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Important Notice

Forward-looking Information

Certain statements contained in this presentation contain forward-looking statements within the meaning of ‎the U.S. and Canadian securities laws. Words such as “may,” “would,” “could,” “should,” “potential,” “will,” ‎‎“seek,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “expect” and similar expressions as they relate to ‎the Company, are ‎intended to identify forward-looking information. Readers are cautioned that there is no certainty that it will ‎be commercially viable to produce any portion of the resources. All statements other than ‎statements of historical fact may be forward-looking information. Such statements reflect the Company’s ‎current views and intentions with respect to future events, based on information available to the Company, ‎and are subject to certain risks, uncertainties and assumptions, including, without limitation, the ability of the Company to finance expansion and the technology producing as expected. Material factors or assumptions were applied ‎in providing forward-looking information.

 

‎While forward-looking statements are based on data, assumptions and analyses that the Company believes ‎are reasonable under the circumstances, whether actual results, performance or developments will meet the ‎Company’s expectations and predictions depends on a number of risks and uncertainties that could cause the ‎actual results, performance and financial condition of the Company to differ materially from its expectations. ‎Certain of the “risk factors” that could cause actual results to differ materially from the Company’s forward-‎looking statements in this presentation include, without limitation: the ability of the Company to commission the sand separation and the clean sand production processes and the fluid and sediment extraction equipment immediately; the ability of the Company virtually eliminate the need of introducing abrasive sand into its centrifuges by the addition of new vibrating separation; the ability of the Company to use these upgrades to reduce its maintenance costs greatly over the long term; uncertainties inherent in the estimation of ‎resources, including whether any reserves will ever be attributed to the Company’s properties; since the Company’s extraction technology is proprietary, is not widely used in the industry, and has not been used in ‎consistent commercial production, the Company’s bitumen resources are classified as a contingent resource because ‎they are not currently considered to be commercially recoverable; full scale commercial production may engender ‎public opposition; the Company cannot be certain that any bitumen resources will be economically ‎producible and thus cannot be classified as proved or probable reserves in accordance with applicable securities laws‎; changes in laws ‎or regulations; the ability to implement business strategies or to pursue business opportunities, whether for ‎economic or other reasons; status of the world oil markets, oil prices and price volatility; oil pricing; state of ‎capital markets and the ability of the Company to raise capital; litigation; the commercial and economic ‎viability of the Company’s oil sands hydrocarbon extraction technology, and other proprietary technologies ‎developed or licensed by the Company or its subsidiaries, which currently are of an experimental nature and have not been ‎used at full capacity for an extended period of time; reliance on suppliers, contractors, consultants and key ‎personnel; the ability of the Company to maintain its mineral lease holdings; potential failure of the Company’s ‎business plans or model; the nature of oil and gas production and oil sands mining, extraction and production; ‎uncertainties in exploration and drilling for oil, gas and other hydrocarbon-bearing substances; unanticipated ‎costs and expenses, availability of financing and other capital; potential damage to or destruction of property, ‎loss of life and environmental damage; risks associated with compliance with environmental protection laws ‎and regulations; uninsurable or uninsured risks; potential conflicts of interest of officers and directors; risks related to COVID-19 including various recommendations, ‎orders and measures of ‎‎governmental authorities to try to limit the pandemic, including travel restrictions, border ‎closures, ‎‎non-essential business closures, quarantines, self-isolations, shelters-in-place and social ‎distancing, ‎‎disruptions to markets, economic activity, financing, supply chains and sales channels, ‎and a ‎deterioration of general ‎economic conditions including a possible national or global ‎recession; and other general economic, market and ‎business conditions and factors, including the risk factors discussed or referred to in the Company’s disclosure ‎documents, filed with United States Securities and Exchange Commission and available at ‎www.sec.gov (including, ‎without limitation, its most recent annual report on Form 10-K ‎under the Securities Exchange Act of 1934, as ‎amended), and with the securities ‎regulatory authorities in certain provinces of Canada and available at ‎www.sedar.com.‎

 

Should any factor affect the Company in an unexpected manner, or should assumptions underlying the ‎forward-looking information prove incorrect, the actual results or events may differ materially from the results ‎or events predicted. Any such forward-looking information is expressly qualified in its entirety by this ‎cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or ‎completeness of such forward-looking information. The forward-looking information included in this presentation is made as of the date of this presentation, and the Company undertakes no obligation to publicly ‎update or revise any forward-looking information, other than as required by applicable law.‎

 

Non-GAAP Measure

Throughout this presentation, Petroteq uses the term netback to analyze financial and operational ‎‎performance. This non-GAAP measure does not have any standardized meaning prescribed under IFRS ‎‎and, therefore, may not be ‎comparable to similar measures presented by other issuers.‎ ‎‎"Netback" is ‎‎calculated using [commodity sales from production, excluding realized gains and ‎‎losses on commodity ‎‎risk management contracts, less royalties, operating and transportation expenses, ‎‎calculated on a per ‎‎stock tank barrel basis]. Management believes that netback is a key ‎industry benchmark and a measure ‎‎of performance for Petroteq that provides investors with information that is commonly used by other oil ‎‎and gas producers, however, such measure is not a reliable indicator of Petroteq's future performance ‎‎and future performance may not compare to the ‎performance in previous periods‎.‎