Revenue Platform
• Young & Diverse Asset base
• Excess Financial Capacity
• Discounted Resource Recovery Upside

What Differentiates Black Diamond

• Unique Model & Experienced Management
• Significant Operating Leverage
• Innovative Customer Offering
• Sustainable Dividend

Investor Relations | rmadell@blackdiamondgroup.com | 587-233-7462

THANK Y NK YOU OU