Corporate Presentation
Transcription
Corporate Presentation
2011 Confidential Performance Presentation Whitesands Pilot Project April 2012 Table of Contents 2 Introduction Surface Facilities • Measurement and Reporting • Water and Waste Disposal • H2S and Sulphur Recovery Drilling and Completions Environmental Monitoring Compliance Subsurface • Geology • 4-D Seismic • Scheme Performance Observations and Conclusions Future Plans Whitesands Pilot Area – Petrobank Oil Sands Asset Base Petrobank area In-situ project Mining project 3 62 sections of oil sands leases (46,240 acres - 100%) 3P reserves of 77.7 mmbbls & contingent recoverable resource of up to 737.1 mmbbls (NPV 8% - $3.6 billion) Whitesands THAI® Pilot Project Production Pad & Facility P1B (THAI™) Injection Pad 4 P2B (THAI™) P3B (CAPRI™) Whitesands Project - 2011 Operational Update THESE ARE 2010 POINTS - UPDATE • • • • • 5 The wells have demonstrated the feasibility of THAI® (Toe-to-Heal Air Injection) and of the CAPRI™ catalyst enhancement Key expectations of the THAI® and CAPRI™ processes have been demonstrated Initiating communication of P1B continues to be challenging due to wellbore placement in the reservoir Abandoning P2B due to inability to replace instrumentation string Assessing options for Conklin pilot as a test facility for further technology enhancements Facilities Plot Plan 6 Process Flow Diagram Start and End of 2011 7 Key Facilities Additions and Status 2011 • • • • • 8 Repaired V-165 and removed V-160 from service Installed rental pump to perform wet combustion test Air injection rates were decreased September 16, 2011 Air injection rates on A1 and A2 were ceased on September 24, 2011 Facility operations were ceased on October 12, 2011 Water Withdrawal and Treatment • • • • • • • • • Our process only requires treatment of fresh water that is softened through a conventional sodium zeolite system This boiler feed water (BFW) is only required if the wells are being steamed No other water treatment is required No brackish water is used No withdrawal from natural bodies of fresh water Source water well: 10-12-77-09 W4 Water from source well is used for steam generation and utility water Source water is drawn from the Empress Channel Aquifer which occurs at the base of the buried Christina Channel The Empress Channel Aquifer occurs from 160.9 – 186.5 mbgs (meters below ground surface)* *Reference: Westwater Environmental Ltd., Annual Water Use Report – Whitesands Pilot Project. February 2011. 9 Water Balance • Total raw water flow is measured by a turbine meter with totalizer. • The accuracy of the meter is +/- 0.5 % of rate. The meter is changed out annually with a new meter or a recalibrated meter. • • BFW flow is measured by a Vortex meter Injected steam is measured at each production well using a Vortex meter • All with electronic verifications completed annually, and physical inspections pending shutdowns. The accuracy of the meters is +/- 1.35 % of rate. • Utility water is estimated as ~2 m3/day 10-12-77-09 W4M Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Total 518.6 73.2 47.5 55.8 956.5 1104.3 1536.2 1492.9 482 18.8 205 22 6512.8 10 Steam Generation and Power Consumption • • Steam is injected during the initial well start-up and may be used periodically for assisting production in the wells Steam is generated onsite utilizing a 25 MMBTU/HR OTSG Steam Injection (m3) Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Total 1AW - 15-12-077-09 W4M 28.1 0.0 5.5 0.0 50.2 556.8 805.4 1162.4 339.4 0.0 0.0 0.0 2947.83 Total 28.1 0.0 5.5 0.0 50.2 556.8 805.4 1162.4 339.4 0.0 0.0 0.0 2947.83 • Power usage based on bills from Valeo Power Corporation Power Usage - MWh 11 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Total 1242.3 1188.2 1046.3 1100.8 1013.7 1324.4 1649.2 1616.7 787.8 400.3 404.1 405.9 12179.7 Gas Production And Disposition • All volumes in e3m3 Total Gas Gas Imported Production Gas Vented Gas Flared Jan-11 257.7 733.7 0 991.4 Feb-11 214.1 578.5 0 792.6 Mar-11 211 578.5 0 789.5 Apr-11 157.8 253.7 0 411.5 May-11 170.9 232.7 0 403.6 Jun-11 196.5 336.6 0 533.1 Jul-11 191.5 528.3 0 719.8 Aug-11 133.5 569.7 0 703.2 Sep-11 97.8 633 0 730.8 Oct-11 39.2 98.9 0 138.1 Nov-11 131.7 0 0 131.7 Dec-11 130 0 0 130 Total 1931.7 4543.6 0 6475.3 12 Greenhouse Gases • • CO2 Emissions (t) Based on complete combustion of all gases Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Total 13 Produced Gas 351.4 277.1 277.1 121.5 111.5 161.2 253.1 272.9 303.2 47.4 0.0 0.0 2176.3 Fuel Gas 500.9 416.2 410.2 306.7 332.2 382.0 372.3 259.5 190.1 76.2 256.0 252.7 3755.0 Total 852.4 693.3 687.3 428.3 443.7 543.2 625.3 532.4 493.3 123.6 256.0 252.7 5931.4 Reporting Methodology to Petroleum Registry 14 Each well has its own desand, separation and metering Produced oil for each well is prorated based on the individual well meters and oil cuts and reconciled against sales and tank inventory changes Produced water for each well is prorated based on the individual well meters and water cuts and reconciled against the disposal meter, water shipments to disposal facilities, and tank inventory changes Produced gas is metered individually per well train and reconciled against the total gas metered and measured through incineration / flaring. Injected steam is metered on a per well basis, total steam is measured via BFW consumption and results are reconciled with the disposal volumes from the blowdown tank and utility water usage. Injected air is metered on a per well basis 14 Air injection Wells 15 A1/A3 are measured by differential pressure transmitter calibrated annually A2 is measured by a vortex meter that has had an electronic verification done annually. Well Flow Measurement 16 Produced liquid measurement is taken at the outlet of the desand separator vessels through mass flow meters. The accuracy of these meters is +/- 0.2 % of rate. Produced gas measurement is done by vortex meters after cooling and secondary separation of condensed liquids. These meters are scheduled to be proven beginning of second quarter every year. This calibration was done in April 2011 and will be completed next in April 2012. Proration Factors Proration factors are based on the volumes measured in the plant versus the volumes as reconciled with inventory and shipments Proration Factors Oil Water Jan-11 1.00 1.00 Feb-11 1.28 0.32 Mar-11 0.50 1.00 Apr-11 1.00 1.00 May-11 1.00 1.00 Jun-11 1.00 1.00 Jul-11 1.00 1.00 Aug-11 1.00 1.00 Sep-11 1.00 1.00 Oct-11 1.00 1.00 Nov-11 N/A N/A Dec-11 N/A N/A 2011 Average 0.98 0.93 17 Water Disposal Wells Two disposal wells: • • 00/08-12-77-09 W4 (UWI 100081207709W400) (McMurray formation) ─ This well was abandoned in 2011 and never used 00/15-12-77-09 W4 (UWI 100151207709W400) (McMurray formation) Produced water volumes are metered by orifice meters at the facility and using turbine meters at the wellhead. Boiler blowdown water is metered by truck gauge Disposal injection pressure at pump discharge and wellhead is monitored on DCS • • Pump discharge pressure was recorded and would trip the pump at 3500 kPag. Wellhead pressure was continuously monitored and would trip the pump at 3500 kPag. There were 25 incidents where the pump discharge pressure exceeded 3500 kPag in 2011. Each time, the pump tripped immediately and the excedences were never longer than 5 seconds. Disposal Volumes (m3) 15-12-77-09 W4M 19 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 751.3 60.8 446 431.8 1107.3 571.5 1304.9 1160.1 899.5 131.7 Total 6864.9 Water Disposal Pressures (kPag) 20 Water Disposal Flows (m3) 21 Offsite Waste Management Solid waste is disposed at CCS Janvier landfill (S1/2-03-81-06 W4), volume is recorded on an ERCB Waste Manifest. Produced and blowdown water is trucked off-site when we do not have disposal capacity. Locations of offsite disposal are: Facility Code Company AB CT 0000457/557 CCS AB WP 0000556 Palko Environmental 22 Volume 194.0 1083.4 Quarterly Sulphur Emissions • • We manage our produced gas via well production to ensure we do not exceed 1.0 tonne per day of sulphur emissions A monthly sulphur balance is not included as we combust all of our produced gas so our sulphur inlet is equal to our sulphur outlet. The exception is January and the first few days of February of last year which are shown in the Q1 balance below. SO2 Emissions (t) 10-12-77-09 W4M Jan-11 2.79 Feb-11 3.06 Sulphur Balance (t) Quarter Q1 Q2 Q3 Q4 23 S Emissions SO2 Emissions 2.93 5.85 2.63 5.26 5.11 10.22 1.59 3.18 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 0.0562 2.5 2.7 3.62 2.304 4.3 2.74 0.435 0 0 Total 24.5 Drilling and Completions Well Status P1B (THAI™) Shut in 24 P2B (THAI™) Abandoned P3B (CAPRI™) Suspended Drilling, Completions and Workover 2011 Update • Production Wells: • P1B (1AW/16-12-77-9W4/00) Licence # 0410828: No workovers in 2011. Well remained active & producing up until October 12, 2011 • Well is currently shut in • P2B (1AX/16-12-77-9W4/00) Licence # 0411485 : • 2010 workover to replace coiled tubing instrument string resulted in parted tubing and extensive fishing job. Decision made then to abandon well. • Well was abandoned, (cut & capped) in 2011. • P1 (1AH/16-12-77-9W4/00) Licence # 0325005 : • 25 • • Well previously shut in due to excessive sand production. • Well abandoned in 2011, awaiting cut & cap. 107/16-12-77-9W4/00 (Drilled and Cased) Licence # 0432326 : • Well drilled to test for seismic gas anomaly in the bottom water • Well will be used to test for combustion gas in Wabaskaw/McMurray “A” & Clearwater formations related to our gas migration discussion with Devon Canada. P1-B (With FacsRITE) 26 26 P1 1AH/16-12-77-09W4 • Well previously shut in due to excessive sand production. • Well abandoned in 2011, awaiting cut & cap. 27 FacsRiteTM Liner Design • Stronger liner integrity • Improved sand control with screens • Greater flow area (4 to 10%) • 2 wells at Whitesands (P1B & P2B) 28 CAPRITM Liner (P3-B) 29 Air Injector and Disposal Well Workover Update • Water Disposal Well (100/15-12-077-09W4/03) • Found obstruction in casing above injection perforations. Bottom of well abandoned, (filled with cement) and wellbore sidetracked in 2011. Perforated sidetrack casing and established injectivity • Water Disposal Well (100/08-12-077-09W4/00) • During 2010 packer replacement, packer would not unset and parted tubing while trying to shear packer. Washover mill wedged on fish top and exited casing. Decision made to abandon well • Wellbore abandonment completed in March 2011, (cut & capped) 30 Disposal Well 100/15-12-77-09W4/03 is now 100/15-12-77-09W4/04 • Side tracked in 2011 due to casing obstruction above injection perforations. • Ran & cemented 114.3mm casing in place. • Perforated well. Injectivity obtained. 31 Disposal Well 100/08-12-77-09W4 • During 2010 packer replacement, packer would not unset. Parted tubing while trying to shear packer. Washover mill wedged on fish top and exited casing. Decision made to abandon well. • Wellbore abandonment completed in 2011, (cut & capped). 32 Artificial Lift Prior to suspension of project, producer wells relied on gas lift from combustion gas to provide lift to surface. • Water flashing to steam also helped to generate lift. • Steam circulation was sometimes required to initiate inflow of combustion gas. • 33 Well Instrumentation TC’s along the length of the horizontal sections of the production wells, approximately 25 m spacing • 20 TC’s in P1B • 10 TC’s in P2B • 18 TC’s in P3B • 18 thermocouples (TC’s) per observation well (OB and TOB wells) cemented in place. From Clearwater shale to base of McMurray Approximately every 2.5 m through the McMurray • Pressure observation well (POB well) with piezometer pressure sensors in Wabiskaw and in Clearwater • 34 Pressure Observation Well (POB1) 35 Environmental Monitoring Air Quality • Passive and produced gas analysis of H2S and SO2 Run off Containment Ponds • Regular monitoring, testing and pump off Groundwater monitoring • 18 shallow groundwater monitoring wells (early detection of subsurface contamination) • 2 source water wells Interim Reclamation • Erosion, sedimentation and dust control; revegetation 36 Full operational environmental compliance achieved in 2011 Sampling Points 37 Passive monitors (4) Source Wells (2) Groundwater wells (18) Ambient Air Quality Results 2011 Reporting Month H2S Max (ppb) AAOQO = 3 SO2 Max (ppb) AAOQO =23 January 0.53 1.9 February 1.85 1.8 March 0.25 1.0 April 0.27 0.7 May 0.15 0.4 June 0.46 0.4 July 0.32 0.2 August 0.59 0.6 September 0.2 0.8 October 0.09 0.3 November 0.15 0.5 December 0.14 0.5 The results Aug are from data collected between Aug 1 – Sept 26 The results from Sept are from data collected between Sept 26 and Oct 1 38 All 2011 monitoring results are below the AAAQO Environmental Monitoring Regional Initiatives 39 Lower Athabasca Regional Plan (LARP) • NOx /SOx emission thresholds • Groundwater project • Regional monitoring programs (IMERF) Southern Athabasca Oil Sands Producers (SAOP) • None Insitu Oil Sands Association (IOSA) • None 2011 Regulatory Compliance Summary • ERCB 2011 • • • • 40 Self Disclosure - Disposal Well Pressure Exceedance (Mar 11) Self Disclosure - PRA Water Metering Difference (Jun 11) Request - Maximum Operating Pressure Re-assessment (Jun 11) Combustion Gas Migration to Devon 8-13-77-9W4M (Aug 11) Non Compliance Issues • Disposal Well Pressure Exceedance 15-12-77-9 W4M • We exceeded the permitted operable pressure on this well. • PRA Water Metering Difference Non Compliance for BA Code A514 • Petroleum registry reporting issue where PBG is reporting injected water to a facility that should not accept it • Maximum Operating Pressure Re-assessment • We requested a reduction in our MOP from 8000 to 6000kPa • Combustion Gas Migration to Devon 8-13-77-9W4M • Devon encountered a gas composition at their well that resembles THAI® combustion gas. 41 Non Compliance Issues - Gas Migration • • • • 42 No definitive conclusion of cause or method of migration. No evidence of caprock breach. Poor cement job on 8-13. Well testing should be done to explore inter wellbore communication as cause. Original Bitumen In Place (OBIP) THAITM pilot area Drainage Area Length Width (m) (m) 43 450 300 Area (m2) Average Net Pay Thickness (m) Rock Volume (m3) Porosity (%) Pore Volume (m3) Average Bitumen Saturation (%) Bitumen Volume In Place (m3) 135,000 11.5 1,552,500 34 527,850 80 422,280 OBIP = Area * pay thickness * porosity * bitumen saturation Bitumen Volume In Place (mmbbl) 2.7 McMurray Basal Net Bitumen Pay Isopach Contour Interval = 1m 44 Structure of Basal Bitumen Pay Top 45 Contour Interval = 1m Structure of Bitumen Pay Base 46 Contour Interval = 1m Whitesands Type Log Clearwater Shale Wabiskaw Marker Approximate 20m of shale as the cap rock Wabiskaw C McMurray A McMurray A Shale McMurray B IHS top Basal Sand top Main target bitumen zone Oil/WaterContact McMurray C 47 Paleozoic Whitesands Pilot: Well Layout and Cored Wells Section 12 T77 R9 W4 Cored Cored Cored Cored Cored Legend Observation well Air injection well Cored Production well Exploration well 48 Log-Core Correlation OB1 Well Core Gamma Gamma Top Resistivity Wabiskaw C McMurray A2 Sequence C Shale McMurray B Channel IHS McMurray C Shale 49 Paleozoic Mudstone Clast Breccia Paleozoic Limestone Bottom Basal B Sand B Silty Mudstone A Shale A Sand Petrographic Analysis 50 Petrographic Analysis 383.46m Sample taken from 383.46m – 383.75m 3C 3E Q Z Clay 383.75m 3B 3D Burrows and bioturbation enhance the porosity and permeability in the IHS interval and make IHS exploitable with THAI®. 51 Structural Cross-Section Along P1B Well 52 HEEL TOE P1B Trajectory OB1 OB2 OB3 P1B A Sand IHS Basal Sand 53 Structural Cross-Section Along P2B Well 54 HEEL TOE P2B Trajectory OB4 P2B OB5 OB6 A Sand IHS Basal Sand 55 Structural Cross-Section Along P3B Well 56 HEEL TOE P3-B Trajectory OB7 OB8 OB9 A Sand P3B IHS Basal Sand 57 Greater May River Seismic 8 9 10 11 12 13 25 15 2010 3D merged seismic (2003, 2005, 2010 shoots) 20 20 15 1102 10 8 5 High-Res 4D-3C seismic 2003, 2008, 2009, 2010, 2011 0 77-09W4 12 8 15 0 12 5 5 5 G 1 0 15 1292 72 10 3 526740915832661646194649472972497 9889788931797684753281967987864557423319879660475311880365046258359037185460181335467501813056461342694974922 2 999 7166556452597452394412 0 G G 5 25 8 McMurray channel continuous net bitumen (contours) existing 3Ds and 4Ds in green and orange 1 15 8 12 5 20 1 0 5 10 0 10 8 0 8 25 5 0 5 12 5 8 12 0 15 12 12 20 15 2 12 15 8 10 5 10 0 0 985 1,970 METERS 58 PETRA 12/8/2011 9:51:33 AM 2,955 TWT (ms) Paleozoic Regional Time Structure- 2011 reprocessing = Well with compressional sonic = Well with shear sonic = 2011 OSE wells 59 Regional cross section- 2011 reprocess CLRWTR Sand Wabisakw MRKR Paleozoi c Prairie Evaporite Ernestina Lake 60 What is time lapse seismic? Repeat seismic over time – like timelapse photography…. Monitors – 5X5m bins Baseline Interpolated to 5X5m bins ….then difference the Monitor Surveys from the Baseline 61 What drives the time lapse response? 62 Time lapse- past interpretation Technical Data -.25 s 2003-2008 All dedicated monitor surveys shot with similar parameters (2008/2009/2010) and similar ground conditions 125 g dynamite @ 3m depth, 60 x100m receiver line spacing, Sercel 428 acquisition system, 5x5 binning All processed concurrently for time lapse analysis at CGGVeritas Calgary All data shown below is PP time lapse analysis cross correlated from 350-450ms to remove near surface static changes 0s .25 s Summed time shifts at the Paleozoic horizon +25ms and 35ms to capture the McMurray formation and any delayed shifts 2003-2009 OB9 Related to gas at the O/W contact OB9 A3 A2 OB6 OB8 A1 OB5 OB3 2003-2010 OB9 A3 A3 A2 A2 OB6 OB6 OB8 OB8 A1 A1 OB5 63 OB3 OB5 OB3 Bottom water test well: OB17 OB17 64 OB17 No density neutron cross over in the McM A/Wab C 65 Tested combustion gas from this log signature 2011-2003 time lapse results -.25 s 0s .25 s McMurray THAI combustion gas in the bottom water (OBS 17 analogue) McMurray THAI heat/combustion gas and bottom water 66 Time lapse 2003-2008 2003-2009 -.25 s OB9 OB9 A3 A3 A2 A2 OB6 OB6 OB8 OB8 A1 A1 OB5 OB3 OB5 OB3 OB9 2003-2011 OB17 OB9 A3 A3 A2 A2 OB6 OB6 OB8 OB8 OB5 OB3 A1 OB5 OB3 .25 s A1 67 0s 2003-2010 Discrete InSAR 2007-2008 2007-2010 68 2007-2009 Discrete InSAR 2008-2009 2009-2010 69 2008-2010 Well instrumentation 18 thermocouples (TC’s) per observation well (OB and TOB wells) cemented in place. From Clearwater shale to base of McMurray Approximately every 2.5 m through the McMurray • TC’s along the length of the horizontal sections of the production wells, approximately 25 m spacing • • 20 TC’s in P1B • 10 TC’s in P2B • 18 TC’s in P3B • 70 POB well with pressure sensor in Wabiskaw and in Clearwater OBS well map 71 TOB1 temperature profile 72 TOB2 temperature profile 73 OB3 temperature profile 74 OB3 temperature profile (2011) 75 OB6 temperature profile 76 OB6 temperature profile (2011) 77 OB7 temperature profile 78 OB7 temperature profile (2011) 79 OB9 temperature profile 80 OB9 temperature profile 81 P1 temperature profile 82 P1 temperature profile (2011) 83 P1B temperature profile 84 P1B temperature profile (2011) 85 P2 temperature profile 86 P2 temperature profile (2011) 87 P2B temperature profile • 88 No update from 2010 P3 temperature profile • 89 No update from 2010 P3B temperature profile • 90 No update from 2010 POB1 pressure data: 2011 daily average 2006- June 2011 MOP June 2011- present MOP Data historian malfunction…missing data Conklin shut in Piezometers in Wabiskaw C sand and Clearwater Sandstone (above cap rock) 91 POB1 pressure profile (Wabiskaw piezometer raw data) 92 POB1 pressure profile (Clearwater piezometer raw data) 93 POB1 pressure profile (raw daily average) 2006-June 2011 MOP Pre 2008 data using faulty surface module: erroneous low signal strength readings 94 June 2011- present MOP Observation well workover with tubing open to surface. Data should be omitted Conklin shut in POB1 pressure profile (edited for bad data: daily average) 2006-June 2011 MOP Pre 2008 data using faulty surface module: erroneous low signal strength readings June 2011- present MOP Conklin shut in 95 Combustion Gas Analyses WHITESANDS COMBUSTION GAS COMPOSITION & VOLUMES 2011 AVERAGE FROM DAILY GAS ANALYSES 4,543.600 VOLUME P1B COMBINED 103m3 H2 HYDROGEN 0.83 0.83 37.8 O2 OXYGEN 0.10 0.10 4.7 N2 NITROGEN 76.37 76.37 3,470.2 CO CARBON MONOXIDE 0.02 0.02 0.8 CH4 METHANE 5.23 5.23 237.6 CO2 CARBON DIOXIDE 15.51 15.51 704.6 C2H6 ETHANE 0.91 0.91 41.5 C3H8 PROPANE 0.41 0.41 18.7 C4 NORMAL-BUTANE 0.20 0.20 9.1 C5 NORMAL-PENTANE 0.01 0.01 0.3 H2S HYDROGEN SULFIDE 0.40 0.40 18.4 100.00 100.00 4,543.6 TOTAL 96 MOLE % C1-C5 (HYDROCARBONS) 6.76 97 H2 O2 CO DATE CO2 Jan 2012 Nov 2011 Sep 2011 Jul 2011 May 2011 Mar 2011 Jan 2011 Nov 2010 Sep 2010 Jul 2010 May 2010 Mar 2010 Jan 2010 Nov 2009 Sep 2009 Jul 2009 May 2009 Mar 2009 Jan 2009 Nov 2008 Sep 2008 Jul 2008 May 2008 Mar 2008 Jan 2008 Nov 2007 Sep 2007 Jul 2007 May 2007 Mar 2007 Jan 2007 Nov 2006 Sep 2006 Jul 2006 MOLE % P1/P1B Well Combustion Gas Analyses P1 / P1B GAS 20 18 16 14 12 10 8 6 4 2 0 98 H2 O2 CO DATE CO2 Mar 2011 Jan 2011 Nov 2010 Sep 2010 Jul 2010 May 2010 Mar 2010 Jan 2010 Nov 2009 Sep 2009 Jul 2009 May 2009 Mar 2009 Jan 2009 Nov 2008 Sep 2008 Jul 2008 May 2008 Mar 2008 Jan 2008 Nov 2007 Sep 2007 Jul 2007 May 2007 Mar 2007 Jan 2007 Nov 2006 Sep 2006 20 20 18 18 16 16 14 14 12 12 10 10 8 8 6 6 4 4 2 2 0 0 MOLE % Jul 2006 MOLE % P2/P2B Well Combustion Gas Analyses P2 / P2B GAS 99 H2 O2 CO DATE CO2 Mar 2011 Jan 2011 Nov 2010 Sep 2010 Jul 2010 May 2010 Mar 2010 Jan 2010 Nov 2009 Sep 2009 Jul 2009 May 2009 8 Mar 2009 Jan 2009 Nov 2008 Sep 2008 Jul 2008 May 2008 Mar 2008 Jan 2008 Nov 2007 Sep 2007 Jul 2007 May 2007 Mar 2007 Jan 2007 Nov 2006 Sep 2006 20 20 18 18 16 16 14 14 12 12 10 10 P3B Start-up 8 6 6 4 4 2 2 0 0 MOLE % Jul 2006 MOLE % P3/P3B Well Combustion Gas Analyses P3 / P3B GAS THAI® Oil Partial Upgrading Bitumen Viscosity at 20 ºC, cP Oil sulphur content, wt % API Gravity “SARA ” ANALYSIS Volatile organics, 40 ºC, mass % Saturates Aromatics Resins Asphaltenes Source: 100 Partially Upgraded Production 550,000 3.2 7.9 1225 2.6 12.3 21.1 12.7 30.3 19.0 16.9 25.5 23.5 22.6 17.2 11.2 Whitesands Bitumen & P1 Upgraded Oil Archon Technologies Ltd. Oil Analysis 2007 (Archon, a wholly owned technology subsidiary of Petrobank) Water Quality Whitesands Produced Water Calculated Parameters Units Total Dissolved Solids mg/L pH 11,000 8.3 50 8.2 Anions Bicarbonate (HCO3) Carbonate (CO3) Dissolved Sulphate (SO4) Dissolved Chloride (Cl) 1610 <0.5 <0.5 5800 1600 N/D N/D 45 3800 17 55 30 10 0.5 0.4 0.1 mg/L mg/L mg/L mg/L Elements Dissolved Sodium (Na) mg/L Dissolved Potassium (K) mg/L Dissolved Calcium (Ca) mg/L Dissolved Magnesium (Mg) mg/L 101 Whitesands Condensed Water A1-P1 Well Pair Production & Injection History 800 3 200 750 3 000 700 2 800 650 2 600 600 2 400 550 2 200 500 2 000 450 1 800 400 1 600 350 1 400 300 1 200 250 1 000 200 800 150 600 100 400 50 200 0 0 PROD. OIL M3 102 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AH/16-12-077-09 W4/00 A1-P1 Well Pair Liquids Production & Injection History 800 4 800 750 4 500 700 4 200 650 3 900 600 3 600 550 3 300 500 3 000 450 2 700 400 2 400 350 2 100 300 1 800 250 1 500 200 1 200 150 900 100 600 50 300 0 0 PROD. OIL M3 103 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 1AH/16-12-077-09 W4/00 A1-P1 Well Pair Cumulative Oil Production & Air-Oil Ratio 10 000 10 000 9 000 9 000 8 000 8 000 7 000 7 000 6 000 6 000 5 000 5 000 4 000 4 000 3 000 3 000 2 000 2 000 1 000 1 000 0 0 CUM. PROD. OIL M3 104 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AH/16-12-077-09 W4/00 A2-P2 Well Pair Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 105 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AJ/16-12- 077-09 W4/00 A2-P2 Well Pair Liquids Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 106 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 1AJ/16-12- 077-09 W4/00 A2-P2 Well Pair Cumulative Oil Production & Air-Oil Ratio 10 000 10 000 9 000 9 000 8 000 8 000 7 000 7 000 6 000 6 000 5 000 5 000 4 000 4 000 3 000 3 000 2 000 2 000 1 000 1 000 0 0 CUM. PROD. OIL M3 107 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AJ/16-12- 077-09 W4/00 A3-P3 Well Pair Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 108 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AK/16-12-077-09 W4/00 A3-P3 Well Pair Liquids Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 109 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 1AK/16-12-077-09 W4/00 A3-P3 Well Pair Cumulative Oil Production & Air-Oil Ratio 10 000 10 000 9 000 9 000 8 000 8 000 7 000 7 000 6 000 6 000 5 000 5 000 4 000 4 000 3 000 3 000 2 000 2 000 1 000 1 000 0 0 CUM. PROD. OIL M3 110 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AK/16-12-077-09 W4/00 A1-P1B Well Pair Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 111 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AW/16-12-077-09 W4/00 A1-P1B Well Pair Liquids Production & Injection History 1AW/16-12-077-09 W4/00 3 600 550 3 300 500 3 000 450 2 700 400 2 400 350 2 100 300 1 800 250 1 500 200 1 200 150 900 100 600 50 300 0 0 PROD. OIL M3 112 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 600 A1-P1B Well Pair Cumulative Oil Production & Air-Oil Ratio 12 000 12 000 11 000 11 000 10 000 10 000 9 000 9 000 8 000 8 000 7 000 7 000 6 000 6 000 5 000 5 000 4 000 4 000 3 000 3 000 2 000 2 000 1 000 1 000 0 0 CUM. PROD. OIL M3 113 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AW/16-12-077-09 W4/00 A2-P2B Well Pair Production & Injection History 600 3 000 550 2 750 500 2 500 450 2 250 400 2 000 350 1 750 300 1 500 250 1 250 200 1 000 150 750 100 500 50 250 0 0 PROD. OIL M3 114 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AX/16-12-077-09W4/00 A2-P2B Well Pair Liquids Production & Injection History 600 3 600 550 3 300 500 3 000 450 2 700 400 2 400 350 2 100 300 1 800 250 1 500 200 1 200 150 900 100 600 50 300 0 0 PROD. OIL M3 115 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 1AX/16-12-077-09W4/00 A2-P2B Well Pair Cumulative Oil Production & Air-Oil Ratio 24 000 24 000 22 000 22 000 20 000 20 000 18 000 18 000 16 000 16 000 14 000 14 000 12 000 12 000 10 000 10 000 8 000 8 000 6 000 6 000 4 000 4 000 2 000 2 000 0 0 CUM. PROD. OIL M3 116 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AX/16-12-077-09W4/00 A3-P3B Well Pair Production & Injection History 1000 950 900 850 800 750 700 650 600 550 500 450 400 350 300 250 200 150 100 50 0 3 000 2 700 2 400 2 100 1 800 1 500 1 200 900 600 300 0 PROD. OIL M3 117 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 1AV/16-12-077-09 W4/00 A3-P3B Well Pair Liquids Production & Injection History 1000 950 900 850 800 750 700 650 600 550 500 450 400 350 300 250 200 150 100 50 0 3 000 2 700 2 400 2 100 1 800 1 500 1 200 900 600 300 0 PROD. OIL M3 118 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 1AV/16-12-077-09 W4/00 A3-P3B Well Pair Cumulative Oil Production & Air-Oil Ratio 10 000 10 000 9 000 9 000 8 000 8 000 7 000 7 000 6 000 6 000 5 000 5 000 4 000 4 000 3 000 3 000 2 000 2 000 1 000 1 000 0 0 CUM. PROD. OIL M3 119 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 1AV/16-12-077-09 W4/00 Field Gas Production & Injection History 1 500 7 500 1 400 7 000 1 300 6 500 1 200 6 000 1 100 5 500 1 000 5 000 900 4 500 800 4 000 700 3 500 600 3 000 500 2 500 400 2 000 300 1 500 200 1 000 100 500 0 0 PROD. OIL M3 120 PROD. GAS 103M3 INJ. AIR 103M3 MONTHLY INJ AIR / PROD. GAS, 103M3 MONTHLY PROD. OIL, M3 PROJECT-TOTAL Field Liquid Production & Steam Injection History 1500 7 500 1400 7 000 1300 6 500 1200 6 000 1100 5 500 1000 5 000 900 4 500 800 4 000 700 3 500 600 3 000 500 2 500 400 2 000 300 1 500 200 1 000 100 500 0 0 PROD. OIL M3 121 PROD. WATER M3 INJ. STEAM M3 MONTHLY INJ STEAM / PROD. WATER, M3 MONTHLY PROD. OIL, M3 PROJECT-TOTAL Field Cumulative Oil Production and Air-Oil Ratio 30 000 15 000 28 000 14 000 26 000 13 000 24 000 12 000 22 000 11 000 20 000 10 000 18 000 9 000 16 000 8 000 14 000 7 000 12 000 6 000 10 000 5 000 8 000 4 000 6 000 3 000 4 000 2 000 2 000 1 000 0 0 CUM. PROD. OIL M3 122 CAOR M3/M3 CAOR, M3/M3 CUM. PROD. OIL, M3 PROJECT-TOTAL Observations & Conclusions Fluid Quality Summary Oil • • • • • • Gas • • • • • 123 Consistent API upgrade and viscosity reduction Significant increase in volatiles and saturates Notable reduction of resins and asphaltenes Increased carry over of lighter ends to the secondary separators as surface temperatures increase Early production from new wells does not show significant upgrading Overall a higher quality produced oil than SAGD No issues with O2 in produced gas Free H2 production up to 8% Up to 9% of hydrocarbons (C1–C5) in the produced gas with a heating value 85120 Btu/scf, suitable for use in Low-Btu steam generators CO2 and CO levels and ratios consistent with high temperature combustion H2S levels are stable in produced gas, off-set by reduction of sulphur in produced oil Observations and Conclusions 124 Successfully ran the CAPRITM well at temperatures between 350 to 450oC at the toe for catalytic cracking Bitumen upgrading was increased by an additional 3oAPI with CAPRITM Reservoir thickness and quality are the major contributors, along with low plant on-stream times early on in the project, to the difference in approval capacity and actual production Wellbore trajectory also has a large impact on well performance and establishment of injector communication On stream factors are still problematic (cumulative on-stream for all three wells is 55%) Key Learnings to date • • • • 125 Reservoir quality constrains the initial production rates THAI® is the only known process that can produce in this quality of reservoir Wellbore placement toward bottom of the reservoir is optimal On stream factor of facilities is critical to advance production Future Plans In early 2012, the Whitesands Project along with Petrobank’s associated oil sands leases was divested to Grizzly Oilsands ULC 126 Petrobank Energy & Resources 1900, 111 – 5th Avenue SW Calgary, AB, T2P 3Y6 403.750.4400 www.petrobank.com TSX: PBG www.petrobank.com Version 1.