FRACTAL SYSTEMS INC Information

Fractal Systems Inc. is a venture-backed Canadian technology company focused on the advancement of innovative technology solutions for partially upgrading heavy oil and bitumen. Fractal's technologies will enable oil sands companies to reduce their environmental impact while realizing significant operating and transportation cost advantages over existing upgrading alternatives. Fractal's current technology platform includes JetShear, EJS and Acid Reduction Process ("ARP"), which have concluded field testing and are ready for commercial deployment with oil producers and midstream companies. Fractal has offices in Calgary, Alberta and a lab facility in Sherbrooke, Quebec. In 2013, Fractal entered into technology and testing agreements with Cenovus Energy Inc. ("Cenovus"), resulting in diluted bitumen testing at Fractal's 1,000 bpd JetShear demonstration facility. In 2015, Sustainable Development Technology Canada ("SDTC") awarded Fractal and Cenovus $3.7 million of funding to conduct field trials of the newly-developed EJS and ARP technologies. This facility underwent a retrofit and expansion and the expanded facility operated from late August 2016 through August 2017. This facility processed over 225,000 barrels of partially-diluted bitumen produced at Cenovus' SAGD operations. The facility achieved approximately 50% diluent displacement and reduced the total acidity number ("TAN") and olefinic content of the product to exceed industry quality thresholds. In February of 2019, Fractal announced that it had been awarded funding of $7.2 million from SDTC and $5.0 million from Emissions Reduction Alberta to support the development of the EJS Regional Hub project. In March 2019 Fractal announced that it signed a non-binding term sheet with Cenovus to provide long-term supply to the EJS Regional Hub Project.