Potassium formate brine has been produced by Addcon

Potassium formate brine has been produced by Addcon in Norway since 1994 Production Site ADDCON NORDIC AS Storage tanks for raw materials

Potassium formate production by Addcon • The first and largest producer of potassium formate - Brine production capacity : 800, 000 bbl/year - Non-caking powder capacity: 8, 400 MT/year • Direct production from HCOOH and KOH • High purity product • Large stocks on quayside location • Fast service – by truck, rail and sea • Supplier to the oil industry since 1994 94 % Formic acid 5, 000 m 3 50 % KOH 4, 500 m 3 6, 300 MT Feedstock storage tanks in Norway

Cesium formate produced by Cabot in Canada from pollucite ore Pollucite ore Cs 0. 7 Na 0. 2 Rb 0. 04 Al 0. 9 Si 2. 1 O 6·(H 20) • Mined at Bernic Lake, Manitoba • Processed on site to Cs formate brine • Cs formate brine production 700 bbl/month

Potassium formate brine has been used to drill deep HPHT gas wells since 1995 First use : Exxon. Mobil’s Walsrode field, onshore northern Germany - high-angle deep HPHT slim hole low perm gas wells TVD : 4, 450 -5, 547 metres Reservoir: Sandstone 0. 1 -125 m. D BHST : 157 o C Section length: 345 -650 m Drilling fluid: SG 1. 45 -1. 55 K formate brine

Potassium formate from Addcon used in 15 deep HPHT gas well constructions in Germany , 1995 -99 Fluids service provided by M-I and Baroid Well Name Application Fluid Type Density s. g. (ppg) Horizontal Length(m) Walsrode Z 5 W/C K Formate 1. 55 (12. 93) 345 26 315 na 4450 - 4632 4815 - 5151 0. 1 - 125 m. D Wasrode Z 6 W/C K Formate 1. 55 (12. 93) 420 40 315 na 4450 - 4632 4815 - 5151 0. 1 - 125 m. D Walsrode Z 7 Drill-In K Formate 1. 53 (12. 77) 690 59 315 295 4541 - 4777 5136 - 5547 0. 1 - 125 m. D Söhlingen Z 3 A Drill-In Formix 1. 38 (11. 52) 855 89 300 270 4908 5600 na Söhlingen Z 3 a Drill-In Na Formate 1. 30 (10. 85) 855 89 300 270 4908 5600 na Volkersen Z 3 W/C Formix 1. 40 (11. 68) 512 52 320 na na Kalle S 108 Drill-In Formix 1. 45 (12. 10) 431 60 220 na 6000 -6500 6200 -6600 na Weißenmoor Z 1 W/C Formix 1. 35 (11. 27) 634 31 300 na na Idsingen Z 1 a Drill-In K Formate 1. 55 (12. 93) 645 61 321 290 4632 - 4800 5257 - 5821 0. 1 - 125 m. D Söhlingen Z 12 Drill-In Na Formate/Formix 1. 35 (11. 27) 452 28 313 285 4736 - 4937 4846 - 5166 1. 0 - 75 m. D Simonswolde Z 1 Drill-In K Formate/Formix 1. 52 (12. 68) 567 35 293 275 4267 - 4572 4236 - 4648 0. 1 - 25 m. D Walsrode NZ 1 Drill-In Formix 1. 51 (12. 60) 460 34 290 265 4632 - 4815 4541 - 4693 0. 1 - 125 m. D Idzingen Z 2 W/C Formix 1. 40 (11. 68) na na 320 na 4632 - 4800 5257 - 5821 0. 1 - 125 m. D Voelkersen NZ 2 W/C Formix 1. 40 (11. 680 na na 320 na na 1200 90 300 285 4724 5486 - 6400 0, 1 - 150 m. D Söhlingen Z 13 Drill-In/Frac K Formate/Formix 1. 30 (-1. 56)(10. 85) Angle (°) BHST (°F) BHCT (°F) TVD (metres) MD (metres) Permeability (m. D)

Summary of potassium formate brine use in HPHT gas wells in Germany, 1995 -99

Formate brines – Some further important milestones : 1999 -2004 First production of non-caking crystalline K formate by Addcon 1999 First use of K/Cs formate brine : Completion job in Shearwater well (Shell UK) 2000 First use of First drilling K/Cs jobs with formate K/Cs formate brine as brine: HPHT well Huldra and suspension Devenick fluid HPHT (Elgin) 2001 First use of Csweighted LSOBM as perforating completion fluid (Visund) 2002 Cs-weighted LSOBM used as OH screen completion fluid (Statfjord) 2003 First of 14 Kvitebjørn HPHT wells drilled and completed with K/Cs formate brines 2004 Formate brines used as packer fluids for HPHT wells in GOM. First well : Exxon. Mobil’s MO 822#7 (215 o. C BHST) in 2001 Use of Cs-weighted oil-based completion fluids for oil reservoirs : Visund, Statfjord, Njord, Gullfaks, Snorre , Oseberg, Rimfaks 2001 – present Individual Draugen oil wells (1993) and Visund oil wells (2003) have similar flow rates of around 50, 000 bbl oil/day

The first sustained use of K/Cs formate brine was in the world’s largest HPHT gas field development Elgin/Franklin field – UK North Sea Cesium formate brine used by TOTAL in 34 well construction operations in 8 deep gas fields in period 1999 -2010

Formate brines – Some published milestones 2005 -2010 Saudi Aramco start using K formate to drill and complete (with ESS) in HPHT gas wells 2005 OMV Pakistan start using K formate to drill and complete (with ESS) in HPHT gas wells 2006 First MPD operation in Gravel pack Kvitebjørn with K/Cs with K formate “designer brine in fluid” Statfjord B 2007 2008 Petrobras use K formate brine for open hole gravel packs in Manati field 2009 First of 12 completions in the Kashagan field with K/Cs formate Total’s West Franklin F 9 well (204 o. C) perforated in K/Cs formate brine 2010 K/Cs formate brines used as well perforating fluids in 11 HPHT gas fields in UK North Sea : Dunbar, Shearwater, Elgin, Devenick , Braemar , Rhum, Judy , Glenelg , Kessog , Jura and West Franklin 1999 -2011

Saudi Aramco have been drilling HPHT gas wells with potassium formate brine since 2003