Corporate Investor Presentation January 2015 Full Cycle Oilfield Consumable Chemical Solutions
Full Cycle Oilfield Consumable Chemical Solutions CES is focused on being a leading provider of technically advanced consumable chemical solutions throughout the life-cycle of the oilfield This includes total solutions at the…
Corporate History Full Cycle Provider of Consumable Chemical Solutions to the Energy Industry Started Initial Public 1 in Canada U.S. Acquisition Remain Vertical Integration, PrivateCo Offering Drilling Fluids of Fluids Canadian…
North American Operations The Company has infrastructure and operations throughout North America focused on resource plays Production and Specialty Chemicals business can be expanded across current Drilling Fluids footprint page…
Global Drilling and Completion Fluids Market Size Global Market Size & Growth The global drilling and completion fluids market has more than doubled since 2005 Grown at a compounded annual growth rate of 11% since 2005 Since 2007 CES…
Drilling Fluids Macro Environment Horizontal drilling challenges require advanced engineered fluid Vertical Well Drilling Fluids: Horizontal Well solutions 2 5% Drilling Fluids: total well costs 1 million 5 10 % Drilling fluids have…
Global Production and Specialty Chemicals Market Size Global Market Size & Growth Production and Speciality Chemicals global market size has more than doubled in size since 2005 Grown at a compounded annual growth rate of 13% since…
North American Production and Specialty Chemicals CES JACAM (US) and PureChem (Can) divisions are directly levered to the growth of oil production in North America Production chemical demand will increase with the increase in…
Financial Highlights Share Price (January 8, 2015) 5.29 52-week Share Price Range 4.92 - 11.68 Shares Outstanding (November 13, 2014) 214.5 million Equity Options and RSUs Outstanding 12.1 million Approximate Management and…
Quarterly Dividend Growth 0.090 CAGR of Dividends Declared 30% 0.083 0.080 0.080 0.073 CES free cashflow 0.070 0.067 business model has 0.063 allowed CES to more per share 0.058 0.060 0.055 0.055 0.053 than 4.0X its…
Conclusion CES is focused on being a leading provider of technically advanced consumable chemical solutions throughout the life-cycle of the oilfield A market leader in the Canadian drilling fluids space and expanding position in…
Our Divisions
Technologies Technology Examples page 15
Competitive Advantage Through Patented Product Line By coating the inner well-bore, Seal-AX reduces the volume of expensive liquid hydrocarbon required to build drilling fluid systems for deeper wells, including horizontal wells…
Hz Brine - EnerCLEAR Overview Proprietary brine based drilling fluid system CES / JACAM developed proprietary additives for corrosion control, scale control and lubrication No off the shelf products currently meet these needs…
Hz Brine -EnerCLEAR Montney Specific Applications Utilized to drill both intermediate and horizontal sections of Montney wells throughout the foothills (Elmworth, Karr, Bilbo, etc.) Utilized to drill the vertical and builds sections…
Competitive Advantage Through Technology Specialized environmentally-friendly, synthetic oil based mud system Most cost effective synthetic drilling fluid system on the market Allows for the benefits of a hydrocarbon based drilling…
Revive Well Stimulation Proprietary Smart Fluid Benefits of Increases oil and gas production Alternative to acid stimulation Lowers injection pressures Non-emulsifying Removes carbonate sulfide and oxide scales Revive…
An Innovative Breakthrough in Corrosion Protection SuperCorrs patented binary corrosion inhibitor formulation provides Without SuperCorr extended film life and superior protection compared to conventional corrosion inhibitors…
Patented Pipeline Corrosion Protection PT SuperCorr PT forms a net-like microfilm barrier that becomes part of the metals matrix Breaks downs into erosion by-products having no detrimental effect on water quality Has…
Solid Chemistry SmartBalls & System Saver Pellets Solid chemistry treatments require less chemical than conventional chemical components and require no chemical pumps and no circulation. The chemical treatments are in solid form;…
Corporate Overview Corporate Overview page 24
Management Team Senior management has approximately 200 years combined experience and broad in-depth knowledge of all CES products and end markets Management and insiders currently own approximately 18% and are aligned with…
Board of Directors Individual Position Biography Managing Director of North River Capital Corp., Director of Zargon Oil and Gas Ltd. and Coral Hill Energy Ltd. Director and Chairman of Board Kyle Kitagawa Former President and Chief…
Overview of CES Production & Specialty Drilling Fluids Chemicals Designs and implements drilling fluid systems JACAM manufactures and sells both retail and wholesale, a complete Extensive product line with several proprietary…
Corporate Structure 300 million Senior Canadian Energy Services & Technology Corp. Unsecured Notes Issuer and Senior Acquisition of JACAM 100% 99.99% Facility Guarantor provides stable, long-term Canadian Energy Services Inc.…
Vertically Integrated Business Continued Vertical Integration Expanding and Deepening the CES Moat CES Asset Stack Evolution of CES Competitive Position Manufacture and Dedicated resources to innovate and chemical reacting…