Alberta Welltest Incinerators Who are We

Alberta Welltest Incinerators • Who are We • What do We do • How do We do it – Incineration 101 • Incinerators vs. Flares • Other Choices? • Why request an AWI incinerator? – Benefits – Dispersion – GLC’s • Alberta Energy & Utilities Board

Who Are We • Alberta Welltest Incinerators is a private Alberta Company dedicated to reducing the environmental impact of oil & gas related production test flaring. • The AWI low emission burner technology provides a significant advancement over existing conventional flares and available enclosed flaring equipment. • AWI has over 80 years experience in incineration and production testing

Incinerator Burning 2. 5 MM

What We Do

How Do We Do It • Computer Controlled – Designed to feed the perfect amount of air for the combustion reaction under any volume or combination of gases. • Engineered Design – Built with the required height, diameter, air volume and burner design to meet the all the requirements for a complete and efficient burn. • Three T’s of Combustion • Sufficient Residence Time for Complete Combustion • High Volumes of Dilution Air – Dramatically improves SO 2 Ground Level Concentrations

Control System

Incineration 101 • Three T’s of Combustion – Time, Temperature and Turbulence • The mixing of fuel and air to complete the combustion reaction must take place at an elevated temperature and reside at that temperature for a predetermined length of time. • There exists a relationship between the degree of mixing (Turbulence), the Temperature at which the components are mixed and the length of Time the mixed components stay at that temperature. • Excess Air will rob the heat energy away from the reaction, lowering the temperature to below the ignition temperature of the fuel…. . resulting in unburnt hydrocarbons, smoke, odour, poor emissions.

Incinerators or Flares…? Impossible to Control the Combustion Reaction with a Flare

Incinerators vs. Flares • Conversion Efficiencies • Under perfect laboratory conditions - 99. 5% (recent U of A Study) • Can be significantly below 95% combustion efficiencies – Windy days – Black smoke • May require Enrichment Gas for Sour Well Applications • May be the better choice in certain cases – But, still require perfect conditions to burn effectively • Higher exit elevations • Very high H 2 S concentrations

Reduction in Greenhouse Gasses • The Global Warming Potential of methane is over 20 times higher than CO 2. Inefficient combustion of Welltest gases with a flare or enclosed flaring system will significantly increase the Greenhouse gases emitted. • For example 19, 000 SCFD of waste methane gas can generate the equivalent of the following daily CO 2 emissions. . . CO 2 emissions Tonne/Day Vented 7. 6 2, 775 65% combustion efficiency (Flare) 3. 3 1, 205 80% combustion efficiency (Enclosed Flare) 2. 3 840 AWI Incineration (99. 99% Combustion Efficiency) 1. 0 365 Tonne/year AWI Incineration converts 99. 99% of the methane to CO 2 and H 2 O

Other Choices? • Not All incinerators are the alike! • Enclosed Flares – Decoys • Very High Radiant Heat Temperatures – Potential for Matting, Field or Forest Fires (Liability) • • Difficult and/or Hazardous to Operate NO Temperature Control or Monitoring Noise Issues Exit Elevation - Below 40’ – Low residence time • • • Poor SO 2 GLC Inconsistent Air for Proper Combustion Low Dilution rates No Containment Devices for Carryover – Potential for Spills or Fires DO NOT MEET AER Directive 60 Requirements for Sour applications Misleading Throughputs

Why request an AWI incinerator?

AWI Incinerators - Benefits • Industry Leading Incineration Technology – – – Combustion Efficiencies over 99. 9%. Fully Automated Forced Combustion Air Delivery System Automatic Dual Continuous Ignition Pilot Systems Fibre lined Combustion Chamber to maintain high incineration temperatures, and eliminate radiant heat Patented Forced Draft multi Point Vortex Burner Integral Knockout Drum for removal of free liquids and carryover and eliminate environmental concerns No Odour. No Smoke. No Visible Flame. Runs quietly and efficiently ( > 85 decibels). Controlled Environment in all weather conditions MEET ALL AER Directive 60 Requirements for sour and non sour applications No Enrichment Gas required to help reduce costs Rated Capacity at 7 MM SCFD Methane or 3 MM SCFD Typical Well Gas • Higher flow rates are supported by the integral Bypass Flare

AWI Incinerators – Benefits (cont) – Safe and easy to setup and operate – Zero ground disturbance, free standing – Instantaneous online temperature monitoring and recording via our onboard communications module

AWI Incinerators - Dispersion • H 2 S Dispersion – Well within AEUB’s Alberta Ambient Air Quality Guidelines (H 2 S GLC <14 ug/m 3) • SO 2 Dispersion – Within AEUB’s Alberta Ambient Air Quality Guidelines (SO 2 GLC <450 ug/m 3) – High Temperatures, Velocities and Dilution rates to help reduce the SO 2 GLC

H 2 S Grond Level Concentration

SO 2 Ground Level Concentrations

Physical Comparison

Multiple Units to suit High Flow Rate

Alberta Energy & Utilities Board • AER Directive 60 – Upstream Petroleum Industry Flaring, Incinerating, and Venting – Implemented January 31, 2007 • Requirements for Incinerators – Operate without exposed flame – >1% H 2 S • • Minimum 0. 5 residence time 40’ Exit Elevation Minimum exit Temperature of 600* C Emissions meet the Alberta Ambient Air Quality Objectives – >5% H 2 S • Process temperature control and recording

Further info • Questions? • AWI • 1 -888 -778 -0960 – www. awincinerators. com • Research articles • The Combustion Efficiency of Jet Diffusion Flames in Cross-flow – http: //www. mece. ualberta. ca/groups/combustion/flare/index. html • Smoking Guns – http: //www. environmentalintegrity. org/pubs/Smoking. Guns. pdf