Introducing APS RSS w MWD to America Ruslan

Introducing APS RSS w/ MWD to America Ruslan Yakupov November 7, 2019 1

APS Sure. Steer™ RSS 4. 75 - Rotary Steerable § Push the bit RSS § Closed Loop Hydraulic System § Fully Integrated with Sure. Shot MWD / LWD § EM or MP Telemetry

APS Sure. Steer™ RSS 4. 75 - Operating Specifications Specification Build Rate Capability Mud Flow Rate (High Flow Turbine) Maximum Rotation Speed Make-Up Torque US 12°/100 ft 215– 350 gpm 350 rpm 9, 700 ft-lbf Pressure Drop at @230 gpm 100 psi Maximum Temperature 350 °F

4 APS Sure. Steer RSS Geosteering Applications § 42 tools deployed – Primarily in Russia – Some runs in US and China § Thin bed Geosteering applications (<3 m) § Resistivity and RSS provides everything needed to stay in zone

APS Sure. Steer™ RSS™ 4. 75 – General Dimensions ØD ØC B DIM Description Dimensions Nominal Hole Size 5. 875 in (149. 2 mm) to 6. 75 in (171. 5 mm) A Bit Box to Center of Steering Pad 1. 4 ft. (0. 4 m) B Bit Box to Center of Sleeve Stabilizer 9. 3 ft. (2. 8 m) ØC Steering Pad Upset Diameter 5. 75 in. (146 mm) ØD Sleeve Stabilizer Sizes 5. 875 in(149. 2 mm) to 6. 75 in(171. 5 mm) A

APS Sure. Steer™ RSS™ 4. 75 - Mechanical Features Sleeve Stabilizer Turbine Alternator Hydraulic Section Steering blades

APS Sure. Steer™ RSS™ 4. 75 - Steering Head Cross-Section § Push-the-bit technology § Three equally spaced steering blades § Three pistons per blade § 1300 lbf total piston force § Blades deploy once per revolution § Variable dwell angle to meet steering requirements

8 Suresteer™ RSS Advantages § § Simple Downlinks With Confirmation Low Maintenance Costs Steering System Will Not Pack Off w/ Mud Solids Realtime RSS Communication With MWD – No Drilling Blind – RSS communicates functionality through MWD system telemetry for optimized real time decisions – Confirmation from the tool that downlink was successful and current steering mode – Confirmation from the tool that everything is working while drilling ahead

APS Sure. Steer™ RSS 4. 75 - Control Modes 4 main modes – DIS = Disable mode (blades do not deploy) – STR = Steering mode • STR X (configurable blade dwell angle 1) • STR Y (configurable blade dwell angle 2) – VDC = Vertical deviation control mode – TAH = Tangent angle hold mode

APS Sure. Steer™ RSS 4. 75 - Downlinking Scheme § Commands use timed flowrate changes and drillstring rotation – Downlinks compatible with motor assist BHA – Downlink while drilling – Downlink confirmation and tool diagnostics are telemetered at the conclusion of a downlink

Downlinking Example

Sure. Steer™-RSS™ 4. 75 – Directional Gamma Configuration – 4. 75” directional gamma RSS system (single collar assembly) • Steering head, MWD with Gamma, battery backup housed in a nonmag flex collar • Overall length: 36. 3 ft (11. 1 m) Measure points D- Directional G - Gamma D G 21. 5 ft/6. 6 m 17. 2 ft/5. 2 m

Sure. Steer™-RSS 4. 75 - Two Collar LWD Configuration – 2 part configuration for RSS with WPR, or higher LWD capability • Lower section 34. 3 ft : steering head, near-bit gamma, directional sensor, (TMC), housed in a non-mag flex collar • Upper section 32. 2 ft upper TMC, WPR, battery backup, floating pulser • Overall length: 66. 5 ft R 40. 0 ft Measure points R - Resistivity D - Directional G - Gamma D G 21. 5 ft 17. 2 ft

1 4 Flexible Business Model § § Purchase or Rent No license fees or royalties Provides field operations and shop R&M training and support APS sells parts and specialized maintenance tooling Or § APS maintains your tools

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