N2 FRAC CLEAN UP/INLINE PRODUCTION TEST PAS-PRD SEVEN GENERATIONS ENERGY LTD.

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1 N2 FRAC CLEAN UP/INLINE PRODUCTION TEST PAS-PRD SEVEN GENERATIONS ENERGY LTD. Well Name: UWI: Surface Location: W6 FIELD: Karr FORMATION: Montney Test/Prod Intervals: mkb TEST DATE (s): July 5-22, 211 Job #: 4367 DISTRIBUTION: Well Completions - Calgary, AB - 2 copies PREPARED BY: Enertec Systems enertec@telus.net Roberta (Robbie) Lailey Cell: (43) Boreal Well Services, A Division of Bonnetts Energy Services Ltd. RR2, Site 2, Box 6 Grande Praire, AB T8V 2Z9 Phone: (78) Fax: (78)

2 Well Info: Oil Company Name: Well Name: Unique Well ID (UWI): Surface Location: Formation: Field: Well Fluid Type at Test Date: Test Data: Service Company Name: Service Company Code: Test Final Date/Time: Meters: Gas Meter1 Field Production Testing Notes (PAS-PRD) GENERAL INFORMATION Karr BORWS 22-Jul-11 Test/Prod. Interval Top mkb (Log): Test/Prod. Interval Base mkb (Log): SEVEN GENERATIONS ENERGY LTD W6 Montney 1 - Oil X 2 - Gas Boreal Well Services 3 - Water 17 - Crude Bitumen 8:3 EUB Well License No.: Drilling Leg: Recorders Run: Previous Gas Prod.:. 1 3 m 3 Gas Flared: m m Gas Incinerated:. 1 3 m m Gas Produced to Pipeline: m 3 Gas Vented: m 3 Metering Device Type: Orifice Gas Relative Density:.726 Meter Run/Prover Size: mm Nitrogen (N2): 1.16 % Carbon Dioxide (CO2): 1.6 % Atmospheric Pressure: 93.1 kpa Hydrogen Sulphide (H2S):. % 1 No Tap Type: Tap Location: Flanged Downstream Liquid Meter1 Liquid Type Indicator: Water Metering Device Type: Produced Volume Tank Measurement Indicator: Incremental ph: 7 Salinity: 131 API (Oil Gravity): 43.3 Liquid Meter2 Liquid Type Indicator: Metering Device Type: Tank Measurement Indicator: Oil/Condensate Produced Volume Incremental ERCB PAS_PRD File Name: W6--Montney-PRD pas REMARKS An ERCB PAS_PRD (v. 4.) file has been created, using the above mentioned information. The Gas Analysis from samples obtained on July 22, 211 was used for this report.

3 GAS ANALYSIS Container Identification 7661 Operator Name SEVEN GENERATIONS ENERGY LTD Laboratory Number 11GG513134A Unique Well Identifier 1/ W6/ Field or Area KARR Pool or Zone MONTNEY Well Name 7GEN Hz KARR Sampler's Company BOREAL WELL PRODUCTION TESTING Well License Elevation KB m GRD m Test Type Test No. Name of Sampler Test Interval or Perfs mkb mkb Sampling Point METER RUN Pressure (kpa) Temperature Separator Reservoir Source Sampled Received Date Sampled Jul 22, 211 Date Received Jul 26, 211 Date Analyzed Jul 26, 211 Date Reported Jul 26, 211 Location - Approved By - Title Grande Prairie - Jeff Housman - Reporter Other Information SFC: W6 ; SAMPLE POINT: 35 * Results relate only to the items tested COMP MOLE FRACTION AIR FREE AS RECEIVED AIR FREE ACID GAS FREE H2.7.7 He.1.1 N CO2.16. H2S.. C C PETROLEUM LIQUID ml / m³ C IC NC IC NC C C Total GROSS HEATING VALUE MJ/m³ 15º C AND kpa Air Free As Received Moisture Free Moisture & Acid Gas Free C7+, Air Free As Received RELATIVE DENSITY (CALCULATED) Moisture & C7+, Moisture C7+, Portion Acid Gas Free Free Whole Density PSEUDO CRITICAL PROPERTIES (CALCULATED) As Sampled Acid Gas Free ppc (abs) kpa ptc K ppc (abs) kpa ptc K RELATIVE MOLECULAR MASS Total Gas C VAPOUR PRESSURE (Pentanes +).1 H S g/m³ kpa. C7+ Density (kg/m3) 697. DENSITY Total Sample Density(kg/m3).89 This analysis and calculations are based on GPA 2261, GPA 2145, and AGA#5 Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

4 HYDROCARBON LIQUID ANALYSIS Container Identification PB1 Operator Name SEVEN GENERATIONS ENERGY LTD Laboratory Number 11CG513134A Unique Well Identifier Field or Area KARR Pool or Zone MONTNEY Well Name 7GEN Hz KARR Sampler's Company BOREAL WELL PRODUCTION TESTING Well License Elevation KB m GRD m Test Type Test No. Name of Sampler Test Interval or Perfs mkb Sampling Point FLOWLINE Pressure (kpa) Separator Reservoir Source Sampled Received mkb Temperature Date Sampled Date Received Date Analyzed Date Reported Location - Approved By - Title Jul 22, 211 Jul 26, 211 Jul 26, 211 Jul 26, 211 Calgary - Cung Tran - Reporter Other Information FLOWLINE TO HIGH STAGE, SFC: W6 ; SAMPLE POINT: 2 * Results relate only to the items tested COMP. MOLE FRACTION MASS FRACTION VOLUME FRACTION Observed Properties of C7+ Residue (15/15 C) N2... CO2... Density 82. kg/m³ Relative Density H2S... C1.3 TRACE.1 Relative Molecular Mass C C IC NC IC NC C C Calculated Properties of Total Sample (15/15 C) Density 89.5 kg/m³ Relative Molecular Mass Relative Density Gas Equivalency 19.1 TOTAL Calculations for C6 and C7 are based on Boiling Point Grouping. If Carbon Number Grouping had been done, the mole fractions would be (C6:.866) (C7+:.855) This analysis and calculations are based on GPA 2186, GPA 2286, ASTM 2597, and ASTM 537 Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

5 PROPERTIES OF C6+ FRACTION File No. 11CG513134A Company SEVEN GENERATIONS ENERGY LTD UWI / LSD BOILING POINT RANGE (C) COMPONENT MOLE FRACTION MASS FRACTION VOLUME FRACTION HEXANES... C HEPTANES... C OCTANES... C NONANES... C DECANES... C UNDECANES... C DODECANES... C TRIDECANES... C TETRADECANES... C PENTADECANES... C HEXADECANES... C HEPTADECANES... C OCTADECANES... C NONADECANES... C EICOSANES... C HENEICOSANES... C DOCOSANES... C TRICOSANES... C TETRACOSANES... C PENTACOSANES... C HEXACOSANES... C HEPTACOSANES... C OCTACOSANES... C NONACOSANES... C PLUS TRIACONTANES C BOILING POINT RANGE (C) Aromatics MOLE FRACTION MASS FRACTION VOLUME FRACTION 8. BENZENE... C TOLUENE... C ETHYLBENZENE... C XYLENES... C ,2,4 TRIMETHYLBENZENE C BOILING POINT RANGE (C) Naphthenes MOLE FRACTION MASS FRACTION VOLUME FRACTION CYCLOPENTANE... CC METHYLCYCLOPENTANE... MCC CYCLOHEXANE... CC METHYLCYCLOHEXANE... MCC The above hexanes plus values are based upon a measured mass fraction and a calculated mole fraction, and assume a total hydrocarbon recovery from the chromatographic system. Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

6 WATER ANALYSIS Container Identification PB3 Operator Name SEVEN GENERATIONS ENERGY LTD Laboratory Number 11WG513134A Unique Well Identifier 1/ W6/ Field or Area KARR Pool or Zone MONTNEY Well Name 7GEN Hz KARR Sampler's Company BOREAL WELL PRODUCTION TESTING Well License Elevation KB m GRD m Test Type Test No. Name of Sampler Test Interval or Perfs mkb mkb Sampling Point FLOWLINE TO HIGH STAGE Pressure (kpa) Temperature Separator Reservoir Source Sampled Received 37 Date Sampled Jul 22, 211 Date Received Jul 26, 211 Date Analyzed Jul 26, 211 Date Reported Jul 26, 211 Location - Approved By - Title Calgary - Benita Cortez - Reporter Other Information SFC: W6 ; SAMPLE POINT: 2 * Results relate only to the items tested Cations Anions Other Measurements ION mg/l mmol/l meq/l ION mg/l mmol/l meq/l Measurement Value Na K Ca Mg Fe TRACE. TRACE Total Cations Cl HCO SO CO3 Nil Nil Nil OH Nil Nil Nil Total Anions Total Dissolved Solids (Calculated) mg/l Observed ph H2S (25 C) mg/l Relative Density (25 C) Resistivity/OHM m (25 C) Salinity % Total Alkalinity as CaCO N/D This analysis and calculations are based on: ph = SM 45 H+ Alkalinity = SM 232 Cations = EPA SW-846 7B Anions = SM 411B H2S = SM 45 S-² Stiff Diagram (meq/l) Na Cl K Ca HCO 3 Mg SO4 Fe CO3 Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

7 GAS ANALYSIS Container Identification 719 Unique Well Identifier Operator Name SEVEN GENERATIONS ENERGY LTD Well Name Previous Number 11GG51363A 7GEN Hz KARR Laboratory Number 11GG51884A Field or Area KARR Pool or Zone MONTNEY Sampler's Company BOREAL WELL PRODUCTION TESTING Well License Elevation KB m GRD m Test Type Test No. Name of Sampler Test Interval or Perfs mkb Sampling Point mkb METER RUN Pressure (kpa) Temperature Separator Reservoir Source Sampled Received Date Sampled Jul 15, 211 Date Received Jul 16, 211 Date Analyzed Jul 16, 211 Date Reported Jul 16, 211 Location - Approved By - Title Grande Prairie - Jeff Housman - Reporter Other Information * Results relate only to the items tested COMP MOLE FRACTION AIR FREE AS RECEIVED AIR FREE ACID GAS FREE H2.3.3 He.1.1 N CO2.86. H2S.. C C PETROLEUM LIQUID ml / m³ C IC NC IC NC C C Total Comparably different from most recent sample: N2,C1,C2,C3,IC4,NC4,IC5,NC5,C7 GROSS HEATING VALUE MJ/m³ 15º C AND kpa Air Free As Received Moisture Free Moisture & Acid Gas Free This analysis and calculations are based on GPA 2261, GPA 2145, and AGA#5 C7+, Air Free As Received RELATIVE DENSITY (CALCULATED) Moisture & C7+, Moisture C7+, Portion Acid Gas Free Free Whole Density PSEUDO CRITICAL PROPERTIES (CALCULATED) As Sampled Acid Gas Free ppc (abs) kpa ptc K ppc (abs) kpa ptc K RELATIVE MOLECULAR MASS Total Gas C VAPOUR PRESSURE (Pentanes +).12 H S g/m³ kpa. C7+ Density (kg/m3) 695. DENSITY Total Sample Density(kg/m3).949 Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

8 GAS ANALYSIS Container Identification 465 Unique Well Identifier Operator Name SEVEN GENERATIONS ENERGY LTD Well Name Previous Number 11GG51363A 7GEN Hz KARR Laboratory Number 11GG51771A Field or Area KARR Pool or Zone MONTNEY Sampler's Company BOREAL WELL PRODUCTION TESTING Well License Elevation KB m GRD m Test Type Test No. Name of Sampler Test Interval or Perfs mkb Sampling Point mkb METER RUN Pressure (kpa) Temperature Separator Reservoir Source Sampled Received Date Sampled Jul 15, 211 Date Received Jul 15, 211 Date Analyzed Jul 15, 211 Date Reported Jul 15, 211 Location - Approved By - Title Grande Prairie - Jeff Housman - Reporter Other Information * Results relate only to the items tested COMP MOLE FRACTION AIR FREE AS RECEIVED AIR FREE ACID GAS FREE H2.4.4 He TRACE TRACE N CO2.85. H2S.. C C PETROLEUM LIQUID ml / m³ C IC NC IC NC C C Total Comparably different from most recent sample: N2,C1,C2,C3,IC4,NC4,NC5,C6,C7 GROSS HEATING VALUE MJ/m³ 15º C AND kpa Air Free As Received Moisture Free Moisture & Acid Gas Free This analysis and calculations are based on GPA 2261, GPA 2145, and AGA#5 C7+, Air Free As Received RELATIVE DENSITY (CALCULATED) Moisture & C7+, Moisture C7+, Portion Acid Gas Free Free Whole Density PSEUDO CRITICAL PROPERTIES (CALCULATED) As Sampled Acid Gas Free ppc (abs) kpa ptc K ppc (abs) kpa ptc K RELATIVE MOLECULAR MASS Total Gas C VAPOUR PRESSURE (Pentanes +).26 H S g/m³ kpa. C7+ Density (kg/m3) DENSITY Total Sample Density(kg/m3).969 Calgary AB, Ph: (43) Edmonton AB, Ph: (78) Grande Prairie AB, Ph: (78) Red Deer AB, Ph: (43) Fort St. John BC, Ph: (25) Prince George BC, Ph: (25) Terrace BC, Ph: (25) Mississauga ON, Ph: (95)

9 MONTNEY ( mkb) N2 Frac Clean Up/Inline Production Test Well: W6.Csg (kpag) Well: W6.Tbg (kpag) N2/Burnable Gas Meter.Burnable Gas Rate (1³m³/d) N2/Burnable Gas Meter.N2 Rate (1³m³/d) Pipeline Gas Meter.Gas Rate (1³m³/d) :: 13/7/211 4:9: 14/7/211 2:18: 15/7/211 :27: 16/7/211 22:36: 2:45: 17/7/211 18:54: 18/7/211 17:3: 19/7/211 15:12: 2/7/211 13:21: 21/7/211 11:3: 22/7/211.

10 MONTNEY ( mkb) N2 Frac Clean Up/Inline Production Test Well: W6.Csg (kpag) Well: W6.Tbg (kpag) Recovered/Produced Fluid Volumes.Oil Rate (m³/d) Recovered/Produced Fluid Volumes.Water Rate (m³/d) :: 13/7/211 4:9: 14/7/211 2:18: 15/7/211 :27: 16/7/211 22:36: 2:45: 17/7/211 18:54: 18/7/211 17:3: 19/7/211 15:12: 2/7/211 13:21: 21/7/211 11:3: 22/7/211

11 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 1 211/7/5 9::.. Arrive on location and spot test equipment. 2 Hold safety meeting regarding rig up. 3 Start rigging in test unit and 3'' 1k flowline / manifold. 4 21:: 12.. Shut down operations for day /7/6 9:: 24.. Arrive on location and hold safety meeting. 6 Continue rigging in test equipment. 7 Shut down operations for day /7/7 7:: 46.. Arrive on location and hold safety meeting. 9 Continue rigging in. 1 Finished rig up, shut down operations for day /7/8 7:: 7.. Arrive on location and finish rigging in frac equipment. 12 Start delivering 12 stage ball frac to the montney. 13 Finished fracing for day, secure equipment and shut down for night. 14 Delivered 2 fracs to date /7/11 7:: Arrive on location and hold pre frac safety meeting. 16 Continue fracturing montney. 17 Finished fracing for day, secure equipment and shut down for night :: Delivered 5 fracs to date /7/12 7:3: Arrive on location and hold pre frac safety meeting. 2 Continue fracturing montney. 21 Finished fracing for day, secure equipment and shut down for night :3: Delivered 9 fracs to date /7/13 8:3: Arrive on location and hold pre frac safety meeting. 24 Continue to fracture montney as per program. 25 Finished delivering 12 stage packers plus ball frac :3: Rig out frac crew and related equipment. 27 Pressure test surface lines using well gas :: Open well to flow on a 18/64'' (7.14 mm) adjustable choke. 3 19:15: :3: :45: :: ProTechnics sample taken #1 35 Perfball catcher checked/ none found 36 2:15:

12 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/13 2:3: :45: :: Increase choke to 16/64" ( 6.35mm) 41 Perfball catcher checked/ none found 42 21:15: :3: :45: :: Perfball catcher checked/ none found 47 22:15: :3: Increase choke to 2/64" ( 7.93 mm) 5 22:45: Begin bleeding down surface casing :: Increase choke to 22/64" ( 8.73 mm) 54 Perfball catcher checked/ none found 55 23:15: :3: Increase choke to 32/64" ( 12.7 mm) 58 23:45: /7/14 :: ProTechnics sample taken #2 61 Perfball catcher checked/ none found 62 :15: :3: Increase choke to 38/64" ( 15.8 mm) 65 :45: :45: Trace burnable gas, meter in service on a 1.75'' (44.45 mm) orifice plate. 68 :55: :: Casing pressure too high, bleed off casing into buckets as instructed. 71 Perfball catcher checked/ none found 72 Increase choke to 4/64" ( mm)

13 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/14 1:15: Increase choke to 42/64" ( mm) 75 1:3: :45: :: Increase choke to 46/64" ( mm) 79 Perfball catcher checked/ none found 8 2:15: :3: :45: :: Perfball catcher checked/ none found 85 3:15: :3: Checked choke seats in manifold. Seat damaged / changed out. 88 3:45: :: ProTechnics sample taken #3 91 Perfball catcher checked/ none found 92 4:15: Dual chokes = 46/64" & 16/64" = mm 94 Increase orifice plate to 1.25" (31.75mm) 95 4:3: :45: :: Perfball catcher checked/ none found 99 Dual chokes = 46/64" & 32/64" = mm 1 5:15: Dual chokes = 46/64" & 42/64" = mm 12 5:3: :45: :: Dual chokes = 46/64" & 46/64" = mm 16 Perfball catcher checked/ none found 17 6:15: :3:

14 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/14 6:45: :: Perfball catcher checked/ none found 112 7:15: :3: :45: :: % condensate and 5% sand showing in fluid sample. 117 Pinging sound heard at wellhead. (suspect balls caught up at top of wellhead) 118 Shut in well and remove top hammer cap :15: Inspect top of second master using broom handle to feel for balls. 121 Suspected that balls are sitting on top of master, secure hammer cap and try to flow balls to ball catcher :15: Open well to test unit as instructed. 124 Isolate ball catcher and check for balls :3: No balls recovered in catcher, shut in well and remove flange as instructed. 126 Use suction hose to recover balls sitting on upper master valve. 127 Three balls recovered from well head : 2.875'', 3.'' and 3.125" 128 1:4: Open well to flow on a 32/64'' (12.7 mm) adjustable choke. 13 1:45: :5: :55: :: :15: Increase choke to 48/64'' (19.5 mm) :3: :45: :: ProTechnics sample taken #4 14 Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered. 144 Increase to dual chokes 48/64'' & 12/64'' = mm.

15 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 145 Increase orifice plate to 1.5'' (38.1 mm) /7/14 13:3: :: Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered :3: ProTechnics sample taken #5 154 Fluid haulers caught up on hauling, increase dual chokes to 48/64'' & 32/64'' = mm 155 Checked ball catcher, no balls recovered :: :3: :: Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered :15: :3: :: Checked ball catcher, no balls recovered :3: Configure chokes at flow manifold 169 2:: ProTechnics sample taken #6 171 Checked ball catcher, no balls recovered. 172 Dual chokes = 46/64" & 4/64" = mm 173 Dual chokes = 46/64" & 46/64" = mm 174 2:3: :: Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered :3:

16 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/14 23:: Checked ball catcher, no balls recovered :3: /7/15 :: ProTechnics sample taken #7 186 Checked ball catcher, no balls recovered. 187 :3: :: Checked ball catcher, no balls recovered. 19 1:3: :: Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered :3: :: ProTechnics sample taken #8 199 Checked ball catcher, no balls recovered. 2 4:3: :: Checked ball catcher, no balls recovered. 23 5:3: :: Checked ball catcher, no balls recovered. 26 6:3: N2 analysis results from Agat Laboratories shows 19 %, notes have been corrected from 7: am July :: :3: :: ProTechnics sample taken #9 212 Checked ball catcher, no balls recovered :3: :: :3: ::

17 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 217 Decrease back pressure on high stage test unit. 218 H2s pulled by Rae tube = ppm /7/15 1:3: Checked ball catcher, no balls recovered :: :3: ProTechnics sample taken #1 224 Checked ball catcher, no balls recovered. 225 HP gas samples taken to Agat Lab for rush analysis on N2 content :: :3: :: :3: Checked ball catcher, no balls recovered :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: HP gas samples taken to Agat Lab for rush analysis on N2 content. 242 Checked ball catcher, no balls recovered :3: :: :3: :: Checked ball catcher, no balls recovered. 248 ProTechnics sample taken # :3: :: :3: ::

18 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 253 Checked ball catcher, no balls recovered /7/15 22:3: :: :3: /7/16 :: Checked ball catcher, no balls recovered. 259 :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: Checked ball catcher, no balls recovered. 269 ProTechnics sample taken # :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: Checked ball catcher, no balls recovered :: :3: :: :3: :: :3: Purge out facility and pipeline using well gas. 286 Pressure test sales line to 31 KPa. 287 Adjust back pressure to set kimray valve. 288 Operators having problems with electrical in facility, hold 26 KPa on unit and wait on repairs.

19 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/16 11:: :3: ProTechnics sample taken # Checked ball catcher, no balls recovered :: :3: :: :3: :: Divert flow down pipeline. (unable to take all gas flow due to calibration issues in facility) 299 New meter in service for gas downline 3 Checked ball catcher, no balls recovered :15: :3: :: :3: :: Gas 1 % in line and flowing through operators facility :3: :: :3: :: :3: :: :3: ProTechnics sample taken # :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: /7/17 ::

20 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 325 Checked ball catcher, no balls recovered /7/17 :3: :: :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: Increase orifice plate to 1.375'' (34.93 mm) 337 5:: :3: :: Checked ball catcher, no balls recovered :3: :: Checked ball catcher, no balls recovered :3: :: ProTechnics sample taken # :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: :3: :: :3:

21 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/17 15:: :3: :: :3: :: :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: /7/18 :: :3: :: :3: :: :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: ::

22 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/18 7:3: :: Checked ball catcher, no balls recovered. 4 ProTechnics sample taken # :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: ::

23 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/18 23:3: /7/19 :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3:

24 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/19 17:: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: :: :3: /7/2 :: :3: :: :3: :: :3: :: :3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: ProTechnics sample taken # :3:

25 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/2 9:: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: Decrease orifice plate to 1.125" (28.58 mm) 52 16:: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: :: :3: /7/21 :: :3: ::

26 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/21 1:3: :: :3: :: Increase orifice plate to 1.25'' (31.75 mm) 546 3:3: :: :3: :: Checked ball catcher, no balls recovered :3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: :3: :: Checked ball catcher, no balls recovered. Obtain sand sample from perf ball catcher representative of sand returned from 5 to 17 hrs today.

27 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % /7/21 17:3: :: :3: :: :3: :: ProTechnics sample taken # :3: :: :3: :: :3: :: :3: /7/22 :: :3: :: :3: :: Gas diverted to flare./ Compressor down at gas plant. 597 Informed Operator (Ian)... Wait for instruction to to flow inline. 598 Slowly decrease KimRay backpressure valve to inline pressure :3: :: :3: :: Divert flow Inline./ Compressor back online. 64 4:3: :: Checked ball catcher, no balls recovered. 67 5:3: high pressure gas samples taken...cylinder #54884 and # condensate samples taken and 2 H2 samples taken. 61 6:: ******************************************************************************************* 612 Initial load water to recover = 7988 m³ m³

28 MONTNEY ( mkb) Test Time Well: W6 N2/Burnable Gas Meter Pipeline Gas Meter Recovered/Produced Fluid Volumes Date Time Cum Flow. Tbg Csg WHT N2 N2 Rate N2 Cum Burnable Gas Rate Burnable Gas Cum Gas Rate Cum Gas Fld Vol BSW Oil Gain Cum Oil Water Gain Cum Water ph Salinity API Sand yyyy/mm/dd hh:mm:ss Hrs. Hrs. kpag kpag C % 1³m³/d 1³m³ 1³m³/d 1³m³ 1³m³/d 1³m³ (I) m³ % m³ m³ m³ m³ ppm API % 613 Load water recovered to date = m³ 614 Load water left to recover = m³ 615 ******************************************************************************************* 616 Shut in well/ begin build up pressures /7/22 6:5: :1: :15: :3: :45: :: :3: :: End of buildups 626 Shut in master valve, secure well and rig out test equipment 627 8:3:

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FRAC CLEAN UP AND TEST PAS-PRD SEVEN GENERATIONS ENERGY LTD.

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