1. CABO
Drilling
CORPORATE PRESENTATION

2. CABO
Drilling
FORWARD LOOKING STATEMENTS
Certain information set forth in this presentation contains forward-looking
statements. By their nature, forward-looking statements are subject to numerous
risks and uncertainties. All statements within, other than statements of historical
fact, are to be considered forward-looking. Such forward-looking information and
statements are based on current expectations, estimates and projections about
global and regional economic conditions as well as industries that are major
markets for Cabo Drilling Corp. The Company does not guarantee that any of the
forward looking statements will materialize and accordingly the reader is cautioned
not to place reliance on these forward-looking statements.
Oct 29, 2013
2

3. CABO
Drilling
Serving the International Mining & Mineral Exploration Communities
Cabo Division
Cabo Field Operation
FOCUSED ON DELIVERING THE BEST VALUE FOR ALL OF OUR CLIENTS IN
NORTH AMERICA, CENTRAL AMERICA AND EUROPE
3

4. CABO
Board of Directors
Drilling





John A. Versfelt, Chairman, President, Chief Executive Officer & Director
Mr. Versfelt has over 31 years experience providing leadership, management consulting, chief financial office, administration
and paralegal/regulatory services to private and public companies. Serving in a variety of roles as a Managing Director, Chief
Executive Officer and Chief Financial Officer for the Company over the last 21 years, he has been responsible for strategic
planning, corporate development and finance, administration and accounting, and legal and regulatory compliance.
Terry Aimone, BSc. P.Eng., General Manager, Europe Operations & Director
Mr. Aimone started his career as a mining consulting engineer followed by 17 years in the U.S. banking sector, working in
mine project financing. He has extensive experience in the mineral drilling industry as the current General Manager, Europe
Operations, the former General Manager, Mexico Operations and past managing director of Heath & Sherwood Drilling. He
brings a strong mix of technical, financial and management expertise to the Company.
Peter Freeman, Director
Mr. Freeman has extensive experience in public markets, finance and compliance. His experience includes six years as
Director of Markets and Compliance at the OFEX Market (now PLUS). In 2005, he joined Loeb Aron & Co as a director and
head of compliance and advisory services for their London, England, based, mining corporate finance house. Mr. Freeman
has been a director of two public companies admitted to the AIM market (OFEX Holdings plc and Capital Lease Aviation
plc).
Tom Oliver, Director
After a 25 year career in real estate development, primarily in the Vancouver, BC area, Mr. Oliver served as Business
Administrator for a national church organization for 5 years. He is currently the CEO of a number of private corporations
and, in addition, acts as a consultant in financial administration and management.
Robert W. Schellenberg, CPA, Director
Mr. Schellenberg is a Certified Public Accountant, Vice President and owner of Schellenberg & Evers, P.C. in Grand Rapids,
Michigan. He has extensive experience in valuations, employee benefit plans, financial planning, individual and corporate
taxation and litigation support, business planning, performance measures, mergers, acquisitions and arbitration.
4

5. CABO
Drilling
History
 Acquired five drilling services companies in 2004 and 2005
 Revenue bottomed in 2010 at $28.99 million
 2012 revenues increased 36% from 2011 to a record of $58.95 million and
exceeded 2008’s record revenue of $58.65 million
 2013 revenue decreased 28% from 2012 to $42.53 million
 100 Drill Rigs
 300+ Employees
 C$23.72 Million Shareholders’ Equity
58.95
58.65
28.79
2006
41.16
38.45
2007
2008
2009
43.42
42.53
28.99
2010
2011
2012
2013
5

6. CABO
Drilling
Corporate Overview
Key Highlights as at October 29, 2013
Share Price:
52 Week High/Low:
Shares Outstanding:
Fully Diluted:
Market Cap:
$0.04
$0.09 - $0.035
78,968,175
85,478,175
$3,158,727
As at June 30, 2013
Working Capital:
Assets:
Liabilities:
October 29, 2012 – October 29, 2013
$13,454,104
$37,552,278
$13,833,263
Insider Holdings
President & CEO
Directors & Management
6.14%
4.21%
Source: Stockwatch
6

7. CABO
Drilling
Global Presence & Diversified Commodity Exposure
5%
4%
18%
63%
59%
18%
33%
Canada & US
Gold
Latin America
Copper
Iron
Other Base Metals
*As a percentage of FY’13 Revenue
Europe
Cabo’s clients include:
 Kirkland Lake Gold Inc.
 Anglo American Exploration (Canada) Ltd.
 Osisko Mining Corporation
 Century Iron Ore Mining Corp.
 New Gold Inc.
 Minera Panama SA (First Quantum)
 Cliffs Natural Resources Inc.
 Goldcorp Inc.
 Red Eagle Mining Corporation
 Capstone Mining Corp.
7

8. CABO
Key Drivers for Exploration
Drilling
Three-Year Avg. Trailing Gold Price*
Key Drivers
Current discovery rates are
not sustainable, as a general
rule – to be sustainable the
exploration industry need to
find at least 2x as much as is
mined
$1,634 $1,677 $1,700
$1,600
$1,442
$1,400
$1,258
$1,200
$1,024
$1,000
US$/oz

$1,800
$848
$725
$800
$582
$600
$406
$487
$400



Low conversion rate for
Resources to Reserves &
Mine conversion rates are
very low (not all discoveries
turn into mines)
$200
$0
2005
2006
2007
2008
2009
2010
2011
2012
2013E 2014E 2015E
Exploration Expenditures: Global by Commodity**
$20.0+B
in 2012
Lag time between discovery
and development
Current, and more
importantly, future demand
for all metals
Sources: *SME, Capital IQ, Federal Reserve, IMF
**MineEx Consulting based on data from ABS, NRCan, MLR (China), OECD and MEG SNL
8

9. CABO
Market Environment
Drilling

Worldwide Exploration Budget 2003 – 2017E
$25
$22
$21
$19
US$ Billion
$20
$16
$15
$15
$18
$12
$12
$9
$10
$17
$16
$9
Global mining exploration
market was worth $22 BB in
2012

38% Y/Y increase over
2011

Well above 2008 peak
levels
$6
$5
$4

$3
$0
2004
2005
2006
$50
2007
2008
2009
44.7
Transaction Value (US$BB)
$40
33.4
$30
25.6
31.3
28.3
$25
$20
15.5
16.4
$15
$10
2011
2012 2013e 2014e 2015e 2016e 2017e
1.9
1.8
$45
$35
2010
4.9
$5
Number of Equity Issues (000's)
2003
McKinsey forecasts a 5.6%
compounded annual growth rate
(“CAGR”) in spending from
2013 to 2017, from $16 BB to
$21 BB
1.5
1.6
1.3
1.4
1.2

1.3
1.1
1.1
1
0.8
0.8
0.6
0.6
0.4
High commodity prices
attracted significant risk capital
for mining exploration and
development activities in 2012,
which was reduced significantly
in 2013; however, 2014 could
be a turnaround year like 2005
0.2
0
$0
2005 2006 2007 2008 2009 2010 2011 2012
2005 2006 2007 2008 2009 2010 2011 2012
Source: SME, Capital IQ
9

10. CABO
Drilling
Drill Fleet
100 Total Drill Rigs
27 Conventional Surface
15 Deep Hole Surface
14 Helicopter Support
5 Man Portable
6 Reverse Circulation
27 Underground
6 Geotechnical
FY’13 Revenue Mix
11%
Reverse Circulation
17%
Underground
Geotechnical
Surface
70%
2%
Drill Rig Age*
30.0%
30.5%
25.0%
21.1%
20.0%
17.9%
16.8%
15.0%
9.5%
10.0%
4.2%
5.0%
0.0%
< 10
10 < x < 15 15 < x < 20 20 < x < 25 25 < x < 30
> 30
*Does not take into account 70% of drills that have been rebuilt
10

11. CABO
Drilling
Operations
(CDN $000s except earnings per share)
FY2010
FY2011
FY2012
FY2013
EBITDA per Share (Basic)(1)
$
0.03
$
0.04
$
0.08
$
0.05
Earnings (Loss) per Share (Basic)
$
(0.03)
$
(0.01)
$
0.02
$
(0.01)
Cash from Operations(2)
$
1,057
$
1,402
$
3,348
$
2,606
Gross Margin % Adjusted(3)
25.3
22.1
22.7
25.1
(1)Net
Earnings before interest, tax, amortization, stock based compensation and other items (EBITDA)
changes in non-cash working capital items
(3)Gross margin adjusted to exclude amortization
(2)Before
C$ millions
Revenue
58.65
58.95
42.53
43.42
41.16
28.99
FY2008
FY2009
FY2010
FY2011
FY2012
FY2013
11

12. CABO
Cash Management Focus
Drilling




Capital expenditures are controlled
Stable working capital
Continuing to implement field cost control systems
Secure new credit facilities for growth
Working Capital
C$ millions
12.72
13.54
8.14
4.59
FY2009
5.74
FY2010
FY2011
FY2012
FY2013
12

13. CABO
Drilling
Strong Balance Sheet
(CDN $000s)
June 30, 2013
Cash & cash equivalents
$
134
Current assets
$
22,488
Non-current assets
$
14,930
Total assets
$
37,552
Current liabilities (including current portion of long-term debt) $
9,168
Long-term debt
$
4,316
Future income tax
$
349
Equity
$
23,719
Total equity and liabilities
$
37,552
13

14. CABO
2013 Quarterly Results
Drilling
(CDN $000s except earnings per share)
1st QTR 2013
Ended
Sep 30, 2012
Revenue
$
EBITDA(1) as a % of gross
revenue
13,843
2nd QTR 2013
Ended
Dec 31, 2012
$
13.2%
9,161
3rd QTR 2013
Ended
March 31, 2013
4th QTR 2013
Ended
June 30, 2013
$
$
6.8%
10,616
10.1%
8,914
4.8%
EBITDA(1) per Share(2)
$
0.02
$
0.01
$
0.01
$
0.01
Earnings (Loss) after Taxes
$
560
$
(435)
$
20
$
(710)
Earnings (Loss) per Share(2)
$
0.01
$
(0.01)
$
0.00
$
(0.01)
Cash from Operations(3)
$
1,354
$
331
$
458
$
463
Gross Margin %(4)
(1)
(2)
(3)
(4)
26.0%
25.8%
25.7%
Net Earnings before interest, tax, amortization, stock based compensation and other items (EBITDA)
Per Share (Basic)
June 30, 2013:
Before changes in non-cash working capital items
 Working Capital of $13.45
Gross margin adjusted to exclude amortization expense
21.7%
million
 Assets of $37.55 million
 Shareholders Equity $23.72 million
14

15. CABO
Drilling
Objectives and Achievements





Expand effective capacity per drill
Establish and maintain long term relationships with our clients
Build and maintain a highly cost effective organization
Retain skilled workers and enforce high safety standards
Increase community training programs and expand community
relationships
 Enforce higher environmental standards
2013 Achievements
 Working capital increased to $13.45 million
 59% of drills turning on gold projects
 Re-structured two Canadian operations to improve
margins and profitability
15

16. CABO
Drilling
Prepared for Future Growth
 Cabo Drilling is in a position to move forward despite the stressed global
financial and economic environment
 High capital expenditures in fiscal 2006-2008 and 2011 have positioned Cabo to
respond to market changes in 2014
 Offering a variety of drilling services – including deep hole, conventional
surface, helicopter support, man-portable, directional, reverse circulation,
geotechnical and underground drilling. Cabo is equipped to provide drilling
services to its customers in each of its global areas, regardless of location,
terrain, geology, depth to target or environmental considerations
 Cabo can “migrate” to meet market demands
and needs and has the ability and expertise to
shift equipment and personnel to match changing
market conditions
16

17. CABO
Drilling
The Cabo Advantage
Raving Fans
 Raving Fans is an initiative to deliver consistent high-quality services based
on customers’ needs
 Cabo is committed to building relationships with its customers – discovering
how we can meet and exceed our customers’ requirements for each drill
project
Human Resources






Employee Relations Strategies
Retention Strategies
Training! Training! Training!
Tapping the International Talent Pool
Health and Safety Plans
Fitness for Work Program
Retaining qualified staff enables Cabo to provide the results
its customers demand and deserve
17

18. CABO
Key Differentiators: Safety and Community Support
Drilling
Safety First Culture
Cabo - Communities
 Cabo is committed to keeping safety front and  Cabo has entered into alliance agreements with a


center through education, engineering and
enforcement of best practices
Cabo provides all employees with extensive
safety training prior to starting any job and
follows up with weekly safety meetings
Cabo’s comprehensive approach towards safety
and health on the job has resulted in a continued
improvement in its safety performance
Injury Frequency
Freq (Per 200,000 man-hours)
25.00
20.00
15.00


number of Canadian aboriginal bands, which
provides Cabo with significant competitive
advantages in winning contracts with clients
such as Goldcorp, First Quantum (Inmet), and
Galway
Cabo is committed to a culture of sensitivity and
responsibility to the aboriginal communities in
which it operates
Cabo
facilitates
aboriginal
community
participation in its drilling programs, including:


10.00

5.00

Hire local workers and provide training and
skills development opportunities
Allocate available jobs throughout the
community and provide mentoring
Provide assistance to clients in regard to local
customs and values
Utilize local services and suppliers
0.00
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Total Medical Aid Frequency Lost Time Injury Frequency
18

19. CABO
Near-term Growth Opportunities
Drilling
European Expansion
 Expansion into Europe began in 2007 in Spain


and continued into Albania in 2008
Cabo is currently in negotiations with potential
clients in Portugal, Greece, Bulgaria, and Serbia
Additional drill capacity may be required in
these regions in 2014
Acquisition of Blasting Services Company
 Cabo

is evaluating opportunities to acquire an
explosives and blasting services business
Blasting services are complementary to drilling
services and would allow Cabo to diversify into
road/bridge construction, commercial demolition
and general contracting to smooth out the impact
of economic cycles
Repair & Maintenance Services
 Cabo
is evaluating opportunities to provide
contract repair and maintenance services to the
mining industry
19

20. CABO
Drilling
Mission Statement
 To be the first choice for mineral exploration, mining & geotechnical
customers by offering the best value in the drilling services industry
 To partner with our clients and the community, fostering a culture of
sensitivity and responsibility to the communities and environment in
which we work.
 To be the first choice among employees by offering the most stable,
safe and rewarding workplace in the drilling services industry
 To be the first choice for investors by
consistently generating superior value and
providing excellent corporate governance to
shareholders and stakeholders
20

21. CABO
Drilling
Relative Size of Contract Drillers
Tier 1
Boart Longyear
1,035
Layne Christensen
750
Major Drilling
736
Tier 2
Foraco
308
Ausdrill
275
Energold Drilling
258
Orbit Garant
214
Cabo Drilling Corp.
100
21

22. CABO
Drilling
Summary
 Expanding global market presence
 Focused on long-term growth in the mineral
drilling services sector through exposure to
mid-tier and major mining and exploration
companies
 Revolutionary approach to customer service
 Improved operational efficiencies
 Increased capacity per drill
22

23. CABO
Drilling
PROFESSIONALS TO THE CORE
23