The OTSG units are an integral part of the steam-assisted gravity drainage (SAGD) process being applied at Sunrise for the extraction of bitumen.

Sunrise is a SAGD oil sands project being constructed approximately 60 kms northeast of Fort McMurray in Alberta and operated by Husky Energy.

Upon completion of Phase 1 of the project, the facility is expected to produce approximately 60,000 barrels per day of bitumen.

Snamprogetti Canada is the prime contractor for engineering, procurement and construction of the central plant facility for Sunrise Phase 1 where the OTSGs will be used.

The OTSG contract will be executed by KTI’s engineering center in Houston, Texas, and final fabrication and assembly of the OTSGs will occur in Tofield, Alberta.

Final delivery and completion of these OTSG units is scheduled for the second half of 2012.