CORPORATE PRESENTATION May 2015 TSX-V: USO www.usoilsandsinc.com
OVERVIEW INNOVATION BREAKTHROUGH ENVIRONMENTAL LEADERSHIP CAPITAL EFFICIENCY LARGE RESOURCES & LAND (capital / environment / oil recovery) 3
COMPANY SNAPSHOT Proprietary extraction process Corporate Profile Small environmental footprint, no tailings ponds Calgary-based oil sands mining 20,000-30,000/bpd capital intensity company TSX Venture listed: USO Executing on 2,000…
BREAKTHROUGH EXTRACTION PROCESS Our process uses a biodegradable solvent extracted from citrus fruits US Oil Sands patented extraction process is one of the most important breakthroughs in mineable oil sands extraction techniques in…
GAME-CHANGING BENEFITS Economic Benefits Environmental Benefits Low threshold Smallest footprint of any oil sands Low Up Elimination of tailings ponds, bitumen mining process Smallest Front froth treatment, middlings sludge and…
SUPERIOR CAPITAL EFFICIENCY Lowest capital intensity of any recent mining oil sands project even at small scale Non-Integrated Oil Sands Mining Projects Capital Efficiency (/bbl/d) 120,000 100,000 Athabasca average 92,553/bbl/d…
LOW GHG EMISSIONS USO expects to be lower than any existing oil sands project and lower than many conventional projects kgCO2e/Barrel of Refined Products US-California Midway Sunset Venezuela-Petrozuata US-California Kern River…
CONCURRENT RECLAMATION Simultaneous mining and reclamation means land can be returned to its natural state in 4 6 years Year 1 Mine Opening Year 2 Backfill Commences Year 3 Initial Revegetation Concurrent reclamation…
EXTENSIVE LAND & RESOURCES Largest oil sands land base in the U.S. PR Spring Project area Development 100% working interest in 5,930 acres Area 184 MMbbls Discovered Resource(1) Exploration Cedar Camp and NW exploration blocks…
PR SPRING PROJECT Fully approved surface mine and Utah - Attractive Oil Sands Development Large known resource development project - Estimated up to 30 billion barrels in place Uinta Basin in NE Utah Development-oriented state;…
COMMERCIAL DEMO OBJECTIVES 2,000 bpd demonstration project to prove commerciality of the process Primary Success Measures Prove its Game-changing; no Show-stoppers No tailings pond High oil recovery High solvent recovery and…
MILESTONES ACHIEVED Proven Extensive pilot testing Technology of extraction process Fully Phase I approved by DIVISION OF OIL, Permitted Utah regulators GAS AND MINING Fully Phase I funded to Financed first-oil Under…
PHASED PRODUCTION GROWTH Rapid build-up in phases Modular construction allows for flexible development of various capacities - Can be stand-alone, sequential or scaled-up Low capital threshold: 20,000-30,000/bpd of capacity…
MARKETS Crude quality - 10-12 API, sweet, heavy crude Targeted Netbacks - Highly suitable for heavy oil refineries Crude Oil Price (Brent) 60 / bbl(1) Market options provide higher Heavy Differential 5 netbacks Transportation 13…
THE OPPORTUNITY Billions of barrels of Example of stranded bitumen resources in Athabasca mineable bitumen stranded - Economically stranded in pools too small for mega- projects - Economically stranded in low-grade deposits -…
EXPERIENCED LEADERSHIP Management Team Experienced leader with over 30 years in oil, gas and oil sands development and operations, most recently as Senior VP Operations, Refining and Marketing at Connacher Oil and Gas Cameron Todd…
STRONG GOVERNANCE Board of Directors Mark Brown, Director Verne Johnson, Chairman of the Board Co-founder, Seven Generations Energy Ltd. Chairman of Petromanas Energy Inc. Previously Vice President, EPC of North Former CEO of ELAN…
CAPITALIZATION Ticker USO Exchange TSX Venture Shares Out (Basic) 853.1 million Options 56.1 million (average exercise price of 0.18) Restricted Share Units 14.1 million Share Out (Fully Diluted) 923.4 million Current Share…
CONCLUSION USOs next generation solvent technology represents a paradigm shift in surface mineable oil sands economics and environmental impact - Best-in-class capital efficiency, environmental footprint, oil recovery…
APPENDIX
WELL-DEFINED RESOURCES 184 core holes provide strong well control - Up to 2.5-acre spacing, 4,400 assays Multiple beds; combined pay thickness up to 100 feet, average overburden only 25 feet Ore grade range of 5 15 wt% - Average…
PR SPRING PROJECT AERIAL VIEW Test pit Plant site USO5 water well PW-1 water well New Seep Ridge Secondary Hwy Gas pipeline compressor station Drill camp site 24
SITE CONSTRUCTION After a busy 2014 preparing the plant site, construction of the plant itself has officially begun Processing plant foundation piers being built 25
PLANT ENGINEERING MODEL 26
OIL-WET OIL SANDS APPLICATION Athabasca oil sands are water-wet Water-wet Oil Sands - Sand grains enveloped by water, then by oil - Traditional extraction process (the Clark Hot Water Sand Process) uses hot water to remove the oil…
PILOT FACILITY 24 bpd shop demonstration unit in Grande Prairie, Alberta Bio-solvent Rotating Centrifuge & Sand Screen Storage Tank Drum Mixer Control Panel & Storage Bin Feed Hopper Separation Water & Dilute & De-lumper…
SHOP DEMONSTRATION UNIT RUN Oil sand ore ready to be fed into the feed hopper Oil / water / solvent / solids slurry discharge Separation vessel top from the rotating drum mixer stream Clean dilute bitumen flowing into a holding…
Cameron M. Todd CEO cameron.toddusoilsandsinc.com D. Glen Snarr President & CFO glen.snarrusoilsandsinc.com Suite 1600, 521 3rd Avenue SW Calgary, Alberta T2P 3T3 (403) 233-9366 TSX-V: USO www.usoilsandsinc.com
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