Enhanced JetShear and ARP Demonstration

The positive field demonstration of JetShear has led Fractal Systems and its partner, with funding from the SDTC, to an expansion of the current technology platform to further increase diluent displacement and to further reduce acidity (Total Acid Number or TAN) via a proprietary technology called Acid Reduction Process (“ARP”). The Facility processed over 225,000 barrels of partially-diluted bitumen achieving rates of up to 51% diluent displacement with the acid content (Total Acid Number or “TAN”) of the diluted bitumen (“Dilbit”) reduced by at least 60% to well below a TAN level equal to 1 mgKOH/g (one milligram of potassium hydroxide (KOH) per gram of oil sample).