1. Presentasjon til FORNY FORUM 1.oktober 2003 kort om procom venture case: ior chemco

2. Hva gjør vi i Procom Venture? Kommersialisering av ny teknologi 4 RF teknologier kommersialisert i IOR Chemco 2002 2 nystiftede selskaper basert på RF teknologi etablert så langt i 2003 (Badger Explorer og MTO-Lab) Tett samarbeid med Prekubator Såkornkapital for nyetableringer Egenkapital kr 5 mill; kr 1,6 mill investert så langt. Forretnings-rådgivning Ledelse i portefølje selskaper Eksterne oppdrag rettet mot omstilling, finansiering, strategi-utvikling

3. It’s about creating a sustainable future for a maturing industry It’s about the Environment It’s about big bucks It’s I mproved O il R ecovery

5. Mar03

6. Business Idea New IOR Chemical Solution Provider Start up, based on ”Best of Breed” from Rogalands Forsknings extensive research history in the I O R field

7. IOR Chemco’s Assets & Strengths (1) Exclusive IP rights to 4 technologies/patents developed to solve problems arising from high water production in maturing oil& gas fields 1.Unique patented method for placing a Water blocking gel system into live production wells 2.Consolidation of Sand in production wells by Environmental friendly Chemical injection methods 3.Inhibitor Polymer enabling Environmental friendly and long lasting Scale squeese jobs in production wells and flow lines 4.Several Patents for Low Dosage Inhibitors enabling Environmental friendly Hydrate control in production wells and flow lines

8. Assets & Strengths (2) Unique relationship/cooperation with Rogalands Forskning, RF, a world class Oil & Gas research institution. –Top tier recognition in IOR technologies Management and Board with industry experience and network to succeed

9. Some Market Highlights Large water volumes as result of hydrocarbon production is probably the greatest challenge of the O&G industry around the world. Approx 150 mill cu.m of water will be produced annually on the NCS alone in the next 15-20 yrs. Methods that effectively can keep the water in the reservoir will be highly appreciated/valued Great effect on the environmental impact factor Reduced need for topside cleaning facilities Reduced energy consumption Improved recovery rate Around 20.000 wells are drilled in sandstone every year, there is a large potentail for improved Oil Recovery with new innovative sand consolidation Techniques. The annual North sea Scale inhibitor market is estimated at over 300 MNOK with an expected growth rate of 8% p.a. Focus is on Zero Environmental Impact. The annual world wide Hydrate inhibitor market is estimated at over 500 MNOK and is expected to grow significantly over the next decade. Low Dosage Hydrates is forecasted to quickly grow from 5% to 20% market share. Zero Environmental Impact is important.

10. Going from lab to full scale Full scale testing of new technology in live production wells is, because of the large financial risks involved, considered a major ENTRY BARRIER in this industry. Since start up 19.12.2002 we have positioned ourselves with: –DNO ASA, together with Statoil and Total has entered a 5MNOK JIP development program with the Emulsified Gel system, aiming at a full scale test at one of DNO’s high water cut producing wells in the UKCS Started medio Feb03, Two teoretical and preparatory phases completed succesfully Candidate well selection ongoing Planned pumping in candidate well within October

11. Organisation Management, Business Development and administration is initially provided by Procom Venture AS Highly professional board of directors, led by mr. Knut Åm, former executive manager in PPCo. Development Engineering and technical support (lab etc) is initially sourced from RF Offshore operations will initially be performed through an alliance partner

12. EXIT The industry is dominated by the large chemical companies (BASF, Akzo, Dow, Clariant, Nippon Shokubai etc) and the even larger oil service companies (Schlumberger, Halliburton, Baker, Smith, Weatherford etc). The trend in the international arena is that the oil service companies are becomming more and more ”Total Service Providers”, packaging services and price into large multidiscipline contracts with the clients –Technology that adds value is a key driver We strongly believe the IOR Chemco technologies will atract considerable interest in the marketplace, hence our best EXIT option lies in a trade sale to one of the large multinational players.

13. Historic & Planned development - summary More than 40 MNOK Spent in Public R&D And JIP’s