1. STEELHEAD LNG LNG – THE RIGHT REACTION TO ASIAN DEMAND FOR CLEAN ENERGY

2. LNG  Proven, safe – 50+ year-old industry Plant 1,300 kilometers north of BC operating safely for 42 years 1969: First exports of LNG from Alaska to Japan now rejuvenated 80,000 voyages; 240 M kms. No serious incident LNG is: Colourless Odourless Non Toxic Non Explosive Non Flammable No residue if spill Alaska’s Kenai LNG plant Steelhead LNG/ 2

3. Air Quality

4. GHGs  Professor Muller, University of California Berkeley.

5. Demand 20102025  …and will nearly triple to 67 bcf/d in the next 15 years. Source: BMO Capital Markets, PIRA.  The LNG Market has grown from 0 to ~27 bcf/d over the last 45 years. Steelhead LNG/ 5

6. Supply  Demand will soon outstrip committed supply. Competition to fill 2025 demand is happening now. (mtpa) 4.8% CAGR Supply Gap: ~150 mtpa Source: BG Group. Steelhead LNG/ 6

7. Barriers destroyed  Upstream Resource & Expertise was a constraint…. Gas Reserves are everywhere now And expertise is available but scarce Gas Reserves are everywhere now And expertise is available but scarce Old Barrier New Reality Steelhead LNG/ 7

8. Largest LNG plant under construction in the world is…. … being built by a new entrant. Steelhead LNG/ 8

9. Competition Estimated Supply Costs (Regional) ME Expansion Nigeria LNG AB Expansion Iranian LNG Trin/Egypt/Yemen PB Expansions AB other greenfield Australia expansion Canada LNG US BF LNG FLNG East Africa LNG Australian GF LNG Venezuela LNG Russian LNG  Canadian projects are generally cost competitive relative to other greenfield global developments.  Each project needs to compete. Source: BMO Capital Markets, Street Research, Wood Mackenzie. Steelhead LNG/ 9

10. PROPOSED SITE: SARITA BAY 10  Deep water – no dredging  Easy access to Pacific  Excellent access by land  Naturally protected from tsunamis  Relatively flat  Protected from wind by surrounding mountains  Stewardship via FN partnership

11. Summary  Asian Energy demand is growing – especially clean energy:  Globally, 1 person dies every 10 seconds from poor air quality  LNG has 50% less GHG than coal – well/mine to market  LNG from BC is economically sustainable …. Just.  Hishuk tsawak – (everything is connected) Why are we taking so long to fix it?

12. Nigel.Kuzemko@steelheadLNG.com www.steelheadLNG.com Steelhead LNG/ 12