1. Sarnia-Lambton Investment Overview June 2013

2. What many people think of Sarnia

3. But there is so much more!

4. First North American commercial oil well (Oil Springs 1858) Invention, fabrication and export of oil industry equipment to the world. Imperial Oil start-up in Petrolia (1880) and built first refinery. 1942 Polymer Corp. built to supply synthetic rubber for the war effort. Brief Sarnia-Lambton Petrochemical History

5. Sarnia-Lambton, Ontario, Canada Located on the Ontario- Michigan border, at the southern tip of Lake Huron.

6. Sarnia-Lambton is comprised of eleven municipalities, which make up the County of Lambton. The largest and most well known municipality is the City of Sarnia. County population 126,200 Labour force 82,875 Labour force within 60 mile radius, 315,000 Estimated unemployment rate 8.6% (April 2013) Michigan USA Sarnia-Lambtons Municipalities

7. Sarnia-Lambton is located at the major commercial border crossing of Sarnia/Point Edward Ontario & Port Huron Michigan. Dedicated car and truck lanes for Free and Secure Trade (F.A.S.T.) and Nexus programs. Sombra Ferry Additional crossing Sarnia-Lambton is within 1 day drive to 65% of the U.S. market as well as major Ontario and Quebec markets. Transportation - Highway Photo Trucks entering Canada at Point Edward, Sarnia- Lambton

8. RAIL - St. Clair CN rail tunnel links Ontario and Michigan, carrying more freight than any other U.S. Canada border rail crossing WATER - Surrounded by water, including the St. Lawrence Seaway system, Sarnia-Lambton is home to an international grain terminal as well as ship fuelling facilities AIR Locally, Chris Hadfield Airport has direct flights to Toronto and within one hour from Sarnia is the Detroit International Airport and London International Airport. Transportation Rail, Water and Air Photo service vehicle enters CN rail tunnel, Sarnia Photo ship at Sydney Smith Dock, Sarnia

9. Sarnia-Lambtons Energy Infrastructure Lambton Generating Station 950 MW TransAlta Energy Corporation 506 MW Co-generation facility Greenfield Energy 1,005 MW St. Clair Energy Centre 577 MW Solar farms - Enbridge 80 MW / NextEra 2 x 20 MW Rooftop / Standalone Solar FIT projects Wind - Sky Generation 16.5 MW, Forest Co-op, IPC, Suncor Union Gas Dawn Natural Gas Storage complex (largest natural gas storage facility in Canada) Natural Gas, Oil and Hydrogen Pipeline Infrastructure

10. Sarnia-Lambtons Other Infrastructure Pipeline Infrastructure, feedstocks and support industries for industrial processing applications Underground salt caverns for energy storage and gas storage Access to water from the St. Clair River and Lake Huron Lambton Area Water Supply (LAWS) distributing water to many municipalities in Lambton County with a capacity of 181,844 m/day. Extensive telecommunications infrastructure including cable, DSL, fibre to the home / premise throughout Lambton County. Access to high-speed Internet exceeds 85% both in urban and rural areas.

11. Sarnia-Lambtons Available Labour Force County Population 126,200 Labour force 82,875 Large number of engineers and skilled trades Within 60 mile radius, 315,000 Estimated unemployment rate 8.6% (April 2013) Low employee turnover and abstention Construction safety record 25 times better than the Provincial average

12. Regional Educational Facilities Ontario, Canada: Lambton College Western University Sarnia-Lambton Research Park Fanshawe College Ridgetown College (branch campus University of Guelph) University of Windsor University of Waterloo Michigan, USA Baker College St. Clair College Michigan State Wayne State University

13. Sarnia-Lambtons Manufacturing Infrastructure Over 50 machining and fabrication firms Over 30 engineering, process control and technical services firms Large craning and transportation moving equipment Sterling, Cooper Access to large lay down areas Rail car servicing

14. Sarnia-Lambtons Strategic Direction Information Technology / Health Care Advanced Manufacturing / Automotive Cleantech Develop External Energy Markets Refining and Chemicals Bio-economy Agriculture / Food Processing

15. Sarnia-Lambton Agriculture / Biomass

16. Agriculture A Key Economic Sector Second largest economic sector approximately 2,400 farms in Lambton County Annual farm revenues of $500 million, 589,407 acres (238,542 hectares) of farmland Traditional focus Commodity crops (beans, corn and wheat) Livestock (beef and dairy cattle, poultry, pigs) Largest Ontario region for soy bean production Specialty crops include: onions, potatoes, sugar beets, cabbage, celery, bell peppers, as well as many varieties of fruits / vegetables Other agricultural products including herbs, alpaca wool, honey & mead, maple syrup, apple cider and wine.

17. Lambton County and Food Processing Opportunities Situated in the agricultural heartland of southern Ontario with plentiful supply of high quality raw product inputs and water Ontario's largest acreages of soybeans Other specialty crops (potatoes, varieties of fruits / vegetables Wide range of livestock, including beef and dairy cattle, pigs and poultry Good accessibility to both domestic and international consumer markets Large quantities of readily available water necessary for food production Abundant reliable source of electricity and natural gas Sizeable tracts of serviced industrial land at competitive prices Research and education facilities

18. Lambton County Agricultural Innovation - Envirofresh Farms and CF Industries 23 acre greenhouse facility located at CF Industries Captures waste heat and CO2 (carbon dioxide) from an adjacent nitrogen fertilizer manufacturing complex (CF Industries) Uses 10Mw per hour of waste industrial heat and approximately 160 tonnes of CO2 per day produced by CF Industries Grows red, yellow and orange peppers First greenhouse project in North America to operate without the normal use of fossil fuels.

19. Canadas Bioindustrial Innovation Centre Multi-million dollar project located at the Western University Sarnia-Lambton Research Park Photo Artists concept Canadas Bioindustrial Innovation Centre, The Research Park, Sarnia-Lambton Campus

20. 80% of Ontario soybeans and corn within 200km Sarnia-Lambton Biohybrid Chemistry Cluster Companies 20 Fossil Based: Air Products CF Industries DuPont Enbridge Ethyl Corp. Imperial Oil LANXESS NOVA Chemicals Ontario Power Generation Pembina Plains Midstream Praxair Royal Dutch Shell Styrolution Suncor TransAlta Energy Bio / Renewable Based: BioAmber Cargill Enbridge Greenfield Ethanol Methes Energy KmX Suncor Ethanol Woodland Biofuels Sarnia- Lambton

21. Biohybrid Chemical Complex

22. Examples of Biohybrid Chemical Complex Investments Woodland Biofuels - $800,000 FedDev investment in pilot plant producing cellulosic ethanol from wood, grasses or other biomass BioAmber - $125M plant uses sugar from corn to produce bio- based succinic acid used in a variety of products, including plasticizers, automotive parts, disposable cutlery and cosmetics KmX pilot plant to produce membranes in the biofuel production process

23. Petrochemical and Refining Significant North American petrochemical and refining centre Employment of 4,500 in 36 related facilities Significant producer of chemicals, plastics, synthetic rubber and variety of oil-based products for North American and off-shore markets Established multi-nationals include: Air Products; Plains Midstream Canada; Cabot Carbon; CF Industries; DuPont; Exxon-Mobil; Styrolution; LANXESS; NOVA Chemicals; Praxair; Royal Dutch Shell; Suncor Energy Photo NOVA Corunna Site

24. Petrochemical and Refining NOVA 2020 Projects Eastern Region Phase 1 - Conversion of Corunna ethylene cracker to utilize up to 100% NGLs $250 Capital Investment currently underway Completion early 2014 Phase 2 Feasibility studies and engineering work on additional projects Expansion of Corunna cracker by up to 40% supporting a proposed world scale polyethylene (PE) facility Decisions to proceed throughout 2013 Anticipated start-up of projects between late 2014 and 2017

25. Petrochemical and Refining Shell Canada Great Lakes Corridor LNG Project Shell to establish natural gas liquefaction unit at Sarnia Manufacturing Centre in Township of St. Clair Annual capacity of 250,000 tons Will provide LNG fuel to all five Great Lakes, their bordering U.S. states and Canadian provinces and the St. Lawrence Seaway Primary market is marine traffic as well as trucks and trains Production to begin 2016

26. Energy Markets - Enbridge Sarnia Solar Project 80 MW completed in 2010 One of the largest Photovoltaic solar plants in the world Generates enough green power to meet the needs of more than 12,000 homes

27. Recent New Energy Storage and Generation Projects Greenfield South Power Plant Natural Gas Powered NRStor 2MW flywheel at Lambton Generating Station first commercial energy storage project Bluewater Power - Bio-generator demo converting hydrogen to electricity while actually consuming CO2 from the atmosphere. AVE atmospheric vortex engine scale-up funded by Paypall co-founder Peter Thiel producing energy from waste heat.

28. Lambton Countys Advanced Manufacturing and Automotive Industry Autotube Auto cooling and oil tubing (GM, Ford, Chrysler) Armtec Ltd. - high-density polyethylene construction products Intertec Instrumentation Ltd. - custom field instrumentation shelters, cabinets and enclosures for the petrochemical industry Penta TMR agricultural equipment manufacturing Waterville TG extruded rubber seals for the auto industry Lamperd Less Lethal design and manufacture civil defense equipment

29. Manufacturing and Service Infrastructure Sarnia-Lambtons large metal fabrication and service sector serves Sarnia-Lambtons chemical and manufacturing industries and companies export their services world-wide.

30. . Sarnia-Lambton Industrial Alliance Fabricators, machine shops, engineering companies and environmental service companies SLIA is a not-for-profit group to jointly seek out new markets for the skills, products and services that exist in Sarnia-Lambton Over 40 member companies working together One project is production of large modules for refineries Just completed a large module transportation study including analysis of deep water harbour access on the St. Clair River.

31. . Sarnia-Lambton Information Technology Industry Local Lambton College trained ICT graduates as well as close proximity to Western, Waterloo and Windsor Universities. Internet infrastructure through multiple providers even in rural areas as well as close proximity to main fibre corridor between Toronto and Chicago via St. Clair Railway Tunnel Close proximity to Detroit airport and the US border for easy access to US and international destinations. Competitive Power Rates and stable power supplies from gas, wind, and solar as well as lower co-generation rates Moderate summer temperatures and cool winter temperatures - 8500 Hours of FREE cooling for data centres Close to Lake Huron and St. Clair river for water cooling cost savings for data centres Stable weather environment with Low Seismic, Flood and Hurricane Risk Competitive corporate tax rates and access to R&D grants for digital media companies.

32. . Sarnia-Lambtons ICT Company Projects HomeTrak http://hometrak.com/ developed system to support home care workers Pipeintel http://www.pipeintel.com/ system developed to manage all the information related to complex pipelines Link2Feed http://www.link2feed.ca/ - Foodbank management software IMAP Audits http://www.imapaudits.com/ - Audit process and software for supporting energy and safety audits for industrial applications

33. Shovel-Ready Sites LANXESS Bluewater Energy Park

34. Internationally Competitive Business Environment Competitive Labour Costs Competitive Utilities Lowest Corporate Taxes in North America Canada is ranked 8th in the world for best taxation policies (2013 PWC Paying Taxes Survey) Property tax savings of 30% to 80% or more than GTA

35. Sarnia-Lambtons competitive housing costs Photo waterfront condominiums, Village of Point Edward Sarnia housing prices are very affordable 2 bedroom rental $801 (CMHC Fall 2012) Average residential sale price: $184,166 (Sarnia-Lambton Real Estate Board December 2012) Houses, condos, and apartments are available on the St. Clair River and Lake Huron waterfronts Sarnia-Lambtons picturesque rural areas provide room for hobby farms as well as large agricultural operations

36. Sarnia-Lambtons Amenities Sarnia-Lambton a great place to live and play with all the amenities of big city living with small town friendliness Over 40 miles of beautiful freshwater beaches 60 recreational parks and conservation areas as well as the 6,000 ac. Pinery Provincial Park The best recreational boating experiences on Lake Huron and the St. Clair river.

37. Sarnia-Lambtons Entertainment Opportunities RBC Centre 4,500 seat sports and entertainment complex, home of the Sarnia Sting OHL team. Home to many festivals and events OLG Casino Point Edward and Hiawatha Horse Park and Entertainment Centre Local live theatre venues include the Imperial Theatre and Victoria Playhouse New home to the Judith & Norman ALIX Art Gallery (opening 2012)

38. High Quality of Life = High Productivity of workforce Less Lateness and Absenteeism Easy commuting distances and times Less severe weather lake effect Less stress because of more affordable housing choices and recreational amenities Smaller schools without big city problems Excellent labour management relations across Lambton County

39. Contacts: Geoff Greening Market Development Consultant geoff@sarnialambton.on.ca George Mallay General Manager mallay@sarnialambton.on.ca 1-800-972-7642 www.sarnialambton.on.ca