Improving Drilling Performance using innovative ways to analyze the downhole information Hani Ibrahim

FAQ What’s in it for me? TMD? What’s the impact on the crew? TMD: too much data

Transformation Concept Data Collected RT Analysis Information Drilling Performance Data collection with accuracy RT analysis/ results Convert Data to actionable Information that the driller can use without having to interpret squiggly lines and Drilling performance improve

History Quantico Energy Solutions formed in 2012 Philosophy; the logging data and the drilling data are two sides of the same coin Developed AI model generating formation-evaluation logs from the drilling recorder data with GR Started as replacement for conventional conveyed logs in horizontal section Evolved to full suite of formation evaluation and drilling optimization Well data from most major US Tight Gas / Unconventional Basins, Gulf of Mexico and some international

Differentiated Approach AI constrained by geoscience and tool physics Powerful QC engine for drilling, log and seismic datasets Proprietary database across multiple geologic environments ADVANTAGES Grounded by Geoscience & Industry Workflows yielding higher accuracy Standardized, cross-discipline workflows Auditable output Turnkey AI platform

Digital Rock Workflow Traditional industry methods rely on well location, logs, core, facies, seismic, etc. AI focuses on dynamic range of input parameters – and the underlying patterns contained in those envelopes Complexity of subsurface means geoscience and AI approach need to be integrated into cohesive, digital solution Quantico has implemented powerful workflows related to Digital Rock

Geoscience-Based Artificial Intelligence DRILLING MEASUREMENT RESERVOIR COMPLETIONS QDrill™ QLog™ QRes™ QFrac™ Real-Time UCS Post-Drill Logs Hi-Res Earth Model Horizontal Logs Optimize Drilling Logging While Drilling Production Model Geomechanics Real-Time Tops Lookbacks Well Placement Completion Placement Savings Improvement 20% 70% 50% 10% The Savings and improvements are our targets

Qualification/ Accuracy US Land horizontal well log comparison Schlumberger Thrubit vs QLog Deepwater depth-time comparison between LWD sonic vs QLog (30,000ft TVD) Red is Qlog Blue is Conventional LWD

RT-UCS Pre-drill While-drilling Advantages: Estimation of ROP, UCS and MSE While-drilling RT-UCS and MSE with optimized operating parameters Advantages: MSE, RT-UCS and formation tops provided for current well Distinguish between efficient drilling versus drilling dysfunction once formation properties are taken into account Drilling parameters (WOB, RPM, etc.) can be better optimized for current well

RT Drilling Optimization Feature set: Advanced LWD: sonic, density, neutron, UCS Drilling parameter recommendations to increase ROP and reduce bit wear Real-time updated formation tops Delivery architecture: Phase 1: web service deployment via Microsoft Cloud Phase 2: software/ chip on the rig

Look underneath Vs. Look ahead

RT Formation Top Update Automated Gamma ties with offset wells Can add Density to interpretation Formation top updates while drilling

Projected Properties Ahead of the bit Projecting Gamma and rock properties ahead of bit Advise the correction plan and parameters needed to return to planned well-path including the formation yield to build or drop Top1 Top2 Top3 Top4 TVD Offset Distance from Wellhead Planned Actual New formation tops predictions dashed RT-UCS, 5K psi, Competent formation for directional work RT-UCS, 30K psi, difficult formation for directional work Avoid Sliding here, Rotate for best ROP Slide to drop here to go back on plan Additional sliding can be achieved in this formation

QDrill-Enhanced Geosteering Multiple tie logs to provide added control (using LWD density/sonic from QDrill) Formation tops updated ahead of the bit Automated, continuous real-time updates to geologist/DD Ability to integrate with third party geosteering software Offset Target Used in combination with QRes, well control can utilize any combination of Gamma, Resistivity, Density, Sonic, YM, PR, Stress, etc.

QRes™: Optimum Well Placement Higher Resolution Revealing Significant Zones, QRes™ can map the 3D volume for various properties including Gamma, Resistivity, Young’s, Poisson’s, Stress, Pore Pressure, Porosity, etc. Map the 3D volume for various properties including Gamma, Resistivity, YM, PR, Stress, Pore Pressure, Porosity, etc High resolution (10 ft) Seismic volume tied explicitly to well logs Well control based on conventional logs or QLogs on every well drilled

Control Advise Monitor Drilling Automation, courtesy DSATS 16 Direct Delivery to Control Panel Display at other locations Driller’s Console/ Rig Company Foreman RTOC/Office Several Locations Call/ SMS DD or Driller Drilling Automation, courtesy DSATS courtesy DSATS 16

QOpt Levels

Summary Leading AI platform for Digital Subsurface Delivering an AI solution with the following advantages: Commercially proven Turnkey – large data library, 24x7 monitoring, integrated rig operations Scalable – works across basins/assets, cost neutral to size of reservoir volume Synergies across internal disciplines Measureable Cost Savings in 1-6 month time frame potential savings 20-50%+

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