BitumenTransportationbyRailfromAlbertatotheU.S.Gulf.pdfVIP

Bitumen Transportation by Rail from Alberta to the U.S. Gulf Coast Grizzly Oil Sands Grizzly Oil Sands Highlights • 800,000 net acres in the Athabasca and Peace River oil sands regions (100% operated, nearly 100% WI) focused on SAGD One of the Largest Oil Sands Land development Positions in Alberta • Privately owned by Wexford Capital and Gulfport Energy Corporation (NASDAQ : GPOR) • Plan to have 135,000 bbls/d of bitumen production ready for Repeatable development in the next 5 years Scalable • Grizzly’s “ARMS” development model enables repeatable and Development Model scalable project development, reducing execution and financing risk • Rail provides flexible access to the U.S. Gulf Coast and other Using Rail to markets offering world pricing, bypassing pipeline bottlenecks Consistently Access Premium • The cost (avoiding the diluent penalty) is competitive with pipelines, Markets • Grizzly is investing in long-term rail infrastructure (terminals, rail cars and logistics paths) Grizzly Oil Sands 2 Grizzly Production Development Plan • Steam injection at Algar Lake Phase 1 has commenced with first oil Algar Lake delivered March, 2014 • Ramp up to 6,000 bbls/d bitumen expected by end of Q1, 2015 • Located ~130 km southeast of Ft McMurray and 8 km from the rail May River • 819 mmbbls of Contingent Resources ¹ • Initial 12,000 bbls/d regulatory application filed