Diversified Well Logging, LLC. the Surface Measurement While Drilling™ Company

Diversified Well Logging, LLC. The Surface Measurement While Drilling™ Company

It is a surprise to no one that our industry is challenged by capital efficiency and return on investment. The returns to date are not acceptable to either the private or public investors. In recognition of this we have reviewed and renewed the traditional mud-logging service in a way that allows improved drilling efficiency, completions efficiency, and capital efficiency. We believe our service solutions will transform the Unconventional World by allowing every well to have full formation evaluation in realtime.

More data, more knowledge, more certainty …

We are CUSTOMER FOCUSED: We seek to exceed customer expectations by providing solutions that improve their drilling, completions, and production economics

We conduct our business with INTEGRITY: We believe in doing the right thing and conducting our business with honor, transparency and professionalism

We are committed to REDUCING RISK: The cornerstones of risk reduction are Safety, Quality and Learning: a safe workplace that is free from accidents, drugs, and alcohol; being process focused and executing right, the first time, every time; organizational learning by updating process and communicating incidents company wide

We are INNOVATIVE in design and service delivery: We know that our industry is always changing, we embrace those changes and technologies even when they don’t come from within

We are a PROFITABLE organization: We strive for profitability at every level, by project, by area, and for the company this produces financial rewards for our employees and shareholders. Profitability provides the freedom to innovate for the benefit of our customers

© 2020 Diversified Well Logging LLC. All Rights Reserved. Surface Measurement While Drilling™ ❖ Hybrid Mud Logging ❖ Chemosteering and Geosteering ❖ Integrated Surface Artificial Intelligence ❖ Classic Mud Logging ❖ Remote Gas Measurement ❖ Automated Remote Mud Logging

© 2020 Diversified Well Logging LLC. All Rights Reserved. Hybrid Mud Logging The benefits and applications of realtime HML-XRF data include: Hybrid Mud Logging dispenses with the subjectivity of traditional services. • Raw data source available on every well We use on-site, real-time XRF analysis of the drilled cuttings to give quantitative rock evaluation. • No gaps in geological knowledge ever • No interference with rig operations Our process boasts rigorous laboratory grade QAQC on elemental data that is delivered every 28 • Works when downhole technology fails minutes. • Cost effective with value more than added • Realtime geological/geochemical analysis Daily deliverables include the full suite of major and trace elements and field logs with modelled • Quantitative information, not subjective • Elemental data increases geocertainty for mineralogy, lithology, TOC, and elemental gamma ray (U+Th+K). Formation gas is also measured • Chemostratigraphy and integrated into the field and final logs as an aid to formation fluid evaluation. • Geopositioning – chemosteering • Modelled mineralogy/lithology End of well deliverables include estimated geomechanical properties for completions • Depositional environments • Proxies for TOC optimization and a chemostratigraphic report and interpretation. • Chemical gamma ray • Sample depth verification • Geomechanical property modelling • Rock density and porosity modelling • Optimizing landing targets • Avoiding geological hazards • Avoiding drilling dysfunction • Reduction of NPT • Improved capital efficiency

We employ rigorous quality control standards on HML operations. Our equipment has calibration runs after every 5 samples vs USGS/NIST Standard. We verify sample cleanliness by demanding a less than 10,000ppm barium content. Our sample depth is correlated using Elemental Gamma Ray (U+Th+K) vs. MWD-GR.

ALL quality control is performed in real-time at the wellsite allowing for timely remedial action and giving higher data confidence.

Elemental data, modelled mineralogy and lithology is also accompanied by hi- resolution sample images on every field log.

Diversified has gas measurement services that fit any client’s need from Stand-Alone systems to Mass Spectrometry. Our Hybrid Mud Logging service uses C1 to C5 chromatographs as the ‘basic’ level of gas analysis. With this level of sophistication we provide important correlations with elemental and mineralogical data. The C1 to C5 gases and our advanced software allow us to use ratios to indicate formation fluid type and changes. We can also correlate and compare well to well gas signatures. At a regional level we can plot and determine differences in Gas Oil Ratios (GOR) to compare with known production.

With the elemental and gas data we collect, the Hybrid Mud Logging service provides excellent Formation Evaluation in real-time and in the most capital efficient way possible … by using material that is already there.

© 2020 Diversified Well Logging LLC. All Rights Reserved. Chemosteering Geosteering Diversified Well Logging has steered over 15 Million feet of hole at a greater than 90% in-zone success rate over the past 8 years using traditional GR curves to guide us.

Building on this expertise we now add elemental data from cuttings to steer wells with greater confidence, staying in-zone and avoiding hazards.

Real-time elemental data is incorporated - ‘binaries’ - that better define stratigraphic packages and formation tops. Elements also mitigate the measure of uncertainty that GR data exhibits in certain formations.

Using HML-XRF and Chemosteering your geological knowledge is greatly increased as is the certainty of correct geopositioning. Both will lead to improved completion strategies and profitability.

© 2020 Diversified Well Logging LLC. All Rights Reserved. PERF PLACEMENT- ENERGY LEVELS STAGE PLACEMENT- ENERGY LEVELS A.I. Integrated Data Using elemental data, modelled geomechanical rock properties, and drilling data we can use our A.I. software to optimize drilling performance through the comparison of ROP and MSE and our indication of fracability from rock data.

The resulting Rock Quality Levels allows us to determine the energy needed to optimally drill different formations.

Similarly, the integration of rock and drill data is used to optimize completion design by suggesting stage and perforation cluster placement based on the computed Rock Quality Levels.

With Hybrid Mud Logging as the foundation, we fully believe our evolved service solutions will transform unconventional drilling by increasing efficiency throughout the life-cycle of every well.

From cuttings and gas we economically deliver the data you need, in real-time, for your engineered completion design.

Diversified Well Logging is proud of its classic mud logging services that are a mainstay of land operations throughout the USA and beyond. Our service includes 24-hour sample catching, preparation, examination for rock type and hydrocarbon presence, storage and shipping. Formation gas services include standard Total Gas with C1 to C4 (or C5) monitoring and measurement. Twice daily reports, data files, and formation logs are prepared in accordance with client requirements. As with all our services, data quality is a key component with data checks being part of the mudlogger’s (and management’s) routine.

Diversified Well Logging uses the Bloodhound® portable gas instrument on its remote/unmanned jobs. When cost control is a concern, but accuracy, reliability, and connectivity is a must, we have it covered.

The Bloodhound® gas detection and logging View real-time logging data via the Internet system is based on patented next generation anytime, anywhere. The Bloodhound connects infrared sensors that are light years ahead of via Ethernet, satellite or Cellular wireless for the older hotwire, FID or Pellister based gas instant access world-wide. Data is stored sensors. No other mud logging gas detection locally in the Bloodhound, at the server system uses this technology making it without system, and in the connected computer. The peer in sensitivity, precision chromatography, Data is stored in an industry standard comma- reliability, portability, ruggedness, accuracy, delimited form for compatibility with all mud and ease of use. logging software via LAS and XLS files.

Applications: Benefits: ▪ Vertical and lateral drilling ▪ Automated data collection ▪ High rates of ROP ▪ Reliable high data density ▪ Exploration wells ▪ No operational disruption ▪ Sweet spot/Lateral targeting ▪ Simple installation ▪ Stratigraphic correlation ▪ Reduced uncertainty ▪ Input for engineered completions ▪ Less personnel onsite ▪ Geosteering applications ▪ Priced for every well ▪ Replacement of coring runs ▪ Cost effective ▪ Replace downhole FE tools

© 2020 Diversified Well Logging LLC. All Rights Reserved. Diversified Well Logging thanks you for your attention and hopes that this short presentation has illustrated our commitment to improving capital efficiency and return on investment for our customers.

We would also like to take this opportunity to mention our commitment to safety by celebrating zero recordable incidents in 2019.

Thank you.