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stangdon
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Very confusing sentence for English learner, help needed: "out back stacking wood"

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Very confusing sentence for English learner, help needed

I came across this:

"Thought my old man was out back stacking wood"

I actually don't know if a broader context is needed but to my it is a straight sentence and the reason this is confusing to is the "out back" part.

I don't know if it is:

1 - Thought my old man was out(outside) back(again) stacking wood

OR

2 - Thought my old man was out(outside) back(In yard) stacking wood

also it seems like out back has a meaning of its own