1. Eliminate Routine Well Site Checking

2. Backgrounder Advanced Flow Technology – Calgary, Alberta – 7 Years in gas well monitoring – 1 year oil well monitoring – Patented technologies using temperature and acoustics Len Johnson – 30 years’ CEO technology companies – Last company: Advanced Measurements Inc.

3. Goals Validation of potential in US market – We know the Great White North, but.. Beta Test Partner – Fall time frame

4. Well Site Visits Over 700,000 oil wells in North America – Majority low production, manually monitored – 50% of operator time spent checking! Is the well producing as expected? – Pump Working? – Fluid being produced? – At the expected levels Is there a leak at the well head?

5. Well Monitoring Choices: SCADA Controller : $10k-$25kBert: Have Truck Will Travel: $800 per well/month

6. Filling the Gap Field based system – Low Cost ($3,000 range) – Self Powered – Easy to Install: Any well, anywhere – Cellular Network for communication – Class 1 Div 1 – All weather conditions

7. Information Easy to access and understand – Simple – Available from Smart Phone, Computer… Provides answers to basic questions: – Pump working, – well producing at expected levels, – not leaking Manage by exception

8. Manage by Exception Green = all systems go Yellow = maybe a problem Red= go to the well Click on an icon to drill down for well status

9. Is the Pump Working?

10. Is the pump working?

11. Is Fluid Being Produced?

12. Is Fluid being produced? ΔT = VariableΔT = 0 FlowingNot Flowing

13. Normal : Well Producing

14. Reduced Flow

15. Well Down

16. Delta T: Simple but powerful Any flow change – Flow trends easily spotted Sub-surface problems spotted in near real time Big reduction in requirement to trouble shoot – Fluid shots, putting wells on test

17. Is It Leaking?

18. Considerations for Leak Detection Accurate detection of leaks – 0 false negatives – Very limited tolerance for false positives Timely – Within hours

19. Not a Problem

20. Problem?

21. Problem

22. Leak Notification Green well, all good Sliding scale for notification – Notify when somewhat oily? – Notify only when visit is required? – Different levels of notification for field vs. office?

23. Benefits of Reduced Visits Lower Costs – 50% of operator time spent on routine checking – Leak remediation costs reduced Fewer Safety Incidents Higher Production – Problems spotted immediately – Operator time shifted from problem finding to problem solving

24. Summary The pump is working Fluid is being produced – At the expected level There is no leak Do we need to send a guy to the well?

25. The Ask 2-3 parties to advise and assist Some personnel time required in field 5-10 wells each Fall for field beta test