JOINT-STOCK COMPANY "SCIENTIFIC AND TECHNOLOGICAL COMPANY

"RUSSIAN INTERDISCIPLINARY SCIENTIFIC AND TECHNICAL COMPLEX

"NEFTEOTDACHA“ — OIL RECOVERY JSC

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OIL RECOVERY JSC was founded on January 10, 1986, and is a service organization of the Zarubezhneft Group of Companies that provides a modern and high-quality technological service in the oil and gas industry.

Currently, the company is actively developing the oilfield service activity both in the Russian Federation and abroad.

• well stimulation (hydrochloric acid treatment, large-volume hydrochloric acid treatment, etc.)

• remedial cementing

• suspension, re-entry, abandonment of wells

• replacement of downhole pumping equipment

• field and hydrodynamic studies of production, injection wells, as well as steam injection wells.

• analysis, processing, interpretation of the results of studies using modern software systems

• drilling supervision • well servicing and

workover supervision

• offshore drilling supervision

• steam injection • hot water injection • thermal gas

treatment • selection and

supply of heat-resistant equipment

WELL SERVICING AND

WORKOVER SUPERVISING

PRODUCTION LOG TESTS / DYNAMIC WELL TESTS

IMPLEMENTATION OF ADVANCED

RECOVERY METHODS

• drilling bit service • directional drilling • mud service • well cementing

service

INTEGRATED SERVICE

• exploration drilling • production drilling • directional drilling • sidetracking • well drilling for

CSS, SAGD and steam flow treatment

WELL DRILLING

ABOUT COMPANY

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FOOTPRINT

Russia

Vietnam

Cuba Kuwait India

Egypt

Regions of work

Planned regions

Uzbekistan

Iraq

Ecuador

Partners:

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Well repair servicing and workover (7 crews)

Drilling supervision

Well testing (3 crews)

Wire line works (1 crew)

Well testing + wire line works (2 crews)

Integrated drilling service

Geotechnical well testing (9 stations)

Sidetracking (drilling contract – buildup of expertise for creating own drilling crew)

Boca de Jaruco project

Pilot works on the application of thermal oil recovery enhancement methods

Hydrodynamic, thermodynamic testing

technological support of well repair servicing

Operation of oil and gas production facilities

Steam generator servicing

Russian Federation

Republic of Cuba

Well servicing and workover

Integrated service

Geotechnical well tests / Dynamic

well tests

Sidetracking Supervising

PROFESSIONAL EXPERTISE OF OIL RECOVERY JSC

SOCIALIST REPUBLIC OF VIETNAM

JV "Vietsovpetro"

Offshore drilling supervision

Processing, interpretation, monitoring of hydrodynamic well testings in cristalline basements (including PLT)

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In its production activities OIL RECOVERY JSC follows the global Vision Zero Concept principles Permits

• Permit to works, affecting the safety of capital construction facilities

• Certificate of compliance of the organization’s quality management system with the requirements of

GOST ISO 9001-2015 (ISO 9001:2015)

• Certificate of compliance with the requirements of OHSAS 18001:2007

• Certificate of compliance of the organization’s environmental management system with the

requirements of GOST R ISO 14001-2016 (ISO 14001:2016)

• License for operation of explosion, fire and chemically hazardous production facilities referring to

hazard classes I, II, III Staff

• Experience in the oil and gas industry – 5+ years

• Certification in the field of HSE, fire safety, oil gas water shows

• Required work permits and certificates for performing work at Customer’s facilities

• Regular training, advanced professional training

The company has implemented and successfully operates its own Production System, including tools:

• Lean production

• Organization of work of crew

• 5S system

• "I have an idea!" improvement system

• Tangible and intangible incentive system

HSE

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ENGINEERING & TECHNOLOGY AND INTEGRATED SERVICE FOR WELL DRILLING

* Including sidetracking ** for production wells

The key service area of OIL RECOVERY JSC is integrated well drilling service (Integrated Project Management), which includes technological and telemetric support of

directional drilling, bit and mud services, cementing service, sidetracking works (slot

drilling, drilling side tracks)

Since 2016, 65 wells have been drilled (including sidetracking)

Total length drilled amounted to 222 km.

2016 2017 2018

Number of wells drilled, pcs* 15 21 29

Penetration length, thousand m** 58 72.5 92

Commercial drilling rate, meter/machine month 2,286 2,157 2,265

Main clients

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INTRODUCTION OF THERMAL OIL RECOVERY ENHANCEMENT METHODS AT THE BOCA DE JARUCO FIELD

Within the framework of the International Economic Association Agreement between Zarubezhneft JSC and CubaPetroleo Company, OIL RECOVERY JSC provides a wide range

of services for the pilot project using advanced oil recovery methods

(steam treatment) in the Republic of Cuba.

Injection of superheated steam and hot water using own thermal power equipment – a mobile steam generator complex.

Selection, delivery, operation of heat-resistant equipment (all-metal sucker-rod screw pumps, high-temperature ESP, thermally insulated vacuum tubing, heat-resistant packers, X-mas tree, steam lines, etc.

Provision of services in the field of technological support for well servicing and workover, exploitation of the hydrocarbon production site, steam injection works.

Experience in drilling steam injection wells, incl. directional ones.

Experience in well servicing and workover and well development.

During the pilot period, 72 thousand tons of steam were injected

since 2015.

6 thousand tons of super-heavy bituminous oil were additionally

produced.

In 2019, OIL RECOVERY JSC plans to begin the construction of 3 horizontal wells at the

Boca de Jaruco field to elaborate the steam assisted gravity drainage technology (SAGD).

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MBK-140 (МБК-140)

BARS-100 (БАРС-

100)

UPA 60/80 (УПА 60/80)

(5 units)

Permissible hook load, tons 140 100 60/80

Work on wells with up to 6% H2S

Work in the Far North areas

explosion proof design (EExdIICT5)

Sensors for monitoring the tripping parameters, torque, video

recording and data storage

Failure-free operating time, h 5000 5000 5000

WELL SERVICING AND WORKOVER OIL RECOVERY JSC has a fleet of workover rigs

with a lifting capacity from 60 to 140 tons

5 6 7

72122 130

2016 2017 2018Кол-во бригад ТКРС Кол-во ремонтовNumber of workover

crews Number of workovers

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ENGINEERING & TECHNOLOGICAL SUPPORT (SUPERVISION), GEOTECHNICAL SURVEY

OIL RECOVERY JSC provides control and supervision services during drilling, development and workover of wells.

Experts of OIL RECOVERY JSC are certified in the field of HSE, fire safety, oil gas water shows, pass regular advanced training, incl. training at the vocational technical school of JSC "Artikmorneftegazrazvedka" under the program "Offshore Drilling Supervisor".

OIL RECOVERY JSC provides a wide range of geotechnical survey services during well drilling using its own mud logging stations (MLS), software and qualified personnel.

79 9

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12 12

2016 2017 2018

станции ГТИ посты супервайзеровMLS stations supervisor stations

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WELL LOGGING AND ADVANCED OIL RECOVERY METHODS

2016 2017 2018

Number of logging trucks, pcs. 5 6 6

Number of squeeze cementing operations, operations 9 11 12

Production log tests / Dynamic well tests, well / operation 334 467 940

OIL RECOVERY JSC provides a full range of hydrodynamic, field and production logging tests of wells and production target tests in the

drilling process.

One of the research areas of OIL RECOVERY JSC is to conduct thermodynamic testing of steam injection wells and monitoring the development of deposits

developed using thermal methods.

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THANK YOU FOR YOUR TIME!

Arkhangelsky per., 1, Bld.1,

Russian Federation, 101990, Moscow

Phone / Fax: +7 499 689 50 01

rmntk@nestro.ru

www.rmntk.ru