2. Forward Looking Statements
Certain information set forth in this presentation, including management's assessment of future plans and
operations, contains forward-looking statements. By their nature, forward-looking statements are subject to
numerous risks and uncertainties, some of which are beyond our control. Those risks include, without
limitation, the effect of general economic conditions, risks associated with the oil and gas industry and
commercializing environmental technologies and services, loss of markets, industry conditions and
competition, volatility of commodity prices, currency fluctuations, environmental risks, competition from other
industry participants, the ability to access qualified personnel and field services, decisions by regulators and
the ability to access sufficient capital from internal and external sources. Readers are cautioned not to place
undue reliance on the forward-looking statements as the assumptions used in the preparation of such
information, although considered reasonable at the time of preparation, may prove to be imprecise and actual
results, performance or achievements could materially differ from those expressed or implied in such forward-
looking statements and accordingly, no assurance can be given that any of the events anticipated by forward-
looking statements will transpire or occur, or if any of them do so, what benefit Ridgeline Energy Services Inc.
will derive therefrom.
2
3. Company Overview
Ridgeline is an energy services technology company focused on providing water treatment
solutions to the oil and gas industry
• Has developed a commercially proven proprietary technology that efficiently treats contaminated water
generated by oil and gas producers and commercial waste water
• Primarily targeting produce and frack flowback water, additional targets are the chemical flood, and oil
sands water treatment markets.
• Solves client issues in sourcing water, storing water and dealing with waste water on site while cutting
costs and dealing with environmental concerns
• Positioning to be the leading oil and gas industry water treatment company in North America as the need
for water and environmental concerns grow
• Also has profitable Environmental and Greenfill divisions
Issued and Outstanding 61,452,837
Warrants 15,498,211 $ 6,749,307
Options 5,132,504 $ 1,478,837
Fully Diluted 82,083,552
Water Technology Acquisition 34,581,743
Total 116,665,295 $ 8,228,144
Insider ownership (post water technology acquisition) - 55%
Institutional ownership approximately 15-20% - Including Stephens Investment Management, a long fund, based on fundamental research
3
4. Industry Demand
• The North American oil and gas industry is seeing an increasing use
of water-intensive production methods to extract reserves
• Shale Oil & Natural Gas Fracturing
Fracking involves stimulating a well bore using high pressure water laced with highly
corrosive salts, carcinogens and radioactive elements
If not managed or treated appropriately, the produced water can end up in surface
or groundwater systems and contaminate land, drinking water and waterways
The cost of water to frac wells has put pressure on the industry to find a solution so
that the water can be re-used for multiple frac stages
Water related costs to the producer include purchasing and hauling freshwater,
hauling process water to disposal wells, and disposal fees
• Oil Sands
Through SAGD extraction, water creates steam used to heat raw, thick bitumen for
extraction and processing
For every barrel of bitumen, between two and four barrels of fresh water are
required to extract the bitumen from the sand
Creates huge, long life (30-40 year) toxic tailings ponds estimated to contain over
1 trillion m3 of toxic liquids
Industry to meet new environmental standards and directives
4
5. Frac Market Opportunity
Fracking and Produced Water Market
• The oil industry produces 2.5 times more water than oil
• By 2025 it will be producing 5 times more water than oil
• Handling produced water is a tremendous growth market but the real opportunity is in
treatment
• Recycling produced water turns a waste into a valuable asset
• In 2007 the oil and gas industry in the United States used approximately 21 billion barrels of
water to frack oil and gas wells of which 97% is related to onshore production (1)
US Shale Gas Production
• Produced water is the largest volume
4.5
waste stream in oil and gas
4.0
3.5
production
3.0
Eagle Ford
Marcellus
• USA produced water
2.5 Haynesville
21 Billion bbl /yr
TCF
Woodford
2.0
Fayetteville Approximately 57 million bbl /day or
1.5 Barnett
1.0 Antrim 333 million m3/year or 913,000 m3/day (1)
0.5
0.0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 (1) Clark, C.E., and J.A. Veil, 2009, Produced Water Volumes and Management Practices in the United States,
ANL/EVS/R-09/1
*Source: EIA, Richard Newell (Lipman Consulting) 5
6. Chemical Flood and
Oil Sands Market Opportunity
Oil Sands Market Mature Fine Tailings Volumes
• According to company submissions,
volume of FFT/MFT* will grow 30% from
843 million m3 in 2010 to over 1.1 billion
m3 in 2020. By 2065, the volume of
tailings will still be over 1.1 billion
• SAGD and Chemical Floods use millions
of cubic meters of water per year that
can be re-used and recycled
* refers to volumes stored in ponds
Source: AltaCorp Capital –Company Reports, CAPP, AltaCorp Estimates Source: ERCB
6
7. Economic Opportunity
Ridgeline owns and operates the treatment assets 2000M3/DAY CORE UNIT
• Volume-based treatment fees provide recurring revenue Annual volume M3/year 700,000
streams.
Revenue $ 3,180,799
• Fees to be determined by water quality, volumes, and the
water product as determined by the client. $/m3 $ 4.54
Produce and Frack Flowback Water Costs $ (1,296,959)
• Ridgeline feels it can capture a significant portion of the Earnings before tax $ 1,883,845
produce and frack flowback water market within three to Depreciation (5 years) $ (401,996)
EBIT $ 1,481,848
four years
Chemical Flood and Oil Sands – Mining and SAGD Alberta Tax Rate 26.5% $ (392,689)
Earnings after tax $ 1,089,160
• Chemical flood to improve oil recovery has the potential for
significant water treatment volumes. Depreciation (5 years) $ 401,996
• Significant opportunity to recover hydrocarbons in tailings
to markedly offset treatment costs After tax Cash flow $ 1,491,156
Capital Cost $ (2,009,982)
Payback (Years) 1.3
Internal Rate of return (5 years) 69%
7
8. The Technology
• Developed by Dennis Danzik the inventor of the proprietary electro-catalytic process effectively treats
large quantities and multiple types of oil and gas exploration and production wastewater
• “Cracks” water at a sub-molecular level allowing “targeting” of reagents and mechanical processes to
reduce suspended and dissolved solids, chlorides, dissolved gases, and other harmful contaminates
• Benefits include very low energy consumption, high continuous flow rates, and can extract usable
hydrocarbons
Reactor at start Reaction to completion Extracted hydrocarbon
Barrels of test water
(100% process value) (97% reusable) (3%)
8
9. Competing Technologies
Effectiveness Productivity Cost Efficiency Process
Heavy Metals Chlorides TDS Energy Solids Fuel Treatment Capital Modular Continuous
Removal Removal Removal Consumption Disposal Recovery Costs Costs Process Process
Electro-Coagulation
Evaporation/
Distillation
Cavitation
Reverse Osmosis
Ridgeline
Electro-Catalytic
Weak Excellent
9
Vapex
10. Energy Consumption
kW Per Energy Gallons Barrels m3 Cost Per Cost Per Cost Per
3
Hour kW Per Day Cost (Daily) Produced Produced Produced Gallon Barrel m
Electrocatalytic 120 2,880 $202 500,000 11,905 1,894 $0.000 $0.02 $0.11
Electrocoagulation 3,225 77,400 $5,418 500,000 11,905 1,894 $0.011 $0.46 $2.86
Evaporation 2,423 58,152 $4,071 500,000 11,905 1,894 $0.008 $0.34 $2.15
kW Consumption per Hour Cost of Energy Consumed
$3,500 $3.50
3,225
Total Daily Energy Consumption (kW per Hour)
$3,000 $3.00 $2.86
2,423 $2.50
$2,500
$2.15
$2.00
Cost of Energy
$2,000
$1.50
$1,500
$1.00
$1,000
$0.46
$0.50 $0.34
$500 $0.11
$0.00 $0.02 $0.01 $0.01
120 $0.00
$0 Electrocatalytic Electrocoagulation Evaporation
Electrocatalytic Electrocoagulation Evaporation Cost Per Gallon Cost Per Barrel Cost Per m3
10
11. Leonard Shale, New Mexico
Analytical Results
Average Reduction
200000
Average Results (mg/L)
150000
100000
50000
0
TDS TSS Chloride Barium
Parameters
Average Baseline Average Endpoint
Average Barium Reduction Average TSS Reduction
0.4 2000
Average Results (mg/L)
Average Results (mg/L)
0.2 1000
0 0
Barium TSS
Average Baseline Average Endpoint Average Baseline Average Endpoint
11
12. Commercial Development
Commercial installations in and under construction
1. Gas shale produce and frack water treatment, Horn River Shale, B.C.
1) Oil shale produce and frack water treatment, Leonard Shale, New Mexico and Texas
2) Polymer flood enhanced recovery crude oil process water treatment, Brintnell oil field,
northern Alberta
Development agreements
1) Chemical flood, produce and frack water treatment oil shale Waskada area of
southwestern Manitoba
2) Commercial/industrial waste water treatment, Los Angeles CA.
12
13. Mobile Development Lab
• Waste water and material evaluation unit that is transportable to site
• Scientifically characterizes a wide variety of water sources for treatment, reuse, and
recycling, as well as enhanced hydrocarbon recovery; develops water treatments
that meet customer needs
• Water treatment capability and quality can be determined during real-time
operations
13
14. Milestones
Announces Commissioning
Built first
Independent Successful Acquisition of first
Development of Mobile
Laboratory Trials of IP from Commercial
Technology Development
Verification Completed Danzik system in Horn
Laboratory
Hydrological River
2005- 2009 January 2010 June 2010 October 2010 April 2011 June 2011
Install first
Signed Development Commercial
Install first commercial
agreement to agreement to Install for Fracking
commercial installation
install MDL install system Production Oil Sands
installation in for polymer
Los Angeles, in Waskada Water units Industrial
Texas flood
CA Manitoba Texas
recovery
September 2011 September 2011 September 2011 October 2011 December 2011
14
15. Targeted Customers
Ridgeline has done work for over 40 oil and gas companies
Conventional & Unconventional Oil & Gas Companies
Oil Sands Companies
15
16. Ridgeline Environment
• Offers complete environmental solutions
for oil and natural gas producers:
Site assessments (Phase I/II/III, EIA,
water/wetland/biological, soils, etc.)
Implementation & project management
of site remediation / reclamation programs
Services a range of upstream, mid-stream,
& downstream producers
• 90 employees – deployed with approximately 40 current clients
• Provides $11+ million annual revenue run rate with 30% - 40% gross margins
• Business continues expansion – year over year
16
17. Ridgeline Greenfill
• Solution for O&G customers to transform contaminated soil into safe landfill cover
Existing landfills are ideal disposal sites for non-hazardous oilfield waste treatment
hydrology, soil type, gradient)
Bacteria and microorganisms break down hydrocarbons into CO2 and water
Bioremediation and mechanical treatment takes place within bio-cells
After treatment, these soils meet unconditional land usage criteria
• Approximately 70,000+ O&G sites in Alberta
in need of treatment
• O&G producers benefit from lower
transportation costs & reduction of liability
Conventional methods involve storing at
approved Class 2 landfills with expensive
trucking/disposal costs, and retention of
liability by producer
17
18. Management Team
Tony Ker, CEO & Director – Over 25 years of experience building & operating companies in natural
resources & manufacturing sectors in N.A. Leading and developing management teams that support
growth and continuity in the organization. Back ground in Forest Products, Manufacturing, Printing,
start up of Junior resource companies, experience at dealing in an international environment.
Dennis M. Danzik, Business Development / Commercial Installations – Mr. Danzik is an engineer by
profession and the Inventor of the water treatment and distributed energy technology. Dennis is a
noted and published expert in polyolefin design and application. Has twenty eight years experience in
Scientific Investigation, Financial and Technical Presentations. U.S. Defense contractor (retired). Mr.
Danzik has twenty six years of patent experience, with U.S. and foreign patents issued. MIT Alumni
[Sloan] and Member MIT Product Development Group.
Tyler Heathcote, President, Director – Oversees all business units of RLE, including Ridgeline
Environment Inc., Ridgeline Water Inc., and Ridgeline GreenFill Inc. Owned and operated companies in
the energy services sector for over 20 years.
James Yeager, Chief Financial Officer – Mr. Yeager brings over 30 year’s experience in senior
management positions in finance and accounting with both public and private companies. Mr. Yeager
has held the position of CFO in multiple publicly listed companies managing yearly revenues into the
hundred's of millions. His experience with rapidly growing companies is well suited to manage the
expected growth in all of Ridgelines business divisions.
18
19. Board of Directors
Douglas Johnson, Chairman – Over 30 years of experience in the financing of public & private
companies. Since 1982, Mr. Johnson has been President and Chief Executive Officer of Canfund
Ventures Corp.
Brian Straub, Director – Recently retired as President, Shell Canada Limited and Canada Country Chair,
Royal Dutch Shell. Over 32 years of diverse Canadian and global oil & gas experience, his previous
executive responsibilities have included oil sands, exploration & production, major construction and
technology development/application.
Kelly Sledz, Director – Chartered accountant with a background in the oil & gas industry. Past positions
include acting as an auditor for KPMG and Deloite Touche before acting as Controller, and VP of Finance
for public oil and gas exploration companies. Mr. Sledz brings a unique blend of public company
experience, oil & gas industry knowledge, and financial acumen to the company.
Robert Raymond, Director – Over 25 years of business and management experience. Extensive
experience building business units, intricate knowledge of the insurance business and negotiations.
Tony Ker, Director – See Management
Tyler Heathcote, Director – See Management
19
20. Investment Highlights
Established energy services business with tier 1 customer base serving oil and gas
industry—provides stable revenue and cash flow to fund growth initiatives
Large and growing market in Oil and Gas and Industrial waste water treatments
Disruptive technology to cost effectively treat large volumes of wastewater (including
frac and process water) from the oil and gas industry
Water management system that solves waste water problems in an expanding and
vital marketplace
Renewable Energy technology not yet in forecasts
Profitable with solid balance sheet and clean capital structure
20
21. Thank You.
Ridgeline Energy Services Inc.
Company Contact: Investor Relations:
Ridgeline Energy Services, Inc. Crescendo Communications, LLC
Ryan Johnson David Waldman, Klea Theoharis
Corporate Development
Tel: (604) 566-8066 ext 2 Tel: (212) 671-1020
Email: rjohnson@ridgelinecanada.com Email: rle@crescendo-ir.com