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      Ritchie Waterflood Unit - Project update - Potential new treatment

      Ritchie Waterflood Unit - Project update - Potential new treatment

      Mads,

      I just had a good conversation with Gary and understand the situation on that lease. 1-2 bbls a day isn’t much to work with from a cash flow perspective. I used to run 400 stripper wells and know the economics. I told him that our approach is to identify potential skin damage types on the producers and clean those up first to increase overall fluid movement and then look at the injection side. He said that there were some pressure constraints which are limiting the injection volume to 50bbls per day. I’ll do some research on the Strawn and it’s rock makeup to see if it has any acid soluble matrix. The acid that we use is a synthetic HCL which gets deeper into the rock before fully spending, so we typically see better results than with conventional HCL. The NanoSLICK will lower the injection pressure which will allow you to move more water volume. The question is, what kind of payback might you get with a 25 increase in injection volume? Another option that came to mind is to inject a permeability modifier on the injection wells to plug off the current flow paths and force the water to sweep different pore volumes afterwards. Sometime shaking things up like that can have a big impact.

      We have taken 1/2bopd wells to 2-3 bbls and they have produced at those rates for years, but we haven’t treated the Strawn. It’s always a risk. I’ll get back to you after I’ve done some research.

      Regards,

      Glenn R. McColpin

      SURGITECH INC