CENTRE OF OIL AND GAS RESOURCES RESEARCH AND PRODUCTION COMPANY

1. CENTRE OF OIL AND GAS RESOURCESRESEARCH AND PRODUCTION COMPANY GEOLOGICAL AND HYDRODYNAMIC RESERVOIR MODELING DESIGN OF FIELD DEVELOPMENT

2. «Centre of Oil and Gas Resources» Founded: May 2012 Main activities: strategic planning and business economics, prospecting and exploration of oil and gas resources, modeling and design of field development, oil and gas production, software design and technical support HR and specialization: • geology, seismic and geophysics – 7 (2 Ph.D.) – 10+ years' experience • field development and production – 9 (Ph.D. and 4 D.Sc.) – 20+ years' experience • strategic planning and economic studies – 2 – 20+ years' experience Experience: Ukraine (Fields: Orhovytske, Berezivske, Yulivske, Druzhelyubivske, Zachepylivske, Subbotina, Schmidta, South Holytsynske, East Poltava); Belarus (Fields: South Ostashkovytske, Rechitskeand Vyshanske); Egypt(Fields: HG, WHG); UAE (Wildcat: Hamad1); Turkmenistan(Fields: Kotur-Depe, Barsa-Helmez, Ekerem) Current activities: • scientific research, development of innovative technologies and software • refinement of geological model and design of field development of high-viscosity oil pools at YablunivskeOGCF

3. Modeling flow chart Raw data analysis and systematization, database creation Supervision and implementation support Seismic data processing and interpretation Core samples, well testing and logging processing and interpretation Design of technological solutions Reservoir simulation, history matching and adjustment of geological model Detailed well correlation Paleotectonic analysis PVT modeling Geological modeling

4. Database Server User access control Monitoring of field development (software) Database desing and support Real-time production analysis Production data acquisition Estimation of production efficiency Project supervision User’s graphic interface Improvement of production system Technical documentation Production forcasting Reservoir modeling and permanent monitoring

5. Improving efficiency of oil and gas field development Fields: Orhovytske, Yulivske, Druzhelyubivske, Zachepylivske, South Ostashkovytske • Estimation of technological efficiency of oil and gas field development systems and formation of main approaches to increase oil and gas production • Adjustment of geological model by the results of reservoir simulation • Determination of • low-amplitude tectonic faults • zones with residual oil and gas reserves • missed and tight producing formations • Refinement of collectors distribution and evaluation of reservoir properties • Elaboration of recommendations and main directions of supplementary exploration and improvement of field development system Estimation of technological efficiency of field development (ETEFD) Reservoir modeling More than 100 oil and gas fields in Ukraine were tested Production forcasting and economic analysis Improving field development system

6. Efficiency criteria Characteristics of oil and gas fielddevelopment Technical and economic design Petrophysical characteristics(statical) Technical and technological characteristics (dynamical) Implementation of developmentsystem Estimation of technological efficiency of oil and gas field development (ETEFD) Fields: Yulivske, Druzhelyubivske, South Ostashkovytske, Rechitske, Vyshanske • Efficiency criteria: • Oil recovery factor (η) –completeness of oil recovery • Ratio of yearly oil production rate to remaining recoverable reserves (Т) - levels of oil production and economic efficiency of field development • Cumulative WOR (B) - technological efficiency of field development Functional, statistical, logical relation (links) o - relative viscosity γ - well spacing V - cum oil - recoverable oil ratio R - hydrodynamic resistance Qi - production-injection ratio

7. Design of field development and EOR modeling Fields: Yulivske, Druzhelyubivske, South Ostashkovytske, Zachepylivske, Subbotina, Schmidta, HG, WHG Yulievskye OGCF horizon V-20Ukraine Simultaneous water injection (aquifer zone) and gas injection (gas cap)

8. Optimization of well placement (patented method) Fields: Yulivske, South Ostashkovytske, Zachepylivske, Subbotina Intensity potential combines: porosity, permeability, pay thickness, pressure, HC saturation, HC reserves, existing well spacing, distance to fluid contacts and etc.

9. Single Simulation Schema (3S) well optimization (know-how, software) Fields: HG • 3S method integrates new approaches of modeling • Only one simulation and analytical calculations are required to determine optimal well number and locations • Utilization of double criteria: economic analysis (NPV) and information confidence level for each pattern schema • Advantages of full hydrodynamic simulation and analytics results in flexibility and speed

10. EOR modeling, complex technological facilities and up-to-date technology • Steam flooding • Cyclic steam • Hot water flooding • Combustion (air injection) • Differential temperature water injection • WAG modeling • Horizontal and multi-lateral well • Hydrocarbon and acid gas injection • Gas condensate and volatile oil • Gas cycling and re-cycling • Underground gas storage • Naturally and hydraulically fractured reservoir modeling • Coal Bed Methane

11. Software-hardware

12. Contacts LLC «Research and production company «Centre of Oil and Gas Resources» www.cogr.com.ua Address: V. Chornovola street, 12, office 204, Kyiv, Ukraine 01135 Phone: (+380) 44 359 04 28 E-mail:info@cogr.com.ua