AUGUST 3, 2010

UTS is focused on the creation of shareholder value through exploration, development and production of hydrocarbon resources, mainly mineable oil sands deposits from the Athabasca Oil Sands Area in northeastern Alberta.

UTS holds a 20 percent interest in the leases related to the Fort Hills oil sands project (the “Fort Hills Project”) through its interests in Fort Hills Energy Corporation (“FHEC”) and the Fort Hills Energy Limited Partnership (“Fort Hills Partnership”). Suncor Energy Inc. (“Suncor”), as a result of its earlier amalgamation with Petro-Canada, holds 60 percent interest in the Fort Hills Project and is the operator of the Fort Hills Project (“Operator”) through Petro-Canada Oil Sands Inc. (“PCOSI”). Teck Resources Limited (“Teck”) holds the remaining 20 percent interest.

The near term project focus continues to be on re-configuring the Fort Hills Project to take advantage of the synergies with the existing Suncor facilities. UTS continues to actively participate in this process to ensure that benefits accrue to all three Fort Hills Partners. Suncor is expected to complete a reassessment of its oil sands assets before the end of 2010, which should provide more clarity around the Fort Hills Partnership’s intentions for the Fort Hills Project.

UTS also holds a 50 percent interest with its Partner, Teck, in both the Equinox oil sands mining project (the “Equinox Project”) and the Frontier oil sands mining project (the “Frontier Project”), which are located on the west side of the Athabasca River, west of the Fort Hills Project. The Equinox Project is adjacent to the Pierre River project proposed by Shell Canada Limited (“Shell”) and the Frontier Project is located to the north of both of these project areas. Both the Equinox Project and the Frontier Project are within the surface mineable area (“SMA”) defined by the Energy Resources Conservation Board (“ERCB”). The DBM study has been progressing during the first half of 2010 focusing on selection of tailings technology facilities locations and overall project configuration.

Some of UTS exploration land assets on the west and east sides of the Athabasca River may also include the potential for in situ development using existing or emerging production technologies. UTS believes that the Frontier Project, the Equinox Project, and UTS’ other land assets present continuing growth opportunities for its shareholders.

In October 2009, UTS acquired a 100 percent interest in two additional oil sands leases from Technoeconomics Inc. Leases 418 and 271 form a contiguous block and are located east of the Athabasca and Firebag Rivers, approximately 40 km to the east of Lease 422. Each of the Leases 418 and 271 comprises 11,520 acres, for a total of 23,040 acres, and were purchased at a total cost of $15 million. UTS has initiated the necessary work to plan a 2011 winter drilling program on these leases. It is anticipated that up to 50 core holes will be drilled to provide an initial indication of resource potential.

On July 7, 2010, UTS announced that its Board of Directors had unanimously approved a Plan of Arrangement (the “Plan”) whereby Total E&P Canada Ltd. (“Total”) will acquire all of the issued and outstanding common shares of UTS. Pursuant to the Plan, shareholders of UTS will receive cash consideration of $1.5 billion or $3.08 per UTS share (the “Cash Consideration”) and shares in a new, publicly-traded exploration and development company, SilverBirch Energy Corporation (“SilverBirch”). The Plan is subject to court approval and must be approved by two-thirds of the votes cast by UTS shareholders at a special meeting expected to be held on September 30, 2010.

The Cash Consideration to be received by UTS shareholders represents a 46 percent premium to UTS’ closing price on July 6, 2010 of $2.11 per UTS share and a 36 percent premium to UTS’ 30-day volume weighted-average trading price of $2.26 per UTS share.

SilverBirch’s assets will include UTS’ 50 percent interest in both the Frontier and Equinox oil sands mining projects, UTS’ interests in other exploration oil sands leases and undeveloped lands as well as approximately $50 million in working capital (subject to adjustment). At June 30, 2010, the carrying amount of the transferred assets, excluding working capital, was $208 million. Nominal income tax pools are associated with these assets. Upon completion of the transaction, which includes a planned 10:1 consolidation of SilverBirch shares, UTS’ shareholders, immediately prior to consummation of the Plan (other than dissenting shareholders), will own 100 percent of the SilverBirch outstanding shares.

For further details please see UTS’ Q2 Interim Report (as at August 3, 2010)