API 2017 Exploration and Production Winter Standards Meeting January 16 - 20 API 10D Re-Write Work Group, Update Austin Tx January, 2017

Work group on Bow Spring Centralizers (SC-10D) January, 2017: Winter Meeting – Austin TX Work Group Charge Review and update API Spec 10D to include performance testing requirements for centralizers that are to be used in applications where they are run through restrictions that are smaller than the hole size in which they are to be set. 2

WG 10D Roster 24 active members/alts 3 John E. Hebert - Blackhawk ST John.e.hebert@blackhawkst.com 130 Equity Blvd. Houma, La 70363-8364 985 226 9260 Chris Jordan - Blackhawk ST Chris.jordan@blackhawkst.com 11936 Brittmoore Park Dr. Houston, Tx 77041 713 466 4200 Matthew Goodine – BP Matthew.goodine@bp.com 501 Westlake Blvd. Houston, Tx 77079 832 294 7778 Brent Lirette – Antelope Oil Tools Co. Brent.lirette@antelopeoiltool.com 281 639 5564 K.K. (Karl) LaFleur - LaFleur Properties L.C klafleur@lafleurproperties.com 817 3136752 3

WG 10D Roster (p2.) 4 Alfredo Sanchez – Top-Co alfredo.sanchez@top-co.ca 817 901 9276 David Laurel – Baker Hughes david.laurel@bakerhughes.com Philip Dufrene – Weatherford philip.dufrene@weatherford.com 179 Weatherford Dr. Houma, La 70395 985 493 6266 Max Rodrigue – Weatherford Maxime.rodrigue@weatherford.com 985 493 6233 4

WG 10D Roster (p3.) 5 Charles C Buford Jr– Baker Hughes Charles.buford@bakerhughes.com Hank Rogers – CE consulting ceconsulting@cox.net Lonnie Helms– Halliburton Lonnie.Helms@Halliburton.com Keith Harless - Gryphon David Poole – Chevron david.poole@chevron.com George Fuller – Shell Geroge.fuller@shell.com James Heathman James.Heathman@shell.com Wesley Johnson – Downhole Products Wesley.johnson@downholeusa.com Downhole Products 4140 World Houston Parkway Suite 160 Houston TX 77032 Cell 832 316 7700 5

WG 10D Roster (p4.) 6 Andy Boulcott – CenTek Group Andy.boulcott@centekgroup.com Paul Joyce – CenTek Group Paul.joyce@centekgroup.com Brandon Bourg – Weatherford brandon.bourg@weatherford.com Graham Hay – Downhole Products graham.hay@downholeusa.com Michael Szymanski – Shell Michael.szymanski@shell.com Forest Parker – Weatherford Forrest.parker@weatherford.com Ivan Barannikow – Weatherford Ivan.Barannikow@weatherford.com John McCormick – PVI software jmccormick@pvisoftware.com 6

Work group on Bow Spring Centralizers (SC-10D) Jan 2017: Winter Meetings – Austin, TX Work Group Status Last met as a WG on November 2nd, 2016 at the API office in Houston. Minutes of the meeting have been published to the API SharePoint site and distributed to members of the work group via e-mail. 7

Work group on Bow Spring Centralizers (SC-10D) Jan 2017: Winter Meeting – Austin TX Work Group Status Since the June meetings, all archive files including iterations of the working document and meeting minutes as well as conference presentations have been uploaded to the API SharePoint site (per year folder structure). 8

Work group on Bow Spring Centralizers (SC-10D) January, 2017: Winter Meeting – Austin TX 10D Document Status Decision on Table 1 has been made, update to the working document is pending reformatting of the table itself. Basically, limited additional sizes added to Table 1 and in-between sizes can be interpolated while sizes outside the covered range will use formula to determine value. The tolerance on the ID of the outer pipe has been updated to improve test results as well as eliminate a loop hole for use as restriction (was +0.125” - 0.031”, now is +0.031” -0.000”). Awaiting responses of a few outstanding action items from Work Group members 9

10D Work Group – document status continued: More discussion was had on the potential impact to restoring force of running the centralizers through the restriction abruptly verses in a staged step-down method (from uncompressed OD to intermediate ID to restriction ID) versus a single step procedure (uncompressed OD directly into restriction ID): It was decided to let a study of the effect on restoring force decide if it is warranted to put in the standard or not. If the difference in restoring force is > the 15% variation, then we will develop and include a modified test procedure for under reamed application. This will allow for stage restriction to prevent permanent deformation to the bows brought about from the high starting force condition.    10

10D Work Group – Decision was made to add the proposed reporting format to the document as an example of suggested reporting for use in the modeling software. 11

10D Work Group – document status continued Basically Table 1 is done Definitions are close Test procedures are ready (only awaiting impact study) Pass Fail criterion is clear for both applications (still uses 67% data point and standard conditions) Reporting format resolved and compatible with modeling software We just need to word smith proposed reporting format ….. 12

API 2017 Winter Meetings Jan 17, 2017 Austin TX Questions?