1. Enhanced Oil Recovery Through Electro-Treatment GLOBAL OIL RECOVERY SYSTEMS,LLC

2. EOR Through Electro Treatment Entering the international market by establishing international companies Developed to be a global pioneer in Enhanced Oil Recovery and Upgrading worldwide Technological know-how is based on 40 years of R&D by leading scientists from the Petroleum Institute of the former USSR Current staff includes several of these former scientists Technologies are patented or patent pending Focus on Electro Treatment for Enhanced Oil Recovery and Upgrading & Recovery of Heavy Oil All processes have low energy consumption and are environmentally sound Introduction Global oil recovery systems,llc GLOBAL OIL RECOVERY SYSTEMS,LLC

3. EOR Through Electro Treatment Oil well treatment through Electro Treatment increases the output of aging oil fields while decreasing the water-cut Major breakthroughs in utilization of Electro Treatment in the oil field occurred 17 years ago and have been perfected by our partner in Russia Mr. Alexander Rybakov (presently a team member and researcher for Advanced Oil Recovery Technologies) was the lead pioneer of this technology Hundreds of field tests have been conducted in countries worldwide, including Russia, Kazakhstan, India, Brazil and former Soviet states Introduction Global oil recovery systems,llc GLOBAL OIL RECOVERY SYSTEMS,LLC

4. EOR Through Electro Treatment The Electro Treatment technology is based on the effects of changing the cavitated spatial pattern within the rock of a reservoir and spacious structure of two- phase liquid filtration (oil & water) in the reservoir as a result of repeated cycles of electric pulses. Electro Treatment Theory GLOBAL OIL RECOVERY SYSTEMS,LLC

5. EOR Through Electro Treatment Utilizing the existing production casings from two well points as “antennae” electrical waves are modulated directly into the reservoir at both high and low frequency. Treatment is portable, short term and has relatively no infrastructure cost. Electro Treatment Theory GLOBAL OIL RECOVERY SYSTEMS,LLC

6. EOR Through Electro Treatment Max 2 km Treatment continued 24-30 hours Max 3 km GLOBAL OIL RECOVERY SYSTEMS,LLC

7. EOR Through Electro Treatment If the capillary sections radii ratio R1 / R2 = 3.2 then the energy emission density ratio E2 / E1 = 100 In other words – energy concentrates in narrow spaces R1 R2 Theory R2 R1 GLOBAL OIL RECOVERY SYSTEMS,LLC

8. EOR Through Electro Treatment Electric impulses create gas and steam bubbles, mainly in spaces filled with water, since water conducts electricity much better than oil Steam and gas bubbles Effect 1 – Enhanced oil recovery GLOBAL OIL RECOVERY SYSTEMS,LLC

9. EOR Through Electro Treatment These bubbles prevent fluid flow – mainly water – and reorganize fluid flow routes Steam and gas bubbles Effect 1 – Enhanced oil recovery GLOBAL OIL RECOVERY SYSTEMS,LLC

10. EOR Through Electro Treatment Bubbles are created mainly in water since impulses go mainly through water and viscosity of water is less than viscosity of oil Oil and gas bubbles Effect 1 – Enhanced oil recovery GLOBAL OIL RECOVERY SYSTEMS,LLC

11. EOR Through Electro Treatment Oil reservoir rock particles consist of a hard skeleton with a low electric conductivity which is covered by a less firm component with a double electric layer (with better electric conductivity), which together with the mud partially covers rock particles. Rock Structure Effect 2 - intensification GLOBAL OIL RECOVERY SYSTEMS,LLC

12. EOR Through Electro Treatment Due to the electric pulse, the energy emission in the narrow capillaries significantly increases local temperature and intensifies all processes (creating micro explosions)‏ Micro Explosions Effect 2 - intensification GLOBAL OIL RECOVERY SYSTEMS,LLC

13. EOR Through Electro Treatment When the temperature reaches the threshold value, the mechanical destruction of the surface component and mud occurs in the narrow pore passages and new oil paths are opened Effect Effect 2 - intensification GLOBAL OIL RECOVERY SYSTEMS,LLC

14. EOR Through Electro Treatment 1. Enhanced oil recovery in extensive zone 5...10 m 100...200 m Treatment gives two effects : 2. Intesification of production by reducing clogging in nearest zone GLOBAL OIL RECOVERY SYSTEMS,LLC

15. EOR Through Electro Treatment 1. Enhanced Oil Recovery By creating gas & steam bubbles ET prevents water flow in reservoir and reorganizes fluid flow routes in it 2. Intensification By crushing soft layers on top of rock particles ET enlarges the routes for fluid flow As a result: - oil production increases - water-cut decreases GLOBAL OIL RECOVERY SYSTEMS,LLC

16. EOR Through Electro Treatment Oil production, t / day Time Electro Treatment After Treatment Additional oil Prognosis on output Oil production of oil well increases Usual increase 4-25 % Technical Effects GLOBAL OIL RECOVERY SYSTEMS,LLC

17. EOR Through Electro Treatment Technical Effects Time Water-cut, % Electro Treatment Prognosed After ET Water content in oil- water mixture decreases Usually water-cut decreases 10-20 % (best results 80 %)‏ GLOBAL OIL RECOVERY SYSTEMS,LLC

18. EOR Through Electro Treatment 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Oil well 100 80 60 40 20 0 Water-cut, % Water-cut before Electro Treatment Results 4 months after Treatment Kazakhstan, June 1998 Results 4 months after Electro Treatment GLOBAL OIL RECOVERY SYSTEMS,LLC

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27. EOR Through Electro Treatment Selection of Wells for ElectroTreatment More than 50 parameters are used for selecting suitable oil wells for treatment A pair of wells is necessary If a well suitable for treatment is not close enough, any well (even “empty”) is selected even though no positive results are expected GLOBAL OIL RECOVERY SYSTEMS,LLC

28. EOR Through Electro Treatment Additional Facts It is possible to work both on-shore or off-shore It is also possible to treat gas fields and fresh water wells Electro Treatment is 100 % harmless for the oil field and oil field equipment Continuing R&D is leading to even greater results GLOBAL OIL RECOVERY SYSTEMS,LLC

29. EOR Through Electro Treatment What Can Be Done: Approximately 20 % of all oil wells worldwide can be treated Positive results in more than 90 % of cases No risk of harming well First results of Electro Treatment can be measured and confirmed within 1-2 months after treatment GLOBAL OIL RECOVERY SYSTEMS,LLC

30. EOR Through Electro Treatment What Can Be Done: Electro Treatment positively affects 2-5 years of production One team can treat 2-3 oil well pairs per week Other technologies can be used simultaneously GLOBAL OIL RECOVERY SYSTEMS,LLC

31. EOR Through Electro Treatment What Can NOT Be Done: Recover “empty” oil wells Treat 100 % of oil wells Guarantee 100 % positive results, even though we are confident in our results GLOBAL OIL RECOVERY SYSTEMS,LLC

32. EOR Through Electro Treatment 1 2 3 Month Oil well group X1…X9 Treated oil wells First measuring and analysis of result Results shall be followed up at least 12 months after Treatment Results after Treatment are compared to predicted results without Treatment = additional oil output Average additional oil output is calculated Average of additional oil output from a well group defines charge for Treatment Measuring the Results GLOBAL OIL RECOVERY SYSTEMS,LLC

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34. EOR Through Electro Treatment 1.Agreement upon Electro Treatment of 4-6 pilot oil wells 2.Selection of oil wells and expected prognosis 3.Treatment of pilot wells 4.Measurement and analysis of results 5.Determination for further operations Business Process GLOBAL OIL RECOVERY SYSTEMS,LLC

35. EOR Through Electro Treatment For more information contact: Global oil recovery systems,llc GLOBAL OIL RECOVERY SYSTEMS,LLC