Page 2 COMMUNITY NEWSLETTER HEALTH SAFETY ENVIRONMENT & RECLAMATION SUMMER 2020 Pieridae is committed to following all the industry safety measures to maximize safety and minimize impact. No job is more important than protecting the safety and security of our employees, contractors, customers and neighbours. SAFETY BY DESIGN

The design of our facilities has - On-going safety and emer- - Our agreements with local been done with the utmost gency response training. We RCMP, Fire Department, safety in mind. Many of the maintain a high level of prepar- Search and Rescue and other safeguards we have in place edness by regularly conducting agencies ensure a coordinat- INTRODUCING PIERDIAE ENERGY LTD — PRODUCTION ASSETS make the possibility of an simulated emergency response ed response should an emer- emergency remote. drills and exercises. gency arise with our operations. In 2020, Pieridae was looking munities through public partici- negotiable values. We put these forward to meeting our pation, sponsoring local pro- values in action as part of the As a further precaution, we - Our Emergency Response We also have assisted in re- COMMITTED TO OPEN, neighbours in person by hosting jects, and conducting numerous way we operate by performing are prepared to protect pub- Plan (ERP) for all operations sponses to non-Pieridae related technical, environmental, and integrity checks and repairs that TRANSPARENT AND ON- Spring Open Houses in Waterton, lic safety and the environ- is in place and updated regular- emergencies such as forest Jumping Pound and the Caroline social impact studies. We bol- you will find highlighted in this ment in the following ways: ly. The ERP outlines what we fires or floods. GOING COMMUNICATION areas. We were disappointed that ster these efforts through the issue. Our people are dedicated will do in case of a gas release, this could not happen due to the designated Community Liaisons to making Pieridae Energy an - Our wells and pipelines are fire, explosion, hazardous ma- WITH STAKEHOLDERS exemplary corporate citizen with impacts of COVID-19. While this that serve in the Foothills as- equipped with emergency terial spill, transportation acci- local communities, First Nation WHERE WE OPERATE. cannot replace the value of an in- sets. shutdown systems that can dent or other potential emer- communities, regulators and person introduction, we hope that be controlled manually at the gency, in conjunction with re- you find the following newsletter Commitment to the environment government. Our policies reflect  IN PERSON wellsite or from our plant con- spective municipal emergency to be informative and something is one of our core non- these strong values. trol room. services.  VIRTUAL to look forward to in years to come.  PRINT PEOPLE ENVIRONMENT We are Canada's only Map of operating areas stretch- All Sour Gas Plants are regulat- - Monitoring for wastewater Other environmentally regulated wholly owned, fully inde- ing from NEBC through the pendent, integrated LNG ENVIRONMENT ed under an Environmental Pro- and surface water runoff work we do: company. Our flagship Foothills down to Pincher tection and Enhancement Act treatment and treated dis- ASSETS - Annual weed control and vegeta- initiative, the multi-billion Creek / Waterton. Approval, which involves regu- charge. tion management program– spray- Goldboro LNG Project in Northern Production is outlined WILL STAY lated monitoring for the environ- Nova Scotia, is shovel in yellow and Southern Produc- ment. This includes: - Continuous air monitoring ing, weed picking, mowing and bio- logical controls. ready. With the purchase tion outlined in red. SAFE for SO2 emissions, and ambi- of the Shell Canada Al- - Routine soil monitoring and ent air quality near the plants Inside this issue: - Fugitive emissions testing and berta Foothills Assets, management for operational soil for SO2, H2S and wind. Mon- repairs as per regulations. we have acquired low- impacts and sulphur dust. itoring and reporting on flare 1 cost Alberta gas re- volumes to the Alberta Ener- - Water diversion – reporting and PIERIDAE ENERGY - Annual groundwater and serves to supply the gy Regulator (AER) management of freshwater usage, facility and will use a low surface water monitoring for the site and surrounding area. - Leak detection monitoring treated return. HEALTH, SAFETY & 2 cost of capital to build the LNG terminal and for our facilities’ wastewater - Interim reclamation – meeting ENVIRONMENT gas production base. - Working with Shell Legacy and surface runoff ponds. with groundwater treatment local Alberta parks or landowner 4 The LNG export site requested criteria for re-seeding LEADERSHIP AT SITE system operation. gives Pieridae conven- and restoration of operational pipe- ient access to interna- line ROW’s and leases. tional markets at half the 6 BUSINESS ACTIVITY 2020 distance from U.S. Gulf RECLAMATION Coast exports. We main- Pieridae will be working to re- - Reclamation work will pro- Drilling Waste Disposal facility tain strong community, claim sites as per the Alberta gress on field sites depending (DWDF) located at the Waterton COMMUNITY & SOCIAL 7 labour and First Nations reclamation criteria for wellsite's on the stage from Phase I & II Plant, as well as a few wellsites INVESTMENT support for the project. and associated facilities. site investigations, remedia- across all assets currently requir- FINANCE & LNG 8 Community vitality and tion, detailed site assessments ing detailed site assessments to environmental steward- - Pieridae has a reclamation to reclamation applications. compare soil, vegetation and ship are central concerns team currently reviewing/ landscape parameters to the of Pieridae Energy. We assessing and prioritizing the - Pieridae is currently working surrounding area. believe in involving com- non-operational sites for recla- towards final closure of the mation. Page 3 Page 4 HEALTH SAFETY & ENVIRONMENT YOUR AREA LEADERSHIP

PIERIDAE NORTHERN PRODUCTION STRETCHING FROM NEBC TO CREMONA

NEW AUTOMATIC EMERGENCY RESPONSE & NOTIFICATION SYSTEM FAMILIAR FACES — CAROLINE TO CREMONA Community and stakeholder engagement are be to contact and notify residents within of paramount importance to Pieridae Energy. specified regulated radius of either emergen- Mark Weiss — Interim Operations Manager and Superintendent, Northern Foothills. Born and raised in the Sundre community, Mark has We have recently instituted an Emergency cy zones or operational public notification over 20 years of operating and supervisory experience in the oil and gas and Public Notification call out system that is zones. The notifications will come in 3 industry. Primarily his role has been the Operations Superintendent for the designed to reach residents within the emer- forms, email, text, or phone call (land line Pieridae northern region which extends from Caroline to northeastern B.C. gency plan zones for Pieridae’s operations, and or cell). This does not replace the Com- Recently, Mark was assigned as the interim Operations Manager for the focusing on safety, emergency response, munity Liaison nor the ability to contact the same area. Keeping his family tradition alive, Mark also raises beef cattle in public and good neighbour notifications. Community Liaison via phone or email. the area. We successfully tested this system in May of Full implementation is planned for the fall of 2020 where we performed an emergency re- 2020 which will include an information pack- sponse notification exercise that initiated call age sent to all residents and landowners outs to selected residents across Pieridae’s within the emergency response planning David Kolesnick — Plant Superintendent, Shantz Sulphur Forming Facility. David has worked in the gas and sulphur business for 35 years foothills assets. Going forward, the goal is to zones of our operations. in operations and projects groups. This year he is celebrating 10 years of use this system to increase safety, communi- 2020 LAUNCH OF leading the local operating team as the Shantz superintendent. His wife If you are interested in more information and two daughters enjoy spending time with him coaching basketball or cation and good neighbour notifications, while LATEST IN LOCAL AND building efficiencies around notification timing about this system, please contact your local seeking adventure in their travels. Community Liaison found in this issue. and records. The basis of the system would TECHNOLOGY TO COMMUNITY CONTUNUE MEMBERS KEEPING PEOPLE, FIRST MEET THE LEGACY (IKKUMA) FOREMEN ENVIRONMENT NEBC TO ROCKY MOUNTAIN HOUSE AND ASSETS SAFE Trevor Prenevost — Production Team Lead, Rocky Mountain House area. Trevor started working in oil and gas directly out of high school and has worked in the operations of the Rocky Mountain Foothills field for over twenty years. He spent six of these years as an operations trainer prior to signing on with Ikkuma Resources, then transferring to Pieridae. Throughout the years, he has developed a significant amount of knowledge in the opera- tions and maintenance of this region’s wells and facilities. For Trevor, ensur- ing the safety of the public and protection of the environment while operating is a top. He looks forward to participating in Pieridae’s future as a safe, environmentally friendly, profitable business.

Josh Storle — Production Foreman, Grande Cache/Hinton and NEBC. Josh was born and raised in southeast Saskatchewan where farming was a big part of his life. In 1999, he began his career in the oil and gas industry working as a summer student for a drilling mud company. Since then, he has developed invaluable experience working for various producers and service companies across three provinces. He settled in northern Alberta and has been in the area since 2006. Page 5 Page 6 YOUR AREA LEADERSHIP BUSINESS ACTIVITY FOR 2020 LEGACY / CAROLINE / SHANTZ For the Legacy assets in and Shantz facilities there while the pipeline is shut the Rocky Mountain House, will be maintenance and down. PIERIDAE SOUTHERN PRODUCTION Grand Cache/Hinton and repairs made along the COCHRANE TO PINCHER CREEK NEBC areas, Pieridae will Liquid Sulphur Pipeline. If you have any further continue with well and pro- This work will commence questions regarding this duction optimization and no in the fall of 2020. There project, please contact major changes to existing will be a slight increase in Community Relations at Kent Busby — Operations Manager, Southern Foothills. Born and raised in infrastructure. truck traffic for the trans- 403-722-7049. Rocky Mountain House, Kent enjoyed growing up on a cattle farm. In addition portation of the Sulphur to farming, his parents owned a construction company – giving him the oppor- For the Caroline Complex from Caroline to Shantz tunity to run heavy equipment early in his working career. This helped him gain invaluable experiences with many different oil companies throughout central Alberta. His experience as a contractor took him across the four western prov- JUMPING POUND inces where he was able to learn from different management and leadership Safety and asset reliability between our Junction B the roads during this time styles. His hands-on experience prepared him for his role as Operations Man- and maintain that contrac- ager and he is honored to be part of such a highly skilled operations team. is always top of mind with facility and Junction A loca- operation of the Jumping tion at the plant site. All tors, Pieridae employees Pound Gas Plant. Pieridae turnaround activity will oc- and additional workers will LOCAL AND focuses on regular mainte- cur on the existing pipeline follow Pieridae’s good neighbor practices for road nance programs, inline right of ways, on the well- COMMUNITY pipeline inspection pro- site and the plant leases. safety and courteous diving Conrad Kenny — Production Superintendent, Jumping Pound. Conrad grams, compressor safety in and around the commu- has worked in the oil and gas industry for 17 years and has been at the MEMBERS testing, soil sampling, wa- The turnaround pre-work is nity. Jumping Pound complex for more than 15 years in various operations roles. MAINTENANCE, ter testing, weed manage- scheduled for August 4 He has called the town of Cochrane home for the last 12 years, beginning a For the post turnaround FIRST ment, pipeline segment through September 4 and family with his wife and establishing roots for their children. They love the SAFETY AND work from September 28 replacement, air monitor- will require approximately area as it provides a great sense of community and great opportunities for through October 16, we will ing, and regular major and 20-25 extra workers on their kids. In their free time they enjoy camping, boating, and spending time FIELD have 20 extra workers on with family and the many great friends they have made in the community over minor plant turnarounds. site. During the turnaround site for clean-up. the years. OPTIMIZATION project execution, the day For 2020, we have a partial shift complement will in- If you have any further turnaround scheduled for crease to 110 on site day questions regarding this September 8-25 focusing shift and 90 for night project, please contact on the plant, two compres- shift. We anticipate there Community Relations at sor stations and a line dig will be additional traffic on 403-463-5753. Darrell Archibald — Production Superintendent, Waterton. Darrell joined the Waterton Team in 2014 as the Field Supervisor and took over as the Site Super- WATERTON intendent in 2018. Darrell has worked in the Foothills and the sour gas industry for 15 years. After completing a degree in Chemical Engineering from the Uni- To ensure our pipelines and pipelines. All construction The WAT-35 line dig is versity of Alberta, Darrell moved to Calgary for work. He began visiting family and infrastructure continue to will occur on the existing scheduled to commence vacationing in the Pincher Creek area. Darrell and his wife Lindy were excited deliver natural gas reliably, pipeline right of ways and July 6, 2020 and continue when an opportunity came up to move to the Pincher Creek area, join the team Pieridae will be replacing on the wellsite lease. Pieri- for 10-14 days, followed by at the Waterton Complex, and raise their family in this great community. existing segments of pipe- dae’s assessment of the the Waterton-59 line dig line to improve its capacity, pipeline highlighted the expected to begin July reliability, and safety. Our need for integrity improve- 27,2020 and continue for project involves replacing a ment , and segment re- 30 days. If you have any total of 70m from WAT-35 placement was the best further questions regarding to JCT-W (Yarrow Canyon) solution to maintain integri- this project, please contact and 190m from WAT-59 to ty and reduce disruption to Community Relations at WAT-64 (two kilometers landowners and the envi- 403-627-7282. south of the Plant) with new ronment. 4 inch and 6-inch diameter Page 7 Page 8 COMMUNITY & SOCIAL INVESTMENT FINANCIALS AND LNG UPDATE Over the past few months, the Community Liaisons have been working closely with their communities to support charitable organiza- tions and initiatives. When the effects of COVID-19 began to hit the areas around us, Pieridae created a relief fund for local communi- 2019 ANNUAL, Q1 2020 FINANCIAL RESULTS & THE TSX ties to assist with the resources they may need to keep community members safe and healthy. We supported many organizations and invested the relief fund those who have been stressed by this crisis. Some of the communities supported include Pincher Creek, Following strong Q4 2019 and strong operational perfor- create good-paying, middle- Crowsnest Pass, Lundbreck, Cowley, Beaver Mines, Stoney Nakoda, Cochrane, and Caroline. GIVE US YOUR FEEDBACK! year-end results, the company mance and positive hedging class jobs across the country; recorded another solid quarter strategy helped insulate us and opens up new energy In addition to Pieridae’s support through the relief fund, we have the Community & Social Investment (CSI) Program that local commu- financially. Revenue, adjusted from the current harsh reali- trade routes to get sustainably nity impact benefit organizations can apply to. To date, we have invested over half of the Northern and Southern Foothills production In our commitment to a higher funds flow from operations, and ties. -produced Canadian natural CSI budget to not-for-profit organizations in the communities. Some of the organizations include Greenwood Neighborhood Place, net operating income all in- “With a number of global LNG gas to global markets,” con- Aspen Ranch Education camp, Cochrane Activettes, Stoney Nakoda Food Banks, Pincher Ag Society, Plain Eagle Arts and Crafts. standard of communication, we creased substantially compared projects either being cancelled cluded Sorensen. This will remain one of the ways we continue to support the health and well-being of our communities where we live and work. “We would like to hear your thoughts on to Q1 2019. or delayed, now is the time for could not do this without businesses like yours and your employees who care so much and want to help.", says Kathy Tucker, Chair- Canada to seize the oppor- These financial results also person, Cochrane Activettes Food Bank. what is relevant to you regarding “We continue to see the benefits tunity to enter into this industry contributed to the success of our business. Reach out to your of last fall’s Foothills asset ac- at a time when others are exit- Pieridae Energy graduating to Community Member Engagement: We understand our stakeholders in the community have an interest in knowing how our business quisition, with Pieridae record- ing. Our Goldboro LNG Pro- the TSX! This achievement operations and plans could potentially affect them. Pieridae is committed to being a good neighbor through ongoing dialogue with local Community Liaison (featured ing strong financial results in ject is sound and supports the milestone was celebrated na- stakeholders and will seek appropriate ways to contribute to the well-being of the communities in proximity of our operations and in this issue) or contact us using spite of very challenging market fundamental principles of First tionally when Pieridae virtually planned future developments. conditions,” said Pieridae’s Nations reconciliation; inter- opened the market on Thurs- the information below. Chief Executive Officer, Alfred locks with the goals of the day, June 4, 2020. A signifi- Pieridae will also continue participation in synergy groups like Waterton Advisory Group (WAG) and Sundre Petroleum Operators Sorensen. “Once again, our Paris Climate Accord; would cant step in more successes Group (SPOG) as part of our engagement with interested stakeholders on our current operations and future developments. Contact to come. your local Community Liaison for more information. GOLDBORO LNG — UPDATE PIERIDAE ENERGY WATERTON—403-627-7282 The TSX announcement comes We recently announced our main the gas supply needed, when 3100, 308-4th Avenue SW as Pieridae continues to deliver customer, Uniper Global Com- developed, for Goldboro’s Kali Larson — Community Liaison, Waterton. Born and raised on a small ranch in the Pincher Calgary, Alberta on its goals, including the trans- modities, has agreed to extend Train 1. Creek area, she started her career in oil and gas at the Waterton Gas Plant in 2008. In 2011, she trans- T2P 0H7 formational South Alberta Foot- key deadlines including making a ferred to the Jumping Pound Gas Plant where she spent 7 years working closely with Operations, analyz- hills assets acquisition that final investment decision on the We will continue to work ing maintenance data, vendor management, production marketing and leading continuous improvement [email protected] closed last fall. The immediate through these unprecedented impact of growing production, Goldboro LNG facility by June 30, initiatives. When the Community Liaison position opened at the Waterton Gas Plant in January of 2019, increased sales of natural gas 2021. times with COVID and will she jumped at the opportunity to work back in the area where she called home. In her free time, you will liquids, and the growth in third- remain focused on doing our either find her on the back of a horse, barrel racing, spending time with family and friends, boating and “Poised to be the first Canadian party processing revenue thanks To date, the project remains solid part to help the Canadian travelling. company to market LNG off the to our midstream assets were with many key elements in place: economy. East Coast to the world" fully evident in our solid Q4 2019 the majority of key permits, confir- JUMPING POUND—403-463-5753 and Q1 2020 results. mation of eligibility in principle of an untied loan guarantee of up to Colin Anton — Community Liaison, Jumping Pound. Colin grew up in the farm community, on and Find us on the Web: Our flagship Goldboro LNG Pro- US$4.5 billion from the German off reserve just outside the town of Lac La Biche. Prior to starting his career in the energy sector, he earned Pieridaeenergy.com ject continues to move forward. Government, and the majority of a degree in Economics. He later completed a Human Resource Designation and a Master of Business Ad- ministration. Before joining Pieridae Energy in 2019, Colin spent 15 years working with various companies in global energy, heavy and synthetic oil, international pipelines, renewables and community and Indige- nous relations. Colin joined the Jumping Pound Gas Plant team in 2016, in the role of Community Liaison and continues to look forward to working with this historic gas asset and its many valued residents and stakeholders. Colin is the proud father of two amazing children, enjoys giving back to the community, learn- ing about cultures, spending time with family, and seeing as much of the world as possible. LEGACY / CAROLINE / SHANTZ—403-722-7049 Thalia Aspeslet — Community Liaison, Legacy/Caroline/Shantz. Born and raised in Grimshaw/ Peace River Alberta, she grew up in the heart of the northern oil and gas development of the province. In 2005, after her son was born, she moved to Calgary to further her education. After completing a Bachelor of Science in Geophysics, she spent the early years of her career interpreting and processing seismic data. In 2015, she switched gears to learn about stakeholder engagement and in 2018 became the Community Liai- son for the Caroline complex. After living in the city for the better part of her adulthood, she realized how much she missed the small town community life. Everyone who lives and works in the communities she serves have been incredibly kind and welcoming. In a sense, she has been welcomed home and in return is passionate about honoring, building and maintaining the relationship between community and operations.