Apollo GreenzymeApollo Greenzyme®® Oil Well Treatment Oil Well Treatment

ProcessProcess

March 1, 2006Written by: Philip Lau, PE.

What is Apollo What is Apollo GreenzymeGreenzyme®®??

Apollo GreenzymeApollo Greenzyme® ® Is a biological Is a biological liquid enzymeliquid enzymeThis biological enzyme is a protein-based non-This biological enzyme is a protein-based non-

living catalyst, living catalyst,

which facilitates the completion of biological which facilitates the completion of biological reactionsreactions Has two main UsesHas two main Uses

11. . Enhance crude oil recovery from most oil Enhance crude oil recovery from most oil fields fields

2.2. Remediation of hydrocarbon contaminated Remediation of hydrocarbon contaminated solid wastesolid waste. Is non-toxic, near neutral in pH (5-7); non-Is non-toxic, near neutral in pH (5-7); non-

pathogenic; biodegradable;and environmentally pathogenic; biodegradable;and environmentally friendly. Has been proven to enhance/stimulate friendly. Has been proven to enhance/stimulate depleted oil wells to produce at or near original depleted oil wells to produce at or near original well production levels well production levels

A Brief History of Apollo A Brief History of Apollo GreenzymeGreenzyme®®

Apollo GreenzymeApollo Greenzyme®® is the brainchild of Mr. Philip Lau, PE., a former is the brainchild of Mr. Philip Lau, PE., a former leading chemical engineer with Dow Chemical Company. Holder of 12 leading chemical engineer with Dow Chemical Company. Holder of 12 commercial patents. Apollo Greenzymecommercial patents. Apollo Greenzyme®® is at last beginning to realize its full is at last beginning to realize its full commercial potential after years of successful trials and development in key commercial potential after years of successful trials and development in key foreign markets.foreign markets.

Apollo GreenzymeApollo Greenzyme®® was invented in early 1990’s, initially its use was to aid was invented in early 1990’s, initially its use was to aid in the clean-up of oily sludge in superfund sites and in storage tanks in US in the clean-up of oily sludge in superfund sites and in storage tanks in US markets. markets.

Initial success ever since year 1999 in oilfield enhanced oil recovery projects Initial success ever since year 1999 in oilfield enhanced oil recovery projects

suggests a new and revolutionary approach of EOR has arrived, using suggests a new and revolutionary approach of EOR has arrived, using biological enzymes not known previously with amazing results.biological enzymes not known previously with amazing results.

Major use of Apollo GreenzymeMajor use of Apollo Greenzyme® ® today is in oilfields.today is in oilfields.

A Brief History of Apollo A Brief History of Apollo GreenzymeGreenzyme®® (cont.)(cont.)

First used in oilfields for this purpose in 1999, Apollo First used in oilfields for this purpose in 1999, Apollo GreenzymeGreenzyme®® has been wildly successful in its original has been wildly successful in its original expansion markets in China, Venezuela and Indonesia.expansion markets in China, Venezuela and Indonesia.

To date, Apollo GreenzymeTo date, Apollo Greenzyme® ® has been used to treat has been used to treat over several hundred of wells in these countries with a over several hundred of wells in these countries with a high rate of success, including a variety of different high rate of success, including a variety of different well types (depleted wells, off-shore wells, new well well types (depleted wells, off-shore wells, new well completion, etc.)completion, etc.)

Now, Apollo Separation Technologies, is focusing its Now, Apollo Separation Technologies, is focusing its efforts in new markets world-wide.We are currently efforts in new markets world-wide.We are currently seeking additional opportunities to expand our success seeking additional opportunities to expand our success through our agents.through our agents.

HOW APOLLO HOW APOLLO GREENZYMEGREENZYME® ® IS MADE IS MADE

BIOLOGICALLYBIOLOGICALLY

CCAATTTT

CCGGTTAA

Greenzyme OriginGreenzyme Origin

PPDNADNA

Man-Made Man-Made ProteinProtein(Protein (Protein

Donor)Donor)

Non-Living Protein with Non-Living Protein with DNADNA

(Proton (Proton Acceptor)Acceptor)

Site “A”Site “A”

OHOH--

H+H+

1

Natural Oil-Digesting Natural Oil-Digesting MicrobesMicrobesSite “B”

TT

G

GTCA

MM DNA

C

Living Protein with DNA

2

3

DNA TRANSFER DNA TRANSFER PROCESSPROCESS. . ((i.e.. i.e.. P P DNADNA

M M DNADNA))H+

B

OH-

A

Site “A” DNA Becomes

Site “B” DNA And

VICE VERSA

44

FINAL PRODUCTSFINAL PRODUCTSH+

OH-

This is active site

++

GREENZYMEGREENZYME®®

(NON-LIVING)(NON-LIVING)

INERT PROTEININERT PROTEIN

Greenzyme® is a registered trademark of Apollo Separation Technologies Inc.Greenzyme® is a registered trademark of Apollo Separation Technologies Inc.

OIL RELEASING CAPABILITY OIL RELEASING CAPABILITY OF GREENZYMEOF GREENZYME®®

55

OIL SOURCEOIL SOURCE ANY Type of ANY Type of OIL OIL on on

ANY type of ANY type of SOLIDSOLID SURFACE SURFACE

SOLID

CRUDE OIL

++

HH++

Active SiteActive Site

OHOH--

GREENZYMEGREENZYME®®

Continued

Oil Increasing Capability Oil Increasing Capability ofof GreenzymeGreenzyme®®

Part 2Part 2

66

SOLISOLIDD

CRUDE OIL

OH-OH-

H+H+ Spin Off Oil

Continued

One Greenzyme® Molecule in ActionOne Greenzyme® Molecule in Action

Numerous GreenzymeNumerous Greenzyme®® Molecules Attacking 1 Sand Molecules Attacking 1 Sand

SurfaceSurface

SANDSAND

OILOIL

SOLIDSOLID

SOLID WITH NO OIL LEFTSOLID WITH NO OIL LEFT

GREENZYME GREENZYME ®® WETTEDWETTED

GreenzymeGreenzyme

®®

Greenzyme® is immune toGreenzyme® is immune toPlease notice that, you do not need to worry about the following conditions:

pH of the fluid in the sand-formation.

Salinity of the fluid in the sand-formation.

Temperature in the sand-formation because, in laboratory tests, under pressure and in liquid form, Greenzyme® does not degrade at temperatures up to 270 degrees C.

Presence of any metallic ions in the sand-formation; since Greenzyme® is a biological agent, not a chemical agent, Greenzyme® does not react with most natural chemical agents present inside typical sand-formation.

Presence of paraffins, naphthatenes, asphaltenes or sulfur at any percentage content.

Any radio-active isotopes in the crude oil.

Core Lab analysis on Greenzyme®Core Lab analysis on Greenzyme®

Where: PTS Laboratories, Houston, Texas. File # 22507, done on October 2005..How: Oil source: Brazilian API 20 oil with medium wax content.Greenzyme® used: 3%, 5% and 7% strength.Core sample: 1.50 inch diameter Berea core sample for Greenzyme® core flood under

overburden conditions., i.e.. oil sample was heated to 180 degree F for two weeks and under 1000 psi net confining stress.

Greenzyme® flood: 5 pore volumes of diluted strength flooded the core, flow stop and a 48 hour soak follow, then 48 hour flow of simulated brine until 99.9% water-cut reached. Initial water saturation, oil saturation, permeability to oil at initial water saturation, residual oil saturation, oil produced (OOIP), and permeability to water at residual oil saturation were determined. Oil volume was continuously monitored and recorded. Repeat for different % strength of Greenzyme®.

Results: Over 12.7% of additional oil produced (OOIP) by Greenzyme®.

Conclusion: PTS Lab staff told us this is the best results they had ever seen in decades, under similar testing conditions, our competitors can only achieve 2 to 3% of OOIP if any additional oil at all.

Types of oilfield for Greenzyme® Types of oilfield for Greenzyme®

applicationsapplications

Onshore oil wells:

Both vertical and horizontal wells.Single well booster application.Multiple wells flooding applications.Steam huff-and-puff (heavy oil) operation.Sandstone formation : Greenzyme® only.Limestone formation : Greenzyme® plus acid.

Offshore oil wells : same.

The Well Treatment The Well Treatment ProcedureProcedure

Required equipmentRequired equipment

Oil field service truck able toOil field service truck able to produce >5000 psi utilizing:produce >5000 psi utilizing:

High pressure piston pump, orHigh pressure piston pump, or High pressure plunger pump, orHigh pressure plunger pump, or High pressure triplex pumpHigh pressure triplex pump

Treatment Solution must be Treatment Solution must be mixed on-site, using mixing mixed on-site, using mixing tanks. tanks.

Initial Signs After Initial Signs After TreatmentTreatment Static Liquid Level of well Static Liquid Level of well

will rise, confirming will rise, confirming increased pressure down-increased pressure down-hole caused by release of oil hole caused by release of oil from formationfrom formation

New Production Rate will New Production Rate will always require increase in always require increase in pump jack cyclical rate pump jack cyclical rate and/or stroke to lift the and/or stroke to lift the increased volume of fluid increased volume of fluid caused by the treatment caused by the treatment with Apollo Greenzymewith Apollo Greenzyme®®

Old Static Liquid Level

Hydrocarbon Layer

Water

Well

New Static Liquid Level

Remember: Lifting the new volume of fluid is the only way to produce the additional oil released from the pay zone by Apollo Greenzyme®

Example : Greenzyme® in an onshore wellExample : Greenzyme® in an onshore well

Where: Yung 8-52 oil well, Shengli Oilfield, China.Well history and condition: new on January 2001, sand

formation. Design as 20 tons per day total fluid, about 16% water-cut.

Problems: From January 1 through June 13, 2001, only 403 tons of cumulative oil produced. Sand control on January 2001 using 4 tons of BHS sand-control chemicals failed with only 23 days of low production. On March 2001, 40 tons of BHS oil well unclogging chemicals applied, failed again with low production of 55 days, and finally shut down on June 13, 2001, due to insufficient total fluid.

When: Greenzyme® first applied on this well on July 26, 2001.Result: Complete success!

Daily total fluid production shoots over 21 tons per day with 6% water cut for the first two years. This well is still producing (as of December 2005) over 17 tons per day with less than 16% water.

Example: Greenzyme® in an offshore wellExample: Greenzyme® in an offshore wellWhere: Wei Zhou 11-4-A3 oil well, South China Sea oilfield, China.

Well history and condition: new on January 1994, sand formation. Design as 150 tons per day total fluid, about 0% water-cut, 100 t/d pump used.

Problems: Rapid rise in water-cut, with 155 t/d fluid, 36.7% water. In December 2000, pump changed to 200 t/d, with 287 t/d fluid, 44.2% water. In June 2001, pump changed to 300 t/d, before production: 245 t/d fluid, 49.5% water, after pump change: 291 t/d fluid, 50.2% water.

When: Before Greenzyme® first applied on this well on March 2003, total fluid was 200 t/d, with 76% water cut, suspected clogging in formation. Apollo Greenzyme® first applied on April 4, 2003.

Result: Complete success!Daily total fluid production shoots over 430 tons per day with 82% water cut initially, this number lasts until as of today, i.e.. December 2005. Before Greenzyme® oil was 48.9 t/d oil. After Greenzyme® application, daily oil production is 77.9 t/d, an increase of 29 t/d of oil as of to day. Total oil increase by Greenzyme® is over 10,000 tons of oil, with no sign of slow down.

Example : Greenzyme® in steam huff-and-puff oil wellExample : Greenzyme® in steam huff-and-puff oil well

Where: Tuo-826 oil well, Shengli Oilfield, China.

Well history and condition: new on July 2005, sand formation; Well depth: 1400 m. Oil density: 1.03. Formation temperature: 40 degree C. Production temperature: 30 degree C. Viscosity: 250,000 to 300,000 mPa.S. Design: as 10 tons per day oil, no water.

Production method: Steam huff-and-puff cycles.

First cycle: Started July 2005 and lasted about 45 days, used 2,000 mt steam, plus small quantity of chemicals to reduce clay expansion and viscosity in the formation. No Greenzyme® was used..

Problems: The first cycle only produced 430 mt of oil (i.e.. about 3,000 barrels of oil total) and no more, cycle time only lasted 45 days.

Second cycle: Started at mid-September, 2005, 5 drums Greenzyme® at 7% was used. Injection method: 10 mt diesel, 80 degree C Greenzyme®, 7 mt diesel, followed by regular stem and chemical injection, except this time only 1,600 mt of steam was used.

Result: Complete success!

Over 2,500 mt of oil (i.e.. about 17,500 barrels of oil) had been produced, and this well is still producing as of today, i.e. February 27, 2006. This second cycle has been producing oil for over 5 months, with no sign of stopping.

  Water Flooding Chemical Injection Live microbes Fracturing.

Apollo Greenzyme®

clean

H22O

OILOIL OIL OIL OIL

Common Methods for Oil Well Common Methods for Oil Well StimulationStimulation

Water Polymer acids, caustics, chemical surfactants, steam flooding, CO2 or CH4 capping.

Live Microbes Fracturing Chemicals

Biological Enzymes

Cheap, Simple Process

Common, “everyone does it”

Gaining popularity

First choice for EORCommon practice Significant increase in oil production

Simple, safe process; near 100% success rate; significant oil prod. increase ; environmentally friendly

Little effect to “release oil”

Corrosive, need “effective radius”; weakens itself quickly; Short life span & effect.

High failure rate, works slowly; low production improvement

High cost; technology needed; high risk, permanent formation damage

Proprietary process

Ingr

edie

ntC

onPr

o

SUCCESSSUCCESS

A double win solution for any oilfield !