JESSE HERNANDEZ: ARTIFICIAL LIFT ENGINEER WITH 35 YEARS IN ARTIFICIAL LIFT AND SUPPORT OF NEW TECHNOLOGY IN COUNTRIES ALL AROUND THE WORLD.

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2 LUIS DIAZ: PROFESSIONAL PETROLEUM ENGINEER WITH OVER 35 YEARS IN THE OIL AND GAS INDUSTRY. LEADER FOR TEAMS RESPONSIBLE FOR DRILLING, PRODUCTION AND WORKOVER FOR SEVERAL MAJOR OIL COMPANIES. GIVEN THE OPPORTUNITY TO USE STATE OF THE ART TECHNOLOGY. JESSE HERNANDEZ: ARTIFICIAL LIFT ENGINEER WITH 35 YEARS IN ARTIFICIAL LIFT AND SUPPORT OF NEW TECHNOLOGY IN COUNTRIES ALL AROUND THE WORLD.

3 35 YEARS OF MAKING HYDRAULIC LIFT SYSTEMS WORK

4 THE BEGINNING: THE SEARCH FOR ECONOMICS IN RE-ENTRY OF MATURE OIL FIELDS The search for an economical solution to recovery of an estimated 300,000 barrels of oil from a field that has been produced for over 100 years. Studies indicated the need for re-entry. Slim hole directional drilling provided the economics, but a lift method was needed. Hydraulic power transmission offers advantages including RIGLESS installation

5 INDUSTRY RECOGNIZED ADVANTAGES OF HYDRAULIC LIFT HIGHER RATE IN REDUCED BORE WELLS TOLERANT TO SAND ECONOMICS IN MULTIPLE WELLS EXCELLENT FOR SEVERE DOG LEGS, DEVIATION OR HORIZONTAL WELLS APPLICABLE IN GASSY WELLS LARGE PRODUCTION RANGE NO MOVING PARTS LOW PRESSURE RESERVOIRS RIGLESS INSTALLATION RIGLESS PUMP RECOVERY FACILITATES TREATMENT FOR CORROSION, HEAVY OIL, PARAFFIN AND SCALE

6 DIRECTIONAL, HORIZONTAL OF SEVERE DOG LEGS

7 GREATER PRODUCTION IN REDUCED BORE RE-ENTRY OR NEW DRILLING

8 LOWER CAPEX AND OPEX IN MULTIPLE WELL PADS

9 HIGH VOLUME FLOW BACK OR GASSY LOW PRESSURE OIL WELLS

10 TOLERATES SAND, CORROSION AND GAS

11 MOST COMMON REPORTED DISADVANTAGES HIGH OPEX - SURFACE MAINTENANCE COST (PLUNGER PUMP VALVES AND PLUNGER PACKING) REQUIRES TRAINING AND PRODUCT KNOWLEDGE ISSUES WITH SURFACE HIGH PRESSURE PIPING ISSUE WITH COST OF TREATMENT FOR WATER AS POWER FLUID IN PISTON PUMPS

12 WHAT HAPPENED TO HYDRAULIC LIFT

13 ITS TIME TO WAKE THE SLEEPING GIANT: NEW GENERATION JET PUMP

14 BASICS: HIGH VOLUME JET PUMP CONCEPT

15 FLOW BACK TO LOW PRESSURE GASSY PRODUCTION HIGH VOLUME TO LOW VOLUME GAS VENTED SOLUTIONS

16 COMBINATION CASING FREE WITH CONCENTRIC COIL TUBING OPTION WELL COMPLETION No XN Landing Nipple X Sliding Sleeve XN Landing Nipple X Sliding Sleeve XN Landing Nipple 8 Safety Joint 9 Pup Joint 10 Packer Landing Nipple Description

17 RIGLESS INSTALLATION

18 SURFACE WELLHEAD PRESSURE CONTROL

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20 OTHER ADVANCES IN HYDRAULIC LIFT 2-3/8 x 5-1/2

21 MOST FREQUENT PROBLEMS ARE ENGINEERING PROBLEMS

22 National Hydraulic Piston Pump Single acting action High Efficiency- 80% + Stroke length: Pump Capacity 2-3/8 500 bfpd 2-7/ bfpd

23 DEVELOPMENTS IN PISTON PUMPING

24 COMMENTS & CONCLUSIONS HYDRAULIC LIFT NEEDS INTEGRATED ENGINEERING PRODUCT KNOWLEDGE PRODUCT DEVELOPMENT HYDRAULIC LIFT IS A PROVEN PRODUCTION TOOL THAT OFFERS SOLUTIONS

25 WHAT DO WE NEED WE NEED TO DEMONSTRATE OPTIMIZATION AND RELIABILITY ON YOUR EXISTING HYDRAULIC LIFT SYSTEMS WE NEED TO DEMONSTRATE DESIGN AND INSTALLATION OF THE ENGINEERED HYDRAULIC LIFT SOLUTION

26 THE IDEAL OIL WELL CANDIDATE WITH INITIAL FLOW BACK RATES TO 4000 BFPD AND A LONG TERM SOLUTION AT LESS THAN 100 BFPD IN GEOMETRICALLY CHALLENGING REDUCED BORE GASSY OIL WELLS.

27 THANKS FOR YOUR TIME AND ATTENTION

28 THROAT AND NOZZLE

29 PERFORMANCE SIMULATIONS

30 THROAT ANNULUS PRODUCTION FLOW AREA

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32 CAVITATION AREA W/ GAS APPROXIMATION

33 VERTICAL MULTIPHASE FLOW

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36 CONTINUED JET PUMP PERFORMANCE

37 WEST TEXAS MODEL West Texas Sample Well Data Depth 9800 API 46 Production 200 bfpd 5000 bfpd Water Cut 80% Casing 5-1/2 GOR Tubing 2-7/8 Flowline 100 psi FBHP 500 psi psi SBHP 1000 psi psi

38 FLOW BACK W/ GOR: 50 SCF/BBL CASING FREE COMPLETION 12C Nozzle and Throat Combination 12A Nozzle and Throat Combination Prod bfpd PF Press Pf Bpd HP PIP- psi Prod bfpd PF Press Pf Bpd HP

39 CASING FREE W/ GOR: 200, 650 & 2500 SCF/BBL, PIP= 2500 PSI WC: 86%, PF press: 4300 psi N & T GOR Prod PF bpd HP 13B B B B WC: 86%, PF Press: 4300 psi WC: 86%, PF Press: 4300 psi N & T GOR Prod bfpd Pf Bpd HP 13B B B B WC: 20%, PF Press: 4300 psi N & T GOR Prod PF bpd HP 13B B B B N & T GOR Prod PF bpd HP 13B B B B

40 FLOW BACK W/ GOR: 650 SCF/BBL CASING FREE COMPLETION 12C Nozzle and Throat Combination Prod bfpd PF Press Pf Bpd HP B Nozzle and Throat Combination PIPpsi PIPpsi Prod bfpd 4792 flow PF Press Pf Bpd HP A Nozzle and Throat Combination PIP- psi Prod bfpd 4792 Flow PF Press Pf Bpd HP CONCENTRIC 1-1/2 X 2-7/8 8A N & T-GAS VENT PIP- psi Prod bfpd PF Press Pf Bpd HP

41 HIGH VOLUME PRODUCTION TUNISIA

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44 COMBINATION CASING FREE WITH CONCENTRIC COIL TUBING OPTION WELL COMPLETION No XN Landing Nipple X Sliding Sleeve XN Landing Nipple X Sliding Sleeve XN Landing Nipple 8 Safety Joint 9 Pup Joint 10 Packer Landing Nipple Description

45 NEW GENERATION JET PUMPS

46 HIGH VOLUME STYLE COIL TUBING JET

47 RIG LESS INSTALLATION TO CUT COST IN A MATURE OILFIELD

48 RIG LESS CONCENTRIC COIL TUBING COMPLETION

49 ADVANCES IN HYDRAULIC LIFT 2-3/8 x 5-1/2

50 National Hydraulic Piston Pump Single acting action High Efficiency- 80% + Stroke length: Pump Capacity 2-3/8 500 bfpd 2-7/ bfpd

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52 Kobe Hydraulic Piston Pump Double Acting Efficiency: 80% + Stroke length : 15

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54 Guiberson Hydraulic Piston Pump Single and Double Acting Models Efficiency: 80%+ Stroke Length: 36

55 DEVELOPMENTS IN PISTON PUMPING

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58 PUMP DISPLACEMENT

59 PRESSURE & FORCE BALANCE

60 SELECTING P/E

61 PUMP INTERNAL LOSSES Pfr psi 1250 psi

62 EXAMPLE OF FRICTION LOSS CALCULATION

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64 PISTON PUMP PERFORMANCE

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70 MOST FREQUENT PROBLEM

71 COMMENTS & CONCLUSIONS HYDRAULIC LIFT NEEDS INTEGRATED ENGINEERING PRODUCT KNOWLEDGE TRAINING DEVELOPMENT HYDRAULIC LIFT IS A PROVEN PRODUCTION TOOL THAT OFFERS SOLUTIONS

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