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Investor Presentation | May 2013
FORWARD LOOKING INFORMATION
This presentation contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements")
within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements.
Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "could", "believe", "plan", "intend", "objective",
"continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words, including negatives thereof, suggesting future
outcomes. In particular, this presentation contains forward-looking statements relating to: future growth; results of operations; operational and financial
performance; projected capital expenditures and commitments and the financing thereof; expansion; increases in revenue; equipment delivery and deployment
dates; effect of rebranding; geographic allocation of equipment; customer commitments; ability to establish a working relationship with third party suppliers;
expectations regarding the Corporation's ability to raise capital and to increase its equipment fleet; benefits associated with financial results; activity levels; business
strategy; successful integration of structural changes; restructuring plans; organic growth potential; acquisitions and availability of insurance coverage. Aveda
believes the expectations reflected in such forward-looking statements are reasonable as of the date hereof but no assurance can be given that these expectations
will prove to be correct and such forward-looking statements should not be unduly relied upon.
Various material factors and assumptions are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking statements.
Those material factors and assumptions are based on information currently available to Aveda, including information obtained from third party industry analysts and
other third party sources. In some instances, material assumptions and material factors are presented elsewhere in this presentation in connection with the
forward-looking statements. Readers are cautioned that the following list of material factors and assumptions is not exhaustive. Specific material factors and
assumptions include, but are not limited to:
• the performance of Aveda’s businesses, including current business and economic trends;
• oil and natural gas commodity prices and production levels;
• capital expenditure programs and other expenditures by Aveda and its customers:
• the ability of Aveda to retain and hire qualified personnel;
• the ability of Aveda to obtain parts, consumables, equipment, technology, and supplies in a timely manner to carry out its activities;
• the ability of Aveda to maintain good working relationships with key suppliers;
• the ability of Aveda to market its services successfully to existing and new customers;
• the ability of Aveda to obtain timely financing on acceptable terms;
• currency exchange and interest rates;
• risks associated with foreign operations;
• changes under governmental regulatory regimes and tax, environmental and other laws in Canada and the United States; and
• a stable competitive environment.
Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties, some of which are described herein. Such
forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Aveda’s actual performance and financial results in
future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and
uncertainties include, but are not limited to, the risks identified by Aveda’s annual information form and management discussion and analysis for the year ended
December 31, 2012 (the "MD&A") and contained herein under the heading "Risk Factors". Any forward-looking statements are made as of the date hereof and,
except as required by law, Aveda assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise. 2
Oilfield Hauling Oilfield Rentals
 Matting
 Tanks
 Light towers
 Rig moving
 Heavy hauling
 Hot shot services
 Aveda Transportation and Energy Services (“Aveda” or the “Company”) is a growing provider of specialized oilfield
hauling and rentals to the US and Western Canadian oil and gas industry
 Aveda was founded in 1994, went public in 2006 and was recapitalized in 2011
 The Company is well positioned to take advantage of attractive organic and acquisition growth opportunities
throughout North America
 Multiple cross-over business opportunities achieved through oilfield hauling and rental business units
COMPANY OVERVIEW
3
Management
David Werklund – Executive Chairman
 Has been the Chairman of Aveda since 2006 and served as Interim
President and CEO of Aveda from September 2011 to November
2012. Appointed as Executive Chairman in November 2012
 Began career in 1965 at Shell Canada as a Production Operator
 Founder and Chairman of the Board of Directors of CCS
Corporation (now Tervita Corporation)
 Co-Founder of Concord Well Servicing
 Founder & Executive Chairman of Werklund Capital Corporation
 The 2005 Ernst & Young's Canadian Entrepreneur of the Year
Kevin Roycraft - President and CEO
 Joined Aveda in November 2012
 More than 20 year of Transportation Industry Experience
 Former Vice-President of Operations for Liquid Transport Corp
(one of North America’s largest bulk chemical and oil
transportation company)
Bharat Mahajan – Vice-President, Finance & CFO
 Joined Aveda in October 2011
 Held several positions with Magna International overseeing
various international growth initiatives
 Former CFO of several oilfield service companies, including
Wellpoint Systems Inc. and Norex Exploration Services Inc.
Board Members
Martin Cheyne
 Has more than 25 years of diversified oil and gas experience
 Founder of DeeThree Exploration Ltd.
 Former President and Director of Dual Exploration Inc. and Devlan
Exploration Inc.; both purchased by Cyries Exploration Inc.
Stefan Erasmus
 President of Werklund Capital Corporation
 Director of several private companies and charitable organizations
 Former Managing Director of Resources Global Professionals
Doug McCartney
 Managing Partner of Burstall Winger LLP
 Practices in the areas of securities and corporate finance and
corporate and commercial law
 Director or officer of several private companies
Paul Shelley
 President of Convinco Financial Ltd.
 Former Senior Vice President, Corporate Development at Kos Corp.
Investments Ltd.
MANAGEMENT AND BOARD OF DIRECTORS
4
Historical Shareholder Returns CCS Selected Historical Acquisitions
5
 David Werklund founded CCS Corporation (now Tervita Corporation) in 1984 and built it largely through the
consolidation of several oilfield services companies and organic growth
 CCS privatized in 2007 for approximately C$3.5 billion (the largest Trust privatization in Canadian history)
MANAGEMENT TRACK RECORD
Source: FactSet
CAGR Total Return
CCS 24% 2490%CAGR Total Return
CCS 24% 2490%
Capitalization Balance Sheet Summary (1)
Share price (May 29, 2013) $2.30
Shares Outstanding Basic (mm)(4) 10.0
Shares Outstanding Fully Diluted (mm)(4) 12.8
FD Market Capitalization ($mm) $29.4
Net Debt ($mm)(1)
Loans and Borrowings $25.0
Convertible Debenture (face)(2) $4.7
Cash(1)(3) ($4.1)
Total Net Debt ($mm) $25.6
Enterprise Value ($mm) $55.0
Operating Line Available ($mm) $23.8
Property and Equipment ($mm) $47.8
Working Capital ($mm) $8.8
Total Assets/Tangible Assets ($mm) $68.0/$64.9
Tangible Book Value/Share $2.31
CAPITALIZATION SNAPSHOT
(1) At March 31, 2013
(2) Convertible into 1,850,980 common shares at $2.55
(3) Includes potential cash from exercise of all options and warrants of $2.9 million
(4) At May 29, 2013
Shareholder Summary (4)
Werklund Capital Corp 47.3%
Other Insiders 3.2%
Total Insiders 50.5%
6
120
174
Permian
470
232
32
Barnett
58
Bakken
WCSB
(1) Active rigs on or about May 22 in relevant year; as per Baker Hughes & CAODC
Marcellus
Active in Play / Region
Recently Opened Office
Expansion Opportunity
Oil Focused
NGL Focused
 Aveda has a targeted growth
plan that is focused on targeting
oil/liquid rich weighted basins
across North America
 Based on a recent market
analysis, Aveda estimates each
rig moves approximately 1.4
times per month or 17 times per
year (42,500 moves per year)
 Aveda’s reputation, customer
relationships and quality service
results in high utilization of its
transportation equipment
Currently More Than 1,800 Active Rigs in North America(1)
7
OILFIELD HAULING MARKET
Eagle Ford
North American Active
Land Rig Count(1)
2013 1,836
2012 2,062
2011 1,946
2010 1,609
32
Utica - Ohio
NORTH AMERICAN OPERATIONS
8
 Nine offices located in the heart
of the key North American
resource plays
 Significant expansion opportunities
especially in U.S. markets
 Flexible workforce can be
transferred cross border to high
activity areas
 Experienced team of more than
250 employees LEDUC
CALGARY
MIDLAND
PLEASANTON
SLAVE LAKE
MINERAL WELLS
WILLIAMSPORT
Geographic Locations
Fixed Asset Allocation(1)
(1) Based on total equipment Net Book Value at March 31, 2013
SYLVAN LAKE
48%
52%
US Canada
OILFIELD HAULING OVERVIEW
 Modern, well maintained fleet
 556 pieces of equipment (164 power units)
 251 employees (148 operators)
 Fragmented industry makes for attractive
consolidation opportunities
 Primary competitors include TransForce, Mullen, Flint
and regional specialty haulers
9
556 Pieces of Equipment in Hauling Fleet Blue Chip Customer Base
0 50 100 150 200 250 300 350
Picker
Bed Truck
Miscellaneous
Winch Tractor
Trailer
10
Competitor Aveda
40 mile rig move – Marcellus Shale (1)
 The Result:
 11% price premium for Aveda
 64% reduction in rig downtime for customer
(1) 1,250 hp, jackknife triple rig, ~ 70 loads
4 days
 Aveda has outperformed its competitors as a result of:
 Newer, more specialized equipment
 Experienced personnel
 Planning and communications
 Ability to meet industry demands for heavier equipment and larger loads
11 days
OILFIELD HAULING CASE STUDY
OILFIELD RENTALS OVERVIEW
11
 Modern, well maintained equipment with 703 pieces
in the rental fleet
 Contributed approximately 6% of revenue in 2012
 Plan to build critical mass through the acquisition of
competitors with similar or complementary
equipment
 Typical acquisition multiples identified at 2.0x to 3.5x
EBITDA
703 Pieces of Equipment in Rental Fleet Blue Chip Customer Base
0 50 100 150 200 250 300
Generators
Miscellaneous
Light Towers
Tanks
Rig Mats
GROWTH STRATEGY
12
Capital Expenditure Program
 Completed capital expenditure of $25 million in 2012
 $2 - $5 million capital expenditure planned for 2013
 $2 - $4.5 million of oilfield hauling and rental fleet maintenance
 $0.5 million in transportation management systems planned for 2013
Organic Growth Initiatives
 Existing Customers
 Rig moving and ancillary equipment (e.g. tanks, trailers, etc.)
 Implement transportation management systems (e.g. GPS, satellite communications)
 Expansion into New Areas
 Target high activity resource plays focused on oil and NGL exploration
Growth Through Acquisitions
 Acquire complementary fleets in both new and existing geographies
 Typical acquisition multiples of 2.0x to 3.5x EBITDA
 Evaluating potential acquisitions ranging in value from $10 to $35 million
FINANCIAL PERFORMANCE: REVENUE
Year-Over-Year Revenue ($mm) Q1 2013 Revenue by Geography
13
 4% revenue growth in Q1 2013 vs. Q1 2012 despite year-over-year average rig count decline of
approximately 9% in the areas the Company operates
 Expansion into U.S. resource plays and increasing utilization
0.0
20.0
40.0
60.0
80.0
100.0
2009 2010 2011 2012
42%
58%
Canada United States
Q1 Revenue ($mm)
18.0
19.0
20.0
21.0
22.0
23.0
24.0
First Three Months 2012 First Three Months 2013
FINANCIAL PERFORMANCE: EBITDA
Year-Over-Year EBITDA ($mm)
14
 EBITDA increased by $1.4 million
compared to Q1 2012
 Higher utilization across North America
 Premium pricing in key resource plays
 Operational efficiencies resulting in
increased margins
(1) Removes one-time items associated with winter retention bonus, and EBITDA from opened/restructured branches
(2) Includes pro-forma EBITDA for 2012 Oilfield Rentals acquisition
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
2009 2010 2011 2012 2012 Pro-
forma(1)(2)
Q1 EBITDA ($mm)
0.0
1.0
2.0
3.0
4.0
5.0
First Three Months 2012 First Three Months 2013
INVESTMENT HIGHLIGHTS
 Proven management team with a history of value creation
 Solid industry fundamentals supported by continued strong oil prices
 Significant growth opportunities across emerging oil-weighted resource plays
 Organic growth
 Acquisitions
15
CONTACT
Bharat Mahajan
Chief Financial Officer
Aveda Transportation and Energy Services
Suite 300, 435 – 4th Avenue SW
Calgary, AB
T2P 3A8
(403) 264-5769
bharat.mahajan@avedaenergy.com
16

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Aveda energy investor presentation may 2013

  • 2. FORWARD LOOKING INFORMATION This presentation contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "could", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words, including negatives thereof, suggesting future outcomes. In particular, this presentation contains forward-looking statements relating to: future growth; results of operations; operational and financial performance; projected capital expenditures and commitments and the financing thereof; expansion; increases in revenue; equipment delivery and deployment dates; effect of rebranding; geographic allocation of equipment; customer commitments; ability to establish a working relationship with third party suppliers; expectations regarding the Corporation's ability to raise capital and to increase its equipment fleet; benefits associated with financial results; activity levels; business strategy; successful integration of structural changes; restructuring plans; organic growth potential; acquisitions and availability of insurance coverage. Aveda believes the expectations reflected in such forward-looking statements are reasonable as of the date hereof but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Various material factors and assumptions are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking statements. Those material factors and assumptions are based on information currently available to Aveda, including information obtained from third party industry analysts and other third party sources. In some instances, material assumptions and material factors are presented elsewhere in this presentation in connection with the forward-looking statements. Readers are cautioned that the following list of material factors and assumptions is not exhaustive. Specific material factors and assumptions include, but are not limited to: • the performance of Aveda’s businesses, including current business and economic trends; • oil and natural gas commodity prices and production levels; • capital expenditure programs and other expenditures by Aveda and its customers: • the ability of Aveda to retain and hire qualified personnel; • the ability of Aveda to obtain parts, consumables, equipment, technology, and supplies in a timely manner to carry out its activities; • the ability of Aveda to maintain good working relationships with key suppliers; • the ability of Aveda to market its services successfully to existing and new customers; • the ability of Aveda to obtain timely financing on acceptable terms; • currency exchange and interest rates; • risks associated with foreign operations; • changes under governmental regulatory regimes and tax, environmental and other laws in Canada and the United States; and • a stable competitive environment. Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties, some of which are described herein. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Aveda’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, the risks identified by Aveda’s annual information form and management discussion and analysis for the year ended December 31, 2012 (the "MD&A") and contained herein under the heading "Risk Factors". Any forward-looking statements are made as of the date hereof and, except as required by law, Aveda assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise. 2
  • 3. Oilfield Hauling Oilfield Rentals  Matting  Tanks  Light towers  Rig moving  Heavy hauling  Hot shot services  Aveda Transportation and Energy Services (“Aveda” or the “Company”) is a growing provider of specialized oilfield hauling and rentals to the US and Western Canadian oil and gas industry  Aveda was founded in 1994, went public in 2006 and was recapitalized in 2011  The Company is well positioned to take advantage of attractive organic and acquisition growth opportunities throughout North America  Multiple cross-over business opportunities achieved through oilfield hauling and rental business units COMPANY OVERVIEW 3
  • 4. Management David Werklund – Executive Chairman  Has been the Chairman of Aveda since 2006 and served as Interim President and CEO of Aveda from September 2011 to November 2012. Appointed as Executive Chairman in November 2012  Began career in 1965 at Shell Canada as a Production Operator  Founder and Chairman of the Board of Directors of CCS Corporation (now Tervita Corporation)  Co-Founder of Concord Well Servicing  Founder & Executive Chairman of Werklund Capital Corporation  The 2005 Ernst & Young's Canadian Entrepreneur of the Year Kevin Roycraft - President and CEO  Joined Aveda in November 2012  More than 20 year of Transportation Industry Experience  Former Vice-President of Operations for Liquid Transport Corp (one of North America’s largest bulk chemical and oil transportation company) Bharat Mahajan – Vice-President, Finance & CFO  Joined Aveda in October 2011  Held several positions with Magna International overseeing various international growth initiatives  Former CFO of several oilfield service companies, including Wellpoint Systems Inc. and Norex Exploration Services Inc. Board Members Martin Cheyne  Has more than 25 years of diversified oil and gas experience  Founder of DeeThree Exploration Ltd.  Former President and Director of Dual Exploration Inc. and Devlan Exploration Inc.; both purchased by Cyries Exploration Inc. Stefan Erasmus  President of Werklund Capital Corporation  Director of several private companies and charitable organizations  Former Managing Director of Resources Global Professionals Doug McCartney  Managing Partner of Burstall Winger LLP  Practices in the areas of securities and corporate finance and corporate and commercial law  Director or officer of several private companies Paul Shelley  President of Convinco Financial Ltd.  Former Senior Vice President, Corporate Development at Kos Corp. Investments Ltd. MANAGEMENT AND BOARD OF DIRECTORS 4
  • 5. Historical Shareholder Returns CCS Selected Historical Acquisitions 5  David Werklund founded CCS Corporation (now Tervita Corporation) in 1984 and built it largely through the consolidation of several oilfield services companies and organic growth  CCS privatized in 2007 for approximately C$3.5 billion (the largest Trust privatization in Canadian history) MANAGEMENT TRACK RECORD Source: FactSet CAGR Total Return CCS 24% 2490%CAGR Total Return CCS 24% 2490%
  • 6. Capitalization Balance Sheet Summary (1) Share price (May 29, 2013) $2.30 Shares Outstanding Basic (mm)(4) 10.0 Shares Outstanding Fully Diluted (mm)(4) 12.8 FD Market Capitalization ($mm) $29.4 Net Debt ($mm)(1) Loans and Borrowings $25.0 Convertible Debenture (face)(2) $4.7 Cash(1)(3) ($4.1) Total Net Debt ($mm) $25.6 Enterprise Value ($mm) $55.0 Operating Line Available ($mm) $23.8 Property and Equipment ($mm) $47.8 Working Capital ($mm) $8.8 Total Assets/Tangible Assets ($mm) $68.0/$64.9 Tangible Book Value/Share $2.31 CAPITALIZATION SNAPSHOT (1) At March 31, 2013 (2) Convertible into 1,850,980 common shares at $2.55 (3) Includes potential cash from exercise of all options and warrants of $2.9 million (4) At May 29, 2013 Shareholder Summary (4) Werklund Capital Corp 47.3% Other Insiders 3.2% Total Insiders 50.5% 6
  • 7. 120 174 Permian 470 232 32 Barnett 58 Bakken WCSB (1) Active rigs on or about May 22 in relevant year; as per Baker Hughes & CAODC Marcellus Active in Play / Region Recently Opened Office Expansion Opportunity Oil Focused NGL Focused  Aveda has a targeted growth plan that is focused on targeting oil/liquid rich weighted basins across North America  Based on a recent market analysis, Aveda estimates each rig moves approximately 1.4 times per month or 17 times per year (42,500 moves per year)  Aveda’s reputation, customer relationships and quality service results in high utilization of its transportation equipment Currently More Than 1,800 Active Rigs in North America(1) 7 OILFIELD HAULING MARKET Eagle Ford North American Active Land Rig Count(1) 2013 1,836 2012 2,062 2011 1,946 2010 1,609 32 Utica - Ohio
  • 8. NORTH AMERICAN OPERATIONS 8  Nine offices located in the heart of the key North American resource plays  Significant expansion opportunities especially in U.S. markets  Flexible workforce can be transferred cross border to high activity areas  Experienced team of more than 250 employees LEDUC CALGARY MIDLAND PLEASANTON SLAVE LAKE MINERAL WELLS WILLIAMSPORT Geographic Locations Fixed Asset Allocation(1) (1) Based on total equipment Net Book Value at March 31, 2013 SYLVAN LAKE 48% 52% US Canada
  • 9. OILFIELD HAULING OVERVIEW  Modern, well maintained fleet  556 pieces of equipment (164 power units)  251 employees (148 operators)  Fragmented industry makes for attractive consolidation opportunities  Primary competitors include TransForce, Mullen, Flint and regional specialty haulers 9 556 Pieces of Equipment in Hauling Fleet Blue Chip Customer Base 0 50 100 150 200 250 300 350 Picker Bed Truck Miscellaneous Winch Tractor Trailer
  • 10. 10 Competitor Aveda 40 mile rig move – Marcellus Shale (1)  The Result:  11% price premium for Aveda  64% reduction in rig downtime for customer (1) 1,250 hp, jackknife triple rig, ~ 70 loads 4 days  Aveda has outperformed its competitors as a result of:  Newer, more specialized equipment  Experienced personnel  Planning and communications  Ability to meet industry demands for heavier equipment and larger loads 11 days OILFIELD HAULING CASE STUDY
  • 11. OILFIELD RENTALS OVERVIEW 11  Modern, well maintained equipment with 703 pieces in the rental fleet  Contributed approximately 6% of revenue in 2012  Plan to build critical mass through the acquisition of competitors with similar or complementary equipment  Typical acquisition multiples identified at 2.0x to 3.5x EBITDA 703 Pieces of Equipment in Rental Fleet Blue Chip Customer Base 0 50 100 150 200 250 300 Generators Miscellaneous Light Towers Tanks Rig Mats
  • 12. GROWTH STRATEGY 12 Capital Expenditure Program  Completed capital expenditure of $25 million in 2012  $2 - $5 million capital expenditure planned for 2013  $2 - $4.5 million of oilfield hauling and rental fleet maintenance  $0.5 million in transportation management systems planned for 2013 Organic Growth Initiatives  Existing Customers  Rig moving and ancillary equipment (e.g. tanks, trailers, etc.)  Implement transportation management systems (e.g. GPS, satellite communications)  Expansion into New Areas  Target high activity resource plays focused on oil and NGL exploration Growth Through Acquisitions  Acquire complementary fleets in both new and existing geographies  Typical acquisition multiples of 2.0x to 3.5x EBITDA  Evaluating potential acquisitions ranging in value from $10 to $35 million
  • 13. FINANCIAL PERFORMANCE: REVENUE Year-Over-Year Revenue ($mm) Q1 2013 Revenue by Geography 13  4% revenue growth in Q1 2013 vs. Q1 2012 despite year-over-year average rig count decline of approximately 9% in the areas the Company operates  Expansion into U.S. resource plays and increasing utilization 0.0 20.0 40.0 60.0 80.0 100.0 2009 2010 2011 2012 42% 58% Canada United States Q1 Revenue ($mm) 18.0 19.0 20.0 21.0 22.0 23.0 24.0 First Three Months 2012 First Three Months 2013
  • 14. FINANCIAL PERFORMANCE: EBITDA Year-Over-Year EBITDA ($mm) 14  EBITDA increased by $1.4 million compared to Q1 2012  Higher utilization across North America  Premium pricing in key resource plays  Operational efficiencies resulting in increased margins (1) Removes one-time items associated with winter retention bonus, and EBITDA from opened/restructured branches (2) Includes pro-forma EBITDA for 2012 Oilfield Rentals acquisition 0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 2009 2010 2011 2012 2012 Pro- forma(1)(2) Q1 EBITDA ($mm) 0.0 1.0 2.0 3.0 4.0 5.0 First Three Months 2012 First Three Months 2013
  • 15. INVESTMENT HIGHLIGHTS  Proven management team with a history of value creation  Solid industry fundamentals supported by continued strong oil prices  Significant growth opportunities across emerging oil-weighted resource plays  Organic growth  Acquisitions 15
  • 16. CONTACT Bharat Mahajan Chief Financial Officer Aveda Transportation and Energy Services Suite 300, 435 – 4th Avenue SW Calgary, AB T2P 3A8 (403) 264-5769 bharat.mahajan@avedaenergy.com 16