Annual General Meeting April 30, 2015 Ryan Kubik President & Chief Executive Officer Canadian Oil Sands Limited
Q1 Results and 2015 Outlook Q1 2015 2015 Actual 1 Outlook 2 Sales volume (bbl/d) 107,305 103,700 WTI (US/bbl) 48.57 55.00 Realized SCO selling price (/bbl) 55.95 63.08 Operating expenses (/bbl) 35.71 39.48 Cash flow from…
Reducing operating costs Q1 2014 2014 Actual 47/barrel 49/barrel 11 10 Q1 2015 2015 Outlook 1 36/barrel 39/barrel 1. Per 2015 Outlook as at April 30/15
Improving operational performance Rebuild and redesign mine trains Retrofit bitumen centrifuges Replace heat exchangers in hydrogen plants Fully commission new mine trains and demonstrate design rates 2015 Modifications to Flue Gas…
Major Projects successfully completed On Time Under Budget Under Budget (millions) Aurora Mine Train Relocation 200 Aurora Tailings Management 50 Mildred Lake Mine Train Replacement 400 Centrifuge Tailings Management 50…
Significantly lower capex requirements millions, net to Canadian Oil Sands 1,2 1400 Major Projects 1200 Regular Maintenance 1000 800 600 400 200 0 2011 2012 2013 2014 2015F After 2015, no major project spending…
Break-even cost based on 2015 Outlook(1,2) CAD /barrel (approximate) Operating expenses 39 Regular maintenance capital expenditures 3 8 Crown royalties 4 Development expenses & reclamation 4 Syncrude break-even cost 55 US45/bbl…
Strong liquidity position Net debt1 is 2.2 billion at March 31 Long-term debt-to-total capitalization1 at 35% No long-term bond payments until 2019 Credit facilities totalling 1.5 billion Recent dividend reduction preserves…
Dividends reflect free cash flow over time (1,2) Annual Total 3, 4 Cumulative Dividends, Dividends FCF 3 1. Includes distributions on trust units prior to Dec. 31/10 2. Free cash flow (FCF) is cash flow from operations less…
Global oil demand vs. production (excluding US tight oil) 95.0 95.0 93.0 93.0 Global Demand US Tight Oil Production 91.0 91.0 89.0 89.0 Mm Bbls/Day 87.0 87.0 85.0 85.0 83.0 Global Oil Production* Without 83.0…
Declining U.S. oil rig count Source: http://gis.bakerhughesdirect.com/Reports/YearToYearCompChart.aspxchrtName=prdOilChrt
COS share price is correlated to oil price 350 300 COS 250 WTI 200 150 100 50 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Bloomberg
COS offers compelling valuation 140,000 Plus, COS offers: 120,000 Upgrader producing light, sweet crude oil All of our reserves and resources 100,000 Producing today 80,000 60,000 40,000 20,000 0 Cost to build new COS…
COS highlights 1. Syncrude is a world-class asset 2. Focus on improving long-term profitability higher production, lower costs 3. COS positioned well during a period of low oil prices 4. COS is highly levered to oil price recovery
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