Barclays CEO Energy-Power Conference Rich Kruger September 13, 2013
Imperial Oils business model Deliver superior, long-term shareholder value 1. Long-life, advantaged assets 2. Value chain integration and synergies 3. Disciplined investment, cost management 4. High-impact technologies and…
Integration & synergies Delivering value and competitive advantage across the business chain Upstream Downstream Chemical World-class Largest petroleum Leading polyethylene producing assets refiner in Canada market share 4
Industry-leading return on capital employed Unmatched shareholder distributions ROCE 5-year average Shareholder distributions 2003-2012 % billions 30 15 Share reductions Dividends 20 10 10 5 0 0 IMO HSE CVE CNRL SU…
Long-life, high-quality proved reserves 3.6 billion oil-equivalent barrels, concentrated in world-class assets YE 2012 proved reserves Cold Lake billion oeb* 4 Other 3 Kearl Kearl 2 Syncrude 1 Cold Lake 0 Syncrude…
Executing plans to achieve profitable growth Investing about 40 billion this decade focused on upstream projects Average capex per year* billions 5 4 3 2 1 0 2000-2009 2010-2019 * Upstream, Downstream, Chemical &…
Production volumes to double by about 2020 Nearly 200 kbd of additional liquids in funded projects Production outlook* kboed 600 New opportunities To be funded Oil sands - mining Oil sands - in-situ Under 400 Conventional…
Financial strength to support growth plans Strong balance sheet maintained under a wide range of scenarios Debt to capital* % 40% S&P AAA rating 55/bbl WTI Resiliency to crude prices 30% Flexibility for new opportunities…
Cold Lake: a world-class in-situ operation Ownership: 100% Imperial Oil Commercial start-up: 1985 Current production: 150+ kbd gross Active wells: 4,500 Cumulative production: 1.2 billion bbls Proved reserves: 1.1 billion…
Significantly increasing resource recovery Leveraging high-impact technologies and operational best practices 80 Cold Lake demonstrated recovery % 2010+ 60 2000s 40 1990s 1980s 20 1970s 0 Thermal Pilots…
Expansion via design one, build multiple approach Over 1.2 billion barrels produced, continued growth planned Cold Lake production* kbd 200 Nabiye Mahkeses 150 Mahihkan Maskwa 100 Pilots 50 0 1980 1990 2000 2010…
Cold Lake Nabiye project 56% complete On schedule and on budget for late 2014 start-up Funded in 2012 for 2 billion, 40 kbd additional production Design one, build multiple replicates Mahkeses 15 15
Kearl: a next generation mining development Ownership: 71% Imperial Oil 29% ExxonMobil Commercial start-up: 2013 Gross production: 110 kbd (initial)* 345 kbd (ultimate)* Recoverable resource: 4.6 billion bbls* * Gross,…
Kearls competitive advantages Adding value and establishing new performance standards P o High-quality resource P o Proprietary froth treatment P o Environmental performance P o Competitive cost structure 17
Initial development update Production ramp-up continues, all three trains operational Bitumen production kbd, gross 50 Current rates greater than 80 kbd 40 First sales occurred in 3Q 30 Crude runs at Joliet in August,…
Proprietary froth treatment Producing pipeline-quality crude without an on-site upgrader Sediment and water Existing mines Bitumen Synthetic crude Naphthenic Froth Treatment Onsite Refinery upgrader Sediment and water…
Improved environmental performance Kearl emissions comparable to average barrel of crude refined in U.S. Wells-to-wheels GHG Emissions kgCO2/bbl of refined products Average barrel refined in U.S.1 Kearl Mexico / Maya…
Cost structure competitive with SAGD Profitable across a wide range of oil prices Cost structure* /bbl Realization (vs. Kearl) CO2 tax 40 Sustaining capital Initial development Opex - natural gas Opex - other 30 20 10…
40+ year asset life Gross production plateau of 345 kbd, Imperial Oil share 71% Kearl development plan kbd, gross 400 Plant Debottleneck 45 kbd 300 Third Ore Preparation Plant 80 kbd 200 Expansion Project 110 kbd…
Kearl expansion project 52% complete On schedule and on budget for late 2015 start-up Funded in 2011 for 8.9 billion, 110 kbd additional production Contractor continuity with KID, constructing full-size modules in Edmonton 24
Market access strategy Pursuing a portfolio of options, recognizing uncertainties Commitments to new pipeline capacity kbd 400 Currently transporting 400 kbd from 300 Alberta by pipeline Secured 390 kbd of additional…
Advancing game-changing technologies A history of success, commitment to further innovate CIMA SA-SAGD Chemically induced Solvent-assisted micro agglomeration SAGD CSP NAE Cyclic solvent Non-aqueous process extraction…
Large, non-proved resource base 13 billion oil-equivalent barrels to support further growth YE 2012 resource base billion oeb, excludes 2013 acquisitions (Celtic and Clyden)* 15 Other Gas 10 Growth Mining opportunities 5…
New in-situ opportunities Development planning on-going, production potential of 300+ kbd Resource potential 295,000 net acres 3+ billion barrels Top-tier quality Enabling technology SAGD/SA-SAGD Potential scope 9+ phases…
Unconventional gas opportunities Large acreage position, development optionality Resource potential 495,000 net acres 15+ TCF Liquids-rich Montney Enabling technology Horizontal drilling Hydraulic fracturing Potential scope…
Long-term growth Potential of 1+ million barrels per day by about 2030 Production outlook* kboed 1000 New technologies/opportunities 800 Oil sands - mining Oil sands - in-situ Conventional 600 400 200 0 2010 2020…
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