Corporate Overview

1
Corporate Overview

• Underlying Value Built-in Growth
• Opportunity in North American Natural Gas

2
What We Do

• We are an EXPLORATION PRODUCTION Company
• Focused on NATURAL GAS for the North American
  market
• Our Business Strategy is ACQUIRE and EXPLOIT
• TSX Listed Company since 1999.
• Commenced oil and gas operations in January 2004.
  

3
Why Natural Gas Clean Fuel Legislation

• Cleanest of all Fossil Fuels
• CO2 Emission per BTU Factor
• Natural Gas 53.0
• Motor Gasoline 70.8
• Diesel 73.1
• Coal 93.7
• US CO2 Emissions
• Note Million metric tons of Carbon
  Dioxide per quadrillion BTU

4
Fundamentals Lining Up
US Production Declining by 35 per annum
5
Fundamentals US Drilling Activity
There are not enough wells being drilled to
replace existing production
6
US Natural Gas Production Growth?
Little to no growth in US Natural Gas production
despite record drilling activity and technology
improvements
7
US Supply Demand Imbalance Canada?
8
Canadian Gas Production - Declining
30 billion/year of investment and over 20,000
wells/year drilled and gas production has
declined 20
9
Fortress Energy Snap Shot

• Shares Outstanding (basic) 26.9
  million
• 1st Quarter 2009 Net Debt
  23.6 million
• Recent Share Price (May 11, 2009) 0.31
• Enterprise Value 29.7
  million
• Approximately Current Production 1,300 boe/d
• Production Capability 1,550 boe/d
• Product Mix 99 Natural Gas
• Reserves (Proven plus Probable December 31,
  2008) 6.1 mmboe
• Net Asset Value 84.2 million
• Net Asset Value per Share (basic) 3.13

10
What Have We Done Lately.. Production
Growth
Acquire and Exploit
Disposition
Acquire and Exploit
Production boe/d
11
Ladyfern Area Q4/2006 Acquisition
Avg WI 55, Operated Develop. Drilling (40
locations) Appraisal Exploration
Drilling Strategic Acquisitions
Avg. FEI Production 522
boe/d Total FEI Reserves
4.3 MMboe Total FEI Land (undev.)
22,159 Net ac.
Acquire and Exploit
12
Ladyfern Area Exploitation Exploration
Avg. WI 77, Operated 2 Square Creek Dev Wells
Drilling 2 Blue Sky Exploration Wells Clear
Prairie Plant Expansion
Avg. FEI Production 1,550
boe/d Total FEI Reserves
6.1 MMboe Total FEI Land (undev.)
94,000 net acres
Acquire and Exploit
13
Ladyfern Opportunities
CNRL Wells by Year Yellow CNRL 2003 Pink CNRL
2004 Green CNRL 2005 Blue CNRL 2006 Purple
CNRL 2007 Brown CNRL 2008
ENCANA FORTRESS
14
Square Creek Exploration Development
R9W6

• Two Development Wells
• One Exploration Well
• Clear Prairie Plant Expansion
• Delayed
• Production
• Current - 945 boe/d
• Capability 1,500 boe/d
• 50 WI
• Fortress Operated.

T94
T93
NOTIKEWIN LOCATIONS
15
Square Creek Exploration Potential
Seismic and Undeveloped Land
16
Square Creek Operating Costs - Lower

• Current Fixed Operating Costs 888,000
• Consolidating Operations 650,000
• _at_5.4mmcf/d 2.70 per boe
• _at_9.0mmcf/d 1.06 per boe
• Variable Operating Costs
• Current AltaGas Capital Fees 6.90 per boe
• After Payout Capital Fees 4.20 per boe
• Unit Operating Costs
• Current 15.00 per boe
• Nine Months 10.50 per boe

17
Square Creek - Full Cycle Results

• Total Invested Capital 16.1 million
• Net Reserves Discovered 1.45 mmboe
• Finding and Development Costs 11.10/boe
• Total Reserve Reserves Discovered 17.4 bcf
• Largest BlueSky pool discovered in the past
  seven years
• Notes
• Proven and Probable Reserves estimate by Sproule
  Associates Ltd dated December 31, 2008

18
Cash Flow Security Forward Sale Contracts

• 55 of Current Production Sold Forward
• 766 boe/d
• Average Price 2009 - 8.29 per mcf
• Q1 2009 9.44 per mcf (sold forward)
• Q2 2009 - 7.92 per mcf (sold forward)
• Q3 2009 - 7.92per mcf (sold forward)
• Q4 2009 - 7.92 per mcf (sold forward)
• Q1 2010 - 8.30 per mcf (sold forward)

19
Forward Sale Contract CDN
20
Cash Flows - Results

• Year Ended 2008 (actual)
• Cash Flow 6,957,000
• Per Share 0.26
• Fourth Quarter 2008 Cash Flow (actual)
• Cash Flow 1,113,000
• Per Share 0.04
• First Quarter 2009 Cash Flow (actual)
• Cash Flow 1,393,000
• Per Share 0.05

21
Asset Value Results

• Note
• DCF _at_ 10 Pre Tax Based on Sproule Associates Ltd
  reserve evaluation dated December 31, 2008
• Undeveloped Land Value based on evaluation
  performed by Independent Land Evaluations Inc
  dated
• December 31, 2008
• 375,000 Options outstanding at 1.18 per share.

Acquire and Exploit
22
Sproule Reference Natural Gas Price Cdn/MMBTU
23
What are we worth Valuation Metrics

• Note
• Based on estimated current production of 1,500
  boe/d and 6,142 mboe of reserves

24
Who We Are - Management Team

• J. Cameron Bailey CFA
• President and CEO , 2004 to present
• 26 years experience in energy investment banking
  and corporate management.
• Robert DAdamo P. Land
• Vice President - Land
• Senior Land Negotiator for EnCana Corporation.
• Vice President, Business Development, Land and
  Marketing at NAVEnergy Trust.
• From 1997 to 2003 Mr. DAdamo was Manager, Land
  Negotiations PetroCanada
• Land Manager, Ulster Petroleums
• 20 years experience in Petroleum land
• Jamie Jeffs CA
• Chief Financial Officer 2005 present
• 22 years experience in energy accounting and
  auditing
• Jeff Shaw P. Eng.
• Vice President Engineering
• Vice President Technical Resources for A D Firm
• Manager S.E. Saskatchewan Business Unit APF
  Energy Trust
• Corporate Development and A D

25
Board of Directors Experience - Corporate
Governance

• George Watson, P.Eng, MBA, Calgary Former
  President and CEO of TransCanada Pipelines.
• Richard Grafton B. Comm, Calgary Former Vice
  Chairman of Canaccord Capital Corporation
• Joel Dryer BSBA, MBA, Chicago, Management
  Consultant, formerly President CEO of MWave Inc.
• Don Leitch LLB, Calgary, Senior Partner
  Carscallen Leitch
• J. Cameron Bailey, B.Comm, CFA, Calgary
  President and CEO of Fortress Energy Inc.

26
Why Fortress?......

• Excellent natural gas price leverage
• Solid foundation of long life reserves
• Attractive valuation
• Broad prospect inventory
• Successful Management Team

Acquire and Exploit
27
Corporate Information

• Fortress Energy Inc.
• Suite 300, 505-3rd St. S.W.
• Calgary, Alberta T2P 3E6
• Phone [phone]
• Email info_at_fortressenergy.ca Fax (403)
  398-3351
• Website www.fortressenergy.ca Toll Free (866)
  592-6205
• Investor Relations Contacts
• President CEO J. Cameron Bailey cbailey_at_fortre
  ssenergy.ca
• Chief Financial Officer Jamie Jeffs jjeffs_at_fortr
  essenergy.ca

This presentation may contain forward-looking
statements, including statements regarding the
business and anticipated financial performance of
Fortress Energy Inc. (the Company). These
forward-looking statements involve known and
unknown risks, uncertainties and other factors
which may cause the actual results, performance
or achievements of the Company to be materially
different from any future results, performance or
achievements expressed or implied by such
forward-looking statements. A number of factors
could cause actual results to differ materially
from those in the forward-looking statements,
including, but not limited to, fluctuations in
commodity prices, weather, access to capital
markets, competition, changes in technology and
government policies. In light of the significant
uncertainties inherent in the forward-looking
statements included herein, the inclusion of such
information should not be regarded as a
representation by the Company or any other person
that the objectives and plans of the Company will
be achieved. The Company believes that the
expectations reflected in these forward-looking
statements are reasonable however, no assurance
can be given that these expectations will prove
to be correct and such forward-looking statements
included in this presentation should not be
relied upon. In addition, these forward-looking
statements relate to the date on which they are
made. Unless otherwise required by applicable
securities legislation, the Company  disclaims
any intention or obligation to update or revise
any forward-looking statements, whether as a
result of new information, future events or
otherwise.