CALGARY, ALBERTA November 18, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah today announced that it has filed its unaudited interim financial statements (“Interim Report”) for the three month period ended September 30, 2014 (“Q3 2014”) along with the management discussion and analysis (“MD&A”) of the financial results of US Oil Sands for such period.
A copy of the aforementioned documents may be found for viewing on the System for Electronic Document Analysis and Retrieval website at www.sedar.com as well as US Oil Sands’ website at www.usoilsandsinc.com.
“US Oil Sands met a significant milestone during the quarter by completing the grading and preparation of the PR Spring Project plant site and procuring all major equipment for the PR Spring Project,” said Cameron Todd, CEO of US Oil Sands. “We are excited to progress to the fabrication phase of the Project in preparation for modular installation, commissioning and ultimately, commercial production in 2015.”
SELECTED QUARTERLY HIGHLIGHTS
Since July 1, 2014, the Company:
OPERATIONAL HIGHLIGHTS
During the third quarter of 2014, the Company’s project team continued to work with its engineering consultants and equipment suppliers to complete final engineering design and procure equipment for the PR Spring Project. Having ordered all of the major equipment components required for construction of the Project and completed construction of the plant site, it will focus on foundation and building construction into 2015. The Company is targeting installation in mid-2015 with commissioning to follow.
Process Flow Diagrams (PFD’s) for the major equipment were completed during the quarter and Piping and Instrumentation Diagrams (PID’s) were underway for most equipment packages. The Company continued field work, substantially completing plant-site grading and making further progress on roadways and utility supply infrastructure. Mine planning efforts to optimize detailed pit sequencing and mine logistics continued to progress. The Company opened a second office location in Utah to establish a local presence and act as a base of operations for the Project.
OUTLOOK
For the remainder of 2014, the Company will continue to focus on the PR Spring Project Phase 1 detailed engineering of the modules. Management anticipates that the off-site fabrication of the process extraction plant modules will begin in the first quarter of 2015, with final off-site fabrication and field assembly occurring in mid-2015, followed by commissioning and commercial start-up.
To ensure a ready inventory of future mineable assets for the Company, management intends to continue to pursue opportunities to add additional resource lands by assessing growth prospects and furthering regulatory application efforts.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project, mine planning, commencement of commercial production and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 2, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Email: [email protected] |
CALGARY, ALBERTA October 8, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah today announced that it has now ordered all of the major equipment components required for construction of the PR Spring Project (the "Project"). The Company has committed approximately US$17.9 million to the purchase of this equipment, engineering and site construction and remains on schedule for field commissioning in Q3 2015. The Company has substantially completed construction of the plant site and has initiated foundation and building construction.
“The procurement of long-lead equipment is an important achievement for US Oil Sands as we transition from substantive engineering and design efforts to initiating physical construction of the extraction plant,” said Cameron Todd, CEO of US Oil Sands. “It’s an exciting time for the Company as we deploy our capital towards creating a low capital cost and environmentally-sustainable oil sands mining project with game-changing potential.”
Project commitments of US$17.9 million to date include:
“We have been diligent in the engineering and procurement process such that in addition to keeping on-target with our schedule, we’ve continued to optimize the Project’s design with resultant operational and environmental benefits,” said Mr. Todd. “This is evident in the decision to replace the plant’s power supply with natural gas-fired turbines that incorporate improved heat recovery from electrical power co-generation. These improvements will reduce the use of fuel, further enhancing the Project’s already best-in-class environmental profile.”
OUTLOOK
For the remainder of 2014, the Company will continue to focus on detailed engineering of the modules. Management anticipates that the off-site fabrication of the process extraction plant will begin in the first quarter of 2015, with final off-site fabrication and field assembly occurring in mid-2015, followed by commissioning and commercial start-up.
ABOUT US OIL SANDS INC.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project, and commencement of commercial production. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 2, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President & CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Email: [email protected] |
CALGARY, ALBERTA August 14, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah today announced that it has filed its unaudited interim financial statements (“Interim Report”) for the three month period ended June 30, 2014 (“Q2 2014”) along with the management discussion and analysis (“MD&A”) of the financial results of US Oil Sands for such period.
A copy of the aforementioned documents may be found for viewing on the System for Electronic Document Analysis and Retrieval website at www.sedar.com as well as US Oil Sands’ website at www.usoilsandsinc.com.
SELECTED QUARTERLY HIGHLIGHTS
Since April 1, 2014, the Company:
“Since our Board of Directors’ approval to proceed with construction of US Oil Sands’ enhanced PR Spring Project, we have made considerable progress, particularly with the procurement of most of the required ore handling equipment,” said Cameron Todd, CEO of US Oil Sands. “As long-lead equipment procurement continues, we are working diligently to finalize detailed engineering, site preparation, utilities tie-in and fieldwork such that we remain on-track to commence installation and commissioning in the second and third quarters of next year.”
OPERATIONAL HIGHLIGHTS
During the second quarter of 2014, the Company’s project team continued to work with its engineering contractors and equipment suppliers to finalize engineering and procure supplies for the PR Spring Project. Having issued purchase orders for substantially all of the ore handling equipment, US Oil Sands will continue placing orders for other major equipment over the next few months. The Company is targeting installation in mid-2015 with commissioning to follow.
The Company commenced field work and made progress on plant-site grading; utility supply infrastructure; and roadways and water supply pipeline construction. Detailed pit sequencing and mine logistics continued to advance. The Company has hired several key personnel located in Canada and in Utah to support the PR Spring Project.
EXECUTIVE MANAGEMENT ADDITION
Effective September 2, 2014, US Oil Sands will welcome the addition of Ed Koshka as Vice President, Business Development & Marketing. Mr. Koshka has 28 years of business development and crude oil marketing experience in the oil & gas industry, the last 10 of which has been focused specifically on applying technology innovation to oil sands development. Prior thereto, Mr. Koshka was a Principal Consultant at Purvin & Gertz, Inc. following a 13 year career at Petro-Canada in various downstream roles. Mr. Koshka is a Professional Engineer, has a degree in Chemical Engineering from the University of Alberta and an MBA from the University of Calgary.
Mr. Koshka will be focused on developing oil sands opportunities utilizing US Oil Sands’ proprietary bitumen extraction process in the Athabasca oil sands region and in other worldwide jurisdictions where his previous experience developing three unique oil sands projects will be invaluable. From a crude marketing perspective, project values can be enhanced by selling production into the most beneficial markets and Mr. Koshka will apply his considerable downstream expertise, initially to the Company’s near-term PR Spring Project, to capture that value.
“Mr. Koshka has been consulting with US Oil Sands on business development initiatives in Canada for a number of months now and we’re delighted that he’s accepted an elevated role within the Company,” said Cameron Todd. “His experience is aptly suited to furthering US Oil Sands’ goal of implementing our revolutionary bitumen extraction process in Canada and maximizing market value for our forthcoming oil production.”
OUTLOOK
For the remainder of 2014, the Company will continue to focus on the PR Spring Project Phase 1 of engineering and mine design, placement of orders for long-lead equipment and refinement of equipment component selection for all other equipment. General site preparation is expected to be completed in 2014. Management anticipates that the off-site fabrication of the process extraction plant will be partially complete in 2014, with final off-site fabrication and field assembly occurring in mid-2015, followed by commissioning and commercial start-up.
To ensure a ready inventory of future mineable assets for the Company, management intends to continue to pursue opportunities to add additional resource lands by assessing growth prospects and furthering regulatory application efforts.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project, mine planning, commencement of commercial production and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 2, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Email: [email protected] |
CALGARY, ALBERTA July 10, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, recently welcomed The Honourable Diana McQueen, Alberta Minister of Energy, and the Honourable Wayne Drysdale, Minister of Transportation & Infrastructure, to tour its bitumen extraction pilot facility in Grande Prairie, Alberta. Management also welcomed Ross Chow, Vice President, Oil & Gas Sector, Alberta Innovates – Technology Futures to learn about the Company’s environmentally sustainable bitumen extraction technology.
“US Oil Sands developed this facility in 2007 and we’ve successfully demonstrated the use of our biodegradable, non-toxic bio-solvent to extract bitumen from a variety of oil sands,” said Cameron Todd, CEO of US Oil Sands. “The Ministers’ visit will bring awareness of our breakthrough extraction process which eliminates the need for tailings ponds and offers numerous environmental and economic benefits when compared to current oil sands projects.”
The facility has allowed the Company to optimize its extraction process, improving bitumen recovery from a broader range of oil sand ores, increasing solvent and water recovery, and reducing overall operating costs. US Oil Sands’ Board of Directors recently approved a series of major project enhancements and made the Final Investment Decision to proceed with construction of Phase 1 of the PR Spring Project in Utah which is expected to achieve commercial production in the second half of 2015.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project, mine planning, commencement of commercial production, and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 2, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Abby Garfunkel 300 5th Ave. SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2887 [email protected] |
CALGARY, ALBERTA June 25, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, announced today that the Utah Supreme Court (the "Court") has dismissed the only outstanding regulatory challenge made against the Company’s PR Spring Project (the "Project"), located in Utah’s Uintah and Grand Counties. In a unanimous decision, the Court found that the groundwater discharge permit-by-rule originally issued in 2008 by the Utah Division of Water Quality was correctly issued based on the conclusion that the Company’s extraction process would have a "de-minimus" or negligible impact on ground water quality. Notably, the Company’s process uses low impact, non-toxic substances without the use of tailings ponds and emits no free water or process fluids as it recycles its water and bio-solvent. Changes or enhancements made to the Project since that time were not judged to have any negative material impact on the original approval.
Further, the Court found that appellants challenging a permit decision must do so on a timely basis, thereby providing finality with respect to regulatory decisions and allowing permit holders to expeditiously proceed with their projects.
Cameron Todd, CEO of US Oil Sands commented, “We are pleased that the Court clearly supports the validity of permits granted to the Company’s PR Spring Project. US Oil Sands has continually demonstrated its commitment to environmentally responsible energy development and expects to showcase its breakthrough extraction technology when the Project begins producing next year.”
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project and the commencement of commercial production. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Abby Garfunkel 300 5th Ave. SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2887 [email protected] |
CALGARY, ALBERTA May 14, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah announced today that its Board of Directors has approved the Final Investment Decision to proceed with construction of its PR Spring Project in Utah. The Company also provided an operational update and filed its unaudited interim financial statements (“Interim Report”) for the three month period ended March 31, 2014 (“Q1 2014”) along with the management discussion and analysis (“MD&A”) of the financial results of US Oil Sands for such period.
A copy of the aforementioned documents may be found for viewing on the System for Electronic Document Analysis and Retrieval website at www.sedar.com as well as US Oil Sands’ website at www.usoilsandsinc.com.
SELECTED QUARTERLY HIGHLIGHTS
“Our first quarter has been an exceptional period for our Company, as we transitioned the PR Spring Project from the design stage to the execution and build stage” said Cameron Todd, CEO of US Oil Sands. “Included in this transition was our Board of Directors’ approval of major project enhancements that will enable us to cut our water usage in half, increase our bio-solvent recovery by 50%, and recover increased amounts of oil from a broader range of oil sands ore. These improvements bolster our current credentials of possessing the best environmental performance in the industry while at the same time, leading in capital efficiency. This, in combination with our recent receipt of our U.S. patent approval will ensure US Oil Sands is uniquely positioned to expand its leading technology to other developments, greatly enhancing value for shareholders.”
OPERATIONAL HIGHLIGHTS
During the first quarter of 2014 the Company continued to work with its engineering consultants and equipment suppliers to optimize engineering design on Phase 1 of the PR Spring Project. Project construction, management and consulting contracts have been awarded to KBR, FLSmidth USA Inc., and Norwest Corporation. Additionally, the Company continued to work on future mine planning activities with the assistance of its third party mine engineering consultants.
Subsequent to the end of quarter, and in compliance with National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities, the Company released the independent resource evaluation report issued by Calgary-based Sproule Unconventional Limited ("Sproule") dated April 2, 2014. The evaluation results detail the bitumen resource assessment of the Company's PR Spring property in Utah as of February 28, 2014, and incorporate the results of the 184 wells drilled and cored on the Company’s PR Spring Project Area in 2011 and 2012. Sproule’s independent best estimate of discovered resource is 184.3 million barrels.
OUTLOOK
The Company’s Board of Directors approved the Final Investment Decision to proceed with construction of Phase 1 of its PR Spring Project in Utah. The added design enhancements will allow the Company to obtain high bitumen recovery from a broader range of oil sand ores demonstrating the suitability of the process for expansion across the Company’s Utah leases and potentially to Canada and other deposits worldwide. These design improvements have the added benefits of increasing solvent and water recovery, reducing overall operating costs.
The enhanced project has been approved by the Company’s Board of Directors with estimated capital costs of US$60 million.
For the remainder of 2014, the Company will continue to focus on the final engineering design and procurement of equipment, as it continues to progress site preparation and construction of the PR Spring Project Area. The Company anticipates that a significant portion of the fabrication of the process extraction plant will be completed in 2014, with the remaining fabrication and final field assembly to occur in 2015 followed by commercial start-up.
Management has also initiated preliminary mine planning and permitting activities intended for future production areas within the broader PR Spring Project Area. In addition, US Oil Sands will continue its long term strategic goal of acquiring the rights to additional resource lands by assessing relevant growth opportunities existing outside its immediate area of operation, including those in international jurisdictions such as Canada and elsewhere.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Companyincluding information relating to the development and construction of the PR Spring Project, mine planning, commencement of commercial production, corporate development activities and resource estimates. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 2, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Jeremy Dietz 300 5th Ave. SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2833 [email protected] |
CALGARY, ALBERTA April 22, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, today announced approval of its U.S. patent application and the filing of its 2013 independent resource evaluation report.
“The successful approval of our U.S. patent application marks another important step towards reinforcing our Company’s environmental and cost-effective technological advantages in the oil sands mining space,” said Cameron Todd, CEO of US Oil Sands. “We believe our bio-solvent based approach to oil sands extraction is a true game changer for the industry, as it has the dual-benefit of reducing the environmental footprint of an oil sands project and lowering capital expenditures by as much as 75% when compared to existing oil sands mining projects.”
Approval of United States Patent Application
US Oil Sands has received notification from the United States Patent and Trademark Office (“USPTO”) that allows the Company’s U.S. patent application relating to its bitumen extraction process. The Company will be formally issued the patent after the Company finalizes issuance procedures with the USPTO.
The Company has previously been granted a patent by the Canadian Intellectual Property Office in 2012 and has completed the international filing of a patent application through World Intellectual Property Organization (WIPO) in October 2007.
The approval of the U.S. patent application and the granting of a Canadian patent provides a key, strategic advantage for the Company, as no commercial oil sands mining process has yet been implemented that can operate with the overall reduced environmental footprint that US Oil Sands’ process provides. In addition, the Company believes its low capital cost allows the Company’s extraction process to be economically deployed to a broad range of smaller deposits, previously deemed out of reach for oil sands mining operations using traditional extraction processes.
US Oil Sands’ 32,005 acres of bitumen leases in Utah’s Uinta Basin make it the largest bitumen lease-holder of State lands in the U.S., and the Company’s permitted PR Spring Project is expected to be the first commercial bitumen extraction project in the U.S. US Oil Sands’ extraction process is effective on both oil-wet deposits such as those found in the US and internationally, and water-wet deposits such as those found in Canada’s Athabasca region. Traditional extraction processes, developed decades ago, are effective on the water-wet oil sands found in Canada, however, they remain economically and environmentally ineffective at extracting bitumen from oil-wet deposits that are found in other parts of the world. Following commercial production of Phase 1 of the PR Spring Project, expected in 2015, the Company intends to expand deployment of its proprietary process outside the State of Utah.
Resource Evaluation Report
The Company engaged Calgary-based Sproule Unconventional Limited ("Sproule") to complete an independent resource evaluation report dated February 28, 2014 (the "Sproule Report") in compliance with National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities. The Sproule Report details the bitumen resource assessment of the Company's PR Spring property in Utah, as of February 28, 2014, and incorporates the results of the 184 wells drilled and cored on the Company’s PR Spring development block in 2011 and 2012. Sproule’s independent best estimate of discovered resource is 184.3 million barrels and remains unchanged from the prior year.
US Oil Sands’ PR Spring property lies within the State of Utah’s PR Spring Special Tar Sand Area and consists of four leases that encompass 5,930 acres. The Company also holds leases on an additional 26,075 acres that have not been explored and therefore not evaluated in the Sproule Report. US Oil Sands currently holds 100% working interest in its Utah-based assets.
Sproule's resource assessment of the evaluated areas is listed below:
| DISCOVERED PETROLEUM (BITUMEN) INITIALLY-IN-PLACE(1), P.R. SPRING LEASE, UTAH AS OF February 28, 2014 |
||
| Development Area | Area (acres) | Best Estimate(2) (MMbbl) |
| Permitted Mine Plan Area(3): | ||
| North Pit | 61.8 | 4.5 |
| West Pit | 30.5 | 2.3 |
| Sub-total | 92.2 | 6.8 |
| Mine Plan Area yet to be permitted (4): | ||
| South Pit | 66.7 | 2.7 |
| Proposed and Permitted Mine Plan Area Sub-Total | 159.0 | 9.5 |
| Area without formally submitted Mine Plans(5) | 5,771.0 | 174.8 |
| TOTAL LEASE | 5,930.0 | 184.3 |
Notes:
The in-place volumes within the current mine plan areas have been classified as discovered resources, based on core hole data, assays, test pit results, outcrop data and geological mapping. Although it is not possible to identify either the exploitable portion of the discovered resources or the recoverable portion of those resources until the final mine plans are incorporated into the geological model, Sproule is confident that contingent resources will be assigned to the three proposed and permitted mine pits once this has been done. In 2011, the Company identified four additional prospective mine pit areas that were further delineated with infill coring in 2012 and are currently undergoing design configuration and recoverable resource quantification. Since that work is expected to closely follow this assessment, Sproule believes the most specific classification, as of the effective date of this report, is discovered resources. Until a forthcoming economic evaluation is completed, there is no certainty that it will be commercially viable to produce any portion of these resources.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta Basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Company including information relating to resource estimates, the development and construction of the PR Spring Project, commencement of commercial production and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. Best estimate is considered to be the best estimate of the quantity that will actually be in-place. It is equally likely that the actual remaining quantities in-place will be greater or less than the best estimate. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2013 dated April 4, 2014 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Jeremy Dietz 300 - 5th Avenue SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2833 Email: [email protected] |
CALGARY, ALBERTA April 15, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, today announced the appointment of Mr. Mark H. Brown, P.Eng. to its Board of Directors, effective immediately.
Mr. Brown has over 30 years of experience in the energy and resource industries, 25 of which have been focused on the engineering, procurement and construction management (EPCM) side of the oil & gas industry.
Most recently, Mr. Brown was one of the co-founders of Seven Generations Energy Ltd. ("Seven Generations") and was employed from its inception as Director, Technology. Mr. Brown retired from full-time work with the company in 2012.
Prior to Seven Generations, Mr. Brown was one of the co-founders of North American Oil Sands Corporation where he acted as Vice President, EPC. In 2002, Mr. Brown co-founded and managed Acres Parsons Energy & Chemicals Ltd., an engineering and project management company whose legacy continues as part of Hatch Ltd.
Mr. Brown holds a B.Sc. in Geological Engineering from the University of Manitoba and is a practicing member of the Association of Professional Engineers and Geoscientists of Alberta (APEGA).
“It is with great pleasure that I welcome Mark to the Board of Directors,” said Verne Johnson, Chairman of US Oil Sands. “As our Company focuses on the project execution phase of the PR Spring Project, we look forward to leveraging Mark’s wealth of experience. His extensive background in building world class engineering and project management teams that have developed the technology, engineering, design and management systems of large scale developments makes him a valuable addition to US Oil Sands as we progress towards commercial startup in 2015.”
The Company also announced that pursuant to the Company’s stock option plan, a total of 1,500,000 stock options were granted to Mr. Brown at an exercise price of $0.125 per share expiring April 15, 2019, subject to regulatory approval.
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS
The Annual and Special Meeting of the common shareholders of US Oil Sands will be held at the Calgary Petroleum Club, 319 – 5th Avenue SW, Calgary, AB on Wednesday, May 14, 2014 at 8:30 AM MDT. The Company filed its Notice of Meeting and will mail the management information circular, form of proxy and notice on or about April 17, 2014.
A copy of the aforementioned documents may be found for viewing on the System for Electronic Document Analysis and Retrieval website at www.sedar.com.
ABOUT US OIL SANDS INC.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Company including information relating to the development and construction of the PR Spring Project and commencement of commercial production. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2012 dated April 29, 2013 and available on SEDAR at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Jeremy Dietz 300 – 5th Avenue SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2833 Email: [email protected] |
CALGARY, ALBERTA March 12, 2014 – US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, today announced that it has filed its audited consolidated financial statements (“Financial Report”) for the twelve month period ended December 31, 2013 along with the management discussion and analysis (“MD&A”) of the financial results of US Oil Sands for such period.
A copy of the aforementioned documents may be found for viewing on the System for Electronic Document Analysis and Retrieval website at www.sedar.com as well as US Oil Sands’ website at www.usoilsandsinc.com.
SELECTED OPERATIONAL & FINANCIAL HIGHLIGHTS
Some of the achievements in 2013 include:
“2013 was a pivotal and transformational year for our Company, as we were able to successfully complete an $81 million equity financing that fully funds the development of our 2,000 bbl/day PR Spring Project,” said Cameron Todd, CEO of US Oil Sands. “Having recently engaged KBR to lend their world-class expertise to the engineering and project management of the PR Spring Project, our attention is now squarely focused on progressing operations towards commercial startup in mid-2015.”
OPERATIONAL HIGHLIGHTS
During 2013, the Company continued to work with its engineering consultants and equipment suppliers to enable initiation of project work on Phase 1 of the PR Spring Project. Project construction, management and consulting contracts have been awarded to KBR, FLSmidth USA Inc., and Norwest Corporation.
Work on the PR Spring Project site was initiated through an agreement to supply water and raw road-building materials for a state-funded road construction project. US Oil Sands permitted and mobilized a man-camp to support field operations. Crushed aggregate for the road was obtained from areas within the Company’s planned mine pit. This allowed the Company to initiate mine-opening earlier and reduce future mining costs while eliminating surface disturbance from a separate gravel supply pit. Pumping equipment was installed to bring the production water well to operational status. In supplying water for the road project, US Oil Sands was able to concurrently execute an extended duration pump test of the deep aquifer. This three month test exceeded previous ground water model predictions and confirmed the supply capability of project water supply for future expansion. This water installation will now be used as a key part of the Phase 1 mining and extraction project.
On October 18, 2013, the Company closed an $81 million private equity financing, issuing 540,036,331 Common Shares at a price of $0.15 per Common Share. The price per share represented close to a 50% premium to the then market trading price of the Company’s shares. Following completion of the financing, and as at December 31, 2013, the Company had a total of 852,892,395 Common Shares outstanding on a non-diluted basis. The Company intends to use proceeds from the financing to complete the first phase of the commercial development of the PR Spring Project and to accelerate future production phases. Proceeds raised in excess of those required to fund the PR Spring Project will allow the Company to initiate corporate development activities that may include the acquisition of, or participation in, other oil sands assets.
In connection with the financing, Serafino Iacono, Ronald Pantin, Stephen Lehner, and Alfred Holcomb were appointed to the Company’s Board of Directors, joining continuing directors Ed Chwyl, Cameron Todd and Verne Johnson.
SUMMARY OF SELECTED 2013 FINANCIAL RESULTS
The following financial data was selected from the Company’s consolidated financial statements which have been prepared using the accounting policies under IFRS as issued by the International Accounting Standards Board.
| December 31 | 2013 | 2012 | 2011 |
| Total assets | 95,204,711 | 20,957,317 | 14,074,958 |
| Net loss | (7,747,681) | (4,396,126) | (3,993,101) |
| Total comprehensive loss | (6,849,989) | (4,608,059) | (3,857,128) |
| Cash used in operations | (4,980,923) | (3,548,596) | (2,445,410) |
| Loss per share – basic and diluted | (0.02) | (0.02) | (0.02) |
As at December 31, 2013, the Company had cash and cash equivalents of $77,582,389, net working capital of $77,267,313 and no commitments for capital expenditures. The Company intends to use its cash and cash equivalent balance to fulfill its current liabilities and fund its PR Spring Project. The Company has no bank debt or banking credit facilities in place.
SUBSEQUENT EVENTS
A former Director of the Company exercised 250,000 options at an exercise price of $0.115 per share on January 14, 2014. On January 16, 2014, 1,250,000 options with a weighted average exercise price of $0.154 that had been granted to former Directors expired.
OUTLOOK
For the remainder of 2014, US Oil Sands will continue to focus on site preparation and construction of the PR Spring Project, including final project engineering and procurement of necessary equipment and supplies. In keeping with these activities, management anticipates that the majority of off-site fabrication of the process extraction plant will be completed in 2014, with final field assembly and commercial start-up expected to occur in 2015.
As a part of its longer term strategic objectives, US Oil Sands intends to pursue additional opportunities both through exploration and acquisition of additional resource lands. Also as part of this strategy, management intends to further its regulatory application efforts on its Utah properties, to ensure a ready inventory of future mineable assets for the Company.
ABOUT US OIL SANDS INC.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Company including information relating to the use of proceeds of the Financing, the development and construction of the PR Spring Project, commencement of commercial production and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Jeremy Dietz 300 5th Ave. SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2833 [email protected] |
CALGARY, ALBERTA January 20, 2014– US Oil Sands Inc. ("US Oil Sands" or the "Company") (TSXV: USO), a company focused on oil sands exploration and production in Utah, is pleased to announce that it has selected Kellogg Brown & Root LLC (“KBR”) to provide project and construction management services for the Company’s PR Spring Project. Working jointly with US Oil Sands, KBR will work to bring both the extraction facilities and mine development into commercial production.
“Having KBR’s Salt Lake City team supporting our project adds tremendous reach to our current pool of expertise,” said Cameron Todd, CEO of US Oil Sands. “We will be able to draw on KBR’s significant oil sands, mining, equipment module and plant construction experience to ensure that budgets and timelines are tightly controlled and that the project is delivered in accordance with our shareholder’s expectations. We remain 100% committed to making this flagship oil sands project one that the State of Utah will be proud of, especially as it relates to environmental leadership, sustainable energy development, and beneficial economic contribution for the citizens of Utah.”
Having closed an $81 million financing in October 2013, the Company’s PR Spring Project is fully funded thereby allowing the Company to focus its immediate attention on project execution. In addition to aligning itself with one of the world’s most respected engineering firms to steward the project through to commercial commissioning and start-up, the Company has also been active in building out its internal capabilities. The Company will also seek to leverage the technical expertise of its directors, including Ronald Pantin of Pacific Rubiales Energy Corp. (TSX: PRE; BVC: PREC; BOVESPA: PREB) and Rod Lewis of Lewis Energy who sit on the Company’s Technical Committee.
US Oil Sands has recently opened an office in Salt Lake City from which process engineering, mine engineering, health safety and environment, and regulatory/government affairs will be conducted.
KBR is currently working closely with FLSmidth, one of the Company’s key process design and equipment suppliers. With the detailed engineering stage underway and the placement of long lead equipment orders imminent, both KBR and FLSmidth will work to ensure attainment of the Company’s mandate of best-in-class business and operating performance, and environmental outcomes. While significantly reducing capital cost, US Oil Sands’ innovative approach to oil sands development uses a non-toxic bio-solvent that eliminates the need for tailings ponds and facilitates concurrent and rapid mine reclamation. During this process, the Company believes its full scale production plant will achieve an industry leading 95% water-recycle ratio and a 96% oil extraction rate.
ABOUT US OIL SANDS LTD.
US Oil Sands is engaged in the exploration and development of oil sands properties and, through its wholly owned United States subsidiary US Oil Sands (Utah) Inc., has a 100% interest in bitumen leases covering 32,005 acres of land in Utah’s Uinta basin. The Company plans to develop its oil sands properties using its proprietary extraction process which uses a bio-solvent to extract bitumen from oil sands without the need for tailings ponds. The Company is in the pre-production stage, anticipating the commencement of bitumen production and sales in 2015.
The foregoing information contains forward-looking information relating to the future performance of the Company including information relating to the development and construction of the PR Spring Project, commencement of commercial production and corporate development activities. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the petroleum industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the oil and gas industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
Discovered bitumen resources or discovered bitumen initially-in-place is that quantity of bitumen that is estimated, as of a given date, to be contained in known accumulations on Company lands prior to production. There is no certainty that it will be commercially viable to produce any portion of the resources. Additional information relating to resource estimates is contained in the Company’s Statement of Resources Data and Other Oil and Gas Information for the year ended December 31, 2012 dated April 29, 2013 and available on SEDAR at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For additional information please contact:
| US Oil Sands Inc. Cameron Todd, CEO or Glen Snarr, President and CFO Suite 1600, 521 – 3rd Avenue SW Calgary, Alberta T2P 3T3 Tel: +1 403 233 9366 Email: [email protected] Website: www.usoilsandsinc.com |
Investor Relations Jeremy Dietz 300 - 5th Avenue SW, 10th Floor Calgary, Alberta T2P 3C4 Tel: +1 403 218 2833 Email: [email protected] |
