Founders Oil and Gas, LLC.

Transcription

1 SCAL, Inc. SPECIAL CORE ANALYSIS LABORATORIES, INC. Founders Oil and Gas, LLC. Tight Rock Analysis Report University Rich A11 #1 Hudspeth County, Texas The analysis, interpretations or opinions expressed in our reports represent the best judgement of Special Core Analysis Laboratories Inc.. Special Core Analysis Laboratories Inc. assumes no responsibility and makes no warranties of any kind as to the productivity, proper operation or profitability of any oil, gas or any other mineral in connection which such a report is used or relied upon. P. O. Box 9730 Midland, TX (432) FAX (432) mv@scalinc.com 1 of 10

2 SCAL, Inc. SPECIAL CORE ANALYSIS LABORATORIES, INC. October 20, 2015 Mr. Brian Sirgo Founders Oil and Gas, LLC. 113 Corporate Drive Midland, TX Reference: Tight Rock Analysis University Rich A11 #1 Hudspeth County, Texas Dear Mr. Sirgo: Bulk density, matrix permeability, micro fracture porosity and permeability at confining stress Bulk density and micro fracture permeability and porosity measurements were performed at reservoir confining stress on the as received shale sample. The matrix permeability was also measured. Residual gas The shale samples were grinded using special mills. A desorption isotherm was performed at reservoir temperature on the granular sample to measure the residual gas and the diffusion parameter. Geochemistry A small portion of the crushed sample was collected and used to perform TOC and Rock-Evaluation. The plug end trims are also available for further geochemistry and/or petrography analysis (TS, XRD, SEM). Gas filled porosity The gas filled porosity is measured on the crushed sidewall sample by helium expansion into the as received shale. Water and oil saturations, total porosity, and grain density The samples are extracted at 100 o C and 250 o C to measure the water and oil saturations. The total porosity and the grain density are also measured after extraction. The samples were photographed in daylight and UV light at different stages of the analysis sequence to document fluorescence and grinding sizes. It was a pleasure performing these analyses for you. If you have any further questions please feel free to contact our laboratory. Thank you for using SCAL, Inc. Sincerely, David Gordon Senior Core Analyst Mihai Vasilache Petroleum Engineer/President 2 of 10

3 SCAL, Inc. SPECIAL CORE ANALYSIS LABORATORIES, INC. Table of Contents Tight Rock Analysis Procedure P.2 Tight Rock Analysis Report P.4 Shale Cut Photos P.6 Microfracture Analysis Report P.8 X-Ray Diffraction Report P.10 The analysis, interpretations or opinions expressed in our reports represent the best judgement of Special Core Analysis Laboratories Inc.. Special Core Analysis Laboratories Inc. assumes no responsibility and makes no warranties of any kind as to the productivity, proper operation or profitability of any oil, gas or any other mineral in connection which such a report is used or relied upon. P. O. Box 9730 Midland, TX (432) FAX (432) mv@scalinc.com 3 of 10

4 Tight Rock Analysis Report Company: Founders Oil and Gas, LLC. County: Hudspeth County Desorption Temperature: 124 o F Well: University Rich A11 #1 State: Texas Confining Pressure: 1,765 psi Sample Quick-Desorption Plug (microfracture) Data Crushed Sample Data Diffusion Parameter As received Extracted and Dried Plug Crushed No. Depth Measured Lost Residual TOTAL Matrix Plug Plug Bulk Gas Filled Total Saturations Grain D/r2 D/r2 Ratio Gas Gas Gas Gas Perm Perm Porosity Density Porosity Porosity Water Oil Density ft scf/ton* scf/ton* scf/ton* scf/ton* nd md % g/cc % % % % g/cc 1/sec 1/sec 8 5, N/A N/A 10.3 N/A tbfa N/A 6.96E-07 N/A 9 5, N/A N/A 6.5 N/A N/A 5.53E-04 N/A 10 5, N/A N/A 6.2 N/A N/A 5.83E-04 N/A 11 5, N/A N/A 7.9 N/A N/A 7.20E-05 N/A 12 5, N/A N/A 12.4 N/A (f) N/A 1.57E-04 N/A 13 5, N/A N/A 3.2 N/A N/A 4.60E-05 N/A 14 5, N/A N/A 5.5 N/A N/A 6.55E-05 N/A 15 5, N/A N/A 0.38 N/A N/A 6.73E-03 N/A 16 5, N/A N/A 12.0 N/A N/A 4.63E-05 N/A 17 5, N/A N/A 4.7 N/A N/A 3.38E-04 N/A 18 5, N/A N/A 5.0 N/A N/A 2.12E-05 N/A 19 5, N/A N/A 0.05 N/A N/A 3.03E-01 N/A 20 5, N/A N/A 8.3 N/A N/A 3.08E-05 N/A 21 5, N/A N/A 4.6 N/A N/A 4.41E-05 N/A 22 5, N/A N/A 8.3 N/A tbfa N/A 2.04E-04 N/A 23 5, N/A N/A 0.03 N/A N/A 3.56E-01 N/A 24 5, N/A N/A 15.5 N/A tbfa N/A 4.41E-05 N/A 25 5, N/A N/A 4.5 N/A N/A 2.04E-04 N/A 26 5, N/A N/A 10.7 N/A N/A 3.56E-01 N/A Average N/A N/A 6.6 N/A N/A 5.39E-02 N/A Notations: D Diffusion coefficient [cm 2 /sec] r Sphere Radius [cm] D/r 2 Diffusion parameter [1/sec] ton* US Short ton equal to 2,000 lbs 4 of 10

5 Gas Content vs Depth University Rich A11 #1 5,100 5,150 5,200 Total Gas USBM Method Measured Gas Lost Gas USBM Method Residual Gas 5,250 5,300 Depth (ft) 5,350 5,400 5,450 5,500 5,550 5, Total Gas (scf/ton) 5 of 10

6 SCAL, Inc. SPECIAL CORE ANALYSIS LABORATORIES University Rich A11 #1 Sample Depth Sample Depth Sample Depth Sample Depth 8 5, , , , , , , , , , , , , , , , , , ,520.0 The first set of ground samples are dry and under uv light to show that there was no fluorescence. The second set of ground samples are cut with toluene under uv light to show the presence of hydrocarbons. 6 of 10

7 SCAL, Inc. SPECIAL CORE ANALYSIS LABORATORIES University Rich A11 #1 Sample Depth Sample Depth Sample Depth Sample Depth 15 5, , ,485.0 The first set of ground samples are dry and under uv light to show that there was no fluorescence. The second set of ground samples are cut with toluene under uv light to show the presence of hydrocarbons. 7 of 10

8 Microfracture Analysis Report Company : Founders Oil and Gas, LLC. Field: File No. : Formation: Well : University Rich A11 No 1 County : Hudspeth County, Texas API #: Location : Sample Depth Grain Porosity Klinkenberg Matrix Sample Description Number Density Permeability Perm ft g/cc % md nd Confining Pressure 1,765psi 8* 5, tbfa 1502 Sh:blk nvp sm pyr 9 5, Sh:blk nvp sm pyr sm calc 10 5, Sh:blk nvp calc sm pyr 11 5, Sh:blk nvp sm calc sm pyr 12 5, (f) 1168 Sh:brn nvp sm calc sm pyr 13 5, Sh:brn nvp sm calc sm pyr v sl sd 14 5, Sh:brn nvp calc sl pyr 15 5, Sh:brn nvp calc sm pyr 16 5, Sh:brn nvp calc sm pyr sm sd 17 5, Sh:blk nvp calc sm pyr v sl sd 18 5, Sh:blk nvp sm calc sm pyr 19 5, Sh:blk nvp sm pyr sm calc 20 5, Sh:blk nvp sm pyr sl calc 21 5, Sh:blk nvp sm pyr sm calc 22* 5, tbfa 891 Sh:blk nvp sm pyr sm calc 23 5, Sh:blk nvp sm calc sl pyr 24* 5, tbfa 1904 Sh:blk nvp calc sm pyr 25 5, Sh:blk nvp sdy calc sm pyr 26 5, Sh:blk nvp calc sl pyr Notes: tbfa indicates samples that are too broken for analysis porosity for samples with an asterisk was performed at ambient conditions Samples in RED were preserved for future testing 8 of 10

9 Permeability versus 1,765psi 1 Klinkenberg Permeability 0.1 Air Permeability md Porosity [%] 9 of 10

10 X-Ray Diffraction Mineral Data Company : Founders Oil & Gas, LLC File No. : Well: University Rich A11 No 1 API#: Location : Hudspeth County, TX Sample Depth Grain Total Klinkenberg Matrix Qtz Plag K Cal Dol Ank Sid Apa Gyp NaCl Pyr Total Illite EML Sme Kao Chl Total Total Number Density Porosity Permeability Perm Feld Bulk + i/s Clay ft g/cc % md nd % Mica % % 15 5, , , Qtz Quartz SiO2 KFeld Potassium Feldspar KAlSi3 O8 Clay Minerals = Aluminosilicates Cal Calcite Ca CO3 Dol Dolomite CaMg(CO3)2 Kao Kaolinite Sid Siderite Fe CO3 Bar Barite BaSO4 Chl Chlorite Pyr Pyrite Fe S2 Plag (Ca, Na)Al(1-2)Si(3-2)O8 Sme Smectite Gyp Gypsum CaSO4.2H2O Anhy Anhydrite CaSO4 EML Expandable Mixed Layer (Illite/Smectite) 10 of 10