Questerre Energy Corporation Class A · TSX:QEC
Questerre Energy Corporation Class A — Pareto Securities' 31st Annual Energy Conference (September 2024)
28 slides from Questerre Energy Corporation Class A's conference presentation, Sep 11, 2024
Slide 1: Corporate Presentation
Corporate Presentation Pareto Securities' 31st Annual Energy Conference 11 September 2024
Slide 2: Clean Tech Energy is the future
Clean Tech Energy is the future True sustainability means maintaining human progress and protecting our ecosystem at the same time The solution is developing hydrocarbons responsibly with existing and new clean tech to transform our energy usage Low emission hubs using new carbon tech including sequ
Slide 3: Low-emission industrial hubs
Low-emission industrial hubs The Hub Concept1 Integrated sites utilizing clean energy (e.g. hydrogen) while transporting emissions for storage or recycling • Turn these services into utilities like water electricity, etc. • Service multiple customers instead of traditional single-customer focus Esta
Slide 4: Low-emission industrial hubs
Low-emission industrial hubs Plans for low-emissions hubs under development in Europe, United States and Canada • Circular economy is key to energy transition and meeting low emission targets by 2050 Key elements of these hubs include carbon capture, recycling and storage as well as low-emissions hy
Slide 5: Questerre project areas overview
St. Lawrence Lowlands, Quebec Seeking value for a giant natural gas discovery Western Alberta Condensate-rich Montney resource play with attractive economics SE Saskatchewan/SW Manitoba Proven Torquay/Spearfish tight oil production with strong netbacks Utah Scope 3 emissions hub and large oil resour
Slide 6: Financial and operational overview
Financial and operational overview For the quarter ended June 30, 2024 Operating and Financial Results Capitalization and Liquidity Funds Flow from Operations ($) $ 4.5 million Market Capitalization (Sept. 6, 2024) $ 90 million Capital Expenditures ($) $ 7.0 million Working Capital Surplus ($) $27.6
Slide 7: St. Lawrence Lowlands
St. Lawrence Lowlands Quebec
Slide 8: Seeking full value for a giant discovery
Seeking full value for a giant discovery GLJ assessment of 7 Tcf of gas risked contingent (1.6 Tcf) and prospective (5.4 Tcf) resources(1) • 2020 evaluation with 50% chance of development was 1.6 Tcf with NPV-10 of ~$1.0 billion (best estimate contingent resources only) (2) • Potential to meet up to
Slide 9: Impending energy shortage creates opportunity
Impending energy shortage creates opportunity Energy transition policies driving projected power shortages in Canada, including Quebec, in next few years Impacting Quebec’s ability to attract new investment • Loss of $13 billion Volkswagen battery plant to Ontario due in part to lack of insufficient
Slide 10: Carbon storage – a new opportunity in Quebec
Carbon storage – a new opportunity in Quebec Government of Quebec seeking proposals for pilot projects • Questerre submitted application for carbon storage test • Application includes demonstration of small- scale low-emissions hydrogen production Quebec low-emissions gas is shovel-ready and scalabl
Slide 11: Protecting shareholders' rights in Quebec – next steps
Protecting shareholders’ rights in Quebec – next steps Superior Court Justice suspends key provisions of Bill 21 for duration of judicial proceedings • Justice acknowledges existence of a serious legal matter and serious and irreparable harm if the request for stay is refused • Judgement is enforced
Slide 12: Next steps
Next steps Assessing Government interest in carbon storage and hydrogen as a solution to emissions reduction and energy shortage Pursuing claim for unjust enrichment and breach of contract against Government • Discoveries underway in advance of main hearing on merits of case • Expert witness report
Slide 13: Kakwa
Alberta | | : =O QUESTERRE
Slide 14: Commodity prices driving development plans
Commodity prices driving development plans Operators exercising capital discipline by maintaining pace of development within cash flow Current Kakwa production of ~2,000 boe/d should grow with additional drilling at Kakwa North next year • Peak production of up to 5,000 boe/d based on proved and pro
Slide 15: Oil Shale
Oil Shale Utah & Kingdom of Jordan
Slide 16: Strategic investment in Red Leaf
Strategic investment in Red Leaf Over 20 patents issued for an economic process to produce oil from shale with integrated carbon capture • Patent pending application to use this technology for heat and power generation Applying technology to over 7 billion barrels of unrisked discovered resource in
Slide 17: New technology incorporates carbon capture
New technology incorporates carbon capture Technology redesign to reduce capital costs and improve environmental footprint • Red Leaf estimates capital and operating costs reduced to ~US$30/bbl with new process • CO2 production combined with carbon capture and sequestration • Global engineering firm
Slide 18: Oil Shale Acreage
Oil Shale Acreage Assessing high yield acreage in Jordan • Best estimate of unrisked discovered petroleum initially in place of 7.8 billion barrels(1) • Favorable regulatory environment with first 470MW oil shale power plant on production last year Assessing redesigned Red Leaf technology for Jordan
Slide 19: Low-Temperature Oxy-Fuel Technology
Low-Temperature Oxy-Fuel Technology Broadening application of HCCO technology to power and heat generation – larger and more diverse market opportunity • Assessing opportunities including offshore platforms Lower temperature and pressure compared to conventional oxy-fuel technologies Pre-combustion
Slide 20: Wax processing facility anchors low-emissions hub
Wax processing facility anchors low-emissions hub 7,000 acres of surface rights in oil- producing Uinta Basin in Utah with carbon sequestration rights Utah Department of Air Quality permit for a 40,000 bbl/d project Working with key government and community stakeholders including Native tribe to dev
Slide 21: Outlook
Outlook Pursue political and business solution in Quebec for energy crisis • Assist partners in protecting their rights Advance Scope 3 low emissions energy hubs as solution for sustainable development • Assessing government funding for CCUS pilots Continue to participate in additional drilling at K
Slide 22: Management and Board
Quebec MANAGEMENT Canada AND BOARD
Slide 23: Board of Directors and Management
Board of Directors Management Michael Binnion, President & Chief Executive Officer Michael Binnion, President & Chief Executive Officer Bjorn Inge Tonnessen, Chairman John Brodylo, VP Exploration (Nexen) o Oil & Gas E&P experience & former senior equity research analyst Peter Coldham, VP Engineering
Slide 24: Forward Looking Information
FORWARD Quebec LOOKING Canada INFORMATION 24
Slide 25: Forward-looking information and statements
This presentation contains certain forward–looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends“, “outlook”, “strategy”, “poten
Slide 26: Forward-looking information not guarantees of future performance
The forward-looking information and statements included in this presentation are not guarantees of future performance and should not be unduly relied upon. Such information and statements, including the assumptions made in respect thereof, involve known and unknown risks, uncertainties and other fac
Slide 27: Millcreek Report
Millcreek Report In October 2016, Questerre commissioned an independent assessment of its oil shale resources in Jordan (the “Millcreek Report”). The Millcreek Report was conducted by Millcreek Mining Group, an independent qualified reserves evaluator, as defined by NI 51-101 with an effective date
Slide 28: Questerre Energy Corporation
Questerre Energy Corporation 1650 AMEC Place www.questerre.com 801 Sixth Avenue SW info@questerre.com Calgary, Alberta T2P 3W2 Canada Tel: +1.403.777.1185 / Fax: +1.403.777.1578 28
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