SHELL SCOTFORD & QUEST CCS PROJECT JUNE Copyright of Shell Canada Ltd.

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1 SHELL SCOTFORD & QUEST CCS PROJECT JUNE

2 SCOTFORD OPERATIONS UPDATE Focus on delivering safely and reliably No turnarounds planned for 2014 Groundtruthing completed December 2013 for Scotford EPZ and January 2014 for Quest EPZ 2

3 QUEST PROJECT UPDATE Work force spanning 3 construction sites (capture, pipeline and mod yard) and home engineering office is approx. 900 people Underground work at the capture site is now complete Photo of amine lift All major equipment such as towers and compressors are received and on site. All Hydrogen Manufacturing Units equipment modules installed (largest lift - amine stripper column completed in March) About one-third of capture project work hours will be done at mod yard - Edmonton module fabrication yard selected 3

4 QUEST PROJECT UPDATE CONT Three injection wells and monitoring wells drilled 60-km pipeline to injection wells is nearing completion mechanical completion will occur this fall Hydrotesting of the mainline is scheduled for the end of June Reclamation is scheduled to start mid- June (weather dependant) Community Advisory Panel members tour the North Saskatchewan River crossing, Sept

5 QUEST LOOK AHEAD ROW clean final grading and seeding will occur over the summer along with the drying of the pipeline and preservation prior to start up. Various activities planned at/ near well sites over April- August including:, Electrical &Instrumentation work for injection skids & MMV equipment, Light Source (CO2 detection in the atmosphere) trial, remote sensing calibration & data collection, micro-seismic array installation at 8-19 well pad, completion of monitoring well at 3-4 Compressor and motor expected to be set Q Well site skids expected to be installed Q

6 AB ENERGY MINSTER QUEST TOUR Budget 2014 advances Alberta s carbon capture projects The Government of Alberta s ongoing investment in carbon capture and storage (CCS) demonstrates our commitment to environmental stewardship and innovative solutions to reduce greenhouse gas emissions. As part of Budget 2014, Alberta continues to invest in two carbon capture and storage projects that will reduce greenhouse gas emissions from oil sands upgrading. The Alberta government is committed to carbon capture projects. With them we are showing the world we take the responsible development of our resources seriously and we re becoming a world leader in CCS technology. Diana McQueen, Minister of Energy The Quest project will be the first commercial-scale CCS project in the world for an oil sands operation. The Albertan and Canadian governments have been strong supporters of CCS; their leadership is an example for future projects worldwide. John Rhind, Oil Sands Vice President, Shell Canada In addition to the environmental benefits of the project, the Quest Carbon Capture and Storage project creates value for Alberta by developing technology expertise. The numbers of skilled trades people working on construction peaked at 900. The project is also using an Edmonton module fabrication yard to construct modules for the capture facilities. 6

7 INVESTING IN OUR COMMUNITY Recent investments: Thorhild & District Parent Advisory Committee - $5,000 towards the school bleachers Lamont County Hospital $50,000 for solar panels Youth Enrichment Foundation of Thorhild Community Playground at Thorhild Central School Redwater Public Library $13,000 for power engineering and safety textbooks Youth Enrichment Foundation of Thorhild $5,000 towards the school playground Animal Rehabilitation 7

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