A PUBLICATION OF Spring 2009

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A PUBLICATION OF Spring 2009 ReelDirection NOV Well Intervention and Stimulation Equipment World s Leading Equipment Supplier for: Coiled Tubing Units Snubbing Nitrogen Pumping Fracturing Cementing Pressure Pumping Wireline Pressure Control Data Acquisition INTRODUCES MERLIN CONTROL SYSTEM AT 2009 ICoTA The Merlin Control System is Hydra Rig s next generation of Coiled Tubing Unit (CTU) controls for today s evolving coiled tubing market. It is a hydraulic powered, computer controlled system that provides unprecedented operational performance and safety for coiled tubing unit operation. The Merlin Control System is built around the Amphion TM Single Board Computer, a proven, oilfield hardened SBC developed by NOV specifically for use in mobile rig control applications. Multiple touch screens provide complete unit control and monitoring, for consistent unit performance and job results from operator to operator. The system also provides for integrated operation of nitrogen and fluid pumping units for single point job control from the Merlin control cabin. Contents Page 2 NOV Hydra Rig, Ft. Worth Page 3 NOV Hydra Rig, Ft. Worth Page 4 NOV TOT / NOV CTES Page 5 NOV Hydra Rig Canada / NOV Hydra Rig N2 Division Page 6 NOV Elmar / NOV Wise Group Page 7 NOV Rolligon / NOV Fidmash Page 8 Reel People On the Move / 2009 Trade Shows Page 1

A NEW INNOVATION IN COILED TUBING UNIT CONTROL The Merlin control system is most readily apparent in the control cabin. The cabin is now a dry design, with no high pressure hydraulics. Only one electrical umbilical cord is needed to connect the cabin to the rest of the CTU. The interior has been ergonomically redesigned for the new touch screen control console. Interior features include an upgraded operator s control chair, wrap around solid surface control center, rear bench seat with monitoring station, and purpose-built, ruggedized climate control unit. The cabin shell itself is constructed using Hydra Rig s rigid foam composite panel shell system and the larger front and side windows provide the operator with excellent job visibility. Mundane, repetitive functions are out of the operator s hands, reducing the potential for operational errors. Touch Screen controls with minimal discreet controls for ESD and BOP functions. Precise computer control and logic automates auto drill functions for reduced operator fatigue. Computer controlled injector chain traction and tension virtually eliminates pipe slippage, and helps protect the tubing string from mechanical damage. Programming of safety logic allows the CTU to automatically react with unparalleled speed and precision to changing job conditions that arise during a job. Machine and job limits can be preset to protect against damage to critical components and to improve job safety performance. Merlin self troubleshoots. Any failed component, its location and function, is reported to the operator. Integrated data acquisition of all job parameters utilizing the CTES Orion and Cerberus DAS allows real time job monitoring, storage, and reporting, as well as remote monitoring. Operators can now concentrate on down-hole functions to insure proper job performance. Built-in simulator program provides off-well operator training. Caption describing picture or graphic. Page 2

The hydraulically driven, fully automated reel, shown left, is based on Hydra Rig s D3000 Drop-In-Drum design. The autospooler function controls proper coiled tubing wraps through automated control of the levelwind drive for consistent, even spooling of the coiled tubing on and off the drum. The multifunction, size adjustable counter monitors tubing speed and depth, and is designed to integrate the CTES Argus Tubespec or CT Dog. The power pack, shown right, is driven by a Caterpillar diesel engine and has a 90 GPM closed loop hydraulic system. Hydraulic lines and all Merlin control cables are stored on reels on power pack and are routed to each Merlin component. On board power generation is supplied by either hydraulic driven or independent engine-driven generator. The power pack has a redundant control console for complete unit control at the power pack in case of emergency. The Merlin control system is initially installed on the Hydra Rig model HR 680 injector, shown above. The system incorporates computer control of traction, tension, brake state, tubing lubrication, and stripper. Merlin also detects impending chain slippage and auto- adjusts traction pressure, reducing the possibility of pipe damage due to slippage. Encoders monitor chain speed and log injector footage for maintenance. Integrated hydraulic control manifolds reduce the control hose bundle from 15 hoses to 6. Page 3

NOV Texas Oil Tools announces new actuator for Subsea BOP s The subsea actuator was designed to occupy a smaller footprint and to enhance safety. BOP ram inspection, maintenance, and hydraulic ram change (versus manual) make it easier and safer to service. Substantial space saving in subsea rig-up. Overall width decreased by 50% Hydraulic ram-change design Proven wedgelock design with low friction, quick open feature New design manufactured in 7-3/8 bore, 10,000 psi working pressure. Smaller sizes to follow Rated to water depth of 10,000 feet. Designed to API and ISO requirements 7-3/8 10,000 psi Subsea BOP NOV CTES unveils its new Slickline Data Acquisition System, featuring slickline fatigue life tracking The new NOV CTES Orion SL Life Saver acquires, records, and displays slickline operating data to estimate fatigue along the length of a slickline, thereby tracking remaining fatigue life. This tracking helps users avoid costly field failures and optimizes the slickline replacement schedule. The Orion SL Life Saver operates by monitoring slickline forces and bending events as tools are run in and out of a well. The standalone system records slickline information via an encoder mounted on a cable depth-measuring device. An electronic load cell provides tension data. Software Features and Benefits: OrionNET software arrives pre-installed in the unit: Real-time SL fatigue calculations help prevent slickline breakage and subsequent fishing jobs Acquires, displays, and records depth, tension, line speed, and one additional analog data channel High-speed, sensitive tension display detects tickle (small variations in tension) when moving past downhole restrictions Easy operation: single switch provides power on and go data acquisition and USB media storage Review Percent (Fatigue) Life Used and Tension To discuss the many advantages of using the Orion SL Life Saver, please contact the NOV CTES Business Development Group at +1 936 521 2200, or stop by Booth #313 at the SPE/ICoTA 2009 Coiled Tubing Well Intervention Conference. Page 4

NOV Hydra Rig Canada Delivers Turkmenistan Coiled Tubing and Pumping Units NOV Hydra Rig Canada delivered three Coiled tubing units and Three pumping units to Turkmenneft in December 2008. On time delivery was the result of cooperation and coordination between Several NOV sister companies including NOV Hydra Rig Canada, NOV Rolligon, NOV CTES, NOV TOT, NOV Quality Tubing, and NOV Downhole Tools. Coiled Tubing and Nitrogen Equipment for China NOV Hydra Rig Canada delivered twenty coiled tubing and nitrogen pumping systems to nine different China operating regions in 2008. Deliveries for 2009 will continue at this pace. Each of the deliveries includes components from other NOV divisions around the globe. China Compulsory Certification (CCC) NOV Hydra Rig Canada has met requirements and passed an audit by the China Quality Certification Center (CQC) and will receive formal CCC approval. This approval qualifies the NOV Hydra Rig Calgary manufacturing facility and gives design approvals for the nitrogen and coiled tubing equipment built for China. NOV Hydra Rig Nitrogen Division Beefs Up Service Capacity With the addition of a service truck and trailer, NOV Hydra Rig Duncan now offers field service at customer locations. Services include: Hydraulic System Troubleshooting Welding Repairs Autoclave Repair Cold End and Boost Pump Change-out Preventive Maintenance In-house services at the 62,000 sq. ft. Duncan facility includes: Fully dedicated pump shop and cold-end repair facility, well equipped service department with an inventory of commonly used parts for quick turn-around, minor repairs to full rebuilds, complete hose change-outs troubleshooting, and Engineering support to assist with equipment updates. Contact Service Manager Joe Slann or Service Supervisor or Paul Richardson at 580-255-4433. Page 5

NOV ELMAR Introduces NovaWinch and TerraTruck NovaWinch NovaWinch is one of the latest family of containerized slickline units and is available as one piece or modular. Designed for stand alone operation, the unit is self contained and requires no external power source. NovaWinch is proving extremely popular with North Sea customers such as Maersk. TerraTruck The newly designed TerraTruck family of slickline trucks is proving to be popular with clients such as ENSP in Algeria. Providing the ultimate in flexibility for slickline and memory logging operations, the TerraTruck is suitable for both on and off-road activities and is ideal for operations in desert conditions. NOV Well Intervention and Stimulation Equipment Group NOV s Well Intervention and Stimulation Equipment Group sponsored a Coiled Tubing Equipment Technology Seminar for NOV s China customers. The Seminar was held in Kunming China and is the first Coiled Tubing Equipment Seminar held in China since Hydra Rig held a similar event in 1996. NOV companies presenting at the two and a half day seminar were Downhole Tools, Hydra Rig, CTES, Texas Oil Tools and Elmar, in addition Sichuan Petroleum Administration gave a presentation on Coiled Tubing Applications being performed in China. The 2008 Seminar was attended by 80 Chinese managers and engineers from all parts of China. There were 23 Chinese oilfield companies (customers) in attendance. A bus tour of cultural sites near Kunming, which is at 7,000 ft. elevation, was provided for the attendees and presenters. Brad Hastad, Group Far East Sales Manager advised the Seminar was graded as a huge success by both the Chinese attendees and the NOV presenters. Page 6

NOV Rolligon Introduces New PC Based Frac Control System NOV Rolligon has completed development of its computer based Frac Control System. Utilizing the existing CAN (Controller Area Network), multiple frac units can be linked and controlled from a single remote operator station. Use of this system now enables one, experienced frac operator to effectively control a complex, multi-unit frac job. PC Based Frac Controls: Control up to 24 Frac units from a single control station using high speed CAN technology. View individual unit data and combined data from entire frac spread quickly. Control multiple units in unison using Rolligon s group control and shutdown feature. Network entire frac spread to reduce setup time and lengthy cabling. Fidmash Expands Product Lines Pictured left is a truck mounted nitrogen pumping unit recently supplied to a customer in Russia. With a 180,000 SCFH skid mounted nitrogen unit supplied by NOV Hydra Rig in Canada, NOV Fidmash unitized this joint project on to a Russian carrier along with a tank and climate controlled cabin for service in Siberia. Pictured right is a truck mounted fluid pumping and heating unit manufactured by NOV Fidmash. These purpose built units are rapidly becoming the standard for coiled tubing operations that require heated fluid when operating in arctic conditions. Page 7

REEL PEOPLE ON THE MOVE NOV CTES David Myrick moves from Aberdeen Scotland to Conroe as NOV CTES Salesman NOV Hydra Rig Chelsea Power is promoted to Assembly Manager at NOV Hydra Rig Calgary. Technical Handbook Update: NOV Group Coiled Tubing Handbook is available on CD by contacting Gloria.Butchard@nov.com NOV Group Wireline Handbook is available on CD by contacting Karen.Walker@nov.com NOV Well Intervention and Stimulation Equipment 2009 Trade Shows -SPE/ICOTA - Woodlands, Tx. March 31 - April 1 -OTC - Houston, Tx. May 4-7 -Brazil Offshore, Macae June 16-19 -MIOGE, Moscow June 23-26 -Offshore Europe, Scotland September 8-11 -LAGCOE, Lafayette October 27-29 -SPE Asia Pacific, Jakarta August 4-6 -Int. Oil & Gas Conf, Beijing (Date pending) NOV Corporate Headquarters 7909 Parkwood Circle Drive Houston, Texas 77036 Phone: 713 375 3700 Fax: 713 346 7687 Well Intervention and Stimulation Equipment Headquarters 1020 Everman Parkway Ft. Worth, Texas 76140 Phone: 817 985 5000 Fax: 817 985 5297 Group Regional Sales and Service Middle East Oilfields Supply Centre B-17 Jebel Ali Free Zone P.O. Box 18633 Dubai United Arab Emirates Phone: 971 4 883 5910 Fax: 971 4 883 7087 E-mail: elmar-dubai@nov.com Far East Room 905, Building 109 Area 1, Hoizhong Beili Chaoyan District P.O. Box 1630 Beijing 100012 Peoples Republic of China Phone: 8610 6485 6270/71/72/73 Fax: 8610 6480 0269 E-mail: Bradley.Hastad@nov.com Hydra Rig 1020 Everman Parkway Ft. Worth, Texas 76140 Phone: 817 985 5000 Fax: 817 985 5297 E-mail: hrisales@nov.com Nitrogen Division 1200 E. Hwy 7 Duncan, Oklahoma 73533 Phone: 580 255 4433 Fax: 580 252 6664 E-mail: hrnsales@nov.com United Kingdom Boundary Road Industrial Estate Great Yarmouth Norfolk, NR31 0LW England Phone: 44 1493 651801 Fax: 44 1493 651805 E-mail: hruksales@nov.com Canada 4910 80 Avenue, SE Calgary, Alberta Canada T2C 2X3 Phone: 403 279 6430 Fax: 403 279 7234 E-mail: hrcsales@nov.com Texas Oil Tools 700 Conroe Park North Conroe, Texas 77303 Phone: 936 520 5300 Fax: 936 756 8102 E-mail: totsales@nov.com 204 Commercial Parkway Broussard, Louisiana 70518 Phone: 337 839 0024 Fax: 337 839 0790 United Kingdom Badentoy Avenue Badentoy Park Aberdeenshire, AB12 4YB Scotland, United Kingdom Phone: 44 1224 331 200 Fax: 44 1224 783 471 Boundary Road Industrial Estate Great Yarmouth Norfolk, NR31 0LW England, United Kingdom Phone: 44 1493 651801 Fax: 44 1493 651805 Rolligon 6740 Hwy 30 Anderson, Texas 77830 Phone: 936 873 2600 Fax: 936 873 9994 E-mail: rolligonsales@nov.com Fidmash Belarus 26, Rybalko Street 220033 Minsk Belarus Phone: 375 17 298 24 11 Fax: 375 17 248 30 26 E-mail: fidmashsales@nov.com CTES 9870 Pozos Lane Conroe, Texas 77303 Phone: 936 521 2200 Fax: 936 521 2275 Technical Support: 936 521 2200 E-mail: ctesinfo@nov.com United Kingdom 1 Claremont Street Aberdeen, AB10 6QP Scotland Phone: 44 1224 588788 Dubai B-17 Oilfield Supply Centre Jebel Ali Free Zone P.O. Box 18633 Dubai United Arab Emirates Phone: 971 481 0132 Fax: 971 883 7087 Elmar United Kingdom Enterprise Drive Westhill Industrial Estate Westhill, Aberdeen AB32 6TQ Scotland, United Kingdom Phone: 44 1224 740261 Fax: 44 1224 743138 E-mail: elmar-uk@nov.com 11993 FM 529 Houston, Texas 77041 Phone: 713 983 9281 Fax: 713 983 9282 E-mail: elmar-americas@nov.com 204 Commercial Parkway Broussard, Louisiana 70518 Phone: 337 839 0024 ext 201 Fax: 337 839 0790 E-mail: elmar-americas@nov.com Canada 6621 45 Street Leduc, Alberta Canada T9E 7E3 Phone: 780 986 6063 Fax: 780 986 6845 E-mail: elmar-canada@nov.com Australia Unit 2 48 Canvale Road Canning Vale West Australia, 6970 Phone: 61 8 9456 0999 Fax: 61 8 9455 3663 E-mail: elmar-perth@nov.com Singapore 4 Tuas Avenue 11 Singapore 639070 Singapore Phone: 65 6861 6664 Fax: 65 6861 7493 E-mail: elmar-singapore@nov.com Middle East Oilfields Supply Centre B-17 Jebel Ali Free Zone P.O. Box 18633 Dubai United Arab Emirates Phone: 971 4 883 5910 Fax: 971 4 883 7087 E-mail: elmar-dubai@nov.com Page 8