1. API 11V Task Group 15 November, 2007 Houston, USA

2. Agenda Introduction What is the pertinent API Organization? What is an API Recommended Practice (RP)? What is the typical API RP development process? What is the typical API RP development time line? What commitment is required to complete this document? API Procedures for Standards Development 11V Task Group Process Revise, Modify/Confirm Objectives Revise, Modify/Confirm Content Structure and Scope (draft provided below) Tasks definition and distribution (option to volunteer) Discuss/agree on this RP document development/review process Discuss potential project time line Agree on place, date of next meeting

3. API Organisation

4. Gas-Lift Task Group Organization Task Group Chairman – Jim Hall, Shell Int’l E&P Secretary – Cleon Dunham, Oilfield Automation Consulting Active Projects: RP11V5 – Chairman, Cleon Dunham RP11V6 – Chairman, Joe Clegg, Integrity Consulting RP11V8 – Chairman, John Martinez, Production Associates RP11V9 – Chairman, Cleon Dunham RP11V10 – Chairman, Steve Gossell, Saudi Aramco RP11V11 – Chairman, Juan Carlos Mantecon, SPT GROUP

5. API Spec./RP Process 11V Task Group determines need for new work Work Group chairman enlists members Work Group prepares an API NWI (new work item) Sub-Committee 11 approves NWI Work Group develops the Spec / RP 11V Task Group requests SC11 approval Sub-Committee 11 requests comments and approval from members Spec. / RP is approved and published Spec. / RP is reviewed every 5 years Revise, Reaffirm, Withdraw

6. Nominal Timeline for a document

7. Gas-Lift Specifications and Recommended Practices - Published Specification (Spec)11V1 - Specification for Gas Lift Equipment (41 pages)* Recommended Practice (RP)11V2 - Gas-lift Valve Performance Testing (60)* RP11V5 – Recommended Practice for Operations, Maintenance, and Trouble- Shooting of Gas Lift Installations (34) Soon to be updated RP11V6 – Recommended Practice for Design of Continuous Flow Gas Lift Installations Using Injection Pressure Operated Valves (88) RP11V7 – Recommended Practice for Repair, Testing, and Setting Gas Lift Valves (26)* RP11V8 – Recommended Practice for Gas Lift System Design and Performance Prediction (94) * To be replaced by ISO 17708-2

8. Gas-Lift Specifications and Recommended Practices – being developed 11V9 – Recommended Practice for Operation, Maintenance, Troubleshooting and Design/Re-Design of Dual Gas-Lift Systems 11V10 – Recommended Practice for Design of Intermittent and Chamber Gas-Lift Wells and Systems

9. Gas-Lift Specifications and Recommended Practices – New Work Item Recommended Practice for Dynamic Simulation of Gas Lift Wells and Systems

10. RP – Dynamic Simulation od Gas Lift Wells and Systems – Team Juan Mantecon, SPT Group - Chairperson Cleon Dunham, Oilfield Automation - Secretary Adam Ballard, BP Arne Valle, Hydro Dan Dees, AppSmiths Egil Henrik Uv, Hydro Fernado Ascencio Candejas, PEMEX Dr. Fernando Samaniego, UNAM (Mexico Autonomous Nacional Uni) Galileu Paulo Henke A. Oliveira, Petrobras Greg Stephenson, ep-solutions Kallal Arunachalam, ConocoPhillips Ken Decker, Decker Technology Murat Kerem, Shell Shanhong Song, Chevron Torbjørg Klara Fosum, Statoil Yula Tang, Chevron

11. Content / Scope (1) Purpose of this document Who is the target audience of this RP? Researchers Engineers Analysts Operators What are the objectives of this RP? Science Improved knowledge/awareness Training Improved designs Improved operations Other

12. Content / Scope (2) Typical Gas Lift Operations Continuous Gas Lift Dual gas-lift Gas-lift of gas wells Intermittent gas Lift Single Point Gas Lift Injection – Subsea Interventionless Gas Lift – Well Kick-off – Well Clean-up Riser Gas Lift Dry Gas Injection When to start Gas Lifting Dynamic Simulation vs NODAL Analysis Black Oil vs Fluid Composition

13. Content / Scope (3) Flow Stability Cause of Slugging Conditions Slug Size and Frequency Operational instability – heading Determine cause(s) of heading Determine possible cures Water Accumulation Corrosion Rate Corrosion Inhibition Production Chemistry – Flow Assurance Hydrates Dissociation/Formation Wax Appearance Pressure-Temperature Hydrates/Wax Avoidance Method Pressure-Temperature Control Remove Supply of Water Hot-Cold Re-Start Flowline Depressurization Insulation Inhibition

14. Content / Scope (4) Shut-in / Start-up Watercut Limit Liquid Loading Crossflow / Commingling Fluids Well design and Operations Horizontal Wells Multi-Lateral Wells Intelligent Wells Well-Clean-up Well Kick-off WAG Injection Integrated Modelling (well+flowline+riser) Real-time Modelling

15. Content / Scope (5) Recommended approaches to use dynamic simulation for gas-lift Purposes of dynamic modeling of gas-lift wells Design Design confirmation Problem identification Problem diagnosis Operational optimization Recommended modeling techniques Recommended ways to implement dynamic models Engineering studies Operational systems Case histories – how models are used, what are the benefits