Subsea Light Well Intervention

1. SubseaLight Well Intervention

2. Light Well Intervention World wide there are more than 6000 SS wells, and the number is growing. The recovery rate from SS wells is most often less than 40 % vs 50 – 60 % on dry wells. Increased Oils Recovery from SS wells by use of Light Well Intervention Vessels is extremely cost effective vs Semi Submersible Rigs.

3. Strong growth in subsea wells drives demand for subsea services from advanced and versatile offshore vessels Development in global subsea wells Global subsea wells by customer (2014-2017) 679 700 550 530 638 650 618 500 583 600 450 550 519 400 500 462 452 432 450 350 416 400 374 300 350 318 311 250 300 206 200 250 156 139 200 134 150 124 150 90 100 64 100 58 58 50 50 0 0 2006 2007 2008 2009 2010 2011 2012 2013e 2014e 2015e 2016e 2017e Petrobras Statoil BP Shell Total Chevron Anadarko ENI Exxon Mobil Premier Oil Exploration Drilling Top hole drilling Installation & Construction Subsea & IMR Production IOR and IMR De-commissioning Plug & Abandonment Source: Quest Offshore Resources Inc. (November 2013)

4. Ageing Subsea fields need well intervention and maintenance Average age of producing subsea wells Subsea wells producing for more than 5 years 5,000 +9% 4,500 4,000 3,500 3,000 2,500 2,000 North America: 8.9 years 1,500 West Africa: 6.1 years 1,000 South East Asia: 11.2 years 500 0 Brazil: 11.2 years 2012 2013e 2014e 2015e 2016e Exploration Drilling Top hole drilling Installation & Construction Subsea & IMR Production IOR and IMR De-commissioning Plug & Abandonment NWECS1: 11.8 years Source: Infield, 2014; Infield, 2013 1) Northwest Europe Continental Shelf

6. Background • FMC`s Subsea Lubricator used on Regalia in 2003. 3 successful interventions • Island Frontier delivered in 2004 • Alliance between Island Offshore, FMC and Aker established in 2004 • 2005 • Performed Well Intervention on Chevron Stathspey project • Awarded the long term contact with Statoil (6+3 years) • Intervention on two Nexen UK Wells • 2006 awarded the BP contract 3 + 2 years for West of Shetland primarily, commencing May 2009

7. The Vessels Island Frontier Island Wellserver Island Performer Island Constructor

8. Wireline Services Most common RLWIservices Well integrity Caliper logging of wells Data collection (oil, water, gas) Mechanical repairs (e.g. DHSV replacement) Water shut off (plug setting) Zonal isolation (plug or straddle) Perforation - Re-perforation

9. Wireline Services Most common RLWIservices Mechanical scale removal (milling) Mechanical hydrate removal (milling) X-mas tree interventions Tubing cutting –explosive or mechanical cutting Sand or debris removal Honing and refurbishing of seal areas Manipulation of sleeves and side pocket mandrels

10. Challenging work • Vigdis C-5 Well • Installation of Straddle to • Isolate a non producing • zone • 280 m water depth • Straddle length 53 m • Well bore length 3850 m • Depth at end of well 2250 m • Horizontal climb 117 deg. • Duration of job 45 days

11. Track Record • More than 270 Light Well Interventions since 2005 • More than 95 % of the jobs were successful • Jobs lasting 10 – 45 days • Increased revenues for clients – billions

12. Main focus from Authorities (PSA & NMD) • To maintain barriers in every form • Pressure control • Technical barriers • Human barriers • System barriers • Security • Integrity

13. Division of Responsibility • Client takes over responsibility when the tool-string enters the well • IO resumes responsibility when the tool-string leaves the well • Client is responsible for all cost related to damage to the well • Client is responsible for all cost related to blow-outs or similar accidents • All except for gross misconduct

14. People • The LWI-segment employs more than • 400 people in Island Offshore • All recruited internally • Operating as vessels • Focus on cross-training and multi-skilling • Retention rate 95 % • High level of competence • First class safety records • Shore staff with engineering support

15. The future

16. Thank You for your attention!