FBR Energy & Industrials Conference May 2011 David Adams Vice President Production Enhancement
Agenda Changing Landscape in North America Positive Implications to Halliburton and Industry Reinventing the Service Delivery Platform 2011 HALLIBURTON. ALL RIGHTS RESERVED. 3
The Changing Landscape in North America Total Rigs Oil & O/G Horizontal 2,000 Oil and Liquids-rich 1,800 reservoirs represent 1,600 65% of total market US Rig Count 1,400 1,200 1,000 Horizontal rigs grew 800 170% since…
Complexity of Oil and Liquids-Rich Development More than horsepower Challenges Solutions Requires Enhanced Flow Paths Maximizing Conductivity Extended Laterals/Growing More Sophisticated Number of Frac Stages Completion…
Maximizing Conductivity MonoProp SandWedge enhancer Proppant Expedite agent High performance polymer alloy Proppant coating systems Flow channels Provides partial monolayer Chemically modifies surface than can enable increased…
More Efficient Completion Methods CobraMax reduces completion time up to 25% Plug and Perf Method CobraMax WF service Instantaneous down-hole modifications Utilizes Hydra-JetSM service for perforating Stimulate multiple…
Reservoir Understanding Stimulation for the Digital Asset Digital Collaboration Real-Time Reservoir Volume Consistent Basin Analysis 2011 HALLIBURTON. ALL RIGHTS RESERVED. 8
Robust Logistics Network Internal manufacturer of pumping equipment Security of supply for key products: proppants, gels, chemicals Purchasing power through key supplier relationships Access to vendor innovations first 2011…
Reinventing the Service Delivery Platform Reducing Footprint Increasing Equipment Reliability Commercializing Environmental Technologies Developing New Fracture Model Optimizing Downhole Completions 2011 HALLIBURTON.…
Reducing Footprint SandCastle Vertical Storage Bins Reduces CAPEX by 20% Self-contained using solar panels Eliminates a diesel engine for each bin Monitors proppant usage by weight loss 2011 HALLIBURTON. ALL RIGHTS RESERVED.…
Increasing Equipment Reliability Q10 Pump Ten-fold reliability improvement. Significantly reduce downtime and maintenance costs. Manufactured first unit. 150,000 hours of pumping in lab environment. Currently performing field…
Commercializing Environmental Technologies CleanSuiteSM CleanStim Frac Fluid Ingredients sourced from the food industry Provides extra measure of environmental safety Performs better than conventional frac fluids Successfully…
Commercializing Environmental Technologies CleanSuiteSM CleanStream unit CleanWaveTM unit ADPTM blender Uses ultra-violet Electrocoagulation Uses gelling agent light to remove to recycle water for in dry powder form - bacteria…
Reinventing the Service Delivery Platform 20% Reduce CAPEX Reduce Personnel 35% on Location Reduce Well 25% Completions Time 2011 HALLIBURTON. ALL RIGHTS RESERVED. 15
Summary Confident on the resiliency of activity in North America Structural shift providing further opportunities to differentiate HAL Progress on reinvention initiatives 2011 HALLIBURTON. ALL RIGHTS RESERVED. 16