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Newton - Instance can't access internet

Hi, it's worth mentioning that I've not used Openstack in a long time, so please bear with me. I've followed the setup guide step by step using Ubuntu 16.04 (option 2 - provider network). I can successfully spin up an instance and it gets assigned with an internal ip address (network 172.16.1.0/24) and it can successfully ping the router 172.16.1.1. The problem that I have is that the instance is not able to ping 8.8.8.8 so can't reach the internet. Would anybody be able to help me troubleshoot this issue?

Note that I've not configured ipv4_forwarding therefore it's disabled. I did try enabling it but after a reboot the instance wasn't able to get the DHCP so I reverted it (not even sure this is related). I had to disable IPv6 completely, somebody had this DHCP problem and solved it like that.

My setup has two instances on Virtualbox (controller-01 and compute-01). Each instance has 3 network cards: - unconfigured interface which is in bridge mode on Virtualbox and the plan was to use this interfaces as a provider network in order to put the instances on my home network (192.168.1.0/24) - host only adapter interface with manually assigned ip addresses. This is used as a management network, hosts will communicate with each other using this interface - NAT interface, used as default gateway for the servers to install packets and generally reach the internet.

Networks:

root@controller-01:~# openstack network agent list
+--------------------------------------+--------------------+---------------+-------------------+-------+-------+---------------------------+
| ID                                   | Agent Type         | Host          | Availability Zone | Alive | State | Binary                    |
+--------------------------------------+--------------------+---------------+-------------------+-------+-------+---------------------------+
| 1efe2e5b-549c-434d-b72d-4075bdf6bff8 | L3 agent           | controller-01 | nova              | True  | UP    | neutron-l3-agent          |
| 59de3ebc-15d7-4443-b99d-9de7e9d64f8b | Metadata agent     | controller-01 | None              | True  | UP    | neutron-metadata-agent    |
| 869c63f3-11d8-4d81-8109-b16c05d6e020 | DHCP agent         | controller-01 | nova              | True  | UP    | neutron-dhcp-agent        |
| ec0da48c-c6c1-43ec-b0ab-d08771897ca0 | Linux bridge agent | controller-01 | None              | True  | UP    | neutron-linuxbridge-agent |
| f7288eb7-0eee-4a5a-85c4-f0dfd748bcc0 | Linux bridge agent | compute-01    | None              | True  | UP    | neutron-linuxbridge-agent |
+--------------------------------------+--------------------+---------------+-------------------+-------+-------+---------------------------+

root@controller-01:~# openstack network list
+--------------------------------------+-------------+--------------------------------------+
| ID                                   | Name        | Subnets                              |
+--------------------------------------+-------------+--------------------------------------+
| 1302958b-dbe1-4281-9296-ff6036e4f423 | selfservice | a4ba714f-6063-4b89-aa34-eb9547e5bd29 |
| 5dc26ed3-9548-4da2-ac59-6511a3b8a2d9 | provider    | 4d43003f-f037-4d1a-94d6-a6b034eec803 |
+--------------------------------------+-------------+--------------------------------------+

root@controller-01:~# openstack network show selfservice
+---------------------------+--------------------------------------+
| Field                     | Value                                |
+---------------------------+--------------------------------------+
| admin_state_up            | UP                                   |
| availability_zone_hints   |                                      |
| availability_zones        | nova                                 |
| created_at                | 2017-02-20T20:42:27Z                 |
| description               |                                      |
| id                        | 1302958b-dbe1-4281-9296-ff6036e4f423 |
| ipv4_address_scope        | None                                 |
| ipv6_address_scope        | None                                 |
| mtu                       | 1450                                 |
| name                      | selfservice                          |
| port_security_enabled     | True                                 |
| project_id                | 23993cc4b916486c8ca5070396ea35c1     |
| project_id                | 23993cc4b916486c8ca5070396ea35c1     |
| provider:network_type     | vxlan                                |
| provider:physical_network | None                                 |
| provider:segmentation_id  | 96                                   |
| revision_number           | 5                                    |
| router:external           | Internal                             |
| shared                    | False                                |
| status                    | ACTIVE                               |
| subnets                   | a4ba714f-6063-4b89-aa34-eb9547e5bd29 |
| tags                      | []                                   |
| updated_at                | 2017-02-20T20:43:27Z                 |
+---------------------------+--------------------------------------+
root@controller-01:~# openstack network show provider
+---------------------------+--------------------------------------+
| Field                     | Value                                |
+---------------------------+--------------------------------------+
| admin_state_up            | UP                                   |
| availability_zone_hints   |                                      |
| availability_zones        | nova                                 |
| created_at                | 2017-02-20T20:44:46Z                 |
| description               |                                      |
| id                        | 5dc26ed3-9548-4da2-ac59-6511a3b8a2d9 |
| ipv4_address_scope        | None                                 |
| ipv6_address_scope        | None                                 |
| is_default                | False                                |
| mtu                       | 1500                                 |
| name                      | provider                             |
| port_security_enabled     | True                                 |
| project_id                | 23993cc4b916486c8ca5070396ea35c1     |
| project_id                | 23993cc4b916486c8ca5070396ea35c1     |
| provider:network_type     | flat                                 |
| provider:physical_network | provider                             |
| provider:segmentation_id  | None                                 |
| revision_number           | 5                                    |
| router:external           | External                             |
| shared                    | True                                 |
| status                    | ACTIVE                               |
| subnets                   | 4d43003f-f037-4d1a-94d6-a6b034eec803 |
| tags                      | []                                   |
| updated_at                | 2017-02-20T20:47:00Z                 |
+---------------------------+--------------------------------------+

I'm happy to provide more info about my environment, although not sure what's relevant and whats not. Thanks in advance