Environmentally Focused Well Solu5ons IPAA OGIS Conference April 2015
Technology-Driven, Emerging Growth PlaCorm Capitalize on emerging market developments and sen5ment for Eco-Friendly unconven5onal solu5ons Emerging growth, technology-driven independent oileld service company providing: Well…
Seasoned Leadership Team with Highly Relevant Experience Relevant Experience Bjarte Bruheim Chairman and Founder 30+ years internaVonal management experience J. Chris Boswell President, CEO and 28 years experience in the…
Track Record of Consistent Success Building Protable Energy Service PlaCorms Co-founded by Bjarte Bruheim in Developed in 1995 by Bjarte Bruheim, Deepwater explora,on venture ini,ally Bjarte Bruheim named Execu,ve 1991; served…
Leading Equity Sponsors with Extensive Oileld and Emerging Markets ExperVse Experienced energy investors dominate the In May 2014, the Company received founding shareholder group 30 million in private nancing from Albright Capital…
History Shows Strong Growth can be Achieved in Undersupplied Markets Actual Results From A Pure Play Pressure Pumping & Coiled Tubing Business Which Experienced Strong Growth In An Under-Supplied North American Market From 2009 To…
Eco-SVm Targets Markets With Ahributes MeeVng Its Key Investment Criteria Approximately 80% of global shale resources lie outside the United States Key SelecVon Criteria For InternaVonal Shale Market OpportuniVes Top 10 Countries…
Commercial Success has only been achieved in two countries outside the North American Market 9
Commodity Prices in Argen,na are RisingWhy WTI Oil Price March 2015 = 50/barrel Argen,na Medanito Light Oil Price in March 2015 = 77/barrel Henry Hub Natural Gas Price in March 2015 = 2.80/mcf YPFs Disclosed Average Natural…
Strong Demand for Hydrocarbons and Reduced PoliVcal/ Commodity Risk Argen5na has the opportunity to reverse its balance-of-trade issues through the development of the Vaca Muerta and other non-conven5onal elds - Kyle Bass, 11/14/2014…
ArgenVnas Vaca Muerta Is Massive in Terms of Size and Quality Of those na5ons with signicant shale resources, Argen5na is the best bet to replicate U.S. shale revolu5on Worlds third largest resource na,on of shale oil and gas…
Signicant Investments Being Made in ArgenVna Once the issues with the vultures have passed, Argen5na will aZract hundreds of billions of dollars in foreign direct investment. - Kyle Bass, 11/14/2014 (Bloomberg) Resolu,on with…
Mature Oil Producing Country with Strong Customer Base E&P Companies OperaVng in ArgenVna Source: Management research 15
InternaVonal Pricing Remains Strong in Undersupplied Market Lack of sucient well s5mula5on equipment, technology and exper5se is driving superior pricing power Early Mover Advantage in LucraVve Pricing Market 350,000 Assets in…
Actual Eagle Ford VS Predicted Vaca Muerta - Drilling Rigs and SVmulaVon Fleets 300 265 250 220 200 150 160 Eagle Ford play in Texas - 4 rigs & 1 Frac 100 crew operaVng in 2008 87 75 50 50 4 0 1 2008…
Coiled Tubing Equipment Leased Financed for First Contract 2 Coiled Tubing Unit 2250 HHP Fluid Pumper Nitrogen Pumper Nitrogen Transport 17
Equipment Purchased for First Contract Pressure Pumping Equipment Package 4 QuinVplex Pumps 2 Large 100 BBI Blenders 40n Data Van Trailer CombinaVon HydraVon / Chemical AddiVve Unit 18
Turbine Powered Pumping Units Purchased at Signicant Discount Latest genera5on turbine-powered pressure pumping units 12 dual pump trailers with mul,-fuel capabili,es Turbine Powered Pressure Pumping Assets Acquired Proven…
Poten,al Savings using Alterna,ve Fuels Annual savings per frac crew: LNG = 352,800 CNG = 4,737,600 Field gas = 6,930,000
Survey says, the primary reason for poor shale wells is lack of subsurface understanding 21
Due to low understanding of the subsurface & currently low oil prices, 80% of unconven,onal wells are uneconomic 80% not economic to produce 20% are good wells Source: IHS 22
Once subsurface is understood, sweet spots can be located. Note that almost 90% of all produc,on comes from a few wells Hogs and Large wells account for almost 90% of new produc,on Source: IHS 23
Technology PlaCorm to idenVfy sweet spots and ground truth (Predict, Execute, Measure, Re-Predict) Eco-S,m conducts its s,mula,on services within a systema,c methodology - Leverages ber-op,c technology and predic,ve modeling -…
Example of Sweet Spot PredicVon Mud logs on this horizontal well show are markers that conrm predicVve fracture maps Using proprietary technology for accurate well placement and s,mula,on stage planning + Maps produced in…
ConrmaVon of Producing Zones.. (It is generally accepted in the industry that only one of three stages actually produce) Derived from Fiber OpVc AcousVc Signatures 9 8 7 6 5 4 3 2 1 TIME Gas Production from zone 6 Gas…
Geo-IteraVon Technology Provides Signicant Cost Savings ReducVon in SVmulaVon Zones Cost Comparison (Millions) Job executed with 30 zones sVmulated ConvenVonal 3.0 5.3 USD 2.3 million in savings 7 predicted zones…
Plug & Perf vs Sleeves Plug & Perf Sliding Sleeves FRAC Perf Perf Perf FRAC PLUG Cluster Cluster Cluster PLUG Fractures follow path of least resistance, i.e., stress orienta,on Sleeve systems provide beIer focus and…
In new shale plays, technology advances can accelerate learning curve Well Drilled in Eagle Ford Best producing areas Early Maps Of Eagle Ford to IdenVfy Sweet Spots within Eagle Ford play - Play in Texas - 2009 and to…
Eagle Ford Hogs aner years of Drilling; Clearly certain areas produce beher that other areas (same shale formaVon) 30
LCav.e-6 EcoSVm Field Management System (Example Upper from Permian Resistivity Zone Basin) Real-Time Fiber-Op,c Data Proprietary Geo-Predict Results Recorded on Ver,cal Appraisal Well Show Correla,on w/ Best Zones with 18…
Upper Resistivity Zone Production GeoPredictSM Searches Out Re-occurance of key ahributes to provide guidance as to Sweet Spots in new shale play All Wells-Acoustic Impedance Attributes Observed in Monitored Zones Can Be…
EcoS,m Balance Sheet at 12/31/14 33
Investment Highlights Technology-driven, oileld services company in fast-growing, high-margin interna5onal shale regions. Es5mated 70% of shale reserves located outside North America with just 20% of global pressure pumping…