Stampede Drilling Inc. ("Stampede" or the "Corporation") (TSXV: SDI) announces today its consolidated financial and operational results for the three month period ended March 31, 2026.

The following press release should be read in conjunction with the December 31, 2025 audited consolidated financial statements prepared in accordance with International Financial Reporting Standards (IFRS) applicable to the preparation of interim financial statements, under International Accounting Standard 34, Interim Financial Reporting (together, "IFRS Accounting Standards"), and the annual information form ("AIF") for the year ended December 31, 2025, as well as the unaudited condensed consolidated interim financial statements and notes for the three month periods ended March 31, 2026 and 2025 and management's discussion and analysis thereon. Additional information regarding Stampede, including the AIF, is available on SEDAR+ at www.sedarplus.ca.

All amounts or dollar figures are denominated in thousands of Canadian dollars except for number of drilling rigs, operating days, or unless otherwise noted. All share amounts are presented to the nearest thousand.

Estimates and forward-looking information are based on assumptions of future events and actual results may vary from these estimates. See "Forward-Looking Information" in this press release for additional details.

FIRST QUARTER 2026 OPERATIONAL HIGHLIGHTS

OUTLOOK

Throughout 2025 and into the first quarter of 2026, global commodity markets continued to be shaped by persistent geopolitical uncertainty, including ongoing conflicts in Eastern Europe and the Middle East, evolving international sanctions, and the impact of U.S. trade and tariff policies. These factors have contributed to price volatility and cautious capital allocation across the sector.

During the first quarter of 2026, geopolitical risk in the Middle East escalated further, as hostilities involving the United States, Israel, and Iran intensified and contributed to disruption of global supply routes and upward pressure on oil prices. Significant uncertainty remains regarding the duration, severity, and long-term impacts of the conflict. Energy and commodity markets have historically been sensitive to disruptions or perceived risks to global supply chains, transportation routes, and regional production capacity in the Middle East. While higher pricing could support producer cash flows and activity levels, sustained volatility or a prolonged conflict may also negatively impact global economic growth, capital spending decisions, and customer demand. Ongoing trade tensions resulting from U.S. tariffs and retaliatory measures continue to weigh on global economic conditions and market confidence, and are expected to contribute to commodity price volatility through 2026. The extent and duration of the impact of these conditions on Stampede's customers and operations remain uncertain.

In Canada, the change in federal leadership in 2025 has contributed to a more constructive dialogue around the energy sector, with increased recognition of the importance of export diversification, infrastructure development, and regulatory certainty. The memorandum of understanding signed on November 27, 2025, between the Governments of Alberta and Canada to advance national energy infrastructure further reinforces this trend. Combined with ongoing infrastructure developments such as the Trans Mountain expansion, LNG Canada, and Coastal GasLink, these factors continue to enhance market access and takeaway capacity, supporting a cautiously optimistic outlook for Canadian energy producers and service providers. Heightened global trade tensions may also increase focus on domestic energy security, potentially supporting accelerated infrastructure development over the medium term.

Despite improved infrastructure and gradually strengthening fundamentals, many producers remained focused throughout 2025 and into 2026 on capital discipline, prioritizing free cash flow generation, balance sheet strength, shareholder returns, and consolidation. As commodity pricing and market confidence improve, producer focus may increasingly shift from sustaining to meaningful production growth to support these returns, which could drive higher demand for drilling and related services.

Stampede entered 2026 with stronger utilization, supported by improved customer sentiment and an increase in operating activity year over year. During the first quarter of 2026, 16 of Stampede's 17 rigs were operational resulting in an 18% increase in operating days, and a 14% increase in Adjusted EBITDA. Customer drilling programs are lining up favorably for the second quarter, and the Corporation is cautiously optimistic on activity levels through the second half of the year. Minimal incremental capital investment is required to achieve full utilization, as capital spending over the past three years has focused on enhancing fleet marketability and aligning equipment with customer demand, positioning the Corporation to respond efficiently if market conditions continue to improve. With reduced forecast capital expenditures, the Corporation expects to retain financial flexibility to prioritize free cash flow for shareholder returns through market-dependent repurchases of common shares under the Corporation's normal course issuer bid ("NCIB") (renewed in December 2025), while continuing to maintain balance sheet strength and preserve capacity for potential growth initiatives.

During the first quarter of 2026, the Corporation repurchased and cancelled 28(1) common shares under its NCIB at a weighted average price of $0.18 per share, for total consideration of $5. Since its implementation in June 2023, Stampede has repurchased 35,608 common shares (or 15.6% of its issued and outstanding common shares) under its NCIB, as renewed from time to time, at a weighted average price of $0.21 per share, for total consideration of $7,369.

FINANCIAL SUMMARY

DESCRIPTION OF STAMPEDE'S BUSINESS

Stampede is an energy services company that provides premier contract drilling services in Western Canada. Stampede operates a fleet of 17 marketable telescopic double drilling rigs suited for most formations within the Western Canadian Sedimentary Basin ("WCSB"). The Corporation's head office is located in Calgary, Alberta with operations based out of Nisku, Alberta and Estevan, Saskatchewan. The Corporation's common shares trade on the TSX Venture Exchange (the "TSXV") under the symbol "SDI".

RESULTS FROM OPERATIONS FOR THE THREE MONTH PERIOD ENDED MARCH 31, 2026

NON-GAAP AND OTHER FINANCIAL MEASURES

This press release contains references to (i) adjusted EBITDA, (ii) gross margin (iii) gross margin percentage, and (iv) free cash flow. These financial measures are not measures that have any standardized meaning prescribed by IFRS Accounting Standards and are therefore referred to as non-generally accepted accounting principles ("non-GAAP") measures. The non-GAAP measures used by the Corporation may not be comparable to similar measures used by other companies.

FORWARD-LOOKING INFORMATION

Certain statements contained in this press release constitute forward-looking statements or forward-looking information (collectively, "forward-looking information"). Forward-looking information relates to future events or the Corporation's future performance. All information other than statements of historical fact is forward-looking information. The use of any of the words "anticipate", "plan", "contemplate", "continue", "estimate", "expect", "intend", "propose", "might", "may", "will", "could", "should", "believe", "predict", and "forecast" are intended to identify forward-looking information.

This press release contains forward-looking information pertaining to, among other things: the Corporation's performance; expectations associated with the Corporation's outlook, including, among other things, anticipated commodity prices, the volatility thereof and potential mitigating factors and expectations about industry activities and the impacts thereof on the Corporation; the return of value to shareholders through the Corporation's NCIB program; expectations regarding the level of capital investment to achieve full utilization of the Corporation's rigs; the assessment of additional acquisition opportunities by the Corporation; and expected impacts of tariffs on the Corporation and the industry in which it operates.

Forward-looking information is based on certain assumptions that Stampede has made in respect thereof as at the date of this press release regarding, among other things: the Corporation's ability to fully crew and contract its rigs; that market conditions and growth prospects will permit the return of value to shareholders through the Corporation's NCIB program; the success of the measures implemented by the Corporation to ensure the safe, efficient and reliable operations at each of its drilling sites; the creditworthiness of the Corporation's customers and counterparties; the effectiveness of the Corporation's financial risk management policies at ensuring all payables are paid within the pre-agreed credit terms; that the Corporation's critical accounting estimates and judgments are reasonable; that the Corporation has adequate access to its credit facilities to provide the necessary liquidity needed to manage fluctuations in the timing of receipt and/or disbursement of operating cash flows; the condition of the global economy, including certain geopolitical risks; the stability of the economic and political environment in which the Corporation operates; the ability of the Corporation to retain qualified staff; management's ability to crew underutilized assets; the ability of the Corporation to maintain key customers; the ability of the Corporation to obtain financing on acceptable terms; the belief that the Corporation's principal sources of liquidity will be sufficient to service its debt and fund its operations and other strategic opportunities; the ability of the Corporation to obtain financing on acceptable terms; the ability to protect and maintain the Corporation's intellectual property; the Corporation's ability to maintain financial resiliency in light of current macroeconomic conditions; and the regulatory framework regarding taxes and environmental matters in the jurisdictions in which the Corporation operates.

Forward-looking information is presented in this press release for the purpose of assisting investors and others in understanding certain key elements of the Corporation's financial results and business plan, as well as the objectives, strategic priorities and business outlook of the Corporation, and in obtaining a better understanding of the Corporation's anticipated operating environment. Readers are cautioned that such forward-looking information may not be appropriate for other purposes.

While Stampede believes the expectations and material factors and assumptions reflected in the forward-looking information is reasonable as of the date hereof, there can be no assurance that these expectations, factors and assumptions will prove to be correct. Forward-looking information is not a guarantee of future performance and actual results or events could differ materially from the expectations of the Corporation expressed in or implied by such forward-looking information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information is subject to a number of known and unknown risks and uncertainties including, but not limited to: the condition of the global economy, including trade, inflation, interest rates, the ongoing conflict and political uncertainty in Eastern Europe, the Middle East and South America and other geopolitical risks, including the imposition of tariffs and other non-tariff trade barriers; the condition of the crude oil and natural gas industry and related commodity prices; other commodity prices and the potential impact on the Corporation and the industry in which the Corporation operates, including levels of exploration and development activities; the impact of increasing competition; fluctuations in operating results; the ongoing significant volatility in world markets and the resulting impact on drilling and completions programs; foreign currency exchange rates; interest rates; labour and material shortages; cyber security risks; natural catastrophes; and certain other risks and uncertainties detailed under the heading "Risks and Uncertainties" in the Corporation's MD&A and under the heading "Risk Factors" in the Corporation's AIF, each dated March 12, 2026 for the year ended December 31, 2025, and from time to time in Stampede's public disclosure documents available at www.sedarplus.ca.

This list of risk factors should not be construed as exhaustive. Readers are cautioned that events or circumstances could cause actual results to differ materially from those predicted, forecasted, or projected. Statements, including forward-looking information, are made as of the date of this press release and the Corporation does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. The forward-looking information contained in this press release is expressly qualified by this cautionary statement.

SOURCE Stampede Drilling Inc.

SOURCE: Stampede Drilling Inc.

For further information, please contact: Lyle Whitmarsh, President & Chief Executive
Officer, Stampede Drilling Inc., Tel: (403) 984-5042

COMTEX_479148225/2197/2026-05-14T16:30:00