Oil Field Services. Ground-breaking fibre-optic Distributed Acoustic Sensing (DAS) technology

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1 Oil Field Services Ground-breaking fibre-optic Distributed Acoustic Sensing (DAS) technology

2 OptaSense The Earth s Nervous System Capturing Data - Creating Value OptaSense delivers real-time information directly into our customer s hands enabling increased production of oil and gas wells. OptaSense Providing ground-breaking fibre-optic Distributed Acoustic Sensing (DAS) for permanent downhole monitoring during completion, production and evaluation phase for life of the field. The Earth s Nervous System The applications of our technology are diverse and are already used in many different sectors, including defence & security, transport and oil & gas. OptaSense technology turns standard off-the-shelf telecoms optical fibre into thousands of virtual sensors. At each sensor an acoustic signal is measured and then analysed in real time in order to determine the position and characteristics of the sources of noise occurring in the region of the fibre. When deployed downhole in a cable, the fibre provides a means of continually listening to every part of the well. In effect this turns the lights on downhole enabling the operator for the first time to see in real-time the effect of various operations performed on the well. This can be used to monitor performance, guide responses, optimise well designs, reduce costs and improve yields while ensuring risks are minimised. Based on decades of signal processing expertise from QinetiQ, optical research experts formed OptaSense to become a world leader in acoustic sensing. As a result we are growing fast, from just 3 employees four years ago to over 140 today, with development and manufacturing based in the UK. Oil Field Services Transport Industries Pipeline Integrity Management Borders and Military Critical Site Security

3 OptaSense The Earth s Nervous System Oil Field Services As the world s leading fibre sensing company OptaSense can call on over 140 specialists operating worldwide from regional centres in Canada, USA, UK, UAE and Australia. Using the most advanced distributed acoustic sensing (DAS) and distributed temperature sensing (DTS) technology, services include Hydraulic Fracture Profiling (HFP), Flow Assurance and Vertical Seismic Profiling (VSP). DAS is a compelling new technology offering many advantages over traditional wellbore surveillance methods. Distributed Acoustic Sensing Innovative, Proven, Reliable Permanently installed fibre-optic cables enable a cost effective downhole monitoring system that can acquire data without direct well intervention at any time in real-time along the entire well bore. The avoidance of well intervention eliminates the deferment of production as well as the cost and operational risks of conventional seismic and logging surveys. Easy and frequent fibre-optic based surveys provide high quality reservoir data for production and recovery optimization. OptaSense DAS is being used for hydraulic fracture profiling oil and gas producers, water and steam injectors, gas lift monitoring and acquisition of wellbore seismic data. The Technology of Choice DAS turns a long standard telecom fibre into an array of microphones. This works because acoustic disturbances along the optical fibre affect the interference of back-reflected laser light. The DAS system uses a technique called coherent optical time domain reflectometry (C-OTDR) that involves the successive transmission of short pulses of highly coherent light down an optical fibre and the observation of the very small levels of backscattered signal due to defects in the atomic structure of the glass core. Vibro-acoustic disturbances reaching the fibre optic cable alter, on a microscopic level, the scattering sites within the glass of the fibre which result in a changes to the Rayleigh backscattered laser signal. An interrogator unit analyses the changes in the backscatter signal and generates a series of independent, simultaneously sampled acoustic signals for each 1-10m long segment (channel) along the fibre. OptaSense Oil Field Services is run out of our offices in Calgary and Houston Developed over the past decade the OptaSense DAS hardware sets the industry benchmark in terms of performance, providing high sensitivity, high spatial resolution with true frequency, phase and amplitude coherence across all channels. Based upon decades worth of signal processing experience the very large quantities of data captured by DAS are processed and analysed in realtime in order to provide manageable amounts of relevant actionable information directly to the customer OptaSense continues to innovate, with our scientists, engineers and software programmers in our Centre of Excellence working to build the next generations of hardware and software tools to further extend the unique capabilities of DAS and other fibre-optic distributed sensing technologies. This technology has no discrete sensors deployed. It simply uses a standard single-mode optical fibre in a cable and our integrator unit for optimising parameters such as sample rate, spatial resolution and number of channels. Raw acoustic data passes from the interrogator unit to a processing unit that provides signal interpretation and visualization. The OptaSense DAS Interrogation Unit continues to be developed further extending the unique capabilities this technology provides

4 The Earth s Nervous System Completions Using fibre placed in the well it is possible to monitor the fracturing process at the treatment zone. s unrivalled DAS and DTS combination allows accurate measurement of fluid and proppant placements for every perforation. Hydraulic Fracture Profiling (HFP) With a fibre permanently installed behind the casing it is now possible to monitor the effectiveness of the hydraulic fracture stimulation process at each treatment stage. The DAS-HFP service provided by continually monitors and records the acoustic signals measured by DAS, the temperature measured by DTS and the pump rates provided by the pumping contractor on site. With this information the performance of the fracture treatment can be monitored, enabling the completions engineer to assess the success of frack initiation and growth, identify perf breakdowns and see stage bypass events as they occur. Typical report output showing high resolution DAS data (top) against DTS data (middle) and the pumping data (bottom) Reports are produced after each stage treatment and at the end of the job. Deliverables include estimates of the fluid and proppant uptake at each of the perforations, disk containing the processed data and software for further data viewing and analysis. This information can be used in post-job hydraulic diagnostics and optimisation to determine fracture effectiveness verses production logs and serve as a valuable input into hydraulic fracture modeling. Cross Well Communication Please ask for more details on our cross well communication capability. Experienced field engineers in one of our data vans acquiring data during a fracture operation The Hydraulic Fracture Profiling service provides unique real-time information on the effectiveness of the well stimulation which is being used to optimise the well design.

5 Evaluation Through fibre sensing we can inexpensively get you the need to-know information about well and reservoir performance. Our DAS transforming the way pad-scale recovery efforts are evaluated for return of investment. Vertical Seismic Profiling (VSP) Using fibre permanently or semi-permanently installed in a well, OptaSense s DAS technology allows for VSP measurements with no well intervention. For the first time operators have easy and repeatable access to the best seismic imaging techniques for the mapping of reservoir stimulation and depletion efforts. We are increasing recoverables by showing operators where hydrocarbons have been left behind the casing. OptaSense DAS provides gapless coverage along the entire length of the wellbore with many hundreds of virtual sensing gauges providing accurately timed measurements of frequency, phase and amplitude. Furthermore the ability to take repeated time-lapse measurements on an array with full well length aperture provides a unique capability in seismic acquisition. High temperature wells such as those used for steam injection can now be imaged with DAS using fibre that can withstand temperatures in excess of 300 o C. Wells with restricted access or which are highly deviated, in which it is impossible to tractor a conventional geophone array, can now be imaged by placing a sensing fibre-optic cable on the production string, wireline or coiled tubing. Once the fibre is installed there is no need for further well intervention so it is now possible to perform repeat VSP measurements easily. The DAS-VSP service provided by OptaSense, interfaces with source controllers for accurate timing; providing real-time correlation and stacking of virbroseis data; which in turn generates in real time, standard seismic data files in SEG-Y or SEG-D format with fully populated headers. The ability to cost effectively take repeated time-lapse measurements, on an array with full well length aperture, in otherwise inaccessible wells, provides a unique capability in 3D/4D seismic acquisition. As testament to this OptaSense VSP has been selected as part of the long term Measurements, Monitoring and Verification (MMV) programme for the Quest Carbon Capture and Storage (CCS) project in Canada. It has also been used in a 50,000 shot offshore 3D VSP survey in which data was collected on two wells and resulted in over 70 million seismic records being taken. OptaSense have also been awarded the prestigious Hart E&P Special Meritorious Award for Engineering Innovation in Geoscience. The OptaSense VSP acquisition service includes the interface and synchronised control of the seismic sources; real-time correlation of virbroseis measurements; real-time stacking of multi-shot measurements; fully populated headers containing source and receiver locations; in-field quality control (QC) as well as the ability to perform remote QC on seismic records uploaded to a secure web server. Micro-seismic Monitoring During the treatment and subsequent production in unconventional oil and gas producers OptaSense DAS can be used to monitor microseismic event especially those larger magnitude events that originate at existing fault locations. OptaSense DAS-VSP service In April 2013 OptaSense was recognised for its game-changing innovation, fibre based Vertical Seismic Profiling (VSP) Technology provides full source control for accurate timing and real-time source correlation and shot stacking Large micro-seismic event originating from an existing fault Typical DAS-VSP seismic response in standard SEG-Y or SEG-D formats

6 Production Permanent, cost effective production logging without well intervention is now possible with DAS. OptaSense is working to provide the ability to measure flow rates at every individual perforation and identify the contents of oil, gas and water within each production zone. With no need for well intervention and with minimal interference with the flow, DAS permanent production logging is developing rapidly as an exciting and cost efficient alternative to conventional Production Logging Tools (PLT). OptaSense fibre gives you an unparalleled understanding of your and reservoir environment. Decisions become easy Flow/No Flow As the first of our production services, we offer the ability to assess the flow / no flow behaviour across perforations. In repeat measurements this information can be used to monitor the effectiveness of each perforation entry point and through life production profile. This tool can also be used to determine the flow/no flow across inflow control valves (ICV), electrical submersible pumps (ESP) and gas lift valves in smart well completions. Software tools to clearly show flow / no flow at the perforations Production Flow Profiling Please ask for further details on our Permanent Production Flow Profiling capabilities. 2 Along hole depth (1000ft) Time DAS waterfall display showing formation and slugging of condensates

7 OptaSense The Earth s Nervous System Continuing Innovation OptaSense continues to bring technology innovation to the oil & gas upstream market. Our new tools are designed to reduce cost, reduce health and safety risk, improve coverage of downhole monitoring and provide new information to increase yield. Our technology is being deployed in dozens of environments, as our investment in innovation continues in a technology that is changing the way downhole measurements are made. OptaSense continues its significant R&D with investment across more than 120 patent families which are either directly owned or exclusively licensed It is our innovation that is driving down the costs of monitoring whilst enhancing the levels to which it can be deployed, working stand alone or integrating with complimentary solutions. Our technology outlined OptaSense converts any standard fibre optic cable (Figure 1) into a Distributed Acoustic (or Seismic) Sensor. Acoustic or Seismic signals that strike the fibre cause minute strains in the fibre. OptaSense measures these minute strains, using laser interrogation, turning the fibre into a distributed acoustic/seismic sensor (Figure 2). Figure 1 OptaSense turns any standard, commercial grade, telecom fibre optic cable into a Distributed Acoustic (or Seismic) Sensor (DAS). An Interrogator Unit (IU) fires a laser beam into the cable and measures backscatter returns from naturally occurring imperfections inherent in the fibre optic cable. The minute strains cause subtle modulations of the backscatter that are then measured by the IU, thus sensing the acoustic/seismic signal. Acoustic or seismic excitation strikes the fibre, causing minute strains in the fibre Figure 2 The OptaSense Interrogator Unit (IU) shoots a laser beam down the fibre and observes the backscatter returns coming from the inherent physical imperfections present in any standard fibre optic telecom fibre. The observed backscatter detects minute cable strain induced by acoustic or seismic signals.

8 A Global Business Safety is Paramount OptaSense is a world-beating British technology, built on decades of home-grown expertise at QinetiQ. Globally, combined with local delivery and service capability our solutions are protecting some of the world s most valuable assets, whilst leading development in oil field services with significant improvements to fracking and down-hole optimisation. Across OptaSense globally, health and safety is of paramount importance. It underpins the way we operate in every location and is an intrinsic part of our company philosophy through to daily execution of all tasks. From a simple visit to site through to field deployment of our personnel and solutions, safety is first, last and always. In addition to personnel training programmes training and instituting full and regular audits, we invariably exceed international standards for health, safety and environment (HSE) within our operations. Due to our investment in HSE and best practice training, we are proud to have achieved an enviable incident free tack record. In 2012, our Oil Field Services division alone held in excess of 314 safety meetings achieved more than 77,000 injury free operational man-hours and travelled tens of thousands of kilometres without accident. Exploration & Production Accidental Damage Prevention Through educating and developing all staff, we do and will continue to make health, safety the highest importance. Accidental Damage Prevention Theft Prevention & Counter Terrorism Application Areas Oil & Gas Transport Defence & Security Telecommunications Theft Prevention & Counter Terrorism Infrastructure Monitoring 10,000 km of assets under protection approaching 100,000,000 km-hrs of surveillance OptaSense has grown from just 3 people to over 140 employees in four years with OptaSense solutions being deployed in over 40 countries. Working either directly or through knowledge transfer, we enable local partners to install, maintain and operate the OptaSense systems locally. With offices in the London, Dubai, Houston, Boston and Calgary we are addressing the needs of pipeline protection and management, oil field services, transport, borders and military and critical site security. Our technology protects thousands of miles of pipeline worldwide. Working together with major Oil and Gas corporations internationally OptaSense systems improve yield and return on investment. Increasingly OptaSense technologies are being selected to protect borders, critical sites and assets whilst assisting in military operations. While other companies also operate in the field of distributed acoustic sensing, OptaSense has combined the technology of the listening fibre with the power of advanced acoustic algorithms to build The Earth s Nervous System. Trained on the Life Saving Rules Part of the ISNetworld Hold a valid Certificate of Recognition (COR) Safety policies including Drug and Alcohol and Fit for Duty Policies All field employees have certifications on H2S Alive, Defensive Driving and First Aid All vehicles have IVMS (monitoring and driver coaching system) 2012 Statistics: 77,385 man/hour with 0 injuries 166,321 km with 0 accidents

9 Cody Technology Park Ively Road, Farnborough Hampshire GU14 0LX United Kingdom Moulton St. Cambridge, MA USA FSP Energy Tower 1 Suite Katy Freeway Houston, TX USA Street SE Calgary Alberta T2C 3E5 Canada Unit Nos. 1302, 1303, th Floor, Jumeirah Business Centre 3 Jumeirah Lakes Towers PO Box Dubai, United Arab Emirates L3, 210 Kings Way South Melbourne Vic 3205 Australia OFS@optasense.com Copyright Ltd

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