POLYFLOW, LLC

Lowering the Capital and

Maintenance Costs for Mature Oil
and Gas Fields

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

AGENDA
! Critical Issues
! Increasing Production
Infield Drilling
Secondary Recovery

! Rehabilitation of Existing Fields

! Case Studies
! Next Steps

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Critical Issues
! Older Fields with Marginal Wells are being Shut in or Sold
Excessive Operating Costs
Chemical Treatment
Pipeline Repairs

Capital Costs for Facilities Associated with infield Drilling

Tie In Lines
Secondary Recovery Injection Lines

! Leaking Pipelines
Expensive Trenching Pipe Crossings
Oversized Pipes for Todays Production increases Maintenance
Bacterial Issues in Old Fields Increasing H2S

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Low cost Tie-in and Injection Lines for Infield Drilling

! Reduce Install Costs
! Right Sizing and Type Pipe to
Minimize Issues

Minimum Velocity to Move Solids

Corrosion Resistance

! No Ongoing Maintenance
! Combining WAG Pipelines

Petrobras Peru Install 2Km/hr. Install Rate

Combined water
CO2 Injection
Pipeline in
United States
2,000PSI Pipe Installed by Hand in Rough Terrain
In Colombia
ISO 9001:2008 Certified
2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Installing Thermoflex in New Fields ($/ft USA)

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Installa'on on Surface
Oil, Brine, CO2
Severe Steel Corrosion
Marginal Field Requiring
Restricted Investment
2Km/Hr. ($0.18/G)
Crack Resistance vs. Fiberglass

Where are the Cost Savings for New Installations

$/ft 1500PSI 2

Steel

Fiberglass*

Thermoflex

Trenching

Same

Same

Same

Sand Bedding

$0.00

$1.65

$0.00

Layout/Couple
Drop in Trench

$8.70

$2.24

$0.60

Chemical Corrosion
Inhibitors

$19.09

$0.00

$0.00

Tracer Wire

$0.00

$0.15

$0.15

Materials

$3.80

$4.52

$6.24

$31.59/ft.

$8.56

$6.99

Totals

*2,,000PSI 8 round EUE to be derated for cyclic loading

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Cost Reductions for Existing Lines : ExPert Process

! Rapid Low Cost Installation

! No Ongoing Maintenance
! Pull Through Older Fields with Many Pipe Crossings
Eliminates Trenching Costs
More Rapid Process

! Pulling Gas Lift through Existing Flow Lines

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Insertion inside of Existing Pipelines

! 2 Fiberglass Water Flood Pipe

2,000PSI
2,500ft. (762M) Length
H2S & CO2
$48,000 to Trench a New Line

! Pull 1.75 Thermoflex Inside of 2

Fiberglass
No Pulling Cone on Short Run

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

Economic Value Analysis

$80,000
$70,000
$60,000
$50,000
$40,000
$30,000
$20,000
$10,000
$0

Savings
Install
Pipe

Fiberglass

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

ERT

Customized Solutions
Fast, Easy Installation
Superior Operating Life

10

Next Steps
! Evaluate New Fields
Proper Pipe Selection
Replacement vs. Enhanced Rehabilitation Technologies

! Model Economic Value Analysis

Return on Investment for Alternatives
Prioritizing Projects

! Implementations

ISO 9001:2008 Certified

2013 PolyFlow, LLC. All rights reserved.

Customized Solutions
Fast, Easy Installation
Superior Operating Life

11