1. TARBLASTER PRESENTENTION OF TARBLASTER AND ITS TECHNOLOGY FOR ”DRY” RECOVERY OF OIL FROM OIL SAND

2. Incorporated by 70 shareholders from Norway, Sweden, Germany, Switzerland, USA and Canada Number of issued shares 10.000.000 CEO Olav Ellingsen (www.industrikontakt.com)www.industrikontakt.com The company subcontract its other needs such as accounting, auditing, financial advisors and legal assistance from case to case. Board of Directors: Lawyer Morten Borch, Oslo Marketing investigator Bjarte S. Ellingsen, Oslo Bankier Fritz T. Wegmann, Switzerland PhD geologist Gemma Keany, Bergen Engineer Olav Ellingsen, Florø TARBLASTER AS

3. DIFFERENT QUALITIES OF OIL SOURCESAPI (*) Light conventional oil:31-45 Medium heavy oil: 22-30 Heavy oil: 10-22 Extra heavy oil<10 Bitumen - oil from Tar sand after extraction 8-12 In addition huge amounts of oil shale containing non liquid hydro carbons. After extraction of the shale oil, it will have an API of about 25-30 API. (*) American Petroleum Institute measure of specific gravity. In general: As lighter oil as higher API.

4. CRUDE OIL PRICES VSV API (*) API 8API 12API 25API 40API 38 (*) American Petroleum Institute measure of specific gravity. In general: As lighter oil as higher API. Prices pr 30. aug-2007

5. STEPS TO INCREASE VALUE OF TAR SAND (*) Blending Cost (adding light oil) Upgrading API 10-12API 20-22API 45-49 $14 $28 (*) Source: Corporate presentation Syneco.com Oil Price

6.  Conventional oil reserves and new discoveries (supply) to replace them are rapidly declining  Global demand for the supply and production of oil will continue to increase despite lower replacement of reserves  Heavy oil will increasingly need to be processed (upgraded) into synthetic crude to replace shrinking conventional supply Source: Office of Naval Petroleum and Oil Shale Reserves; U.S. Dept of Energy Source: EIA and Raymond James Estimates & Analysis GLOBAL CONVENTIAL OIL SUPPLIES AND DEMAND MARKET AND DEMAND MARKET

7. TAR SAND Natural occurring deposits of a mixture of heavy oil and sand Natural occurring deposits of a mixture of heavy oil and sand World’s greatest deposits (85%) in Alberta, Canada World’s greatest deposits (85%) in Alberta, Canada 10% < 75 m depth, surface mining 10% < 75 m depth, surface mining

8. LOCATION OF CANADA TAR SAND DEPOSITS

9. STATISTIC FOR TAR SAND IN ALBERTA, CANADA Total volume in place 1,7-2,5 trillion barrels Total recoverable (probable)335 billion barrels Surface mining proven reserves 35 billion barrels Other methods proven reserves 98 billion barrels Present production1,1 million bbl/day Projected production 20102,0 million bbl/day Projected production 20154,0 million bbl/day (*) Tar sand moved per bbl2,0 ton Water consumption per bbl 430 liter (if no recycling) Number of leases in Alberta2.800 (*) At this production level it will take about 100 years to empty the proven reserves

10. OIL SAND MINING In oil sands mining, a mix of oil and sand is removed from just below the surface using trucks and shovels.

11. PROBLEMS CONNECTED EXISTING TECHNOLOGY  High consumption of water (40 million liter pr 100.000 barrels of oil produced)  Water polluted with small amount of oil and fines  High level of energy consumption – Natural gas main energy source  High output of CO2 emission  Huge capital investments  Heavy oil which must be upgraded or mixed with light oil prior to refining

12. FLOW DIAGRAMEXISTING EXTRACTION TECHNOLOGY

13. UPGRADING/CRACKING EXISTING EXTRACTION TECHNOLOGY The extracted oil is upgraded to a synthetic crude prior to refining

15. TEST UNIT Test unit under construction at SINTEF, Trondheim

16. THE BENEFITS OF THE TARBLASTER TECHNOLOGY Low energy consumption Self-sustained with energy by combustion of low value energy (the most heavy part of the oil) Reduced CO2 emission No water consumption Extraction and upgrading oil sand in one operation Reduce capital investments about 80% Easy to scale up Increased value of oil by: Increased API FROM 8 to 25 (*) Reduce sulphur and metal content (*) Proved API 18, but believe it will be possible to reach API 25 by an add on process

17. EXPECTED RESULTS MATERIALINITIAL API UPGRADED API COMMENTS Atabasca tar sand (bitumen) 8-1018-251 w% coke in tailings Temperature 350- 400 C Pressure 1,1 bar Sulphur reduction 50-60% Metal reduction 90- 95%

18. TARBLASTER LOGISTICS

19. COPARISON PAYBACK TIME (1) Synenco (2) TarBlaster Investments (3):8 400 000 000USDInvestments (4):375 000 000USD Capacity pr day114 500BarrelsCapacity pr day50 000Barrels Capacity pr year41 220 000BarrelsCapacity pr year18 000 000Barrels Oil price API 4572USDOil price API 2550USD Blending price-14USDBlending price0USD Net sale price58USDNet sale price50USD Gross cash flow pr year2 390 760 000USDGross cash flow pr year900 000 000USD Gross year of payback3,5YearsGross year of payback0,4Years (1) On a gross level meaning not included operational- and financial cost or tax (2) Source: presentation on Synenco.com (3) Reduce with USD 2,3 billion in assumed one time payment of land lease (4) Included investment in fuel trucks and front loaders (USD 100 mill)

20. NET PAYBACK TIME TARBLASTER 50-GREEN FIELD Investments (1): 375 000 000USD Capacity pr day50 000Barrels Capacity pr year18 000 000Barrels Oil price API 2550USD Cost pr barrel (2) -20USD Tax 25%-7,5USD Net sale price22,5USD Net cash flow pr year405 000 000USD Net year of payback0,9Years (1)Included investment of USD 100 mill in fuel trucks and front loaders and USD 50 other mining facilities. (2)Included USD 1,25 pr barrel in license fee to Tarblaster AS and USD 2 pr barrel in land lease

21. NET PAYBACK TIME TARBLASTER 10-ADD ON (1) Investments : 44 000 000USD Capacity pr day10 000Barrels Capacity pr year3 600 000Barrels Oil price API 2550USD Cost pr barrel (2) -10USD Tax 25%-10USD Net sale price30USD Net cash flow pr year108 000 000USD Net year of payback0,4Years (1) All other necessaryinfrastructure in place. (1) All other necessary infrastructure in place. (2) Included USD 1,25 pr barrel in license fee to Tarblaster AS

22. POTENTIAL INCOME FOR TARBLASTER If we assume: An oil producer will pay and build a 50.000 unit for it’s own risk Tarblaster AS receive a % in license fee based on gross improved value of the oil created by the unit % of gross value creation (*)1 %3 %5 % USD pr barrel:0,250,751,25 Income per year in million USD:3,811,318,8 Income per year in million NOK:21,965,8109,7 (*) 300 days of operation per year, API rise from 10 to 25 and the gross value of oil rise from 25 to 50

23. BUSINESS IDEA Tarblaster’s mission is to develop, refine and commercialize a revolutionary and highly beneficial technology, which offers substantial economic benefits to clients engaged in the extraction of oil from oil sand and oil shale. Income will be based on: 1. License income from licensors. 2. Licenses and sale of R&D results and new findings.

24. GOALS Create substantial economical profit for the owners with in 3 years Build a low cost test unit that proves the concept Show scalability of TarBlaster Make commercial deals with large international oil producers and/or oil service companies

25. STRATEGY Tarblaster AS will have a small and efficient organisation, and will outsource functions when needed. The technology will be licensed or sold at the point when it gives optimal pay back for the shareholders. Tarblaster AS will have a small and efficient organisation, and will outsource functions when needed. The technology will be licensed or sold at the point when it gives optimal pay back for the shareholders.

26. BUDGET 2007 AND 2008 (IN 1000 NOK) 2 0072 008Total 1 OPERATING COSTS 1.1 Company operation1 0482 5803 628 1.2 Production and testing1 6001 0002 600 Total expenses2 6483 5806 228 3 FINANCING 3.1 Tax funn grants 530 3.2 Innovation Norway4001 0001 400 3.3 Equity share issue5 000 Total5 4001 5306 930

27. The budget for 2007and 2008 is planned to be financed by a share issue of max. 1.000.000 shares (10% of existing shares) at a share price of NOK 5,-. Additional capital required will be sought by a combination of public grants and share issues at prices recommended by our financial advisors. SHARE ISSUES

28. EXIT/SHAREHOLDER EARNINGS Sale of the entire company. Sale of the entire company. Sale of the IP rights for one of the applicable markets. Sale of the IP rights for one of the applicable markets. Listing on the SMB-list in Oslo. Listing on the SMB-list in Oslo. Licensing of the technology to different markets, dividend to the shareholders. Licensing of the technology to different markets, dividend to the shareholders.