1. 1 TIW CORPORATION A PEARCE INDUSTRIES COMPANY P.O. Box 35729 Houston, Texas 77235-5729 U. S. A.

2. 2 TIW Abrasive Jet Drilling System (JETDRILL) Abrasive Jet Casing Cutter (JCUTTER) Abrasive Jet Hole Reamer (JREAMER) Abrasive Jet Horizontal Drill (JETDRILL)

3. 3 TIW Abrasive Jet Drilling System (JETDRILL)

4. 4 Well Site Equipment

5. 5 400 Bbl Tank (A) Pump Unit (B) Data Unit (H) Hydraulic Compensator (E) (C) (F) (D) Mud Tank (G) Data Lines (F) Hydraulic Unit A = Water Supply B = Pump Unit C = Sand Blender D = Densometer E = Compensator F = Hydraulic Unit G = Mud Tank H = Data Unit Well Site Equipment

6. 6 Downhole Procedures

7. 7 Abrasive Jet Casing Cutter (JCUTTER)

8. 8 Run JCUTTER to casing cutting point Pump abrasive slurry while rotating and moving cutter up and down Trip out after cutting casing

9. 9 Abrasive Jet Hole Reamer (JREAMER)

10. 10 Run-In After cutting casing run abrasive jet hole reamer (JREAMER)

11. 11 Extend JREAMER nozzles to correct distance to ream hole

12. 12 Possible Casing Cutting Patterns with CCUTTER & CREAMER

13. 13 After under-reaming move JREAMER upward to rotate nozzles back into tool cavity trip out of hole

14. 14 Run-In Hole Extend Jets & Under-ream Retract Jets Trip out of Hole JREAMER (Summary)

15. 15 10 FT. JREAMER Reamed Section Ream a 30” dia x 10 ft. section 30”

16. 16 Abrasive Jet Horizontal Drill (JETDRILL)

17. 17 JETDRILL Anchor The JETDRILL anchor is set using standard wireline or hydraulic setting tools

18. 18 UNTAPPED Production ORIENTATION GUIDE ORIENTATION GUIDE JETDRILL Orienting Guide A special guide that orients the JETDRILL to the proper angle for jet drilling is adjusted at the surface

19. 19 ORIENTATION GUIDE Slot for orientation lug JETDRILL Canister A predetermined length of coiled tubing equal to desired lateral length is run inside a canister and the JETDRILL assembly is then run to bottom on a work string

20. 20 UNTAPPED Production JETDRILL COLLET The JETDRILL is oriented in the anchor Compressive weight engages a COLLET in the anchor

21. 21 PIN PIVOT JETDRILL BENDING Additional compressive load actuates a unique articulated section, starting the 90 degree bend in the coil tubing UNTAPPED Production

22. 22 Guide JETDRILL ACTIVATION The coil tubing is released from the canister by rotating the work string Jet drilling is initiated while continuing to set weight on the coil tubing The coil tubing extends through the articulated body as weight is applied at the surface UNTAPPED Production

23. 23 TAPPED Production The jet bits operating at 6,000 to 8,000 psi drill 3 to 4 inch diameter horizontal holes up to 300 ft long, to overcome formation damage and water coning problems, and to tap new production zones

24. 24 NEW TAPPED Production JETDRILL can be retrieved and re-run at different angles with the same anchor setting

25. 25 Giving Multiple Boreholes from One Position Setting Top View Well Bore

26. 26 JETDRILL Summary Erode casing section with JCUTTER Erode 30 in x 10 ft hole section with JREAMER Set JETDRILL ANCHOR at desired depth Run JETDRILL and orient in ANCHOR Apply weight to engage collet in ANCHOR Release coil tubing by rotation and initiate jet drilling. Continue to set-down weight on coil tubing until desired distance is drilled Pick up and retrieve JETDRILL assembly from well

27. 27 JETDRILL Advantages Convert vertical wells to horizontal Drill multiple laterals from existing wells Increase production from existing wells Penetrate near wellbore damage Overcome water coning problems Intersect new production zones Short radius enables pinpoint accuracy Patent pending

28. 28 Setting the Pace in Horizontal Completions

29. 29 CALL US TODAY!