ENERGY RESOURCES CORP. Pittcock Lease BY DL PETROLEUM ENGINEERING AND CONSULTING LIMITED ENERGY RESOURCES CORP. PITTCOCK LEASE SUBMITTED TO MEHRAN EHSAN BY DALE LEE, P.ENG. DL PETROLEUM ENGINEERING AND CONSULTING LIMITED OCTOBER 30, 2015 ii TRANSMITTAL LETTER Dale Lee, B.Tech, B.Sc., P.Eng. President & CEO Chetan Tewari, M.Eng. Reservoir Engineer (E.I.T) DL Petroleum Engineering and Consulting Limited Box 21, Site 12, RR 7 (252 High Point Estates) Calgary, Alberta, Canada T2P 2G7 T: 1-403-606-3093 E-mail: dalelee@dlengca October 30, 2015 Mehran Ehsan President & CEO Standard Life Building Suite 1290, 625 Howe St., Vancouver, BC Canada V6C 2T6 T: 1-604-259-2525 Ext: 101 F: 1-604-674-5113 E-mail: mehsan@energyresourcescorp.ca Mehran Ehsan; We are pleased to present this report on the Pittcock Lease in Texas, USA, for Energy Resources Corporation by DL Petroleum Engineering and Consulting Limited. iii We have prepared a database to populate your USA data and/or future Canadian wells. We are able to show the dynamic results within the database over SKYPE. We would like to convey our gratitude for your support to DL Petroleum Engineering and Consulting Limited. Should you have any questions, you may contact Dale Lee at dalelee@dleng.ca or call 1-403-606-3093. Sincerely; Dale Lee, P.Eng. Cc: www.dleng.ca Chetan Tewari, M.Eng. iv TABLE OF CONTENTS TITLE PAGE ii TRANSMITTAL LETTER iii TABLE OF CONTENTS v DISCLAIMER vii EXECUTIVE SUMMARY viii LIST OF FIGURES xii LIST OF TABLES xvii INTRODUCTION 1 WELL PERFORMANCE 4 FIELD RELATIVE PERMEABILITY ANALYSIS 21 WELL ANALYSIS 31 CONCLUSIONS 36 RECOMMENDATIONS 38 APPENDIX 1 39 APPENDIX 2 59 v REVISED APPENDIX 113 vi DISCLAIMER The opinions expressed in this report are based on the Author’s best estimates of the data. They are subject to the Author’s interpretation of the data provided by the client and/or other databases. As such, the opinions presented in this report cannot be guaranteed by neither the Author nor DL Petroleum Engineering and Consulting Limited. vii EXECUTIVE SUMMARY The Pittcock Lease is located in the Stonewall County, part of the District 7B in the State of Texas in the Permian Basin and producing through two members of the Tannehill Formations: Upper and Lower. The purpose of this report is to study the available production, injection and petro-physical data to determine how to optimize this underperforming waterflood with the aim to rejuvenate oil production. A study of the production and existing injector showed that water injection had significant positive affect on oil production. Water injection was discontinued from August 2007 to July 2013. Restarting injection resulted with some increased oil production; but the rates with only the existing injector is not expected to improve swept efficiency within the two formations. The reason is the injection channels have already created direct paths of least resistance to the various producing wells. The solution presented in this report is to change the injection patterns by acquiring the two offset wells west of the lease. Through controlled injection planning, the data suggest that it is possible to change the swept patterns and increase overall oil production by maintaining balance voidage replacement operations. It is very important to note that in order to achieve greater oil production, pressure and PVT (pressure-volume-temperate) knowledge within the two formations is necessary to optimize production. The reason is that if relatively high gas saturation zones have developed due to low pressures in the reservoir, new injection water will preferentially want to travel through these gas saturation zones; the paths of least resistance and reduce oil ultimate recovery. viii The revised database incorporates wells in the vicinity of the Permex Petroleum waterflood. The revised database shows 19 wells with 36 completions. To evaluate the effect of the revised data on the conclusions and recommendations, the new data was imported into OFM with all the areal plots were analyzed individually. The revised areal plots are available in the Revised Appendix. The Authors were interested in understanding whether any of the new wells have contributed significantly in changing the pool production dynamics. The first step was to analyze the effects of the injectors (Alias P-3 14207B0279073 & Alias P-1 14207B0279071) in the new database. Both these wells are shut-in injectors (SHI) with a relatively short injection history. A detailed analysis shows no appreciable effects of these injectors in the wells in the vicinity and overall pool dynamics. ix LIST OF FIGURES Fig 1: Map of the USA showing IHS data coverage; the main source of data used in this report. Fig 2: GIS Areal View of the Permex Petroleum’s Pittcock Lease in Stonewall County of Texas. Fig. 3: Eleven (11) wells in the Pittcock lease with injection streamlines to production wells. Fig. 4: Seven (7) wells in the Upper Tannehill showing their radii of investigation assuming radial flow. Fig. 5: Five (5) wells in the Upper Tannehill showing their radii of investigation assuming radial flow. Fig. 6: Initial reservoir pressure and cumulative oil, water & liquid produced and cumulative water injected curves for the Tannehill formations. Figure 7: Cumulative oil production map (Mbbl) for the entire producing pool (10 wells). Figure 8: Cumulative oil production rate map (bbl/d) for the entire pool (10 wells). Figure 9: Production plot for all 11 wells. Figure 10: Cumulative rate plot; the Y-axes are showing cumulative rates (oil, gas, water, liquid and injection water) and oil production rate. The X-axes are showing time (Date) on the top graph and cumulative oil (Kbbl) on the bottom graph. Figure 11: An example of OFM’s output to for field calculated relative permeability data. Figure 12: An example of OFM’s output to Excel. The red line is the history match of the 11 wells oil production rate shown in green. x Figure 13: An example of OFM’s output to Excel using the 11 wells. The red line is the history match of the operated wells; actual oil production rate shown in green. Figure 14: Eleven (11) wells in the Pittcock lease with injection streamlines to production wells. Figure 15: Cumulative oil production map (Mbbl) for the entire producing pool (10 wells). Figure 16: Cumulative gas production map (MMcf) for the entire pool (10 wells). Figure 17: Cumulative water production map (Mbbl) for the entire pool (10 wells). Figure 18: Cumulative Liquid production map (Mbbl) for the entire pool (10 wells). Figure 19: Cumulative water injected production map (Mbbl) for the entire pool (10 wells). Figure 20: Cumulative water injection and liquid production map (Mbbl) for the entire pool (10 wells). Figure 21: Cumulative oil production rate map (bbl/d) for the entire pool (10 wells). Figure 22: Cumulative gas production rate map (Mcf/d) for the entire pool (10 wells). Figure 23: Cumulative water production rate map (bbl/d) for the entire pool (11 wells). Figure 24: Cumulative liquid production rate map (bbl/d) for the entire pool (10 wells). Figure 25: Calendar day oil production rate map (bbl/d) for the entire pool (6 wells). Figure 26: Calendar day gas production rate map (Mcf/d) for the entire pool (6 wells) – [No gas production recorded]. Figure 27: Calendar day water production rate map (bbl/d) for the entire pool (6 wells). xi Figure 28: Sub-Sea Upper Tannehill Formation Structure Figure 29: Sub-Sea Lower Tannehill Formation Structure Figure 30: Upper Tannehill Isopach. Figure 31: Lower Tannehill Isopach. Figure 32: Upper and Lower Tannehill Net Pay Combined. Figure 33: Production for PITTCOCK 01 Alias: P-01 Figure 34: Fluid Ratios for PITTCOCK 01 Alias: P-01 Figure 35: Field Relative Permeability for PITTCOCK 01 Alias: P-01 Figure 36: Cumulative Rates for PITTCOCK 01 Alias: P-01 Figure 37: Chan Plots for PITTCOCK 01 Alias: P-01 Figure 38: Production for PITTCOCK 03 Alias: P-03 Figure 39: Fluid Ratios for PITTCOCK 03 Alias: P-03 Figure 40: Field Relative Permeability for PITTCOCK 03 Alias: P-03 Figure 41: Cumulative Rates for PITTCOCK 03 Alias: P-03 Figure 42: Chan Plots for PITTCOCK 03 Alias: P-03 xii Figure 43: Production for PITTCOCK 04 Alias: P-04 Figure 44: Fluid Ratios for PITTCOCK 04 Alias: P-04 Figure 45: Field Relative Permeability for PITTCOCK 04 Alias: P-04 Figure 46: Cumulative Rates for PITTCOCK 04 Alias: P-04 Figure 47: Chan Plots for PITTCOCK 04 Alias: P-04 Figure 48: Production for PITTCOCK 05 Alias: P-05 Figure 49: Fluid Ratios for PITTCOCK 05 Alias: P-05 Figure 50: Field Relative Permeability for PITTCOCK 05 Alias: P-05 Figure 51: Cumulative Rates for PITTCOCK 05 Alias: P-05 Figure 52: Chan Plots for PITTCOCK 05 Alias: P-05 Figure 53: Production for PITTCOCK 06 Alias: P-06 Figure 54: Fluid Ratios for PITTCOCK 06 Alias: P-06 Figure 55: Field Relative Permeability for PITTCOCK 06 Alias: P-06 Figure 56: Cumulative Rates for PITTCOCK 06 Alias: P-06 Figure 57: Chan Plots for PITTCOCK 06 Alias: P-06 xiii Figure 58: Production for PITTCOCK 07 Alias: P-07 Figure 59: Fluid Ratios for PITTCOCK 07 Alias: P-07 Figure 60: Field Relative Permeability for PITTCOCK 07 Alias: P-07 Figure 61: Cumulative Rates for PITTCOCK 07 Alias: P-07 Figure 62: Chan Plots for PITTCOCK 07 Alias: P-07 Figure 63: Production for PITTCOCK 08 Alias: P-08 Figure 64: Fluid Ratios for PITTCOCK 08 Alias: P-08 Figure 65: Field Relative Permeability for PITTCOCK 08 Alias: P-08 Figure 66: Cumulative Rates for PITTCOCK 08 Alias: P-08 Figure 67: Chan Plots for PITTCOCK 08 Alias: P-08 Figure 68: Production for PITTCOCK 10 Alias: P-10 Figure 69: Fluid Ratios for PITTCOCK 10 Alias: P-10 Figure 70: Field Relative Permeability for PITTCOCK 10 Alias: P-10 Figure 71: Cumulative Rates for PITTCOCK 10 Alias: P-10 Figure 72: Chan Plots for PITTCOCK 10 Alias: P-10 xiv Figure 73: Production for PITTCOCK 11 Alias: P-11 Figure 74: Fluid Ratios for PITTCOCK 11 Alias: P-11 Figure 75: Field Relative Permeability for PITTCOCK 11 Alias: P-11 Figure 76: Cumulative Rates for PITTCOCK 11 Alias: P-11 Figure 77: Chan Plots for PITTCOCK 11 Alias: P-11 Figure 78: Production for PITTCOCK 12 Alias: P-12 Figure 79: Fluid Ratios for PITTCOCK 12 Alias: P-12 Figure 80: Field Relative Permeability for PITTCOCK 12 Alias: P-12 Figure 81: Cumulative Rates for PITTCOCK 12 Alias: P-12 Figure 82: Chan Plots for PITTCOCK 12 Alias: P-12 Figure 83: Revised Cumulative oil production map (Mbbl) for the entire producing pool (19 wells). Figure 84: Revised Cumulative gas production map (MMcf) for the entire pool (19 wells) Figure 85: Revised Cumulative water production map (Mbbl) for the entire pool (19 wells) Figure 86: Revised Cumulative Liquid production map (Mbbl) for the entire pool (19 wells) Figure 87: Revised Cumulative water injected production map (Mbbl) for the entire pool (19 wells) xv Figure 88: Revised Cumulative water injection and liquid production map (Mbbl) for the entire pool (19 wells) Figure 89: Revised Cumulative oil production rate map (bbl/d) for the entire pool (19 wells) Figure 90: Revised Cumulative gas production rate map (Mcf/d) for the entire pool (19 wells) Figure 91: Revised Cumulative water production rate map (bbl/d) for the entire pool (19 wells) Figure 92: Revised Cumulative liquid production rate map (bbl/d) for the entire pool (19 wells) Figure 93: Revised Calendar day oil production rate map (bbl/d) for the entire pool (19 wells) Figure 94: Revised Calendar day gas production rate map (Mcf/d) for the entire pool (19 wells) – [No gas production recorded] Figure 95: Revised Calendar day water production rate map (bbl/d) for the entire pool (19 wells) xvi LIST OF TABLES Table 1: Production information for wells. Table 2: Statistical results for the history match before waterflood eleven wells (11). Table 3: Statistical results for the history match after waterflood eleven wells (11). Table 4: Production information for wells. Table 5: Pittcock # 14 Upper Formation Log Petro-Physical Analysis. Table 6: Pittcock # 14 Lower Formation Log Petro-Physical Analysis. xvii INTRODUCTION The Pittcock Lease is located in the Stonewall County, part of the District 7B in the State of Texas shown by dark green on Figure 1. The wells analyzed are in the Permian Basin and producing through the Tannehill Formation. Figure 1: Map of the USA showing IHS data coverage; the main source of data used in this report. 1 Figure 2 is a geographic information system (GIS) ground view of Permex Petroleum’s Pittcock Lease. The Pittcock # 14 well was not in the IHS US Data Online at the time the data for this report was extracted. Pittcock # 14 was superimposed in Figure 3 for reference of its relative location. Figure 2: GIS Areal View of the Permex Petroleum’s Pittcock Lease in Stonewall County of Texas. 2 The production data extracted from the IHS US online data has 11 wells in the Permex Petroleum’s waterflood: 6 Oil producers, 1 Water Injector, 1 Water Supply, and 3 Plug & Abandoned. As of March 31, 2015, the lease produced 681 Mbbl oil, 67 MMcf gas, 1779 Mbbl water, and injected 2605 Mbbl water. In addition, the Pittcock # 14 oil well was drilled in October 2014 but was not included in the IHS information. The revised data base incorporates wells in the vicinity of the Permex Petroleum’s waterflood. The revised data base shows 19 wells with 36 completions. The purpose of this report is to analyze the fluid dynamics of the production data to estimate the areas within the reservoir that are under performing to optimize the waterflood. One very important factor to mention is the lack of pressure data collected and recorded for the producing formations. Future reports can be refined as the operator collects new information such as pressure data, pressure-volume-temperature (PVT) data, petro-physical data, and analyze the core available. The new well logs from Pittcock #14 (not shown on Figure 2) has provided additional petro-physical information: net pay, porosity and water saturation. The results are summarized in the CONCLUSIONS and RECOMMENDATIONS sections. An overview of key points is given in the EXECUTIVE SUMMARY. 3 WELL PERFORMANCE The information gathered for this report is compiled into an OFM database. Figure 3 is an OFM map that shows the Figure 3: Eleven (11) wells in the Pittcock lease with injection streamlines to production wells. 4 locations of Permex Petroleum wells including the new well Pittcock #14. Figure 3 has streamlines calculated based on cumulative oil rate (bbl/d), cumulative water rate (bbl/d) and cumulative water injections rate (bbl/d). Cumulative oil rate is the cumulative oil production (bbl) divided by the cumulative days (d) on oil production. The streamlines indicate that all the producing wells have experienced an influence from the Pittcock # 11 injector. The streamlines fanning outside the pool suggests some of the injection energy has gone outside the Pittcock lease. The wells isolated for this report are in the Tannehill Upper and Lower formations. The data extracted from IHS US online data has 11 wells in Permex Petroleum’s waterflood: 6 Oil producers, 1 Water Injector, 1 Water Supply, and 3 Plugged & Abandonded. As of March 31, 2015, the Pittcock lease produced 681 Mbbl oil, 67 MMcf gas, 1779 Mbbl water, and injected 2605 Mbbl water. In addition is the new Pittcock # 14 well, drilled October 2014. Figure 3 [as well as all production maps and plots] have the date, the cumulative oil production (Mbbl), cumulative gas production (MMcf), cumulative water production (Mbbl), and cumulative water injection (Mbbl). The values displayed will represent the well-filter used for the particular map or plot; for example, Figure 3 has the twelve wells penetrating both Tannehill member. Figure 4 has the seven wells in the Upper Tannehill member and Figure 5 has the five wells in the Lower Tannehill member. The radius of investigation [R (ft)] for each well is calculated by: 0.5 π (ππ‘) = [πΆπ’ππππ(πππ)( 5.61ππ‘ 3 π΅π )∗ ] 1πππ π(∅ ∗ (1 − ππ€ − πππ )) ∗ πππ‘πππ¦(ππ‘) 5 ο· Assumptions: Average Oil Formation Volume Factor (π΅π ) = 1.05 bbl/bbl; Residual Oil Saturation (πππ ) = 0.15 % ο· Upper Tannehill: Porosity (∅)= 19.35 %; Water Saturation (Sw) = 10.42 % [see Table 5 – End of Appendix 2] ο· Lower Tannehill: Porosity (∅)= 23.59 %; Water Saturation (Sw) = 39.91 % [see Table 6 – End of Appendix 2] ο· Weighted average for both Tannehill formations: Porosity (∅)= 21.96 %; Water Saturation (Sw) = 28.57 % The petro-physical data came from the logs from Pittcock #14 and a breakdown of the analysis is given in Tables 5 & 6. The circles shown in Figures 4 and 5 represent possible drainage radius for each well assuming an average formation volume factor (Bo) is 1.05 bbl/bbl over the life of oil’s production. The value 1.05 bbl/bbl is likely to be high if the average reservoir pressure is below the bubble point pressure over the life of the oil production; in this case then the radius circles may be too big which could be a favourable scenario for remaining oil in place but not for recovering this oil. As presented, the radius circles suggest that the Upper Tannehill has potential for remaining recoverable oil in the centre and the northern part of the pool and the Lower Tannehill has potential for remaining recover oil around the boundaries also toward the north end of the pool. The actual oil produced will have a different shape than a radial circle due to changing permeability throughout the reservoir. Injector placement and injection rates are paramount in predicting and producing these recoverable reserves. Figure 6 is a plot of the initial pressure (2365 psia) and the cumulative oil, water & liquid production and cumulative water injected curves for combined Tannehill members. This pressure is used to calculate the PVT properties for the Darcy’s equation and relative permeability calculations. The database assumes constant pressure (due to the lack of 6 Figure 4: Seven (7) wells in the Upper Tannehill showing their radii of investigation assuming radial flow. 7 Figure 5: Five (5) wells in the Upper Tannehill showing their radii of investigation assuming radial flow. 8 other information) and the PVT data is from default correlations within OFM. This assumptions means that at best the PVT values are an estimate; but, from a relative bases, they can provide a diagnostic of production trends. If recent pressures and PVT data are collected for the reservoir, related graphs in this report can be recalibrated to match current conditions A summary of the production data, including the cumulative liquid rates, for the wells is given in Table 1. The production data suggest that the wells with the highest cumulative liquid rate may have higher permeability due to their higher cumulative liquid rate production; this estimation is made by examining Darcy’s law below. The colors in each column range from red (lowest value) to green (highest value). Darcy’s law is used to bring attention to the probability that permeability paths for new injection may intersect permeability paths with injection flow already established in the pool. The path of least resistance would suggest that water from new flow patterns should be more effective if the patterns were designed to flow from lower cumulative flow rate wells towards higher flow rate wells. The wells with lower cumulative flow rates could be affected by either low permeability or high skin factors that must be taken into consideration. An indirect way to determine if the wells flows are affected by skin or from petro-physical characteristics is by examining logs and core data, when available. If it is expected that wells should be behaving better, because of examining their petro-physical information, then pressure build-up (or drawdown for injectors) tests could be run; these pressure tests also measure both effective permeability and skin. 9 Darcy’s law for radial flow for oil: ππ = πππ ∗ πΆ∗β(ππ −ππ€ ) π ππ π½π [ln( π )+π ] ; πππ = πππ ∗ π ; ππ ∝ πππ ππ€ Where: qo = oil flow rate, [STB/Day] K = absolute rock permeability l, [md] Keo = effective permeability to oil, [md] Kro = relative permeability to oil, [md/md] h = pay, [ft] Pe = reservoir pressure, [psia] Pw = wellbore pressure, [psia] μo = Viscosity of oil, [cP] βo = Formation volume factor for oil, [RB/STB] re = Radius of investigation for well reservoir pressure, [ft] rw = wellbore radius, [ft] s = skin factor, [dimensionless] C = (1/141.2)) for qo in [STB/Day] 10 1000 3000 2400 800 2400 1800 600 800 1200 400 400 600 200 600 0 0 0 0 1200 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 1800 1200 All WELLs(11) DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 6: Initial reservoir pressure and cumulative oil, water & liquid produced and cumulative water injected curves for the Tannehill formations. 11 Cumulative Water Inj ( Mbbl ) PITTCOCK LEASE TEXAS Cumulative Liquid Prod ( Mbbl ) Cumulative Water Prod : 1778.55 Mbbl Cumulative Water Inj : 2604.76 Mbbl Cumulative Oil Prod ( Mbbl ) 1600 ENERGY RESOURCES CORP. Cumulative Oil Prod ( Mbbl ) All WELLs(11) 3000 CV.INTERPRES ( psia ) 2000 Static Bottom Hole Pressure ( psia ) Cumulative Water Prod ( Mbbl ) Cumulative Water Prod ( Mbbl ) All WELLs(11) Cumulative Oil Prod : 680.54 Mbbl Cumulative Gas Prod : 67.06 MMcf @name() Well Name date Date CV.CDOIL Calander Day Oil CV.WOR Water Oil Ratio CV.WCUT Water Cut CV.GOR Gas Oil Ratio CV.CUMOIL Cumulative Oil CV.CUMGAS Cumulative Gas CV.CUMWAT Cumulative Water CV.CUMLIQ Cumulative Liquid (Oil & Water) CV.CUMWINJ Cumulative Injection Water CV.CUMOILRate Cumulative Oil Rate CV.CUMGASRate Cumulative Gas Rate CV.CUMWAT Cumulative Water Rate CV.CUMLIQrate Cumulative Liquid Rate CV.CUMWINJrate Cumulative Water Injection Rate @name() date PITTCOCK 01 PITTCOCK 03 PITTCOCK 04 PITTCOCK 06 PITTCOCK 08 PITTCOCK 10 PITTCOCK 07 PITTCOCK 05 PITTCOCK 12 PITTCOCK 11 PITTCOCK 13 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 10/31/1998 10/31/1996 11/30/1993 12/31/2014 @name() date PITTCOCK 01 PITTCOCK 03 PITTCOCK 04 PITTCOCK 06 PITTCOCK 08 PITTCOCK 10 PITTCOCK 07 PITTCOCK 05 PITTCOCK 12 PITTCOCK 11 PITTCOCK 13 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 10/31/1998 10/31/1996 11/30/1993 12/31/2014 CV.CDOIL bbl/d 0.35 0.17 0.35 0.17 0.17 0.17 3.30 1.12 0.89 0.00 CV.WOR bbl/bbl 19.53 29.28 19.53 29.28 29.28 29.28 55.54 31.63 2.84 CV.WCUT % 95.13 96.70 95.13 96.70 96.70 96.70 98.23 96.94 73.93 CV.GOR Mcf/bbl 0.08 0.08 0.06 CV.CUMLIQ CV.CUMWINJ CV.CUMOILRate CV.CUMGASRate Mbbl Mbbl bbl/d Mcf/d 244.84 8.85 0.91 187.09 7.86 0.80 528.76 13.41 1.28 170.60 5.56 0.59 627.52 9.23 0.88 209.91 3.66 0.28 244.43 10.67 1.08 208.48 13.73 1.44 20.18 4.57 0.41 17.29 2604.76 1.57 0.14 CV.CUMOIL Mbbl 94.62 83.75 132.65 58.27 96.14 35.51 68.20 79.42 16.83 15.16 CV.CUMGAS MMcf 9.70 8.53 12.68 6.20 9.16 2.67 6.91 8.33 1.53 1.36 CV.CUMWAT Mbbl 150.22 103.34 396.12 112.33 531.39 174.39 176.22 129.05 3.35 2.13 CV.CUMWAT Mbbl 150.22 103.34 396.12 112.33 531.39 174.39 176.22 129.05 3.35 2.13 CV.CUMLIQrate bbl/d 22.91 17.56 53.44 16.29 60.26 21.61 38.23 36.05 5.48 1.79 CV.CUMWINJrate bbl/d 269.95 Table 1: Production information for wells. It can be seen by examining through Figures 7 & 8 that the wells shown with hotter colours (red – yellow) could have tighter permeabilities and/or they could be affected by well bore skin. Another possible issue for the wells, being close to the injectors, is that they may have relative permeability to oil limitations resulting from water breakthrough due to 12 direct communication with the injector [effectively, creating relative permeability worm-holes of paths of least resistance for water traveling from injectors to producing wells]. The cumulative oil production map’s contours on Figure 7 is showing locations of higher oil production relative to locations of low oil production. Red to yellow on the map indicates low production and dark-blue to magenta indicates high oil production. If the actual zero edge boundary was determined, this boundary and data can easily be imported into OFM to determine the OOIP (Original Oil In Place) and the ROIP (Remaining Oil In Place). Individual oil rate declines can be estimated per well to estimate the different recovery factors throughout the reservoir. The cumulative oil rate production map, Figure 8, is indicating locations of high effective permeability to oil (green to magenta). Pressure support may improve areal sweep efficiency towards the production. The wells in the pool showing a higher degree of red on the maps appear to have lower pressure support or skin. By estimating the fluid trends, through OFM, the results can be confirmed with geology and by running tracers. Once permeability trends are estimated, suggestions for converting wells into injectors may be made in order to re-pressurize the reservoir. The caution with converting any of the wells into injectors is the unknown gas saturations levels in the pools. If the conversions can be completed in a cost efficient process, the economic value may be profitable. If the gas saturation is high the injection water will want to flow through the path of least resistance; e.g., through the high gas saturation zones. 13 The Pool’s PVT data and relative permeability measured from SCAL special core analysis can be used to estimate the actual gas saturations at the well bores [see presentation on DL Petroleum Engineering and Consulting Ltd. websitei]. Pittcock #9 has core through the producing formation from (2890 ft to 2920 ft). If analyzed, this core may provide important data like absolute permeability, porosity and net pay. In addition, special core analysis could provide relative permeability data, connate water saturation and residual oil saturation; all of which are important for analyzing expected reservoir fluid dynamic behavior and remain recoverable oil in place. The combination of the absolute and relative permeability produces the effective permeability for the field; effective permeability can also be measured by running a pressure buildup/drawdown field test for the producing zone. A properly designed and analyzed buildup/drawdown test can give the current reservoir pressure for the reservoir. The data is showing that if injection is too aggressive it can cause the cumulative oil rate curve to decrease with respect to cumulative oil. Once optimum injection is reached, increasing the water injection rate can cause a decrease in cumulative oil rate resulting in a loss of ultimate recoverable reserves. The data did show wells that responded positively to the injector. The key is to know when to cut back injection and/or knowing when to shut off water at the wellbores when breakthrough occurs. A new injector is suggested for the field to change the sweep patterns to improve the sweep efficiency. 14 The section below on FIELD RELATIVE PERMEABILITY ANALYSIS is dedicated to using the field relative permeability data, calculated in OFM and using default PVT data, to estimate wells that have water breakthrough from the injector using statistical techniques developed by the Author. It is important to note that the pool’s oil rate increased corresponding to increasing water injection for a duration of steady well count. The oil rate per well showed an increase in oil rate suggesting the injection can have a positive impact on the Pool’s ultimate recovery if carefully maintained. 15 Figure 7: Cumulative oil production map (Mbbl) for the entire producing pool (10 wells). 16 Figure 8: Cumulative oil production rate map (bbl/d) for the entire pool (10 wells). 17 800 8 0.30 240 600 6 0.20 160 400 4 0.10 80 200 2 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 0 PITTCOCK LEASE TEXAS 0 400 1000 0.40 320 800 8 0.30 240 600 6 0.20 160 400 4 0.10 80 200 2 0.00 0 0 0 100 500 1000 10 Cumulativ e Oil Prod ( Mbbl ) All WELLs(11) DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 9: Production plot for all 11 wells. 18 Wells on Oil Production 0.50 0 Wells on Oil Production All WELLs(11) 320 Water Rate (CD) ( bbl/d ) 0.40 Water Inj Rate (CD) ( bbl/d ) 10 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 1778.55 Mbbl Cumulative Water Inj : 2604.76 Mbbl 400 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.50 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) All WELLs(11) Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 680.54 Mbbl Cumulative Gas Prod : 67.06 MMcf 24 80 600 180 18 400 120 12 200 60 6 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 Date 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 0 PITTCOCK LEASE TEXAS 20 0 300 30 800 240 24 600 180 18 400 120 12 200 60 6 20 0 0 0 0 1 5 10 50 Cumulativ e Oil Prod ( Kbbl ) 100 500 1000 100 80 60 40 Oil Rate (CD) ( bbl/d ) 82 CV.CUMGASRate ( Mcf/d ) All WELLs(11) 1980 81 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) All WELLs(11) 240 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 30 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 1778.55 Mbbl Cumulative Water Inj : 2604.76 Mbbl 300 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) All WELLs(11) CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 680.54 Mbbl Cumulative Gas Prod : 67.06 MMcf All WELLs(11) DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 10: Cumulative rate plot; the Y-axes are showing cumulative rates (oil, gas, water, liquid and injection water) and oil production rate. The X-axes are showing time (Date) on the top graph and cumulative oil (Kbbl) on the bottom graph. 19 Figure 9 is a plot of the cumulative rate curves for the wells. The cumulative oil and cumulative liquid started off as the same point and later a wedge divided these two curves. The cumulative water and the cumulative liquid curves started at different points on the curve and began to merge together as water from the injectors began to cycle with the producers. In the WELL ANALYSIS section, each well’s cumulative rate plot was analyzed and the individual plots are presented in the APPENDICES. A discussion in the FIELD RELATIVE PERMEABILITY ANALYSIS section will be completed prior to the WELL ANALYSIS section because the field relative permeabilities have value in predicting the pool’s fluid saturation. Understanding the pool’s fluid saturation dynamics leads to potential locations for injector conversions to potentially improve sweep in regions of the Pool lacking optimal drainage. 20 FIELD RELATIVE PERMEABILITY ANALYSIS The pools’ PVT data is required to calculate the formation volume factors and fluid viscosities so the actual gas saturations at the well bores can be determined. Darcy’s law can be utilized by observing the following empirical relationships: πππ ππ ππ π½π ≅ ; πππ€ ππ€ ππ€ π½π€ πππ ππ ππ π½π ≅ ; πππ ππ ππ π½π πππ€ ππ€ ππ€ π½π€ ≅ πππ ππ ππ π½π Where: qf = fluid flow rate, [STB/D] krf = relative permeability to fluid, [md/md] μf = Viscosity of fluid, [cP] βf = Formation volume factor for fluid, [RB/STB] f = fluid [gas (g) or oil (o) or water (w)] The Alberta Energy Resources Conservation Board (ERCB) has made available in Alberta PVT data for pool’s and Reservoirs corresponding to reservoir changing pressures over the life of the pools. The Author has extrapolated default PVT data for Oil with similar °API from this source for OFM. As a result, the field relative permeabilities can be estimated for reservoir. With the relative permeabilities calculated, they can be exported with the wells’ production and/or injection history to generate a history matches of the wells’ production history for various segments of the wells’ life. Figures 11 & 12 along with Table 2 show the OFM plots and tabular output to Excel for history matching the wells production history by employing regression analysis. 21 320 240 160 8 900 6 240 180 120 6 160 120 80 60 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 0 PITTCOCK LEASE TEXAS 40 0 0 400 300 320 240 240 180 160 120 80 4 60 40 2 0 0 0 600 2.0 300 1.0 80 0 0.0 0 10 50 100 Cumulativ e Oil Prod ( Kbbl ) 500 1000 200 2 160 120 10 8 6 ZONE: Lower Tannehill, Upper Tannehill(10) DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 11: An example of OFM’s output to for field calculated relative permeability data. 22 Wells on Oil Production 3.0 82 4 Krg_Kro ZONE: Lower Tannehill, Upper Tannehill(10) 4.0 198081 80 Krg_Kro 900 5.0 0 Krg_Kro ZONE: Lower Tannehill, Upper Tannehill(10) 1200 0 Krg_Kro 1500 2 Oil Rate (CD) ( bbl/d ) 0 4 Krw_Kro ZONE: Lower Tannehill, Upper Tannehill(10) 600 Wells on Oil Production ZONE: Lower Tannehill, Upper Tannehill(10) 8 Krg_Kro 1200 Krg_Kro 10 Oil Rate (CD) ( bbl/d ) 200 Oil Rate (CD) ( bbl/d ) ZONE: Lower Tannehill, Upper Tannehill(10) 300 Krw_Kro 400 Wells on Oil Production Cumulative Water Prod : 1778.55 Mbbl Cumulative Water Inj : 2604.76 Mbbl 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) ENERGY RESOURCES CORP. 1500 300 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 680.54 Mbbl Cumulative Gas Prod : 67.06 MMcf Where: CV.CUMOIL CV.CDOIL Krg_Krw = Cumulative oil production, Kbbl = Calendar day oil production rate bbl/d πππ =π Krg_Kro =π Krw_Kro ππ€ πππ ππ πππ€ =π ππ CV.CDWINJ = Calendar day water injection rate bbl/d CV.CNTOILW = Number of oil wells on production Prd.CDOIL = History match of the calendar day oil production rate bbl/d 23 SUMMARY OUTPUT Regression Statistics Multiple R 0.95082914 R Square 0.904076053 Adjusted R Square 0.90194441 Standard Error 25.79619368 Observations 139 ANOVA df Regression Residual Total Intercept Krg_Krw Krg_Kro Krw_Kro 3 135 138 SS 846687.1188 89834.8871 936522.0059 MS F Significance F 282229.0396 424.1216478 1.69052E-68 665.4436082 Coefficients Standard Error t Stat P-value -978.4422854 67.09607826 -14.58270454 1.62442E-29 0.218092648 0.044161616 4.938511521 2.28634E-06 4.622255783 0.778605171 5.936585008 2.32761E-08 2547.588749 511.2665437 4.982897435 1.88467E-06 Lower 95% Upper 95% -1111.137681 -845.7468895 0.130754562 0.305430735 3.08241435 6.162097216 1536.460854 3558.716644 Table 2: Statistical results for the history match before waterflood eleven wells (11). 24 Statistical results in Table 5 are used to match the history of the calendar day oil production rate (red curve on Figure 9). The key indicators in Table 5 are: ο· Multiple R = 0.95 ο· R Square = 0.90 ο· Observations = 139 (months) ο· F = 424 ο· Significance F = 1.69 E-68 ο· t Stat = -4.94 for Krg_Krw; 5.94 for Krg_Kro; 4.98 for Krw_Kro; -14.6 for Intercept ο· P – value = 2.3E-06 for Krg_Krw; 2.3E-08 for Krg_Kro; 1.9E-06 for Krw_Kro; 1.6E-29 for Intercept The ideal regression fit would have: ο· Multiple R = 1.00 ο· R Square = 1.00 ο· Observations = Maximum ο· F = Maximum ο· Significance F = 1.00E-∞ ο· t Stat = Maximum absolute value ο· P – value 1.00E-∞ 25 The greater the limits as the values for Significance F and P-value approaches zero, or 1.00E-∞, the greater the significances of the regression. In the example for Table 2, Krg_Kro has the most significant followed by Krg_Krw; Krw_Kro has the least significance. Figure 12: An example of OFM’s output to Excel. The red line is the history match of the 11 wells oil production rate shown in green. 26 In Table 2, the relative permeability of gas to oil (Krg_Kro) is the most significant other than the intercept. This is indicating gas is coming out of solution or insufficient pressure support. The relative permeability of gas to water (Krg_Krw) is the next significant variable suggesting gas is connected to the water zones or insufficient pressure support. The relative permeability of water to oil (Krw_Kro) is least significant indicating that water has not initially established a permeable path through oil before the waterflood started. Looking at the data from after the waterflood, the following values were calculated: The key indicators in Table 3 are now: • Multiple R = 0.81 • R Square = 0.65 • Observations = 97 (months) • F = 59.3 • Significance F = 1.61 E-21 • t Stat = 5.81 for Krg_Krw; -6.20 for Krg_Kro; -9.18 Krw_Kro; 6.28 for Intercept • P – value 8.58E-08 for Krg_Krw; 1.85E-01 for Krg_Kro; 1.87 E-3 Krw_Kro In Table 3, the relative permeability of water to oil (Krw_Kro) is now the dominant variable and most significant. This is indicating injection water is now supporting the reservoir. . 27 SUMMARY OUTPUT Regression Statistics Multiple R 0.810386292 R Square 0.656725942 Adjusted R Square 0.645652585 Standard Error 35.2783398 Observations 97 ANOVA df Regression Residual Total Intercept Krg_Krw Krg_Kro Krw_Kro 3 93 96 SS 221433.0362 115744.1971 337177.2333 MS F Significance F 73811.01207 59.30685336 1.61446E-21 1244.561259 Coefficients Standard Error t Stat P-value 12420.89616 1976.958636 6.282830576 1.05839E-08 0.775096304 0.133346913 5.812630265 8.57893E-08 -119.5949652 19.28068427 -6.202838218 1.51756E-08 -191.9123512 20.89706266 -9.183699845 1.09123E-14 Lower 95% Upper 95% 8495.048117 16346.74421 0.510295762 1.039896846 -157.882583 -81.30734745 -233.4097761 -150.4149262 Table 3: Statistical results for the history match after waterflood eleven wells (11). 28 Figure 13: An example of OFM’s output to Excel using the 11 wells. The red line is the history match of the operated wells; actual oil production rate shown in green. 29 The relative permeability of gas to oil (Krg_Kro) is least significant indicating that gas is not as significant factor coming out of solution which is consistent with the concept of relative permeability worm-hole bypassing the oil and its associated solution gas. The purpose of presenting all these plots and tables is to illustrate how production data can be used to predict the fluid dynamics within a pool or reservoir. One plot alone will not give a complete picture but looking at each of the plots in OFM and Excel is reasonably simple and the technique is analogous to looking at a suite of logs when doing a petro-physical analysis of a well. For the WELL ANALYSIS section, all for the aforementioned plots, as well as other plots available in OFM, but not referred to in this report, are used to evaluate each well individually. The results for the wells are then compared to compile a composite understanding for the two pools being evaluated. The next section of the report, WELL ANALYSIS, is compiled by looking at the various plots in OFM and Excel to summarize the wells’ performance within the pool. 30 WELL ANALYSIS @name() date PITTCOCK 01 PITTCOCK 03 PITTCOCK 04 PITTCOCK 06 PITTCOCK 08 PITTCOCK 10 PITTCOCK 07 PITTCOCK 05 PITTCOCK 12 PITTCOCK 11 PITTCOCK 13 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 10/31/1998 10/31/1996 11/30/1993 12/31/2014 @name() date PITTCOCK 01 PITTCOCK 03 PITTCOCK 04 PITTCOCK 06 PITTCOCK 08 PITTCOCK 10 PITTCOCK 07 PITTCOCK 05 PITTCOCK 12 PITTCOCK 11 PITTCOCK 13 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 3/31/2015 10/31/1998 10/31/1996 11/30/1993 12/31/2014 CV.CDOIL bbl/d 0.35 0.17 0.35 0.17 0.17 0.17 3.30 1.12 0.89 0.00 CV.WOR bbl/bbl 19.53 29.28 19.53 29.28 29.28 29.28 55.54 31.63 2.84 CV.WCUT % 95.13 96.70 95.13 96.70 96.70 96.70 98.23 96.94 73.93 CV.GOR Mcf/bbl 0.08 0.08 0.06 CV.CUMOIL Mbbl 94.62 83.75 132.65 58.27 96.14 35.51 68.20 79.42 16.83 15.16 CV.CUMWAT CV.CUMWINJ CV.CUMOILRate CV.CUMGASRate CV.CUMLIQrate Mbbl Mbbl bbl/d Mcf/d bbl/d 150.22 8.85 0.91 22.91 103.34 7.86 0.80 17.56 396.12 13.41 1.28 53.44 112.33 5.56 0.59 16.29 531.39 9.23 0.88 60.26 174.39 3.66 0.28 21.61 176.22 10.67 1.08 38.23 129.05 13.73 1.44 36.05 3.35 4.57 0.41 5.48 2.13 2604.76 1.57 0.14 1.79 CV.CUMGAS MMcf 9.70 8.53 12.68 6.20 9.16 2.67 6.91 8.33 1.53 1.36 CV.CUMLIQ Mbbl 244.84 187.09 528.76 170.60 627.52 209.91 244.43 208.48 20.18 17.29 CV.CUMWAT Mbbl 150.22 103.34 396.12 112.33 531.39 174.39 176.22 129.05 3.35 2.13 CV.CUMWINJrate bbl/d 269.95 Table 4: Production information for wells. 31 1. Production for Pittcock 01 Alias: P-01 ο· Monthly producing data for 3/31/815: Oil Rate = 0.3 m3/d, WOR = 19.5 m3/m3, WCUT = 95.1 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 94.6 Km3, Gas = 10 Kscm, Water = 150.2 Km3, Liquid = 244.8 Km3; Blue, Dark Blue, Light Green, Light Green. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 8.9 m3/d, Gas = 1 scm/d, Water = 14.1 m3/d, Liquid = 22.9 m3/d; Dark Green, Light Blue, Light Green, Light Green. 2. Production for Pittcock 03 Alias: P-03 ο· Monthly producing data for 3/31/815: Oil Rate = .2 m3/d, WOR = 29.3 m3/m3, WCUT = 96.7 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 83.7 Km3, Gas = 9 Kscm, Water = 103.3 Km3, Liquid = 187.1 Km3; Light Blue, Blue, Light Green, Yellow. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 7.9 m3/d, Gas = 1 scm/d, Water = 9.7 m3/d, Liquid = 17.6 m3/d; Dark Green, Dark Green, Yellow, Yellow. 3. Production for Pittcock 04 Alias: P-04 ο· Monthly producing data for 3/31/815: Oil Rate = .3 m3/d, WOR = 19.5 m3/m3, WCUT = 95.1 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 132.6 Km3, Gas = 13 Kscm, Water = 396.1 Km3, Liquid = 528.8 Km3; Magenta, Magenta, Light Green, Blue. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 13.4 m3/d, Gas = 1 scm/d, Water = 40.0 m3/d, Liquid = 53.4 m3/d; Dark Blue, Dark Blue, Magenta, Dark Blue. 32 4. Production for Pittcock 05 Alias: P-05 ο· Monthly producing data for 10/1996: Oil Rate = .2 m3/d, WOR = 29.3 m3/m3, WCUT = 96.7 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 58.3 Km3, Gas = 6 Kscm, Water = 112.3 Km3, Liquid = 170.6 Km3; Green, Dark Green, Light Green, Yellow. ο· Cumulative production rate maps (cumprod/cumdays) data for 10/1996: Oil = 13.7 m3/d, Gas = 1 scm/d, Water = 22.3 m3/d, Liquid = 36.1 m3/d; Magenta, Magenta, Dark Green, Light Blue. 5. Production for Pittcock 06 Alias: P-06 ο· Monthly producing data for 3/31/815: Oil Rate = .2 m3/d, WOR = 29.3 m3/m3, WCUT = 96.7 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 96.1 Km3, Gas = 9 Kscm, Water = 531.4 Km3, Liquid = 627.5 Km3; Green, Blue, Light Green, Magenta. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 5.6 m3/d, Gas = 1 scm/d, Water = 10.7 m3/d, Liquid = 16.3 m3/d; Light Green, Light Green, Yellow, Yellow. 6. Production for Pittcock 07 Alias: P-07 ο· Monthly producing data for 10/1998: Oil Rate = .2 m3/d, WOR = 29.3 m3/m3, WCUT = 96.7 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 35.5 Km3, Gas = 3 Kscm, Water = 174.4 Km3, Liquid = 89.9 Km3; Light-Blue, Yellow, Orange, Light Green. ο· Cumulative production rate maps (cumprod/cumdays) data for 10/1998: Oil = 10.7 m3/d, Gas = 1 scm/d, Water = 27.6 m3/d, Liquid = 38.2 m3/d; Blue, Blue, Light Blue, Light Blue. 33 7. Production for Pittcock 08 Alias: P-08 ο· Monthly producing data for 3/31/815: Oil Rate = 3.3 m3/d, WOR = 55.5 m3/m3, WCUT = 98.2 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 68.8 Km3, Gas = 7 Kscm, Water = 176.2 Km3, Liquid = 244.4 Km3; Blue, Dark Green, Light Green, Light Green. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 9.2 m3/d, Gas = 1 scm/d, Water = 51.0 m3/d, Liquid = 60.3 m3/d; Light Blue, Dark Green, Magenta, Magenta. 8. Production for Pittcock 10 Alias: P-10 ο· Monthly producing data for 3/31/815: Oil Rate = 1.1 m3/d, WOR = 31.6 m3/m3, WCUT = 96.9 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 79.4 Km3, Gas = 8 Kscm, Water = 129.1 Km3, Liquid = 88.5 Km3; Yellow, Light Blue, Orange, Yellow. ο· Cumulative production rate maps (cumprod/cumdays) data for 3/31/815: Oil = 3.7 m3/d, Gas = scm/d, Water = 18.0 m3/d, Liquid = 21.6 m3/d; Yellow, Orange, Green, Light Green. 9. Production for Pittcock 11 Alias: P-11 [Injector] ο· Monthly producing data for 12/31/814: Oil Rate = .9 m3/d, WOR = 2.8 m3/m3, WCUT = 73.9 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 16.8 Km3, Gas = 2 Kscm, Water = 3.3 Km3, Liquid = 8.2 Km3; Orange, Orange, Red, Red. ο· Cumulative production rate maps (cumprod/cumdays) data for 12/31/814: Oil = 1.6 m3/d, Gas = scm/d, Water = .3 m3/d, Liquid = 1.8 m3/d; Orange, Red, Red, Red. 34 10. Production for Pittcock 12 Alias: P-12 ο· Monthly producing data for 11/1993: Oil Rate = .0 m3/d, WOR = .0 m3/m3, WCUT = .0 %, GOR = scm/m3. ο· Cumulative production maps: Oil = 15.2 Km3, Gas = 1 Kscm, Water = 2.1 Km3, Liquid = 17.3 Km3; Orange, Orange, Red, Red. ο· Cumulative production rate maps (cumprod/cumdays) data for 11/1993: Oil = 4.6 m3/d, Gas = scm/d, Water = .9 m3/d, Liquid = 5.5 m3/d; Light Green, Yellow, Red, Red. 35 CONCLUSIONS 1. The Pittcock Lease is located in the Stonewall County, part of the District 7B in the State of Texas in the Permian Basin and producing through the Tannehill formations (Figures 1 & 2). 2. The majority of the data presented is extracted from IHS US data online to March 31, 2015. 3. Stream Lines (Figure 3) shows the wells in the top north-west of the field have less interaction with the current Injector. 4. Bubble Maps (Figures 4 & 5) show there is higher potential for remaining oil production from the north end of the field in the upper Tannehill and around the perimeters on the pool in the lower Tannehill. Other animated data created in OFM (not shown in this report) supports that the area in the northern part of the lower member is not swept as well as the Upper member. 5. The existing injector had strong support in the waterflood (Figures 6 & 9). Its remaining influence is likely limited, new injector(s) is/are needed to sweep the remaining un-swept oil to the oil wells. Pittcock #5 is NOT suggested as a new injector. The offset wells in the neighboring lease #4 & #3 may be good injectors depending on the remaining reservoir pressure. 36 6. Most of the oil production came from Pittcock wells #4, #8, #3, and #1 (Figures 7 & 8). 7. The cumulative fluid (oil, gas, water) rate plots show the existing injector has channeled water to all the producers. Balanced injection is necessary to keep reservoir pressure up. Over injection will reduce the efficiency of the injectors. Voidage Replacement Ratio (VRR) calculations can be calculated but is out of the current scope of this report; a decision toward patterns and injectors are needed to base the VRR calculations upon. 8. The Intercept in Table 2 has a P-value of 1.6 E-29 and a t-Stat value of -14.6; these values are significantly greater in magnitude than that of the relative permeability values [Krg_Krw, Krg_Kro, and Krw_Kro]. The field relative permeability calculations show that before the waterflood the primary drive mechanism was not oil, water or gas (Table 2 and Figs. 11 & 12). The Intercept in Table 2 is probably a reflection of pressure depletion within the reservoir. After the waterflood the Krw_Kro has a P-value of 1.1 E-14 and a t-Stat value of -9.2 showing the injector has a significant effect of the fluid drive mechanism until the water began to channel from the injector to the producing wells. Once channeling begins, this clearly shows a new injector path is needed to sweep more oil. 9. The well analysis section is a detailed breakdown the Author used to analyze the two pools; Upper Tannehill and Lower Tannehill. It is through analyzing this data as well as the plots in appendices 1 and 2 that the above conclusions are made. 37 RECOMMENDATIONS The recommended action items for the Pittcock Lease are: 1. Do NOT turn Pittcock # 5 into an Injector. 2. Evaluate the acquisition of the two offset wells API 433-81014 (#3) and API 433-33244 (#4) for the purpose of turn them into injectors. 3. Evaluate controlled injection by injection into the Upper Tannehill separately from the Lower Tannehill. 4. Measure current reservoir pressures and PVT data. 5. Calibrate the waterflood design patterns by using voidage replacement ratio (VRR) calculations. 6. Measure the oil, gas and water production rates for each well, every month. 7. Measure the water injection rates and well head injection pressures for each injector, every month. 38 APPENDIX 1 39 FIGURES FOR WELL PERFORMANCE Figure 14: Eleven (11) wells in the Pittcock lease with injection streamlines to production wells. 40 Figure 15: Cumulative oil production map (Mbbl) for the entire producing pool (10 wells). 41 Figure 16: Cumulative gas production map (MMcf) for the entire pool (10 wells). 42 Figure 17: Cumulative water production map (Mbbl) for the entire pool (10 wells). 43 Figure 18: Cumulative Liquid production map (Mbbl) for the entire pool (10 wells). 44 Figure 19: Cumulative water injected production map (Mbbl) for the entire pool (10 wells). 45 Figure 20: Cumulative water injection and liquid production map (Mbbl) for the entire pool (10 wells). 46 Figure 21: Cumulative oil production rate map (bbl/d) for the entire pool (10 wells). 47 Figure 22: Cumulative gas production rate map (Mcf/d) for the entire pool (10 wells). 48 Figure 23: Cumulative water production rate map (bbl/d) for the entire pool (11 wells). 49 Figure 24: Cumulative liquid production rate map (bbl/d) for the entire pool (10 wells). 50 Figure 25: Calendar day oil production rate map (bbl/d) for the entire pool (6 wells). 51 Figure 26: Calendar day gas production rate map (Mcf/d) for the entire pool (6 wells) – [No gas production recorded]. 52 Figure 27: Calendar day water production rate map (bbl/d) for the entire pool (6 wells). 53 Figure 28: Sub-Sea Upper Tannehill Formation Structure 54 Figure 29: Sub-Sea Lower Tannehill Formation Structure 55 Figure 30: Upper Tannehill Isopach. 56 Figure 31: Lower Tannehill Isopach. 57 Figure 32: Upper and Lower Tannehill Net Pay Combined. 58 APPENDIX 2 59 OIL WELLS 60 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 0 15 PITTCOCK LEASE TEXAS 0.0 100 1000 0.40 80 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.0 PITTCOCK 01 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 33: Production for PITTCOCK 01 Alias: P-01 61 Wells on Oil Production 0.50 0 Wells on Oil Production PITTCOCK 01 80 Water Rate (CD) ( bbl/d ) 0.40 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 150.22 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.50 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 01 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 94.62 Mbbl Cumulative Gas Prod : 9.70 MMcf 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 150.22 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 94.62 Mbbl Cumulative Gas Prod : 9.70 MMcf 300 0.10 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 01 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 34: Fluid Ratios s for PITTCOCK 01 Alias: P-01 62 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 01 82 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 01 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 35: Field Relative Permeability for PITTCOCK 01 Alias: P-01 63 Wells on Oil Production 1200 198081 Krg_Kro PITTCOCK 01 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 01 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 01 600 Wells on Oil Production PITTCOCK 01 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 150.22 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 94.62 Mbbl Cumulative Gas Prod : 9.70 MMcf 4.0 80 600 60 3.0 400 40 2.0 200 20 1.0 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 Date 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 100 5.0 800 80 4.0 600 60 3.0 400 40 2.0 200 20 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 01 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 36: Cumulative Rates for PITTCOCK 01 Alias: P-01 64 Oil Rate (CD) ( bbl/d ) 82 CV.CUMGASRate ( Mcf/d ) PITTCOCK 01 1980 81 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 01 80 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 150.22 Mbbl Cumulative Water Inj : * Mbbl 100 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 01 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 94.62 Mbbl Cumulative Gas Prod : 9.70 MMcf Cumulative Oil Prod : 94.62 Mbbl Cumulative Gas Prod : 9.70 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 150.22 Mbbl Cumulative Water Inj : * Mbbl 3 10 100 Axis 1 PITTCOCK 01 Water / Oil Ratio ( bbl/bbl ) 2 10 CHAN.DPrdWOR 80 CV.WORFIT 1 10 CHAN.dprdworFIT Axis 2 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 01 10 60 -1 10 40 -2 10 -3 10 20 -4 10 -5 10 0 10 2 10 3 4 10 5 10 CHAN.CumPrdDay s PITTCOCK LEASE TEXAS 1 10 PITTCOCK 01 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 -2 10 10 -3 -4 10 10 10 -5 -6 -7 10 10 2 3 10 10 4 5 10 CHAN.CumPrdDay s PITTCOCK 01 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 37: Chan Plots for PITTCOCK 01 Alias: P-01 65 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 0 15 PITTCOCK LEASE TEXAS 0.0 100 1000 0.40 80 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.0 PITTCOCK 03 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 38: Production for PITTCOCK 03 Alias: P-03 66 Wells on Oil Production 0.50 0 Wells on Oil Production PITTCOCK 03 80 Water Rate (CD) ( bbl/d ) 0.40 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 103.34 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.50 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 03 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 83.75 Mbbl Cumulative Gas Prod : 8.53 MMcf 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 103.34 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 83.75 Mbbl Cumulative Gas Prod : 8.53 MMcf 300 0.10 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 03 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 39: Fluid Ratios s for PITTCOCK 03 Alias: P-03 67 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 03 82 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 03 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 40: Field Relative Permeability for PITTCOCK 03 Alias: P-03 68 Wells on Oil Production 1200 81 Krg_Kro PITTCOCK 03 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 03 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 03 600 Wells on Oil Production PITTCOCK 03 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 103.34 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 83.75 Mbbl Cumulative Gas Prod : 8.53 MMcf 6.0 240 600 30 4.5 400 20 3.0 200 10 1.5 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 Date 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 60 0 50 7.5 800 40 6.0 600 30 4.5 400 20 3.0 200 10 1.5 60 0 0 0.0 0 10 50 100 300 240 180 120 Cumulativ e Oil Prod ( Kbbl ) PITTCOCK 03 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 41: Cumulative Rates for PITTCOCK 03 Alias: P-03 69 Oil Rate (CD) ( bbl/d ) 82 CV.CUMGASRate ( Mcf/d ) PITTCOCK 03 81 120 CV.CUMGASRate ( Mcf/d ) 1000 0 180 Oil Rate (CD) ( bbl/d ) PITTCOCK 03 40 Oil Rate (CD) ( bbl/d ) 800 CV.CUMGASRate ( Mcf/d ) 300 CV.CUMOILRate ( bbl/d ) 7.5 CV.CUMLIQrate ( bbl/d ) 50 0 CV.CUMWINJrate ( bbl/d ) Cumulative Water Prod : 103.34 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 03 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 83.75 Mbbl Cumulative Gas Prod : 8.53 MMcf Cumulative Oil Prod : 83.75 Mbbl Cumulative Gas Prod : 8.53 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 103.34 Mbbl Cumulative Water Inj : * Mbbl 3 10 60 Axis 1 PITTCOCK 03 Water / Oil Ratio ( bbl/bbl ) 2 10 CHAN.DPrdWOR CV.WORFIT 1 10 45 CHAN.dprdworFIT Axis 2 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 03 10 -1 10 30 -2 10 -3 10 15 -4 10 -5 10 0 10 2 10 3 4 10 5 10 CHAN.CumPrdDay s PITTCOCK LEASE TEXAS 1 10 PITTCOCK 03 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 -2 10 10 -3 -4 10 10 10 -5 -6 -7 10 10 2 3 10 10 4 5 10 CHAN.CumPrdDay s PITTCOCK 03 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 42: Chan Plots for PITTCOCK 03 Alias: P-03 70 800 0.8 0.24 60 600 0.6 0.16 40 400 0.4 0.08 20 200 0.2 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 0 PITTCOCK LEASE TEXAS 0.0 100 1000 0.32 80 800 0.8 0.24 60 600 0.6 0.16 40 400 0.4 0.08 20 200 0.2 0.00 0 0 0.0 1 5 10 50 Cumulativ e Oil Prod ( Mbbl ) 100 500 1000 1.0 PITTCOCK 04 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 43: Production for PITTCOCK 04 Alias: P-04 71 Wells on Oil Production 0.40 0 Wells on Oil Production PITTCOCK 04 80 Water Rate (CD) ( bbl/d ) 0.32 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 396.12 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.40 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 04 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 132.65 Mbbl Cumulative Gas Prod : 12.68 MMcf 0.75 100 1200 0.32 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.24 0.16 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.40 60 40 300 0.08 20 0 0.00 0 1500 0.40 100 0.75 100 1200 0.32 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1980 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 396.12 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 132.65 Mbbl Cumulative Gas Prod : 12.68 MMcf 300 0.08 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 04 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 44: Fluid Ratios s for PITTCOCK 04 Alias: P-04 72 Water Cut ( % ) 0.16 Water / Oil Ratio ( bbl/bbl ) 600 0.24 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 04 82 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 50 Cumulativ e Oil Prod ( Kbbl ) 100 500 1000 1.0 PITTCOCK 04 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 45: Field Relative Permeability for PITTCOCK 04 Alias: P-04 73 Wells on Oil Production 1200 81 Krg_Kro PITTCOCK 04 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 04 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 04 600 Wells on Oil Production PITTCOCK 04 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 396.12 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 132.65 Mbbl Cumulative Gas Prod : 12.68 MMcf 4.0 80 600 45 3.0 400 30 2.0 200 15 1.0 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 Date 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 0.0 PITTCOCK LEASE TEXAS 20 0 75 5.0 800 60 4.0 600 45 3.0 400 30 2.0 200 15 1.0 20 0 0 0.0 0 1 5 10 50 Cumulativ e Oil Prod ( Kbbl ) 100 500 1000 100 80 60 40 PITTCOCK 04 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 46: Cumulative Rates for PITTCOCK 04 Alias: P-04 74 Oil Rate (CD) ( bbl/d ) 82 CV.CUMGASRate ( Mcf/d ) PITTCOCK 04 81 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 04 60 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 396.12 Mbbl Cumulative Water Inj : * Mbbl 75 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 04 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 132.65 Mbbl Cumulative Gas Prod : 12.68 MMcf Cumulative Oil Prod : 132.65 Mbbl Cumulative Gas Prod : 12.68 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 396.12 Mbbl Cumulative Water Inj : * Mbbl 3 10 100 Axis 1 PITTCOCK 04 Water / Oil Ratio ( bbl/bbl ) 2 10 CHAN.DPrdWOR 80 CV.WORFIT 1 10 CHAN.dprdworFIT Axis 2 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 04 10 60 -1 10 40 -2 10 -3 10 20 -4 10 -5 10 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 1 10 PITTCOCK 04 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 10 -2 -3 10 -4 10 10 -5 -6 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 04 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 47: Chan Plots for PITTCOCK 04 Alias: P-04 75 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 0 15 PITTCOCK LEASE TEXAS 0.0 100 1000 0.40 80 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.0 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 48: Production for PITTCOCK 05 Alias: P-05 76 Wells on Oil Production 0.50 0 Wells on Oil Production PITTCOCK 06 80 Water Rate (CD) ( bbl/d ) 0.40 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.50 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 06 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf 300 0.10 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 49: Fluid Ratios s for PITTCOCK 05 Alias: P-05 77 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 05 83 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 05 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 50: Field Relative Permeability for PITTCOCK 05 Alias: P-05 78 Wells on Oil Production 1200 1981 82 Krg_Kro PITTCOCK 05 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 05 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 05 600 Wells on Oil Production PITTCOCK 05 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 129.05 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 79.42 Mbbl Cumulative Gas Prod : 8.33 MMcf 4.0 80 600 30 3.0 400 20 2.0 200 10 1.0 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 Date 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 50 5.0 800 40 4.0 600 30 3.0 400 20 2.0 200 10 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 05 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 51: Cumulative Rates for PITTCOCK 05 Alias: P-05 79 Oil Rate (CD) ( bbl/d ) 82 CV.CUMGASRate ( Mcf/d ) PITTCOCK 05 1981 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 05 40 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 129.05 Mbbl Cumulative Water Inj : * Mbbl 50 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 05 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 79.42 Mbbl Cumulative Gas Prod : 8.33 MMcf Cumulative Oil Prod : 79.42 Mbbl Cumulative Gas Prod : 8.33 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 129.05 Mbbl Cumulative Water Inj : * Mbbl 3 250 10 60 Axis 1 PITTCOCK 05 Water / Oil Ratio ( bbl/bbl ) 2 10 200 CHAN.DPrdWOR CV.WORFIT 1 10 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 05 10 150 45 CHAN.dprdworFIT Axis 2 -1 10 100 30 -2 10 -3 10 15 50 -4 10 -5 0 10 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 1 10 PITTCOCK 05 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 10 -2 -3 10 -4 10 10 -5 -6 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 05 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 52: Chan Plots for PITTCOCK 05 Alias: P-05 80 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf 300 0.10 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 53: Production for PITTCOCK 06 Alias: P-06 81 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 250 100 1200 0.40 80 200 80 60 150 40 100 50 20 0 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 250 100 1200 0.40 80 200 80 60 150 40 100 50 20 0 0 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf 300 0.10 20 0 0.00 0 10 50 100 Cumulativ e Water Prod ( Mbbl ) 500 1000 60 40 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 54: Fluid Ratios s for PITTCOCK 06 Alias: P-06 82 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 06 83 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 55: Field Relative Permeability for PITTCOCK 06 Alias: P-06 83 Wells on Oil Production 1200 1981 82 Krg_Kro PITTCOCK 06 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 06 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 06 600 Wells on Oil Production PITTCOCK 06 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf 4.0 80 600 30 3.0 400 20 2.0 200 10 1.0 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 50 5.0 800 40 4.0 600 30 3.0 400 20 2.0 200 10 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 56: Cumulative Rates for PITTCOCK 06 Alias: P-06 84 Oil Rate (CD) ( bbl/d ) 83 CV.CUMGASRate ( Mcf/d ) PITTCOCK 06 1981 82 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 06 40 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl 50 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 06 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf Cumulative Oil Prod : 58.27 Mbbl Cumulative Gas Prod : 6.20 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 112.33 Mbbl Cumulative Water Inj : * Mbbl 3 250 10 50 Axis 1 PITTCOCK 06 Water / Oil Ratio ( bbl/bbl ) 2 10 200 CHAN.DPrdWOR CHAN.dprdworFIT Axis 2 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 06 10 150 40 CV.WORFIT 1 10 30 -1 10 100 20 -2 10 -3 10 50 10 -4 10 -5 0 10 0 10 2 10 3 4 10 5 10 CHAN.CumPrdDay s PITTCOCK LEASE TEXAS 1 10 PITTCOCK 06 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 10 -2 -3 10 -4 10 10 -5 -6 10 10 2 3 10 10 4 5 10 CHAN.CumPrdDay s PITTCOCK 06 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 57: Chan Plots for PITTCOCK 06 Alias: P-06 85 800 1.00 0.09 60 600 0.75 0.06 40 400 0.50 0.03 20 200 0.25 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 0 14 PITTCOCK LEASE TEXAS 0.00 100 1000 0.12 80 800 1.00 0.09 60 600 0.75 0.06 40 400 0.50 0.03 20 200 0.25 0.00 0 0 0.00 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.25 PITTCOCK 07 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 58: Production for PITTCOCK 07 Alias: P-07 86 Wells on Oil Production 0.15 0 Wells on Oil Production PITTCOCK 07 80 Water Rate (CD) ( bbl/d ) 0.12 Water Inj Rate (CD) ( bbl/d ) 1.25 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 176.22 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.15 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 07 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 68.20 Mbbl Cumulative Gas Prod : 6.91 MMcf 0.75 100 1200 0.12 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.09 0.06 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.15 60 40 300 0.03 20 0 0.00 0 1500 0.15 100 0.75 100 1200 0.12 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 Water Cut ( % ) Cumulative Water Prod : 176.22 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 68.20 Mbbl Cumulative Gas Prod : 6.91 MMcf 300 0.03 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 07 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 59: Fluid Ratios s for PITTCOCK 07 Alias: P-07 87 Water Cut ( % ) 0.06 Water / Oil Ratio ( bbl/bbl ) 600 0.09 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 07 83 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 07 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 60: Field Relative Permeability for PITTCOCK 07 Alias: P-07 88 Wells on Oil Production 1200 1981 82 Krg_Kro PITTCOCK 07 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 07 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 07 600 Wells on Oil Production PITTCOCK 07 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 176.22 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 68.20 Mbbl Cumulative Gas Prod : 6.91 MMcf 4.0 80 600 24 3.0 400 16 2.0 200 8 1.0 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 40 5.0 800 32 4.0 600 24 3.0 400 16 2.0 200 8 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 07 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 61: Cumulative Rates for PITTCOCK 07 Alias: P-07 89 Oil Rate (CD) ( bbl/d ) 83 CV.CUMGASRate ( Mcf/d ) PITTCOCK 07 1981 82 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 07 32 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 176.22 Mbbl Cumulative Water Inj : * Mbbl 40 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 07 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 68.20 Mbbl Cumulative Gas Prod : 6.91 MMcf Cumulative Oil Prod : 68.20 Mbbl Cumulative Gas Prod : 6.91 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 176.22 Mbbl Cumulative Water Inj : * Mbbl 3 250 10 60 Axis 1 PITTCOCK 07 Water / Oil Ratio ( bbl/bbl ) 2 10 200 CHAN.DPrdWOR CV.WORFIT 1 10 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 07 10 150 45 CHAN.dprdworFIT Axis 2 -1 10 100 30 -2 10 -3 10 15 50 -4 10 -5 0 10 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 1 10 PITTCOCK 07 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 -2 10 10 -3 -4 10 10 10 -5 -6 -7 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 07 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 62: Chan Plots for PITTCOCK 07 Alias: P-07 90 800 0.8 0.24 60 600 0.6 0.16 40 400 0.4 0.08 20 200 0.2 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 0 15 PITTCOCK LEASE TEXAS 0.0 100 1000 0.32 80 800 0.8 0.24 60 600 0.6 0.16 40 400 0.4 0.08 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.0 PITTCOCK 08 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 63: Production for PITTCOCK 08 Alias: P-08 91 Wells on Oil Production 0.40 0 Wells on Oil Production PITTCOCK 08 80 Water Rate (CD) ( bbl/d ) 0.32 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 531.39 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.40 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 08 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 96.14 Mbbl Cumulative Gas Prod : 9.16 MMcf 0.75 100 1200 0.32 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.24 0.16 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.40 60 40 300 0.08 20 0 0.00 0 1500 0.40 100 0.75 100 1200 0.32 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1981 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 531.39 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 96.14 Mbbl Cumulative Gas Prod : 9.16 MMcf 300 0.08 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 08 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 64: Fluid Ratios s for PITTCOCK 08 Alias: P-08 92 Water Cut ( % ) 0.16 Water / Oil Ratio ( bbl/bbl ) 600 0.24 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 08 83 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 08 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 65: Field Relative Permeability for PITTCOCK 08 Alias: P-08 93 Wells on Oil Production 1200 1981 82 Krg_Kro PITTCOCK 08 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 08 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 08 600 Wells on Oil Production PITTCOCK 08 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 531.39 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 96.14 Mbbl Cumulative Gas Prod : 9.16 MMcf 4.0 80 600 45 3.0 400 30 2.0 200 15 1.0 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 75 5.0 800 60 4.0 600 45 3.0 400 30 2.0 200 15 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 08 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 66: Cumulative Rates for PITTCOCK 08 Alias: P-08 94 Oil Rate (CD) ( bbl/d ) 83 CV.CUMGASRate ( Mcf/d ) PITTCOCK 08 1981 82 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 08 60 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 531.39 Mbbl Cumulative Water Inj : * Mbbl 75 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 08 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 96.14 Mbbl Cumulative Gas Prod : 9.16 MMcf Cumulative Oil Prod : 96.14 Mbbl Cumulative Gas Prod : 9.16 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 531.39 Mbbl Cumulative Water Inj : * Mbbl 3 250 10 100 Axis 1 PITTCOCK 08 Water / Oil Ratio ( bbl/bbl ) 2 10 200 CHAN.DPrdWOR CHAN.dprdworFIT Axis 2 0 Oil Rate (CD) ( bbl/d ) PITTCOCK 08 10 150 80 CV.WORFIT 1 10 60 -1 10 100 40 -2 10 -3 10 50 20 -4 10 -5 0 10 0 10 2 10 3 4 10 5 10 CHAN.CumPrdDay s PITTCOCK LEASE TEXAS 1 10 PITTCOCK 08 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 10 -2 -3 10 -4 10 10 -5 -6 10 10 2 3 10 10 4 5 10 CHAN.CumPrdDay s PITTCOCK 08 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 67: Chan Plots for PITTCOCK 08 Alias: P-08 95 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 1982 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 Date 01 02 03 04 05 06 07 08 09 10 11 12 13 14 0 15 PITTCOCK LEASE TEXAS 0.0 100 1000 0.40 80 800 0.8 0.30 60 600 0.6 0.20 40 400 0.4 0.10 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 1.0 PITTCOCK 10 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 68: Production for PITTCOCK 10 Alias: P-10 96 Wells on Oil Production 0.50 0 Wells on Oil Production PITTCOCK 10 80 Water Rate (CD) ( bbl/d ) 0.40 Water Inj Rate (CD) ( bbl/d ) 1.0 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 174.39 Mbbl Cumulative Water Inj : * Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.50 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 10 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 35.51 Mbbl Cumulative Gas Prod : 2.67 MMcf 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 900 600 0.30 0.20 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.50 60 40 300 0.10 20 0 0.00 0 1500 0.50 100 0.75 100 1200 0.40 80 0.60 80 60 0.45 40 0.30 0.15 20 0.00 0 1982 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 14 15 Water Cut ( % ) Cumulative Water Prod : 174.39 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 35.51 Mbbl Cumulative Gas Prod : 2.67 MMcf 300 0.10 20 0 0.00 0 1 5 10 50 Cumulativ e Water Prod ( Mbbl ) 100 500 1000 60 40 PITTCOCK 10 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 69: Fluid Ratios s for PITTCOCK 10 Alias: PITTCOCK 10 97 Water Cut ( % ) 0.20 Water / Oil Ratio ( bbl/bbl ) 600 0.30 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 10 84 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 1.0 PITTCOCK 10 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 70: Field Relative Permeability for PITTCOCK 10 Alias: P-10 98 Wells on Oil Production 1200 83 Krg_Kro PITTCOCK 10 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 10 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 10 600 Wells on Oil Production PITTCOCK 10 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 174.39 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 35.51 Mbbl Cumulative Gas Prod : 2.67 MMcf 4.0 80 600 15 3.0 400 10 2.0 200 5 1.0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 25 5.0 800 20 4.0 600 15 3.0 400 10 2.0 200 5 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 10 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 71: Cumulative Rates for PITTCOCK 10 Alias: P-10 99 Oil Rate (CD) ( bbl/d ) 84 CV.CUMGASRate ( Mcf/d ) PITTCOCK 10 83 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 10 20 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 174.39 Mbbl Cumulative Water Inj : * Mbbl 25 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 10 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 35.51 Mbbl Cumulative Gas Prod : 2.67 MMcf Cumulative Oil Prod : 35.51 Mbbl Cumulative Gas Prod : 2.67 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 174.39 Mbbl Cumulative Water Inj : * Mbbl 2 250 10 75 Axis 1 PITTCOCK 10 Water / Oil Ratio ( bbl/bbl ) 1 10 CHAN.DPrdWOR 200 60 CV.WORFIT CHAN.dprdworFIT 0 10 Axis 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 10 150 45 -1 10 -2 10 100 30 -3 10 50 15 -4 10 -5 0 10 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 1 10 PITTCOCK 10 Cumulativ e Water/Oil Ratio ( bbl/bbl ) 10 0 CHAN.DPrdWORCUM -1 10 10 -2 -3 10 -4 10 10 -5 -6 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 10 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 72: Chan Plots for PITTCOCK 10 Alias: P-10 100 800 1.00 0.09 60 600 0.75 0.06 40 400 0.50 0.03 20 200 0.25 1983 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 Date 01 02 03 04 05 06 07 08 09 10 11 12 13 0 14 PITTCOCK LEASE TEXAS 0.00 100 1000 0.12 80 800 1.00 0.09 60 600 0.75 0.06 40 400 0.50 0.03 20 200 0.25 0.00 0 0 0.00 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 PITTCOCK 11 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 73: Production for PITTCOCK 11 Alias: P-11 101 1.25 Wells on Oil Production 0.15 0 Wells on Oil Production PITTCOCK 11 80 Water Rate (CD) ( bbl/d ) 0.12 Water Inj Rate (CD) ( bbl/d ) 1.25 Oil Rate (CD) ( bbl/d ) 1000 Wells on Oil Production Cumulative Water Prod : 2.13 Mbbl Cumulative Water Inj : 2604.76 Mbbl 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) ENERGY RESOURCES CORP. 0.15 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 11 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 15.16 Mbbl Cumulative Gas Prod : 1.36 MMcf Cumulative Water Prod : 2.13 Mbbl Cumulative Water Inj : 2604.76 Mbbl 0.75 36 1200 0.12 80 0.60 30 60 0.45 40 0.30 0.15 12 0.00 6 900 600 0.09 0.06 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.15 24 18 300 0.03 20 0 0.00 0 1500 0.15 100 0.75 36 1200 0.12 80 0.60 30 60 0.45 40 0.30 0.15 12 0.00 6 1983 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 Water Cut ( % ) ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 15.16 Mbbl Cumulative Gas Prod : 1.36 MMcf 300 0.03 20 0 0.00 0 1 5 10 24 18 Cumulativ e Water Prod ( Mbbl ) PITTCOCK 11 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 74: Fluid Ratios s for PITTCOCK 11 Alias: P-11 102 Water Cut ( % ) 0.06 Water / Oil Ratio ( bbl/bbl ) 600 0.09 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 11 85 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 PITTCOCK 11 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 75: Field Relative Permeability for PITTCOCK 11 Alias: P-11 103 1.0 Wells on Oil Production 1200 1983 84 Krg_Kro PITTCOCK 11 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 11 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 11 600 Wells on Oil Production PITTCOCK 11 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 2.13 Mbbl Cumulative Water Inj : 2604.76 Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 15.16 Mbbl Cumulative Gas Prod : 1.36 MMcf 4.0 80 600 18 3.0 400 12 2.0 200 6 1.0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 30 5.0 800 24 4.0 600 18 3.0 400 12 2.0 200 6 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 11 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 76: Cumulative Rates for PITTCOCK 11 Alias: P-11 104 Oil Rate (CD) ( bbl/d ) 84 CV.CUMGASRate ( Mcf/d ) PITTCOCK 11 1983 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 11 24 CV.CUMGASRate ( Mcf/d ) 800 CV.CUMOILRate ( bbl/d ) 100 CV.CUMLIQrate ( bbl/d ) 5.0 Oil Rate (CD) ( bbl/d ) Cumulative Water Prod : 2.13 Mbbl Cumulative Water Inj : 2604.76 Mbbl 30 0 CV.CUMWINJrate ( bbl/d ) ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 11 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 15.16 Mbbl Cumulative Gas Prod : 1.36 MMcf Cumulative Oil Prod : 15.16 Mbbl Cumulative Gas Prod : 1.36 MMcf ENERGY RESOURCES CORP. Cumulative Water Prod : 2.13 Mbbl Cumulative Water Inj : 2604.76 Mbbl 0 250 10 30 Axis 1 PITTCOCK 11 Water / Oil Ratio ( bbl/bbl ) CHAN.DPrdWOR -1 200 10 24 CV.WORFIT CHAN.dprdworFIT Axis 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 11 -2 150 10 100 10 50 10 0 10 18 -3 12 -4 6 -5 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 0 10 PITTCOCK 11 Cumulativ e Water/Oil Ratio ( bbl/bbl ) CHAN.DPrdWORCUM -1 10 10 -2 -3 10 10 -4 -5 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 11 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 77: Chan Plots for PITTCOCK 11 Alias: P-11 105 800 0.8 0.09 60 600 0.6 0.06 40 400 0.4 0.03 20 200 0.2 1983 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 Date 01 02 03 04 05 06 07 08 09 10 11 12 13 0 14 PITTCOCK LEASE TEXAS 0.0 100 1000 0.12 80 800 0.8 0.09 60 600 0.6 0.06 40 400 0.4 0.03 20 200 0.2 0.00 0 0 0.0 1 5 10 Cumulativ e Oil Prod ( Mbbl ) 50 100 PITTCOCK 12 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 78: Production for PITTCOCK 12 Alias: P-12 106 1.0 Wells on Oil Production 0.15 0 Wells on Oil Production PITTCOCK 12 80 Wells on Oil Production 0.12 Water Rate (CD) ( bbl/d ) 1.0 Water Inj Rate (CD) ( bbl/d ) 1000 Oil Rate (CD) ( bbl/d ) 100 0.00 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Water Prod : 3.35 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 0.15 Oil Rate (CD) per Well ( bbl/d ) Gas / Oil Ratio ( Mcf/bbl ) PITTCOCK 12 Gas / Oil Ratio ( Mcf/bbl ) Cumulative Oil Prod : 16.83 Mbbl Cumulative Gas Prod : 1.53 MMcf 0.75 75 1200 0.12 80 0.60 60 60 0.45 40 0.30 0.15 15 0.00 0 900 600 0.09 0.06 Water / Oil Ratio ( bbl/bbl ) 100 Oil Rate (CD) ( bbl/d ) 0.15 45 30 300 0.03 20 0 0.00 0 1500 0.15 100 0.75 75 1200 0.12 80 0.60 60 60 0.45 40 0.30 0.15 15 0.00 0 1983 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 Date 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 Water Cut ( % ) Cumulative Water Prod : 3.35 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) Cumulative Oil Prod : 16.83 Mbbl Cumulative Gas Prod : 1.53 MMcf 300 0.03 20 0 0.00 0 1 5 10 45 30 Cumulativ e Water Prod ( Mbbl ) PITTCOCK 12 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 79: Fluid Ratios s for PITTCOCK 12 Alias: P-12 107 Water Cut ( % ) 0.06 Water / Oil Ratio ( bbl/bbl ) 600 0.09 Oil Rate (CD) ( bbl/d ) 900 Gas / Oil Ratio ( Mcf/bbl ) Water Inj Rate (CD) ( bbl/d ) PITTCOCK LEASE TEXAS 8 80 240 160 0.8 900 6 60 180 120 0.6 40 120 80 0.4 20 60 40 0.2 8 900 6 86 87 88 89 90 91 92 93 94 95 96 97 98 99 2000 01 Date 02 03 04 05 06 07 08 09 10 11 12 13 Krg_Kro PITTCOCK 12 85 0 PITTCOCK LEASE TEXAS 0 0.0 100 300 200 80 240 160 0.8 60 180 120 0.6 40 120 80 0.4 60 40 0.2 0 0 0.0 600 4 300 2 20 0 0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 PITTCOCK 12 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 80: Field Relative Permeability for PITTCOCK 12 Alias: P-12 108 1.0 Wells on Oil Production 1200 1983 84 Krg_Kro PITTCOCK 12 10 0 Krg_Kro 1500 0 Krg_Kro 2 Oil Rate (CD) ( bbl/d ) PITTCOCK 12 300 Oil Rate (CD) ( bbl/d ) 4 Krw_Kro PITTCOCK 12 600 Wells on Oil Production PITTCOCK 12 1200 Wells on Oil Production 1.0 Krg_Kro 200 Krg_Kro 300 Oil Rate (CD) ( bbl/d ) 100 Krw_Kro 10 Krw_Kro Water Inj Rate (CD) ( bbl/d ) Cumulative Water Prod : 3.35 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1500 0 Water Inj Rate (CD) ( bbl/d ) Water Inj Rate (CD) ( bbl/d ):Completion: PITTCOCK 11 Cumulative Oil Prod : 16.83 Mbbl Cumulative Gas Prod : 1.53 MMcf 4.0 80 600 18 3.0 400 12 2.0 200 6 1.0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 Date 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 0.0 13 PITTCOCK LEASE TEXAS 20 0 30 5.0 800 24 4.0 600 18 3.0 400 12 2.0 200 6 1.0 20 0 0 0.0 0 1 5 10 Cumulativ e Oil Prod ( Kbbl ) 50 100 100 80 60 40 PITTCOCK 12 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 81: Cumulative Rates for PITTCOCK 12 Alias: P-12 109 Oil Rate (CD) ( bbl/d ) 84 CV.CUMGASRate ( Mcf/d ) PITTCOCK 12 1983 40 CV.CUMGASRate ( Mcf/d ) 1000 0 60 Oil Rate (CD) ( bbl/d ) PITTCOCK 12 24 Oil Rate (CD) ( bbl/d ) 800 CV.CUMGASRate ( Mcf/d ) 100 CV.CUMOILRate ( bbl/d ) 5.0 CV.CUMLIQrate ( bbl/d ) 30 0 CV.CUMWINJrate ( bbl/d ) Cumulative Water Prod : 3.35 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1000 CV.CUMWATrate ( bbl/d ) CV.CUMWINJrate ( bbl/d ) PITTCOCK 12 CV.CUMWINJrate ( bbl/d ) Cumulative Oil Prod : 16.83 Mbbl Cumulative Gas Prod : 1.53 MMcf Cumulative Oil Prod : 16.83 Mbbl Cumulative Gas Prod : 1.53 MMcf Cumulative Water Prod : 3.35 Mbbl Cumulative Water Inj : * Mbbl ENERGY RESOURCES CORP. 1 250 10 30 Axis 1 PITTCOCK 12 Water / Oil Ratio ( bbl/bbl ) 0 CHAN.DPrdWOR 10 200 24 CV.WORFIT CHAN.dprdworFIT -1 Axis 2 10 Oil Rate (CD) ( bbl/d ) PITTCOCK 12 150 18 -2 10 100 12 -3 10 50 6 -4 10 -5 0 10 0 100 500 1000 CHAN.CumPrdDay s 5000 10000 5000 10000 PITTCOCK LEASE TEXAS 0 10 PITTCOCK 12 Cumulativ e Water/Oil Ratio ( bbl/bbl ) CHAN.DPrdWORCUM -1 10 10 -2 -3 10 10 -4 -5 10 100 500 1000 CHAN.CumPrdDay s PITTCOCK 12 DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 82: Chan Plots for PITTCOCK 12 Alias: P-12 110 Permex Petroleum’s PETROPHYSICL EVALUATION SHEET WELL NAME ELEVATION: KB FROMATION Net thickness based on the following cutoffs: PITTCOCK # 14 TD 3030 ft Rw 1779 ft SS EVALUATION SUMMARY TOP 2957 ft KB Upper Tannehill °API< 70 KB Ø> 0.021 β¦ m 15.00 @ Bottom 2962 ft KB NET THICKNESS 5 ft øave Swavg 19.35 10.42 % % FRF(F) Rt (Ωm) Sw (%) Sw < 50.00 % 128 °F EVALUATION BREAKDOWN Interval (ft) ft 2957 2958 1 2958 2959 2960 2961 2959 2960 2961 2962 1 1 1 1 ØD (%) ØN (%) Øavg (%) 17.5 21.0 21.0 17.0 15.0 20.0 18.8 28.4 40.0 12.2 20.5 21.5 20.5 19.5 20.75 21.25 18.75 17.25 23.2 22.1 28.4 33.6 50.0 55.0 60.0 60.0 9.9 9.2 10.0 10.8 Conclusion (Pay, Wet, Tight) Pay Pay Pay Pay Pay Table 5: Pittcock # 14 Upper Formation Log Petro-Physical Analysis. 111 Permex Petroleum’s PETROPHYSICL EVALUATION SHEET WELL NAME ELEVATION: KB FROMATION Net thickness based on the following cutoffs: PITTCOCK # 14 TD 3030 ft Rw 1779 ft SS EVALUATION SUMMARY TOP 2979 ft KB Lower Tannehill °API< 70 KB Ø> β¦ m 0.021 15.00 @ Sw < 50.00 % 128 °F Bottom 2986 ft KB NET THICKNESS 8 ft øave Swavg 23.59 39.91 % % EVALUATION BREAKDOWN Interval (ft) ft 2978 2979 1 2979 2980 2981 2982 2983 2984 2985 2980 2981 2982 2983 2984 2985 2986 1 1 1 1 1 1 1 ØD (%) ØN (%) 24.0 27.0 26.5 27.8 26.2 26.5 24.0 20.0 Øavg (%) FRF(F) Rt (Ωm) Sw (%) 24.0 24.0 17.4 3.1 34.6 23.0 21.8 21.8 21.0 21.0 23.0 20.0 25.00 24.13 24.75 23.60 23.75 23.50 20.00 16.0 17.2 16.3 18.0 17.7 18.1 25.0 3.0 2.6 2.5 2.1 2.0 2.0 2.3 33.5 37.3 37.0 42.9 43.1 43.2 47.8 Conclusion (Pay, Wet, Tight) Pay Pay Pay Pay Pay Pay Pay Pay Table 6: Pittcock # 14 Lower Formation Log Petro-Physical Analysis. 112 REVISED APPENDIX 113 Figure 83: Revised Cumulative oil production map (Mbbl) for the entire producing pool (19 wells). 114 Figure 84: Revised Cumulative gas production map (MMcf) for the entire pool (19 wells). 115 Figure 85: Revised Cumulative water production map (Mbbl) for the entire pool (19 wells). 116 Figure 86: Revised Cumulative Liquid production map (Mbbl) for the entire pool (19 wells). 117 Figure 87: Revised Cumulative water injected production map (Mbbl) for the entire pool (19 wells). 118 Figure 88: Revised Cumulative water injection and liquid production map (Mbbl) for the entire pool (19 wells). 119 Figure 89: Revised Cumulative oil production rate map (bbl/d) for the entire pool (19 wells). 120 Figure 90: Revised Cumulative gas production rate map (Mcf/d) for the entire pool (19 wells). 121 Figure 91: Revised Cumulative water production rate map (bbl/d) for the entire pool (19 wells). 122 Figure 92: Revised Cumulative liquid production rate map (bbl/d) for the entire pool (19 wells). 123 Figure 93: Revised Calendar day oil production rate map (bbl/d) for the entire pool (19 wells). 124 ENERGY RESOURCES CORP. PITTCOCK LEASE TEXAS Gas Rate (CD) ( Mcf/d ) 0.00 0.50 1.00 14207B0161731 14207B0163691 14207B0193744A 14207B0163693 Date:6/30/2015 Cumulative Oil Prod : 839.23 Kbbl Cumulative Gas Prod : 67.62 Mcf Cumulative Water Prod : 2286.53 Kbbl 14207B0156192/R 14207B0193742 14207B0163694 14207B0163696 Cumulative Water Inj : 3307.85 Kbbl 14207B01636913WS 14207B01636913 14207B01617312 14207B01636912 14207B0163698 14207B0163697 14207B0163695 14207B0193743 14207B01617310 14207B01636910 14207B027675C//3 14207B02790711 14207B0193744 14207B0200343 14207B0180371 14207B0271741 14207B0279071 14207B0180372 14207B0271742 14207B0279072 14207B01617311 14207B01636911 14207B0193423 14207B0199363 14207B0279073 14207B0199366 14207B0219626 14207B0279076 REVISED PLOTS ZONE: TANNEHILL, TANNEHILL UPPER(36) in Zoomed Area DL PETROLEUM ENGINEERING AND CONSULTING LIMITED Figure 94: Revised Calendar day gas production rate map (Mcf/d) for the entire pool (19 wells) – [No gas production recorded]. 125 Figure 95: Revised Calendar day water production rate map (bbl/d) for the entire pool (19 wells). 126 i http://dleng.info/oil-gas-well-production-data-analysis/ 127