GeoSteering

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1 GeoSteering

2 GeoSteering Significance The geosteering uses real-time geological parameters to clarify various uncertainties and effectively control the landing and direction of the well trajectory, and adjust the well trajectory to travel through the target layer to achieve the purpose of improving the drilling rate. Reservoir Depth Formation Dip Uncertainty Formation Thickness Lithological Change Geosteering Method Stratigraphic model prediction curve method The geosteering uses real-time geological parameters to clarify various uncertainties and effectively control the landing and direction of the well trajectory, and adjust the well trajectory to travel through the target layer to achieve the purpose of improving the drilling rate. GR imaging layer interface method The formation morphology and formation apparent dip (ADIP) can be determined. Under Up GR Down GR Up GR Up Establishing a stratigraphic model Adjusting the stratigraphic model Adjust the formation model, the prediction curve is consistent with the measured curve

3 Technology Features Seismic, LWD, Logging Data access Seismic LWD Logging Data Seismic, LWD, Logging Data Reception Transmission protocol: WITS Dictionary Management: Open Management Support instruments: Baker Hughes, Halliburton, Schlumberger, COSL, GE, etc. COM port link connection Transmit Receive Software Seismic, LWD data receiving transmission channel: COM port: baud rate and data bit TCP/IP protocol: IP and port Logging data reception Database Access (.mdb) Data table (.xls) Logging data receiving method File access form Real-time acquisition of Seismic Data, LWD Data, Logging Data, real-time display of data and channel connection status. Multi-mode projection The software can be project based on the profile orientation or the trajectory profile. Automatic projection of adjacent wells The adjacent well stratigraphic interface and logging curve depth are dynamically corrected to the current horizontal well projection profile based on formation occurrence. Adjacent well 1 Adjacent well 1 Profile Orientation East South Trajectory Profile Multiple modeling methods TVD Real Drilling Track Construction diagram modeling Multi-well comparison modeling Seismic slice modeling Construction dip modeling The user selects one of the methods suitable for this block to establish a formation model. Construction diagram modeling: Establish an initial model based on the target layer (top / bottom) interface. NO X Y TVDss NO X Y TVDss

4 Technology Features Multi-well comparison modeling: Establish an initial model based on the destination layer interface of multiple adjacent well projections. Seismic slice modeling: Establish an initial model based on seismic slices along a horizontal well trajectory. Construction dip modeling: Establish an initial model based on the dip angle of the target stratum. When the viewing angles of the A target to the B target formation are substantially the same. A model can be created directly given a view angle of the formation. Generally used for geometrically oriented horizontal wells. Contour map of the top layer of the target layer Target layer real-time alarm Formation angle Real-time monitoring of the relative position relationship between the drilling trajectory and the target layer, alarming according to the target layer and the set parameters, and monitoring the track entry and exit layer in real time. Adjustment track Actual logo layer Design logo layer Alarm: Will drilling into Alarm: Will drilling target Alarm: the next boundary will be drilled Adjustment track Alarm: the upper boundary will be drilled Adjustment track Finish Target formation Design track

5 Technology Features Real-time analysis and adjustment of stratigraphic sections Curve prediction After many years of theoretical research, the theoretical modeling of GR, AC and LLD has been completed, and the practical application has achieved good results. The geological model is adjusted mainly by predicting curves through theoretical models. GR Borehole Correction Chart Horizontal well GR correction calculation GR Borehole Correction Chart 6 in. 8.5 in. 6 in. 8.5 in. Comparing the measured and predicted curves, adjusting the stratigraphic model, the prediction is consistent with the measured curve, indicating that the stratigraphic model is basically consistent The formation pattern and the apparent dip angle of the formation are determined by GR imaging, and the stratigraphic section and trajectory are adjusted in real time. Interactive picking of the formation dip Due to the uncertainty of the dip angle of the formation, the determination of the dip angle of the formation is the basis for guiding the drilling during the geosteering process. By picking the formation dip module to select points or take segments on the trajectory, the point dip or the average inclination of the well segment can be picked up and displayed and output. Rapid input and calculation of drilling trajectory In order to meet the requirements of on-site work, the DrillDevi Input and TVD Calculation module can be used to quickly input the drilling inclination data and calculate the drilling trajectory.

6 Software Module Basic data loading Establish initial modeling Real-time monitoring AGR / RAD Logging Data Data Access Software Time domain, depth domain Alarm Settings Real-time orientation Module Name Basic Platform Data Collection Real-time display Real-time alarm Single well trajectory calculation Multi-well TVD calculation Vertical formation model Transverse stratigraphic model Generating stratigraphic section Logging curve prediction Target layer real-time alarm AGR/RAD Imaging Pick up the formation dip Boundary distance calculation Manual packaging Automatic packaging Function Description Work area management, well management, data management, system management, etc. Real-time acquisition of Seismic, LWD, Logging Data. Display depth and time domain data in real time, and provide preprocessing tools such as GR calibration and curve splicing. Set alarm parameters to alarm abnormal real-time data. Calculate parameters such as vertical depth, horizontal displacement, east-west displacement, and north-south displacement of the main horizontal well. The TVD batch calculation is performed on the depth domain log data, the stratified data, the interpretation conclusion, the lithology profile, etc., and the data of the TVD domain or the TSD domain is formed. A vertical stratigraphic model is established based on a lithology curve of the target well or adjacent well target segment. The formation interface morphology of the target layer (or a nearby layer) is established based on the structural dip angle, structural map, multi-well contrast or seismic slice data. Combining the vertical and lateral stratigraphic models, a stratigraphic profile is generated to form an initial stratigraphic model. According to the wellbore or adjacent well logging curve, the GR, DT and LLD prediction curves of the horizontal well along the design trajectory and the real drilling trajectory are calculated inversion. The relative positional relationship of the drilling trajectory in the formation model is monitored in real time, and the situation of the top and bottom interface of the formation and the entry and exit of the drill bit into the target layer are warned in advance. The AGR/RAD Imaging can be generated based on the up and down GR and Density for judging the entry and exit layers. Interactively select points on the target layer interface of the formation model and display the apparent dip angle of the formation. Given a certain stratum boundary, calculate the parameters of the track point corresponding to TVD, MD, top margin, and bottom margin. The button triggers a package upload. The package is automatically packaged and uploaded after the completion of the phase.

7 Bottom Hole Assembly (BHA) InteLWD ComLWD CCN RAD MWD CCN RAD MRI AWD AWD EPR BCP-O LWD-O Pressure Gamma Ray Resistivity Directional Sensor Vibration PWD AGR RSU Downhole Motor NGR

8 Rotational Azimuth Density (RAD) Applications Accurate, real-time quantification of porosity and gas identification for saturation calculations Reservoir Navigation using high-resolution imaging and gas oil/water identification in real-time Wellbore stability analysis using azimuthal caliper and density imaging in real-time Structural formation dip analysis and updating reservoir models from density imaging Introduction The CCN and RAD offers measurement of formation density, neutron porosity, borehole caliper, and formation imaging. You can geosteer the well for maximum reservoir ervoir exposure. Neutron porosity and bulk density are critical for the quantification of hydrocarbons in the reservoir. Specifications Service Formation Bulk Density Service with Hole Caliper Tool Type Rotational Azimuth Density Diameter 6.75 in in. Weight 1092 lbs. (495 in lbs. (498 in. (CCN and RAD 4) Maximum Temperature 300 o F (150 o C) Maximum Pressure psi (137.9 MPa) Maximum Dogleg Severity 6.75 in.: 9 /100 ft. Rotating-16 /100 ft. (Sliding) 4.75 in.: 4 blade-10o/100 ft Rotating-25o/100 ft 3 blade-15o/100 ft Rotating-30o/ ft Equivalent Stiffness 6.75 in.: 7.01 in. x 1.87 in in.: 4.82 in.x 1.87 in. Detectors NaI Scintillation Crystal with photomultiplier tube for both Long and Short Spaced detectors Density Specifications Range g/cc Accuracy ±0.015 g/cc Statistical Repeatability ±0.025 g/cc@200 ft/hr (60 m/hr) and 2.5 g/cc Vertical Resolution 18 in. (45 cm) (full resolution) Downhole End Measure Point 5.1 ft (1.5 m) Photoelectric Factor Specifications Range Barnes/electron (B/e) Accuracy ±0.25 B/e from 2-5 B/e Statistical Repeatability ±0.25 B/e@200 ft/hr (60 m/hr) Vertical Resolution 6 in. (150 mm) (full resolution) Downhole End to PeMeasure Point 5.1 ft (1.5 m) Acoustic Standoff Caliper Specifications Range 0-2 in. Accuracy ±0.075 up to 0.5 ±0.125 up to 1.0 ±0. 25 up to 2.0 Maximum Logging Speed 180 ft/hr (@2 points/ft) Radioactive Source Cs137 Strength:2 Curies (74 GBq) Voltage 30 V Current Draw 350 ma~390 ma

9 Azimuth Gamma Ray (AGR) Applications Geo confirmation of sedimentary structure Confirmation of bed boundaries and orientation Introduction The wellbore cross-section is divided into 8 sectors. The GR is allocated in these sectors.determine the shale content in the sandstone and mudstone Specifications Gamma Specification Maximum Temperature Type Measurement Range Accuracy Vertical Resolution 150 C/175 C (option) Scintillation API GR API ±3% API of full scale 6 in. (153 mm) Inclination Specification Maximum Temperature: 150 C/175 C (option) Sensor Type X-Y axis accelerometer Z axis accelerometer Range degrees Accuracy ±0.1

10 Common Coiled Tubing Drilling (ComCTD) 2-1/2 in. Wireline ComCTD Quick Connnect Sub (UQC and LQC) Pressure Control Sub (PCS) (Optional) Mechnical Circulating and Disconnect Sub (MCD) Mechnical Orienting Sub (MOS) Power and Communication Tool (PCT) Drilling Performance Tool (DPT) (Optional) Vibration& Shock Digital Attitude Sensor (VDS-2) Electromagnetic Propagation Resistivity Tool (EPR-2) Inclination and Gamma Ray (IGR) Gyroscope Orientation Tool-Drilling (GOT-D) (Optional) Electrical Orienting Tool (EOT) Float Value Sub (FVS) 2-3/8 / 2-7/8 Motor PCS DPT GOT-D 2-3/8 Motor FVS EOT IGR EPR-2 VDS-2 PCT MOS MCD UQC / LQC 3-1/8 in. Wireline ComCTD Quick Connnect Sub (UQC and LQC) Pressure Control Sub (PCS) (Optional) Mechnical Circulating and Disconnect Sub (MCD) Mechnical Orienting Sub (MOS) Power and Communication Tool (PCT) Drilling Performance Tool (DPT) (Optional) Vibration& Shock Digital Attitude Sensor (VDS-3) Electromagnetic Propagation Resistivity Tool (EPR-3) Inclination and Gamma Ray (IGR) Gyroscope Orientation Tool-Drilling (GOT-D) (Optional) Electrical Orienting Tool (EOT) Float Value Sub (FVS) 2-7/8 / 3-1/8 Motor PCS DPT GOT-D 2-7/8 Motor FVS EOT IGR EPR-3 VDS-3 PCT MOS MCD UQC / LQC 3-1/8 in. Mud Pluse ComCTD Quick Connnect Sub (UQC and LQC) Pressure Control Sub (PCS) (Optional) Mechnical Circulating and Disconnect Sub (MCD) Mechnical Orienting Sub (MOS) Main Valve Assembly (MVA) Wireless Measurement While Drilling-3 (MWD-3) Electromagnetic Propagation Resistivity Tool (EPR-3) Inclination and Gamma Ray (IGR) Drilling Performance Tool (DPT) (Optional) Float Value Sub (FVS) 2-7/8 / 3-1/8 Motor PCS DPT 2-7/8 Motor FVS IGR EPR-3 MWD-3 MVA MOS MCD UQC / LQC

11 friendly cooperation Chief Operating Officer Wan Hui Mobile:(+86) Tel :(+86) China Sales Supervisor Ding Litao Mobile:(+86) com China China Sales Manager Ding Litao Mobile:(+86) Add: No. 1Hua Chang Road, Science & Technology Park, Changping District, Beijing Tel: (+86) Zip: Middle East Middle East Area Manager Wang Yuwen Mobile:(+86) Russia Russian Operation Manager Guo Feng Mobile:(+86) (+7) com International Sales Manager Sharry Liu Mobile:(+86) Middle East Operation Manager Zhen Shunli Mobile:(+86) Add: No. 64, Novaya Street, Karmaskaly Town, Karmaskaly, Republic of Bashkortostan Tel: (+7) Zip: South America South America Technical Manager Gao Lijun Mobile:(+86) (+58) Marketing Manager Zhang Xujie Mobile:(+86) Russian Technical Manager Chen Hua Mobile:(+86) (+7) com Product Manager Zhang Hong`ai Mobile:(+86) International Sales Director Chen Gang Mobile:(+86) com Add: University Avenue, between Traposos and Chorro streets, Centro Empresarial Building, tenth floor, Office number 10-C, Caracas. Tel: (+58)

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