CIPMA Connection

September | 2019

MESSAGE FROM THE PRESIDENT JENNIFER STEWART

CIPMA MEMBER SPOTLIGHT MICHAUD PETROLEUM INC.

UPCOMING EVENTS EASTERN-BASED MEMBERS: NETWORKING DINNER ANNUAL GENERAL MEETING CANADIAN FUEL MARKETING CONFERENCE

NEWS UPDATES

FULL MEMBERS

ASSOCIATE MEMBERS

CONNECTION CONTENTS

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| MESSAGE FROM THE PRESIDENT

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| CIPMA MEMBER SPOTLIGHT | MICHAUD PETROLEUM INC.

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| UPCOMING EVENTS

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| ADVOCACY UPDATES

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| NEWS UPDATES

MISSION CIPMA’s mission is to ensure the sustainability and growth of a healthy and viable independent fuel marketing and distribution sector at both the wholesale and retail levels in Canada. Our specific goals include: Ensuring that independent fuel marketers thrive and have the opportunity to earn a fair and reasonable return that is proportionate to their business risk and capital investment, and ensuring that Canadian consumers and independent fuel marketers have access to a competitively priced and readily available supply of fuel products in all regions of the country.

MESSAGE FROM THE PRESIDENT JENNIFER STEWART | PRESIDENT & CEO

Dear CIPMA Members and Associate Members It is with great pleasure that I share this September edition of our Connection Magazine, with a spotlight on CIPMA member Michaud Petroleum, for your reading pleasure.

I would like to take this opportunity to extend a big thank you to all of the participants and sponsors of the annual Golf Challenge that took place earlier this month, it was another great day for the books.

We are gearing up for the Eastern Members Networking & Dinner event coming up in Halifax next week, I look forward to catching up with all of our members in the East.

Speaking of upcoming events, planning is well underway for the annual Canadian Fuel Marketing Conference, taking place in Montreal at the Fairmont Queen Elizabeth hotel from April 6 – 8, 2020. I encourage you to mark the dates in your calendar and reach out to Rita Molinari for any sponsorship-related inquiries.

On the advocacy front, the CIPMA team is busy tracking all relevant policy-related issues in the lead up to the October federal election and will be providing a post-election edition of the Advocacy Corner in next months’ publication.

Signing off, please do not hesitate to reach out on any concerns or additional issues that you may wish to review. My door is always open.

Sincerely,

Jennifer Stewart President and CEO Canadian Independent Petroleum Marketers Association Canadian Independent Petroleum Marketers Association | Connection 2019 |

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OUR SINCERE THANKS TO ALL WHO CAME OUT FOR ANOTHER SUCCESSFUL CIPMA GOLF CHALLENGE.

Canadian Independent Petroleum Marketers Association | Connection 2019 |

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Canadian Independent Petroleum Marketers Association | Connection 2019 |

HEADLINE SPONSORS:

EXCLUSIVE SPONSORS:

Canadian Independent Petroleum Marketers Association | Connection 2019 |

CIPMA MEMBER SPOTLIGHT MICHAUD PETROLEUM INC.

Q. With over half a century of experience in the distribution of lubricants and fuels, what are some of the key lessons to success learned over the years?

Despite the many lessons we’ve learned over the years, one of the several keys to success and simply the most important one, is serving our clients and customers like our own family. We always have someone to answer their calls because of our valuable 24-hour service. This is important especially in a day and age where major companies use call centres or direct their clients to automated voice messaging. We take pride in providing a personalized service the clients can interact with. Whether it be our sales, dispatch, accounting, or delivery team, a friendly service is ensured. We go out of our way to aid our clients if any issue or situation arises. We believe all these factors contribute to our distinguished and notable success.

Q. What makes Michaud Petroleum stand out from the competition?

Michaud Petroleum stands out in the industry, first and foremost, because of our personalized, attentive and distinctive services. We maintain competitive prices, quality products, and diversified services.

Michaud Petroleum Inc. operates service stations and C stores, cardlocks for the trucking industry, as well as a fleet of delivery vehicles, servicing both home and industry. We offer 24-hour emergency services for every client type as well as a wide variety of fuels, lubricants, storage systems, and monitoring devices to help our clients reach their energy needs while optimizing their time and supply. All this while offering Air Miles loyalty points, which are a valued asset to our clients. We are there when they need us. We are more than an oil company; we are part of the community.

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Q. What factors do you see as challenges for the sector, and how are you planning to address these hurdles?

Q. What are you most excited for in terms of the future of the organization?

We are always evolving as a business with new technologies to meet new demands and challenges for both fuel efficiencies and environmental regulations.

As well as iterating on our traditional fuel deliveries and services, we have innovative projects planned for 2020 that will transcend our company into new sectors and new fields. We are excited about a lot of new and advanced developments happening at Michaud Petroleum.

New innovations are always interesting and stimulating for Michaud Petroleum Inc. We are committed to following every trend of evolving technologies and innovations, as well as the continued stewardship of our environment.

We are in the process of acquiring more companies into our fold to compliment our operations and broaden our services.

We are always on the lookout for new innovations and how we can incorporate them into our business model and broaden our services. Michaud Petroleum prides itself on bringing modern technology to our clients.

“We are committed to offering traditional service while building on new technologies and innovations.�

Canadian Independent Petroleum Marketers Association | Connection 2019 |

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UPCOMING EVENTS CIPMA CONNECTION | 2019 EVENTS

EASTERN-BASED MEMBERS: NETWORKING DINNER Wednesday, October 9, 2019 | Halifax, NS Contact Rita Molinari for details

ANNUAL GENERAL MEETING Thursday, October 10, 2019 | Halifax, NS Contact Rita Molinari for details

CANADIAN FUEL MARKETING CONFERENCE April 6 – 8, 2020 | Montreal, QC Save the date

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ADVOCACY UPDATES Government advocacy is the main priority for the CIPMA team, and having a voice on important issues at the municipal, provincial and federal levels of government is one of the key reasons why Members join our organization. CIPMA Members receive quarterly updates on the association’s advocacy efforts, which are also posted on the Members Only section of cipma.org.

2019 | Canadian Independent Petroleum Marketers Association | Connection 2018

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NEWS UPDATES This section presents a series of media articles of interest to the sector. The headlines included below are taken directly from media sources and are not written by CIPMA or CIPMA team members.

GLOBAL

UK TO HALVE EMERGENCY PETROLEUM STOCKS AFTER NO-DEAL BREXIT The UK’s emergency petroleum stocks will more than halve in the event of a no-deal exit from the EU, reducing the buffer of strategic reserves available in the event of severe global supply disruption.

WHAT IS CAUSING CUBA’S ACUTE SHORTAGE OF FUEL? Long lines of drivers at gas stations in Cuba and hours of wait for public transport are signs of the impact of sanctions imposed by the United States this year on the Caribbean island and its main ally, oil producer Venezuela.

WHY ASIA’S BIGGEST ECONOMIES ARE BACKING HYDROGEN FUEL CELL CARS Japan, China and South Korea have set ambitious targets to put millions of hydrogen-powered vehicles on their roads by the end of the next decade at a cost of billions of dollars.

OIL PRICE SPIKE SET TO IMPROVE ETHANOL OUTLOOK IN BRAZIL A spike in oil prices following recent attacks on facilities in Saudi Arabia is expected to boost an already positive outlook for ethanol in Brazil, according to analysts and industry representatives, further relegating sugar to the background for mills that largely process ethanol.

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LARGE GROUPS INVESTING TO EXPAND ETHANOL CAPACITY IN BRAZIL -UNICA

EVEN DONALD TRUMP THINKS HE’S SPENDING TOO MUCH TIME ON ETHANOL

Large companies operating in the sugar and ethanol sector in Brazil are investing to expand capacity to produce the biofuel, due to the continuing strong local demand and low global sugar prices, said an executive from a leading industry group on Monday [September 16].

Global disputes over trade and nuclear weapons have consumed plenty of President Donald Trump’s time and attention -- but a narrow, domestic clash over U.S. biofuel policy may be giving those issues competition.

THE GREEN NEW DEAL HAS BEEN HANDED TO THE EU’S VICE PRESIDENT He may have lost his bid to become the EU’s next president, but Frans Timmermans has today [September 10] been given a task that’s no less challenging: implementing the European Green Deal, a package of policies largely based on that proposed by Democrats in the U.S., designed to reach a goal of an emissions-free EU by 2050.

ELECTRIC CAR OWNERS TO ‘CHOOSE’ ENGINE SOUNDS Owners of electric cars should be able to choose the noise their vehicle makes to alert pedestrians, says a US road safety body.

U.S. IMPORT PRICES FALL AS PETROLEUM, FOOD COSTS DECLINE U.S. import prices fell in August amid declines in the cost of petroleum products and food, suggesting imported inflation could remain subdued for a while.

THE SHIFT TO ELECTRIC VEHICLES PROPELS A STRIKE AGAINST GM When United Automobile Workers members walked off the job at 33 General Motors sites around the US on Sunday morning [September 15], perhaps the most … striking detail was that they only numbered 46,000. The last time the UAW’s GM workers went on strike, in 2007, they were 73,000 strong.

And that was a fraction of the 259,000 US hourly production workers GM employed in 1991.

NATIONAL UNITED STATES TRUMP AUTHORIZES RELEASE OF OIL FROM STRATEGIC PETROLEUM RESERVE AFTER SAUDI ATTACKS President Donald Trump said Sunday [September 15] he has authorized the release of oil from the U.S. strategic petroleum reserve after attacks on key production facilities in Saudi Arabia cut the kingdom’s crude production by half.

WHAT IS THE STRATEGIC PETROLEUM RESERVE? A weekend attack on major oil facilities in Saudi Arabia that cut the kingdom’s output in half prompted President Donald Trump on Sunday [September 15] to say he is prepared to tap the Strategic Petroleum Reserve “if needed” to keep energy prices and crude supplies stable. But what is the Strategic Petroleum Reserve, and would tapping it prevent a spike in U.S. gasoline prices?

METHANE RULES FOR OIL AND GAS SECTOR SPARK INNOVATION AROUND MEASUREMENT New technology and equipment emerging to help companies meet rules that start January 2020.

LEAVING CANADA’S OIL IN THE GROUND DOESN’T ONLY HURT THE ECONOMY — IT HURTS THE ENVIRONMENT, TOO OPINION: The environment is actually worse off by shifting production from Canada to countries that have lower environmental standards.

HOW DO THE MAIN PARTIES COMPARE ON THESE ISSUES? Read the policies and promises of the six main parties on this election’s pressing issues. These will be updated as parties add to their platforms ahead of the Oct. 21 election.

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CARBON PRICING AND CLIMATE PLEDGES, EXPLAINED: A LOOK AT WHERE THE PARTIES STAND All signs are pointing to climate change dominating debate on the campaign trail this fall — politicians are trading barbs on carbon taxes, emission targets and pipelines, while voters are hinting that the environment will be a critical factor on their October ballots.

FOSSIL-FUEL SUBSIDIES COULD BE CUT IN PLAN TO SLASH CORPORATE HANDOUTS, SCHEER CLARIFIES Conservative Leader Andrew Scheer said Friday [September 20] fossil-fuel subsidies could be cut as part of his plan to find $1.5 billion in savings from corporate handouts — just a few hours after suggesting he wouldn’t target them because the world and Canada need more Canadian oil and gas.

IT ALL ENDS. NO NEW PIPELINES, COAL, OIL OR GAS DRILLING WILL BE APPROVED BY GREENS The Green Party of Canada platform for this federal election, if implemented, would devastate Canada’s oilpatch to the point of eventual annihilation– like the entire oilsands within 16 years. No drilling, no new pipelines, and fracking to be banned.

WESTERN REGION ANDREW SCHEER VOWS TO ‘CHAMPION’ OIL AND GAS SECTOR DURING CALGARY CAMPAIGN STOP Conservative Leader Andrew Scheer brought echoes of Alberta’s provincial campaign to Calgary on Monday [September 16], promising “job No. 1” of a Conservative government would be repealing the federal carbon tax and vowing to scrap the contentious Bill C-69.

ALBERTA’S ELECTRIC VEHICLE OWNERS RALLY TO BOOST INTEREST Car enthusiasts gathered on Sunday [September 15] for the National Drive Electric Week event in Calgary — an event all about showing people that electric vehicles come in all shapes, sizes and price tags.

ELECTRIC VEHICLES CAN SOON POWER UP AT SOME B.C. GAS STATIONS Petroleum giant Petro-Canada is finishing work installing electric vehicle charging stations at select stations across the country.

B.C. GREENHOUSE GAS EMISSIONS NEAR 2007 LEVELS DESPITE CARBON TAX Carbon emissions in British Columbia in 2017 were only slightly below 2007 levels despite a long-running strategy to fight climate change that includes a carbon tax, new data shows.

ONTARIO / QUÉBEC REGION SECOND ALBERTA MAN TOLD TO REMOVE PROOIL AND GAS SHIRT DURING PARLIAMENT TOUR For the second time this month, a Calgary man was told to remove his “I love Canadian oil and gas” shirt while visiting Ottawa’s Parliament.

LAWSUIT SAYS FORCING GAS STATIONS TO DISPLAY ANTI-CARBON TAX STICKERS IS ILLEGAL An Ontario law forcing gas stations to display stickers showing the cost of federal carbon pricing is illegal and should be thrown out, a new lawsuit asserts. The unproven lawsuit from the Canadian Civil Liberties Association says the Federal Carbon Tax Transparency Act — dubbed the Sticker Act — violates free speech provisions of the Constitution.

ONTARIO JUDGE SETS $150 FINE FOR NOT POSTING ANTI-CARBON TAX STICKERS Government legislation calls for fine of $500/day for individuals to $10,000 for corporations.

ADHESIVE ON ONTARIO’S ANTI-CARBON GAS STATION STICKERS WON’T STICK AND DOUG FORD KNOWS IT Ontario Premier Doug Ford says the government’s provincewide campaign to criticize the federal carbon tax just isn’t sticking.

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HAMILTON RETAILER SENT MANDATORY ONTARIO GAS PUMP STICKERS EVEN THOUGH HE DOESN’T SELL GAS It’s been a bumpy start for legislation from Ontario’s Progressive Conservative government that orders gas station owners to display stickers attacking the federal carbon pricing plan.

ATLANTIC REGION NOVA SCOTIA ASKING FOR INPUT ON CARBON CREDIT OPPORTUNITIES Nova Scotia is looking for someone to study the potential in the province to generate carbon offset credits.

WHO ARE NEW BRUNSWICK PROUD, AND HOW ARE THEY HELPING THE CONSERVATIVES? To win over New Brunswickers with an anti-carbontax message, volunteers from a pro-Conservative group with a history of oil-industry support have been canvassing across the province for months.

Now, a Liberal MLA is accusing them of ‘unethical’ tactics in 2018’s provincial election.

IRVING OIL CAPTURES NAMING RIGHTS FOR SAINT JOHN FIELD HOUSE Irving Oil contributes $2 million to capital campaign for new centre.

WHEELS IN MOTION ON PROJECT USING SCRAP TIRES AS FUEL AT CEMENT PLANT Lafarge is burning tires as fuel during a 12-month pilot to reduce carbon emissions.

FEDERAL PLAN FOR SABLE ISLAND WILL PROTECT ECOSYSTEM, BUT WON’T TIGHTEN OFFSHORE OIL AND GAS RESTRICTIONS Ottawa has released the first management plan for Nova Scotia’s treasured Sable Island, with Environment Minister Catherine McKenna saying it will help preserve the national park’s sensitive ecosystem.

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We want to share the successes of our members.

If you want to feature your company’s recent achievements, updates, or simply want to be featured, please reach out to Jennifer Stewart at jstewart@cipma.org

Jennifer Stewart, President and CEO jstewart@cipma.org | Cell: 613.915.5699

Rita Molinari, CMP, Operations Manager rmolinari@cipma.org | Cell: 416.358.5207

MAILING ADDRESS | 3-1750 The Queensway, Suite 115 - Toronto, ON., M9C 5H5