Beam Pumping Workshop Houston, Texas October 4 - 7, 2005 ROD PUMPING OPTIMIZATION ROBERT WITTMAN, VP ENGINEERING FLOTEK INDUSTRIES, INC.

Oct , Beam Pumping Workshop2 PETROVALVE HISTORY FIRST DEVELOPED IN ALBERTA, CANADA IN 1987 DEVELOPED TO IMPROVE EFFICIENCY OF HEAVY OIL PUMPING AND HORIZONTAL PUMP DEPLOYMENT DEVELOPED TO ELIMINATE GAS LOCKING IN HIGH GOR WELLS PETROVALVE ACQUIRED BY FLOTEK INDUSTRIES, INC. CURRENTLY OPERATES AS A DIVISION OF FLOTEK

Oct , Beam Pumping Workshop3 PETROVALVE UNIQUE DESIGN FEATURES REPLACED LOOSE BALL OF API INSERT VALVE WITH A SHAFT GUIDED HEMISPHERE ALWAYS CONFINED TO THE VALVE AXIS IN LINE WITH THE SEAT GUIDED HEMISPHERE RESULTS IN A LARGER FLOW AREA WITHIN THE VALVE CAGE AND PERMITS OPERATION WITHOUT LOSS OF SEATING EFFICIENCY FLOW AROUND HEMISPHERE PRODUCES ROTATION WHICH RESULTS IN THE HEMISPHERE CONTINUALLY LAPPING THE VALVE SEAT EXTENSION OF THE HEMISPHERE SHAFT BEYOND THE END OF THE CAGE RESULTS IN POSITIVE VALVE OPENING ELIMINATING GAS TRAPPED BETWEEN STANDING VALVE AND TRAVEL VALVE

Oct , Beam Pumping Workshop4 BASIC PETROVALVE DESIGN CONFIGURATION

Oct , Beam Pumping Workshop5 PETROVALVE FLOW AREA DRAWING FLOW AREA #1 FLOW AREA #2 FLOW AREA #4 FLOW AREA #3 FLOW AREA #1

Oct , Beam Pumping Workshop6 PETROVALVE FLOW AREA COMPARISON TABLE Flow Area Comparison Table Valve Size Petrovalve Flow Area #1 sq. ins Petrovalve Flow Area #2 sq. ins Petrovalve Flow Area #3 sq. ins Petrovalve Flow Area #4 sq. ins Minimum Flow Area sq. ins API Insert Valve Flow Area sq. ins % Area Increase Petrovalve Over API Reference Petrovalve Flow Area Drawing For Definition Of Flow Area #1, #2, #3 and #4

Oct , Beam Pumping Workshop7 AVAILABLE PETROVALVE COMPONENTS AND MATERIALS AVAILABLE FOR PUMP SIZES FROM 1.06 INCH THROUGH 5.75 INCH AVAILABLE IN CLOSED CAGE AND OPEN CAGE VALVE CONFIGURATIONS – STANDARD API CONNECTION THREADS TRAVEL AND STANDING VALVES AVAILABLE FOR ALL INSERT PUMP AND TUBING PUMP CONFIGURATIONS PIN AND BOX CROSSOVER CONNECTORS FOR BARRELS AND PLUNGERS STANDARD MATERIALS INCLUDING CARBIDES, ALLOY STEEL, STAINLESS STEEL, MONEL

Oct , Beam Pumping Workshop8 PETROVALVE ILLUSTRATIONS CLOSED CAGEOPEN CAGE

Oct , Beam Pumping Workshop9 PETROVALVE DESIGN BENEFITS IMPROVED FLOW DYNAMICS REDUCES GAS BREAKOUT IMPROVED SEATING RESPONSE MEANS LESS LEAKAGE AND IMPROVED EFFICIENCY REDUCED COMPRESSION LOADING RESULTS IN LESS ROD DAMAGE IMPROVED PUMP FILLAGE IMPROVES PUMP EFFICIENCY HORIZONTAL PUMPING POSSIBLE WITHOUT LOSS OF EFFICIENCY SLOWER PUMP SPEEDS POSSIBLE TO ACHIEVE SAME PRODUCTION LEVEL – REDUCES WEAR AND TEAR AND LOWERS ENERGY COST ELIMINATES GAS LOCKING USING GAS BREAKER TRAVEL VALVE

Oct , Beam Pumping Workshop10 GAS BREAKER TRAVEL VALVE ILLUSTRATION

Oct , Beam Pumping Workshop11 GAS BREAKER VALVE FUNCTION SHAFT STRIKES TRIP SUB, OPENS VALVE, RELIEVING GAS LOCK PUMP SPACING AT BOTTOM OF STROKE TRIP SUB CONNECTOR STANDING VALVE GAS BREAKER TRAVELING VALVE PLUNGER BARREL GAS FILLED CHAMBER

Oct , Beam Pumping Workshop12 PETROVALVE APPLICATIONS PETROVALVES ARE IN MORE THAN 15,000 WELLS WORLDWIDE EXCELLENT PERFORMANCE IN STEAM ASSISTED HEAVY OIL APPLICATIONS – INCLUDING HORIZONTAL AND LARGE DIAMETER WITH TEMPERATURES IN EXCESS OF 200 C PERFORMANCE LIFE IN EXCESS OF 2 YEARS IN OIL WELLS WITH HIGH SAND CONTENT GAS BREAKER USED IN VERTICAL AND HORIZONTAL WELLS AND TO DEPTHS OF 12,000 FEET GAS BREAKER OPTIMIZATION CAN BE DIFFICULT IN DEEP WELLS AND WHEN PUMPING UNDER A PACKER PETROVALVE STANDING VALVE USED EFFECTIVELY AS FLOW REVERSAL CHECK WITH ESP AND PC PUMPS

Oct , Beam Pumping Workshop13 CONCLUSIONS PETROVALVE DESIGN INCREASES PUMP EFFICIENCY RESULTING IN GREATER FLUID PRODUCTION OR LOWER OPERATING COSTS OR BOTH GOOD RESULTS IN HEAVY OIL APPLICATIONS GOOD LIFE IN “SANDY” WELLS GOOD RESULTS IN HORIZONTAL PUMPING WELLS GAS BREAKER OPTION CAPABLE OF LIFTING FLUID WITHOUT GAS LOCKING IN VERY HIGH GAS/FLUID RATIO WELLS PETROVALVES ARE INHERENTLY MORE EXPENSIVE THAN COMPARABLE API INSERT VALVES BUT CONSTITUTE A SMALL FRACTION OF TOTAL PUMP SYSTEM COST DEGREE OF ENHANCEMENT DEPENDS ON RESERVIOR CONDITIONS