Corporate Development Model

AOS has a total of four oil sands projects and prospects, with the Clearwater Project in the most advanced stage of development. We believe our market valuation will move upward as the Company advances project development.

These steps include:

Moving from a raw asset to a delineated resource – We have accomplished this at Clearwater with extensive delineation drilling, and with reserve and contingent resource assignments;
Submitting development plans – We submitted the Clearwater Phase I Project application in January 2010 and a Project update in December 2010;
Monetizing non-core assets – We have sold our international interests and are in the process of selling conventional producing assets in western Canada;
Gaining approval for development projects – Clearwater Phase I Project is currently being reviewed by the ERCB;
Additional financing – A combination of debt and/or joint venture/partner financing is planned to raise the approximately $150 million needed to fund Clearwater Phase I until it begins generating cash flow;
Drill producing well pairs and construct facilities – Clearwater Phase I drilling and construction are planned to begin shortly after project approval; and
Bring on initial SAGD bitumen production – Clearwater Phase I production is forecast to be at 4,350 bopd.