Memo. Shelley Cohen. From: Bill Dickson CC: Date: February 5, 2015 Re: Editorial Oil & Gas News

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Memo To: Shelley Cohen From: Bill Dickson CC: Date: February 5, 2015 Re: Editorial Oil & Gas News Tag Line: Bauer Compressors, Inc. Delivers a Custom Solution Copy: Bauer has manufactured and provided performance proven high pressure breathing air solutions for over 60-years. From our humble beginnings in the Bauer family home in Munich, Germany back in 1946 to our current status as an industry leader, we remain poised to solve your problems. We have earned our reputation as the world s foremost innovator in design and manufacturer of high pressure compressors, purification systems and components. The Bauer Offshore series of compressor packages was designed to specifically meet and exceed the requirements of most offshore breathing air requirements. At the heart of every compressor package is one of our performance proven aircooled compressors. Coupled to either a TEFC electric motor or watercooled diesel engine, we are able to tailor the system to meet your specific requirements. NEMA-4 and or IP65 electrical enclosures which carry a UL certification are standard.

August 28, 2013 Page 2 Additional amenities included within our standard scope of supply, but optional on others, include stainless steel fasteners and pneumatic fittings, a baseframe and as well enclosure components fabricated of aluminum alloy, including integral forklift slots and lifting eyes. To further enhance this robust package against the effects of corrosion we apply a multiple layer base and topcoat of Powder Coat utilizing our unique paint process. Last but not least our ME13-E3/D compressor line is built to operate at 50 degrees C right out of the shipping crate. 60 Degrees C, not a problem, we can custom tailor the package to operate at these extreme temperatures with only minor modifications. Equipped with H2S and CO monitoring these packages are useable with any H2S safety application. Electronic H2S Monitoring Electronic Carbon Monoxide Monitoring Operations and Instrumentation Panels A typical offshore drilling rig will have three (3) of these electric driven compressors affixed, with two (2) of the units being their primary source for high pressure breathing air. The third unit is powered by a watercooled diesel engine and is utilized as a reserve system in the rare instance that the rig loses electrical power. Each compressor is capable of discharging air at up to 6000 psig, however a typical installation includes an air storage system comprised of multiple 5000 psig rated storage cylinders, with each cylinder accommodating 472 scf or higher, at pressure, all piped together providing one or more large volumes of stored high pressure breathing air. The compressor is set to turn itself On and Off based on the pressure demand in the system; Off at maximum operating pressure then On at typically 4500 psig. Installations of this nature are more often than not containerized solutions as it consolidates all of the high pressure breathing air piping and ancillary gear in

August 28, 2013 Page 3 one location making it easier for deck movement without fear of system contamination or hazards. Containerized Air Storage System These type installations are most often utilized when trace elements of H2S are or may be present on the rig and the technicians are required to wear a Self Contained Breathing Apparatus ( SCBA), however these type packages are also utilized in support of fire fighting operations wherein the firefighters may be required to wear an SCBA. The SCBA is typically rated for a maximum operating pressure of 4500 psig and depending upon the volume of the cylinder will have a duration of 30 to 60- minutes depending upon what is specified by the operator. The SCBA filling process is quite simple in that the 5000 psig stored air is decanted into the 4500 psig SCBA via manually operated Filling Panel, as depicted below. Example of a Typical Manually Operated Basic Filling Panel Exhibiting Four (4) SCBA Filling Whi 0 to 6000 PSI Adjustable Regulator Non-regulated air coming from the air storage system Regulated Air Outlet SCBA Filling Whips. Can be any Quantity as specified by the end-user HP Non-Regulated Air Inlet Pressure Gauge Fill Whip Control valves.

August 28, 2013 Page 4 Air comes into the Basic Fill Panel via high pressure piping with the incoming pressure indicated on the Inlet Pressure Gauge. The operator regulates down to the maximum SCBA fill pressure via manual turning the Regulator adjusting knob either counter or clockwise. The regulated pressure is indicated on the Regulated Air Outlet gauge and then directed to the SCBA Fill Whips. During the fill process the SCBA cylinder is placed either on a work bench, inside a length of pipe or in some instances is filled directly on the back of the user. For Rig operators that wish to maximize operator safety there have been significant advancements in recent history that remove the worry of fragmentation injuries from ruptured fill whips or SCBA cylinders during the fill process. Called a Containment Fill Station, these devices are a repository for the SCBA cylinder during the fill process. The chamber, or box if you will, where the cylinder is placed provides a barrier between the fill whip, cylinder and the operator during the fill process. These type fill stations are generally tested in accordance with the National Fire Protection Association standard number 1901 to contain the fragments of a ruptured cylinder during the fill process. Bauer offers a complete line of fill stations exceeding the current NFPA 1901 standard. A hands free door interlock prohibits operation of the fill station with the door open, thus maximizing operator safety. The control panel operates similarly as the Basic Fill Panel described above. If the rig operator requires a containment fill station it needs to be specified during the procurement phase as being NFPA approved with a copy of the original prototype test certificate provided along with suppliers quotation attesting to the fact the offeror s product meets the NFPA code. If not the operator may not be receiving a fully tested product and risks exposing the fill station operator to the hazards of fragments from a ruptured SCBA cylinder. To this point we have talked about a high pressure breathing air system with separate compressor and storage components, what we have not addressed is the ability at Bauer to consolidate the entire high pressure breathing air solution into two containers. This type solution is engineered and manufactured specifically to the customers requirements. System concept begins with a sit-down in depth analysis with one of our in-country applications specialists to match the client s expectations and the feasibility of their desires. Model CFS5.5-2S 2-position SCBA Containment Fill Station shown with the fill station door in the open position.

August 28, 2013 Page 5 The attached graphic indicates such an application. The client required a compressor system with a sound attenuated enclosure, air storage cylinders, fill panel and SCBA storage consolidated into one containerized solution. For generations Bauer has been the world leader in high pressure breathing air, however many do not realize the breathing air market is but one segment that we participate in. The wide and varied products manufactured by Bauer will fit most any application requiring medium to high pressure air or gas compression. Applications include instrument air, component testing, CNG fueling stations and most fittingly to the Oil and Gas industry Pigging and Nitrogen gas generation. Bauer offers a line of Nitrogen generators up to 750 scfm and capable of pressure up to 5000 psig. Bauer has a history of providing performance proven Nitrogen generators, as pictured, installed on FPSO s utilized for well stimulation, blanketing, flare gas purging, and for charging of surface and subsea BOP accumulators. When your needs require high pressure breathing air compression equipment or non-breathing air equipment trust in the solution providers at Bauer. SNGII-40815 Stationary Nitrogen Generator Shown