North West Redwater Partnership (NWR) is building the world’s first direct to fuels bitumen refinery to combine gasification technology with an integrated carbon capture and storage program. The project was proposed to meet the rising demand for upgrading of increasing bitumen production from the Alberta oil sands and for production of low-carbon fuels with reduced greenhouse gas emissions. The project will be built in three phases, each converting approximately 50,000 barrels per day of bitumen plus diluent to produce a range of refined petroleum products and petrochemical feedstocks with the advantage of having both higher added value and a lower carbon footprint than traditional upgraders or refineries. This presentation will profile the NWR project and discuss the innovative technological approach to incorporate large scale carbon capture in a greenfield Canadian bitumen refinery development.

1. Carbon Capture through Innovative Commercial
Structuring in the Canadian Oil Sands
Webinar – 6 November 2013, 0600 AEDT

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3. Global CCS Institute Webinar
November 5, 2013
Carbon Capture through Innovative
Commercial Structuring in the Canadian
Oil Sands

4. Certain information set forth in this document contains forward-looking statements including
management's assessment of future plans and operations, expected activity levels, timing of
completion of facilities construction and the effects thereof, capital expenditure plans and the
impact thereof. By their nature, forward looking statements are subject to numerous risks and
uncertainties, some of which are beyond the company’s control, including the impact of
general economic conditions, industry conditions, volatility of commodity prices, changes to
regulatory requirements, risks associated with oil and gas exploration, development,
exploitation, production, marketing and transportation, loss of markets, delays resulting from
or the inability to obtain required regulatory approvals, environmental risks, competition from
other industry participants, the lack of availability of qualified personnel or management and
ability to access sufficient capital from internal and external sources. The foregoing list is not
exhaustive. Additional information on these and other risks that could affect operations and
financial results are available on request.
Readers are cautioned that the assumptions used in the preparation of such information,
although considered reasonable at the time of preparation, may prove to be imprecise and, as
such, undue reliance should not be placed on forward-looking statements. The actual results,
performance or achievements of the company could differ materially from those expressed in,
or implied by, these forward-looking statements and, accordingly, no assurance can be given
that any of the events anticipated by the forward looking statements will transpire or occur, or
if any of them do so, what benefits the company will receive. The company disclaims any
intention or obligation to update or revise any forward-looking statements, whether as a result
of new information, future events or otherwise.
4

5. Terry Kemp is the Vice-President Marketing & Business Development for the
North West Redwater Partnership. Terry is a highly creative executive with
over 32 years of experience in the areas of energy marketing, production,
transportation, and business development. He is one of the original founders
of the North West Sturgeon Refinery project and has been instrumental in
establishing the business structure and commercial agreements for the
company.
Prior to North West he was President and Managing director for Access
Pipeline which he developed from its initial concept and is now an operating
bitumen blend pipeline company. Previously in his career, Mr. Kemp worked
with Imperial Oil, the Canadian arm of Exxon Mobil, where he completed
numerous commercial and marketing assignments, had responsibility for
major production facilities, pipeline operations, project engineering and frontier
exploration research.
5

6. Kevin Heal is Advisor CCS Projects for North West Redwater Partnership
reporting to the Vice-President Marketing & Business Development. Kevin has
20 years experience in Calgary in the energy marketing, pipeline
transportation, oilfield service and environmental consulting industries in
management, business development, operational, risk assessment, regulatory
and project management roles.
For the past eight years, Kevin has maintained a business development and
project management focus in carbon capture and storage, enhanced oil
recovery, bitumen upgrading, power generation, renewable energy, and GHG
management. He has been a featured speaker on CCS issues and served as
an associate member of the CSA Standards Technical Committee for the
Geologic Storage of CO2.
6

7. 
Create high quality clean refined products

Eliminate waste by-products, Cost Effective
Capture of CO2

Anticipate forward environmental
requirements

Increased Output of Clean Diesel
supports demand changes
◦ New CAFE standard
◦ 30% more mileage/gallon of diesel
◦ Modern clean diesel engine designs

Licenced for 3 Phases
◦ 240 KBPD capacity 150 KBPD of bitumen capacity
7

8. • Get the business side right, plus…
LOCATION, LOCATION, LOCATION
8

9. 50%
75%
Feedstock
50%
25%
Feedstock
Feedstock Partners
30 year tolling contract
9

10. Defining the Problem
Add value at
home
Market
Threat
GHG
Threat
10

11. Source: CAPP 2012 Crude Oil Forecast
11

12. 12

13. Even if transportation problems are solved there is
going to be tough competition for refining space
13

14. Bitumen
Delayed Coking
GHG Emissions
Refining has no outlet for Coke except coal power plants
14

15. CO2 per year
(millions of tonnes)
4,500
3,850
3,000
1,950
1,500
40
0
China Coal Power
US Coal Power
Plants
Canada Oil Sands
Plants
Sources: EIA / DOE
15

16. Alberta is the best place in the
world to do this

Lots of reservoirs nearing abandonment
without CO2
>650 million barrels of recoverable oil in
central Alberta

Only place in North America with CO2 taxes
on large emitters

Cost effective to design bitumen and
chemical processing plants to capture CO2
16

17. Billions
$300
$150
$0
2012
2018
2024
Refining in Alberta can keep this value here
17

18. 18

19. Civil Earthworks and Deep Undergrounds
CONFIDENTIAL
Alberta Carbon Trunk Line | 2013 | |19
Alberta Carbon Trunk Line | 2013 1
Alberta Carbon Trunk Line 2013 19
#

20. Foundation Work for Buildings Underway
CONFIDENTIAL
Alberta Carbon Trunk Line | 2013 | |20
Alberta Carbon Trunk Line | 2013 1
Alberta Carbon Trunk Line 2013 20
#

21. Hydrogen
CO2
21

22. 




Commercially Proven Technologies
Gasification of low value bottoms eliminates waste
Supplies H2 for hydroprocessing and avoids natural gas consumption
Production of pure, dry sales ready CO2
Significant Product Yield Increase vs Coking
22

23. 
Proven syngas purification
process

H2 & CO2 from chilled
methanol absorption

3,600 tpd CO2

97% removal efficiency

99.5% pure dry CO2

Compression ready
23

24. 24

26. 26

27. 
Integrated with Alberta Carbon Trunk Line (ACTL)
◦ Support and partial funding from Alberta and Federal Gov’ts
◦ Linked to enhanced oil recovery in Alberta though Enhance Energy
◦ CO2 commoditization
 Revenue streams from CO2 sale and CO2 Credits

Carbon capture designed in from outset reduces process
integration challenges and cost

Gasifier with Rectisol is key technology step
 Disposal of bottoms for H2 production to feed hydroprocessing
 Reduced natural gas consumption
27

28. 4128
NWU + Enhance EOR
Arab Medium
3969
Nigerian
3963
Mars
3833
Venezuelan
3572
Maya
3557
3176
SAGD - Refined
km per tonne CO2
28

29. 
Averts
◦ Pipeline Issues
◦ Single Market Reliance: U.S.
◦ Local Diesel shortages
◦ GHG Impacts
29

30. 


Make Diesel Here
Supply the Best Markets
We can export diesel a lot easier
than bitumen
o Diesel is already moving on the
coast
30

31.  Creates Market for Bitumen
Manages CO2 in Alberta
Creates Local Jobs & Other Economic Benefits
31

32. Terry Kemp
Vice-President, Marketing and Business Development
North West Redwater Partnership
Calgary, Alberta, Canada
403-451-4169
tkemp@nwrpartnership.com

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