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The PUBLISHED BY CANRIG DRILLING TECHNOLOGY LTD. Canrig Drilling Technology welcomes Matt Barr as the General Manager of Canadian facility PAGE 9 VOL 15 2012 E X P A N D I N G ONE MILE... ONE DAY
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The

PUBLISHED BY CANRIG DRILLING TECHNOLOGY LTD.

Canrig Drilling Technology welcomes Matt Barr as the General Manager of Canadian facility PAGE 9

VOL 15

2012

E X P A N D I N G

One Mile... One Day

aggressive growth targets. In pretty much every case we have not only achieved these goals, we have exceeded them.

Now we are planning to move to the next level, a move that will be even more challenging given the near term forecasts for some of the markets we serve. While I have confidence that we will again achieve our goals, I think a change in our culture will be required if we are to be as successful as we want to be.

The main thing we have to change is the belief that we are independent departments and the mindset that what happens in other departments is not our problem. We are one company and a problem anywhere is a problem everywhere. We have to think in terms of not just personal success or departmental success, but corporate success. In other words, how can I do a better job while helping everyone around me to do a better job at the same time?

That’s why we are implementing the IMPACT program at Canrig. IMPACT is an appropriate word because our goal is to impact the entire oil and gas industry, to change it radically and to move it forward dynamically.

The IMPACT program is focused on establishing and maintaining a set of core values that will help us do this. Each letter of the word represents one of these values. Integrity. Mission focused. Passion. Availability. Courage. Transparency.

In the weeks and months ahead, everyone will undergo training in this important program. I hope you will embrace it and allow it to transform all of us into a cohesive and united team. When this happens I believe there will be no limit to what we can achieve.

Sincerely,

Chris PapourasPresident, Canrig Drilling Technology

Since our inception, Canrig has set some

The C

ANRIG

CHRO

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FROM THE DESKof CHRIS PAPOURAS

C A N R I GD R I L L I N G

T E C H N O L O G Y L T D .

The CANRIG CHRONICLEQ U A R T E R L Y

N E W S L E T T E R

Volume 15

2012

THE CHRONICLE

is published quarterly

by Canrig Drilling Technology.

Submissions may be made to

IVY PLATA

ph. (281) 774-1921

fax. (281) 774-5630

e-mail ivy.plata @ canrig.com

Dear Employees,

2 Canrig Drilling Technology Ltd.

LETTER FROM THE PRESIDENT

www.CANRIG.com 3

and for some parts of our operational reach, the heat can be an obstacle. We encourage every em-ployee to read the following information issued by OSHA. It’s important to know and look out for the symptoms of heat-related illness in yourself and others during hot weather. Plan for an emergency and know what to do. Acting quickly can save lives.

* * *If our bodies cannot get rid of excess heat, it will

store it. When this happens, the body’s core temper-ature rises and the heart rate increases. As the body continues to store heat, the person begins to lose concentration and has difficulty focusing on a task, may become irritable or sick, and often loses the desire to drink. The next stage is most often fainting and even death if the person is not cooled down.

Excessive exposure to heat can cause a range of heat-related illnesses:

• Heat rash is skin irritation caused by sweat that does not evaporate from the skin. Try to work in a cooler, less humid environment when possible and keep the affected area dry.

• Heat cramps are caused by the loss of body salts and fluid during sweating. Tired muscles are usually the ones most affected by cramps. Cramps may oc-cur during or after working hours. Rest in a shady, cool area and drink lots of water. Wait a few hours before returning to strenuous work and seek medi-cal attention if the cramps do not go away.

• Heat exhaustion is the body’s response to loss of water and salt from heavy sweating. Signs include headache, nausea, dizziness, weakness, irritability, thirst and heavy sweating. Sit or lie down in a cool, shady area and drink plenty of cool water. Apply cold compresses or ice packs to cool the body. If symptoms do not improve within an hour, take the employee to the clinic for medical evaluation and treatment. Do not return to work that day.

• Heat stroke, the most serious form of heat-related illness, occurs when the body becomes un-able to regulate its core temperature. Sweating stops and the body can no longer rid itself of excess heat. Signs include confusion, loss of consciousness, and seizures. Heat stroke is a medical emergency that may result in death! Call 911 immediately. While waiting for help, place the worker in a shady, cool area and remove outer clothing. Fan air on worker and place cold packs in armpits. Wet worker with cool water and provide water as soon as possible. Stay with the employee until help arrives. n

We’re deep into the summer months,

CONGRATULATIONS to the Second Quarter WINNERS

SHOP TEAM: Team Phoenix

OFFICE TEAM: Mission Possible

SERVICE AND RENTALS TEAM: The Rookies

SAFE

TY T

EA

M A

WA

RD

S

CANRIG COMMUNITY

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4 Canrig Drilling Technology Ltd.

Our priority during 2012 is to identify and exploit the best of what we have

and do as a company. We are reviewing the scope of services of each busi-

ness unit to focus our resources on areas that provide long-term growth

opportunities and that will create superior value. We are streamlining our

organizational structure to support this effort. While the details are still

evolving, the mission of the organizational restructuring is clear. We believe our business

units have large amounts of talent and know-how that can benefit the company as a whole.

We would like to standardize the “best” of what we do on a daily basis. Unlocking and ex-

panding the use of proven practices will raise the operational excellence of the company

as a whole and do so efficiently. It will also create additional opportunities for a talented

workforce to have a greater impact on what the company does every day.

Our most valuable asset is you. That’s why we are committed to providing you with the

tools, training and resources to perform your work safely and with best practices. This is the

core mission of the HSE function.

Recognizing that many great ideas and practices are performed by our business units daily,

the Board of Directors urged us to build on that knowledge and export among ourselves the

best of what we have and what we do. For that reason, we created a new position, Corporate

Vice President of HSE, now headed by Richard Ward. With Richard’s direction and your

hard work and dedication, I am confident we will build on what we do well already and

raise our performance to a new level.

Thank you for your continued support.

Anthony G. Petrello

Dear Employees:A hearty hello to the entire Nabors organi-

zation. Tony Petrello and the business pres-

idents recently brought me in to help posi-

tion the Nabors family of companies for the

emerging 21st-century marketplace. There

has never been a more exciting time to be at

Nabors. Technological innovations in drill-

ing and reservoir stimulation are unprece-

dented. This makes it possible for previous-

ly unrecoverable reserves to be brought to

market in vast quantities. As one of the larg-

est drilling, completions and production

services companies in the world, Nabors

is well positioned to be a market leader in

these changes. Our company’s commitment

to use its unequalled asset base, technol-

ogy and know-how will drive market share

growth and create challenging and exciting

career opportunities for all of us.

The recently announced integration effort

between the various businesses is the first

step. Management has emphasized that this

integration is not about doing the same

work with fewer people to save cost. It is

all about adding value by leveraging our

existing talent to take the Nabors group of

companies to the next level. In this spirit,

Message from CEO Tony Petrello:

www.CANRIG.com 5

the HSE function has embarked on an ambitious plan

that will begin to touch every single Nabors employee in

the third and fourth quarters of this year. At a three-day

leadership summit conducted in early May, leaders from

the businesses, human resources, information technol-

ogy and HSE mapped out a compelling direction for the

HSE function.

Building on our “Mission Zero” vision, we amplified our

commitment and our duty for care. Our objective is to

create one company, one family and one brilliant future

where care for people and the environment is a core value

and where world-class innovation and technology places

Nabors in a class by itself. With a proactive culture,

exceptional people and deep management commitment,

zero incidents will be the norm and our focus will shift

from managing incidents to building a better workplace

that is life affirming and inspired. To achieve this, the

HSE function will drive four strategic objectives over

the coming years.

1) Strengthen our Culture: We will continue to build

a company culture that promotes pride and loyalty. Like a

family where affiliation and care for one another is para-

mount, there will be no tolerance for risky behaviors that

could hurt us. Should such behaviors be spotted, pro-

active, immediate and appreciated intervention must be

the norm. We must “stop” and take “time-out” for safety

when our workmates are threatened in any way. When

we achieve this culture shift across our organization, there

will be a cascade of benefits. We will empower leadership

at all levels, we will retain our best people, and achieving

zero incidents will be commonplace.

2) Eliminate high-severity risks: These are the risks

that are literally killing folks in our industry. Our plan here

is to create a clear set of standards, standard elements, best

implementation practices and audit protocols to manage

these risks to zero. To help with the management of these

risks, we intend to create centers of excellence that com-

bine subject matter expertise and thoughtful leadership

of people to help the divisions implement simple, effec-

tive and efficient programs. Areas of focus will include:

driver safety, well control, faultless simultaneous opera-

tions, dropped object avoidance, and incident-free fork-

lifts, manlifts and other industrial motorized equipment.

A final risk that has not led to fatalities but has caused our

people significant pain is the management of hands and

fingers incidents. A team will work on driving these types

of incidents to zero as well.

3) Enable operational excellence: World class HSE

and superior operational excellence goes hand in hand.

The HSE function will support operational excellence

by assuring a competent organization where everyone is

mission-driven and knows what is expected of them to

ensure flawless delivery. We intend to devote consider-

able attention and resources to training and development

as well as unifying our standards of operations. Like the

deck of an aircraft carrier, a unified HSE management sys-

tem combined with proactive leadership at all levels and

the competence of our people will allow us to confidently

control the uncontrollable every day without incident.

4) Achieve world-class HSE through functional excellence: Externally, we will improve how HSE inter-

acts with our customers to ensure alignment and satisfied

customer experiences. Internally, we intend to refocus the

HSE organization to be more effective in identifying the

best of what we do and addressing problem areas forth-

rightly and quickly.

This is a quick snapshot of our strategic direction. Proj-

ects are now in development to support each of these

strategic initiatives for delivery in the second half of 2012

and 2013. These projects will drive considerable change

across Nabors and in the process will provide develop-

mental opportunities for many people from all areas of

the company. We are keen to have your support in taking

our company to the next level and would welcome your

ideas on how you might step up to lead during this time

of tremendous opportunity. If you have a good idea or

would like to contribute in a particular area, please look

me up with a considered response.

Sincerely,

Richard Ward

Message from CEO Tony Petrello:

A little over a year ago, Canrig Drilling Technology introduced REVit™ -- a solution specifically designed to mitigate torsional vibrations in real-time. Last month, Newfield reached a company milestone by using the REVit™ technology on Nabors Rig B11 in McKenzie County, North Dakota.

According to Newfield records, the team drilled one mile in one day in the vertical section. They achieved 5,000 feet out of the first bit on the first well, 5,280 feet on the second and 5,304 on the third well.

“Canrig is excited to see how REVit™ is setting new drill-ing performance benchmarks everywhere the system is deployed,” said Canrig Product Line Manager Carlos Rolong. “This latest record with Newfield and Nabors is a great example of the results that are possible when the well construction team is engaged with the technology.”

Nabors Rig Manager Chris Kelleher says that B11 is performing consistently with the REVit™ technology. “We were in the perfect set-up to drill a mile in 24-hours,” he said. “It couldn’t have worked out better. This is the first rig I’ve been on that has REVit™. We use it all the time now. It typically leads to big successes.”

Canrig currently has 65 REVit™ systems running for various customers, with 30 more expected to be in op-eration by the end of 2012.

“The number of REVit™ systems in the field continues to expand,” said Rolong. “Our team is already work-ing on the next generation of tools and features that will enable our costumers to push the envelope of drilling performance.” n

6 Canrig Drilling Technology Ltd.

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ReVit™ technology boosts new drilling record

www.CANRIG.com 7

More than 180 mentors, mentees and staff members from Spring Oaks Middle School and Spring Woods High School (Texas) were treated to a special night at a Hous-ton Astros game. The event was planned and sponsored by Chris Papouras, our great mentoring champion and President of Canrig Drilling Technology. Chris conceived the plan and arranged for the Astros to provide the tickets. Canrig added $15 to each ticket for the attendees to use for food or merchan-dise. Preceding the game, five members of the Astros manage-ment staff spoke to the students about “Working in Baseball” providing an overview of various careers available behind the scenes of a sports organization. Their messages directly drove home the messages of hard work, getting good grades and finding your passion.

It was incredible to have so many mentors and mentees together, strengthening their relationships in a fun, casual setting outside of school. One of our campus men-tor coordinators pointed out the benefit of the students seeing other students with their mentors. For many of the students, this was their first time to attend a major league sporting event. Everyone had a great time, and many great memories were created. n

Relationships and Career awareness

Built at astros GameContributed by: Linda Buchman, Community Relations Office – Spring Branch ISD

CANR

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8 Canrig Drilling Technology Ltd.

The Drilling Performance Team is celebrating one year of service in the field. Consisting of eight full-time employees, these highly experienced master technicians do whatever it takes to get the job done.

“It’s this team’s job to take care of new performance prod-ucts,” said Ken Langevin, Drilling Performance Operations Manager. “We go through and fine tune the programs and processes, such as ROCKIT™, REVit™ and DrillSmart™ or any upcoming platforms. If there’s something new coming down the pipeline, this team is involved.”

The Drilling Performance Team’s main purpose is to com-mission rigs through pre- and post-health checks. Not only do they install the programs and software used for the rig’s automation, but they train the crews on how to use the prod-uct as well.

“We’ve experienced a steep learning curve throughout this venture,” said Langevin. “The program was in a state of evo-lution a year ago, but the more we did as a team, the more we learned how to make it better. We’ve learned to streamline and are happy with where we are now.”

Langevin believes that the team performs so well because he surrounds himself with talented people.

“You have to be extremely talented to troubleshoot,” he said. “You have to think outside the box, experience with PLC and VFD, know the top drive inside and out and under-stand drilling practices. With all that coupled together, it takes a great deal of time and experience to achieve this. This team has to have the right attitude and disposition. You’re only as good as your crew.”

Kevan Massey is an important part of Ken’s crew. He’s the new REVit™ Operations Coordinator with four and a half years of experience.

“We took an ‘end game’ approach when we rolled out RE-Vit™,” he said. “It’s been our most successful product entry to date. Everyone knows the plan, are well trained and we have designated people to handle daily interaction. We’ve experienced very few issues.”

Langevin hopes that the team continues down their current path of success for the remainder of the year.

“We are utilized in so many different areas and my guys get the jobs done,” he said. “You can’t be successful without good people. And I have really good people.” n

MasteringTechnology

Drilling Performance Team:Ralph Cates – US Tech - Master Top Drive TechBobby Cochran – US Tech - Master Top Drive TechGreg Forsythe – Canadian Tech – Master Top Drive TechKevan Massey – REVit™ Operations CoordinatorRay McDonald – Canadian Tech - Master Top Drive TechClint Paige – US Tech – Master Rigwatch/Instrumentation TechKent Pobanz – US Tech - Master Top Drive Tech Shane Wesner – Canadian Tech - Master Top Drive Tech

Kevan Massey

Ken Langevin

www.CANRIG.com 9

On April 18, Canrig Drilling Technology welcomed Matt Barr as the General Manager of their Canada facility. He holds a three-year business diploma in Purchasing and Supply Chain Management, a four-year Bachelor’s degree in business Industrial Operations and is currently working towards an MBA in operation-al leadership. We sat down with Matt to better under-stand his vision for Canrig and goals he plans on setting for Canadian operations.

Q: What is your career background?

A: Before starting at Canrig, I worked for Case New Holland. They build heavy equipment

for construction and agricultural needs, such as tractors, combines, excavators, dozers and backhoes. Prior to that, I worked in the automotive industry with Ford Motor Company and Dana ASG to launch a new generation of Ford F150 trucks.

Q: What are your immediate goals for the Canadian division of Canrig?

A: Our team is focused on the current structure and processes to provide a strong foundation

that will help grow the division. We have an excellent group of employees in Canada that are very excited to work towards operational excellence. The coming months and years should be an exciting time for us.

Q: How do you make sure there is camaraderie with the US and other

branches around the globe?

A: Transparency and open communication are the keys to success. By being transparent and hav-

ing fluid communication, we will be able to meet and exceed customer expectations as company.

Q: What part of your new job are you most excited about?

A: Being new to the organization for me is ex-citing. Canrig Drilling Technology has huge

potential to grow and become a world-class operation facility. We have a lot of energized people who are mo-tivated to push the company to new heights. Being part of this team makes it exciting for all of us. n

Welcome Matt Barr Canada facility introduces new General Manager

10 Canrig Drilling Technology Ltd. 2011

Canrig emerged in the oil and gas industry as a producer of top-tier top drives. Then came new lines of industry-best equipment and services. Now you can add edu-cation to the list.

The company has recently initiated a new partnership with a Texas college system to help prepare students for a career in the oil and gas industry. In what can be described as a win-win situation, Canrig brings students in for practical hands-on work in areas of their academic study, and that in turn helps produce additional qualified members of a future workforce.

“We have been working with Lone Star College. It’s almost like a partnership,” said Jami Roper, Human Resource Man-ager for Canrig’s Capital Equipment Division. “This is part of a curriculum that would benefit us as well as students who want to enter the oil and gas field.”

The students come from Lone Star College’s engineering and manufacturing programs. Canrig works with participants when they enter the six-week program to determine whether they will be slotted in areas where they will learn about me-

chanical or electrical systems and programs, or in the ware-house where they are exposed to learning critical aspects about product parts.

“Lone Star brings the students here and they tour the facility,” Roper said. “The students are interviewed and the ones who go through the program get this valuable on-the-job training.”

Three groups of students have gone through the program, which Roper said is in an early evolutionary stage. With each group, Canrig and Lone Star College personnel have analyzed the process and will consider ways to improve and expand it. In fact, a review is under way to consider adding a new area to help train field service technicians.

But the partnership has shown its value to both sides, as Can-rig has already made a hire from the May/June group of par-ticipants.

Meantime, Canrig and Lone Star continue to review ways to manage this new cooperative program which is already get-ting straight A’s from everyone involved. n

Canrig ClassroomCompany teams with college

to help students prepare for jobs in oil and gas industryTh

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Vol. 13 www.CANRIG.com 11

20 YEARS

Christopher Holcomb—USA

15 YEARS

Karen Getz—Canada

William Mcleod—Canada

10 YEARS

Larry Turner—USA

5 YEARS

Bobby Coleman—USA

Daniel Deguzman—USA

James Durrschmidt—USA

Nicolette Espinales—USA

Scott Glass—USA

Richard Goudie—Canada

Hillary Guillory—USA

Christopher Hackett—USA

Joseph Hazel—USA

Jason Holman—USA

Curt Kristian—Canada

Jordan Lee—Canada

Kevin Mcmullen—USA

Kenneth Nickens—USA

Kevin Petterson—USA

Roy Pierson—Canada

Lawrence Resch—USA

Kevin Stephens—USA

Linda Walker—USA

Steven Wood—USA

Keith Wathen—Canada

1 YEAR

Paul Aberle—Canada

Michael Andrews—USA

Kendall Bonner—USA

Mark Bell—USA

Edward Bluestone—USA

Arturo Camacho—USA

Doug Campbell—USA

Ralph Cates—USA

Clint Chick—USA

Ben Cohen—Canada

John Cwik—Canada

Dana Danaila—Canada

Denise Davis—USA

Anna Dick—USA

Raymond Doucet—Canada

Charles Fell—USA

Stanley Freedman—USA

William Gardner—USA

Terry Gates—USA

Clendon Gibson—USA

Jacob Graham—USA

Micah Gregory-Lederer—USA

Matthew Hallford—USA

Jennifer Haubrich—Canada

Cynthia Hicks—USA

Tony Hobbs—USA

Jeremy Johnson—USA

Jeanine Kelley—USA

Kenneth Kolodziejski—USA

Thomas Kurian—USA

Ashlee Layden—USA

Lori Lucas—USA

Robert Lybarger—USA

Grant Markham—Canada

Anthony Morris—USA

Theophile Mumbere—Canada

Sean Musick—USA

Jeff Oja—Canada

Obinna Onyewuchi—USA

Jose Ortega, Jr.—USA

Zachary Parrott—USA

Darin Perry—USA

Ruben Rodriguez—USA

Ricky Salgado—USA

Vinaykumar Satpute—USA

Chad Savoie—USA

Zachary Sayer—USA

William Schoendorf—USA

Daniel Schulman—USA

Timothy Scroggins—USA

Joseph Sears—USA

Travis Smith—USA

William Smith—USA

John Snedden—USA

Krystopher Snider—USA

Kyle Sprinkle—USA

Bogdan Stanescu—INTL

Chadrick Stephenson—USA

Lauren Stewart—USA

Owen Stewart—USA

Christopher Talbott—USA

Richard Thomas—USA

Lisa Thorn—USA

Jason Urichuk—Canada

Ray Utter—USA

Michael Voss—Canada

Preston Weintraub—USA

Brandon Wilcox—USA

Jessica Wilkinson—Canada

Mitchell Williams—USA

Eric Wilson—USA

Tommy Woolley—USA

F I R S T Q U A R T E R 2 01 2 SERVICE ANNIVERSARIES

life in the Fast Lane

Canrig recently treated their summer interns from both the Houston and Mag-nolia offices to a friendly team building exercise at an indoor cart racing facil-ity. The students were divided into four teams, competing for the ultimate prize – a shiny trophy and the bragging rights of first place.

“I never expected to be driving go-carts as an intern,” said Michael Charles of UC Davis in Northern California. “But I loved it. I enjoyed the atmosphere and getting to know my teammates. Every-one here is nice and easy to get along with. I’m learning tons.”

Interns:Raul CardenasMichael CharlesSana CooperPatrick LaflinJeremy LutnerChance MannRyan MinmierRam MurthiOvosa PalmerJoe QuackenbushClayton SteadmanBryce TolerAlexander VenturaWeston Yaw

Canrig Employees:Scott BooneChris CassoBrian EllisGreg Kostiuk

Canrig Classroom

PRSRT STDU.S. POSTAGE

PAIDN. HOUSTON, TXPERMIT No. 188

Ca n r i g Dr i l l i n g Te C h n o lo g y lT D. Co r p o r aT e he a D qua rT e r s

8223 Willow Place Drive South n Houston, Texas 77070 n tel (281) 774-5600 n fax (281) 774-5650 n www.canrig.comPUBLISHED BY CANRIG DRILLING TECHNOLOGY LTD.


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