Richard Grohn, P Tech (Eng), President 28 + years in Production and Production Engineering, specializing in artificial lift and well optimization Canada and International Experience

• GLift started in 2016, 100 % Canadian private entity, locally owned

• Service includes Gas Lift, GAPL (gas assisted plunger lift) and conventional plunger lift evaluation - design, supply, installation, optimization and maintenance servicing for all applications

• Providing premium gas lift services in Western Canada

• Canada’s only mobile gas lift service unit to ensure valve setting accuracy and installation success

• GLift is unique and flexible to ensure project success with expertise and dedication from project scope to production optimization

Why Gas Lift? HZ drilled multi-well pads, gas lift is best option A/L applications in the Montney and Duvernay are ideal

Avoid Rod Pumping Issues due to high wellbore deviation:

Other Rod Pump Challenges: gas interference, debris handling, casing wear due to unanchored tubing

Over capitalization, rod buckling and extreme tubing wear

GLift Provides Free Gas Lift Evaluation, Design and Flow Modeling

Critical Lift Rate = 750 mcfd

Start of Gas Lift Qinj = 425 mcfd

CGR = 158, WGR = 77 (bbl/mmcf)

Recent Project Activity

NW AB Montney Well with Gas Lift Deployment – GLift Optimized (Decline Reversed)

NW AB Montney Well with Gas Lift Deployment – GLift Optimized (Decline Reversed)

Critical Lift Rate = 1250 mcfd Start of Gas Lift

CGR = 52, WGR = 136 (bbl/mmcf)

Recent Project Activity

NW AB Montney Well with Gas Lift Deployment – GLift Optimized (Decline Reversed)

Critical Lift Rate = 750 mcfd

Start of Gas Lift

CGR = 41, WGR = 171 (bbl/mmcf)

Recent Project Activity

NW AB Montney Well Decline – Low Producer / High WC Gas Lift Application

Natural Flow, lasted 5 months prior to unstable flow

Gas Lift Optimized, LGR 200 bbl/mmcf, 70 % WC

10 year Forecast, LGR 200 bbl/mmcf, 70 % WC

Initial Gas Lift Start-Up, LGR 350 bbl/mmcf, 50 % WC

Gas Lift Installed on Initial Completion

*Gas Lift installed on initial completion best recommended practice to reduce installation costs and flow interruptions

Intermittent gas lift to optimize inflow

NW AB Montney Well Decline – High Initial Producer – Requires Gas Lift

LGR 115 bbl/mmcf, 0 % WC

LGR 275 bbl/mmcf, 50 % WC

Gas Lift Not Installed

*A/L installed later in well’s life requires expensive workover, gas lift on initial completion is more effective, can be started on demand

Recent Project Activity

Q1 2018 KAKWA AREA GAS LIFT INSTALLATION IN PROGRESS

NW AB Montney Well with Gas Lift Deployment Downhole Profile –Toe Up

Packer

Orifice Valve 1 Gas Lift Valve 2

Gas Lift Valve 3

Gas Lift Valve 4

Gas Lift Valve 5

Gas Lift Valve 6

Gas Lift Valve 7

HZ Lateral TVD Magnified View

(Toe Up)

Mobile Gas Lift Service Unit GLift offers the only mobile gas lift service unit in Canada, providing premium service with onsite quality control of mandrel and valve installation, at the lowest possible cost

July 2017 SPE – Technology Focus: Artificial Lift https://www.spe.org/en/jpt/jpt-article-detail/?art=3111

Gas Lift Study in July 2017 issue of JPT – Technology Focus Report on A/L methods for Shale Wells – Declaring gas lift as best method

Side Pocket Mandrel Datasheet – Common Size Applications

• GLift has sourced an equipment provider, meeting all required specifications such as: API 19G1, API 19G2 and ISO 9001:2008

• Flow Assurance is GLift’s specialty, we’ll go the extra mile to ensure all projects are successful during installation and start-up.

• GLift has the ability and expertise to provide a customized install including downhole tools and surface equipment

• Consult GLift for any well operational issues related to flow assurance, including well review, well and pipeline flow modeling / de-bottlenecking

• PRODUCTION ENGINEERING OPTIMIZATION IS GLIFT’S PASSION, YOUR SUCCESS IS OUR SUCCESS

• Contact the GLift team for all your gas or plunger lift needs today: • Richard Grohn – Richard.Grohn@GLiftenergy.com (587.583.2842)