Information. And. Procedure. Manual

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Swab-Rite Tool Corp. 921C Wheatland Trail Phone: (403) 519-9721 Fax: (403) 533-3833 Information And Procedure Manual Swab-Rite Tool Corp Page 1 9/20/2014

Swab-Rite Tool Corp. CORPORATE SAFETY STATEMENT Swab-Rite Tool Corp. is committed to a strong safety and loss control program that protects its staff, property, clients and the public from accidents. Swab-Rite Tool Corp. complies with all federal, provincial and legal legislation pertaining to safe work environment. In addition to this commitment, Swab-Rite Tool Corp. management supports all industry wide guiding principles regarding worker safety. HOW OUR PLUNGER WORKS The Swab-Rite Tool Corp. casing plunger is a pressure activated device that rests at the bottom of the well. The well flows through a pressure sensing valve in the middle of the tool while the tool maintains a seal around the casing. (The tool allows a flow area almost equivalent to 60.3mm tubing through it.) As fluid is drawn in above the tool the pressure builds. Once the set pressure is reached the valve shuts, causing the gas to push the tool and the fluid above it to surface. With the liquids unloaded at surface the valve is opened mechanically by contact with the lubricator cap or reduction in pressure. Once open the tool will begin another descent as the well flows through it. If there are several barrels of fluid in the well it will fall below one barrel, and will reach the closing pressure set point. Now with the valve shut it once again comes to surface with the fluid on top, repeating the process. IS IT SWABBING OR A PLUNGER LIFT? In essence the Swab-Rite Tool Corp. casing plunger is a self-activating swabbing tool. Unlike a plunger lift, it requires no controller, control valve, fuel gas or electronics of any sort. This means it requires less operating staff and time to monitor and optimize than other programs and/or systems. CAN OUR TOOL WORK FOR YOU? The tool design accommodates a wide variation of well conditions. If your candidates area has success with: coil tubing, tubing plunger lift, blowing to atmosphere, soaping, intermittent open and/or close, it is likely that Swab-Rite Tool Corp. system will work well with your candidate. The plunger can operate on wells with flowing pressures from 5 Psig to 180 Psig. The plunger operates very well in shallow gas wells (900 meters or less) but has had success operating as deep as 1300 meters. A well capable of flowing gas with approximately 45 psig additional back pressure while pushing push the tool and fluid to surface. Additional factors that allow the plunger to operate optimally are: Casing in reasonable shape so that the cups can seal. The poorer the seal the higher the gas rate required. Casing Dimensional Data: 114.3mm (13.05, 14.14 & 17.26kg/m done to date) A 4.06 I.D. master valve is the minimum, however a 4.10 I.D. is recommended for smoother operation. If liquids are to be measured or dumped on location, surface facilities capable of handling the fluid slugs. TOOL MAINTENANCE The Swab-Rite Tool Corp. plunger, under most circumstances, only needs changing of the exterior sealing cups. This can be an item that can be serviced by us or your existing field staff. Swab-Rite Tool Corp. Page 2 9/20/2014

SR-1 Swab-Rite Casing Plunger Currently for 114mm Casing Centralizers Pressure activated for 1bbl of liquid Easily set to line pressure Change cups easily Swab-Rite Tool Corp. Page 3 9/20/2014

LB-1 114mm Lubricator Dual Flow ports Easy and reliable tool catch Heavy Duty spring bumper cap Internal 4 ½ Threads ½ presure / injection port Pressure rated 2000psi WP Swab-Rite Tool Corp Page 4 9/20/2014

`114 mm Collar Stop Slickline Set Full bore for cleanouts Plunger Lifting Tool Lightweight Easily Operated Safer for tool removal 114 mm Swab Cups Available in 50-80 durometer Material for water or oil use Assorted wall thickness Swab-Rite Tool Corp Page 5 9/20/2014

HIGH WATER INSTALLATION 1300 260 1200 240 1100 220 1000 200 900 180 Gas Rate (mcf/d) 800 700 600 500 Install Swab-Rite casing plunger Aug-04 160 140 120 100 WGR (bbl/mmscf) 400 80 300 60 200 40 100 20 0 0 Nov-99 May-00 Dec-00 Jun-01 Jan-02 Jul-02 Feb-03 Sep-03 Mar-04 Oct-04 Apr-05 day_gas (mcf/d) cal_gas (mcf/d) WGR (bbl/mmscf) On initial installation tool was hanging up on the weld inside of the bell nipple. Using the Swab-Rite Tool Corp. reaming tool, the nipple was bored out to the proper I.D. without killing the well. Before reaming the cups were wearing quickly and the cycle times were inconsistent. After reaming, plunger cycles were very consistent. Changing cups approximately every 600 trips. Amazingly, that works out to be about 500 km per cup change. Swab-Rite Tool Corp. can provide personnel to optimize, trouble shoot and/or service the casing plunger system. We can also, quickly and easily, train your field operators. Without question, the Swab-Rite Tool Corp. plunger has been cycling consistently since installation to present. Swab-Rite Tool Corp The casing plunger has been cycling up an average fluid production of 30 bbl/d, increasing gas production to 300 mcf/d.