Determination of Issue Price of 13.000% Senior Secured Notes due 2028

February 27, 2023

Determination of Issue Price of 13.000% Senior Secured Notes due 2028

On January 19, 2023, Nine Energy Service, Inc. (the “Issuer”) filed a prospectus supplement (the “Prospectus Supplement”) offering 300,000 units (the “Units”), with each Unit consisting of $1,000.00 principal amount of the Issuer’s 13.000% Senior Secured Notes due 2028 (the “Notes”) and five shares of the Issuer’s common stock, par value $0.01 per share (the “Common Stock”). The public offering price set forth on the face of the Prospectus Supplement was $950.00 per Unit. The date on which delivery of the Units was made to investors (the “Settlement Date”) was January 30, 2023.

As described further in the Prospectus Supplement under the heading “Certain U.S. federal income tax considerations”, in order to establish the “issue price” of the Notes for U.S. federal income tax purposes, the public offering price for each Unit (i.e., $950.00) should be allocated between the Notes, on the one hand, and the five shares of Common Stock, on the other hand, based on their respective fair market values at the time of purchase. We have determined that, as of the Settlement Date and solely for U.S. federal income tax purposes, the fair market value of the Notes was $884.85 per $1,000.00 principal amount of the Notes and the fair market value of the Common Stock was $13.03 per share. Accordingly, we have determined that the “issue price” of the Notes for U.S. federal income tax purposes is $884.85 per $1,000.00 principal amount of the Notes. Our determination of the relative fair market values was based on certain factors, including the closing price of our Common Stock on the Settlement Date, which was $13.03 per share.

You are encouraged to review the Prospectus Supplement and to consult your own tax advisor regarding the tax consequences of the acquisition, ownership and disposition of the Units as well as the Notes and Common Stock that form the Units.

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