Gas Processing Group

Nitech NRU Technology

Global Industrial

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Nitrogen Rejection Unconventional Gas Enhanced Oil Recovery Conventional low-BTU Gas Coal Mine Methane Utilization

Ultra High CO2 Removal NGL Recovery Helium Recovery Skidded LNG Plants Oxygen Removal Cryogenic Expander Plants

Global Industrial

We strive to offer our clients high quality gas processing solutions and offer the highest and most efficient gas processing technology the world has to offer, including the worldclass and industry leading Nitech nitrogen rejection (NRU) technology.

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Gas Processing

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Gas Processing

Providing the Next-Generation Gas Processing Technologies

Table of Content
1) Introduction: Gas Processing 2) Nitech NRU Technology
Enhanced Oil Recovery Conventional low-BTU Gas Unconventional Gas Coal Mine Methane

3) Integrated Solutions
Helium Recovery Ultra High CO2 Removal NGL Extraction/Recovery LNG Production

Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

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Gas Processing

Introduction: Gas Processing

Our Organization: Global Industrial Dynamics
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G.I. Dynamics Gas Processing Group provides the lastest state-of-the-art gas processing technologies and equipment for the Oil & Gas market. We specialize in Unconventional Gas, Enhanced Oil Recovery, Nitrogen Rejection/Removal, NGL Recovery, CO2 Removal, Helium Recovery, Skidded LNG plants & Oxygen Removal. G.I. Dynamics is a company with hands-on industrial experience, operating together with specialists and niche business partners in order to improve the performance and develop the sustainability for our clients business.

Global Industrial

that have the most efficient technologies available on the market, and bring this to the global market, to create practical, cost-effective solutions that change the game in business of Oil & Gas. We support the Oil & Gas market in;

Unconventional gas, naturally occuring low-BTU gas streams, enhanced oil recovery, nitrogen rejection/removal, CO2 removal, helium recovery, skidded LNG plants, and oxygen removal.
Nitech NRU Technology The Nitech nitrogen rejection (NRU) technology, developed and patented by BCCK Engineering Inc., economically removes nitrogen from natural gas streams without the complexity and inflexibility typically associated with nitrogen rejection. The Nitech NRU technology can be up to 15% less expensive on both OPEX and CAPEX in comparison to other cryogenic technologies.

Global Support

Our offices are in Europe and Asia, but we have proven experience and are able to provide full support in Russia, USA, Middle East, Asia and South East Asia to further develop your business here.

Providing next-generation Technology

G.I. Dynamics cooperates with niche companies

Our Business Partner: BCCK Engineering

BCCK Engineering Inc. is an international natural gas engineering company with engineering capability and project management expertise under one roof electrical, civil, mechanical, and chemical with computerized 3-D drafting support. BCCK Engineering Inc. serves the energy industry worldwide specializing in nitrogen rejection, NGL recovery, cryo plants, ultra high CO2 removal, helium recovery, oxygen removal, and skidded LNG facilities. The Nitech nitrogen rejection (NRU) technology, developed and patented by BCCK Engineering Inc., economically removes nitrogen from natural gas streams without the complexity and inflexibility typically associated with traditional cryogenic processes.
Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897 Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

G.I. Dynamics joined forces with BCCK Engineering Inc. to further explore business opportunities for this most efficient, but still little known Nitech NRU technology, in Europe, Russia, China and Australia.

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Nitech NRU Technology

itrogen Rejection Units (NRU) selectively removes nitrogen from a gas stream. In practice, cryogenic plants have the highest methane recovery rate (approximately 99%) of any of the nitrogen rejection technologies and have become standard practice for large-scale projects where they achieve economies- of-scale.

Nitech NRU Technology

An Advanced Cryogenic NRU Technology Nitech (NRU) technology, developed by our business partner BCCK Engineering Inc., enables producers to recover once by-passed reserves, regardless of nitrogen content. It

economically removes nitrogen from natural gas streams without the complexity and inflexibility typically associated with traditional cryogenic processes.

Nitech NRU/NGL extraction, CO2 removal and helium recovery. Edwards County, Kansas, USA

Proven and Applied Technology

More than 20 Nitech NRU systems have been installed, where they have generated extra revenue streams from;

Additionally, it can increase project profitability through integrated NGL extraction and helium recovery. Nitech NRU technology is an economical, effective, environmentally-Nitech NRU Technology friendly, and highly efficient process to remove high concentrations of nitrogen from inlet flow rates as little as 30 million m per year up to 2500 million m per year. Major advantages of Nitech process are; 1) Typically only three major components; 2) No cryogenic rotating equipment required; 3) High methane recovery in excess of 99%; 4) A less complex, more reliable and lower cost design.

Unconventional gas, naturally occuring low-BTU gas streams, enhanced oil recovery, nitrogen rejection/removal, CO2 removal, helium recovery, skidded LNG plants, and oxygen removal.
Significant Nitrogen reduction inlet nitrogen contents ranging from 5% to 70% can be reduced to 1%, depending on pipeline requirements. Possibility for integrated NGL Extraction including ethane recovery in excess of 90% Possibility for integrated Helium Recovery with helium recovery as high as 99%. CO2 tolerant with no treating required beyond the capability of readily available amines. Quick restart with cold restart from short shutdowns and online and on spec just restart associated compression. Integrated LNG production (one step nitrogen rejection to LNG) Available for flow rates of 30 to 2500+ million cubic meters per year
Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

Additional Design Advantages

Small footprint (about 6x18 meters for a 200-500 million cubic meter annual plant). Minimum operator attention required with average runtimes in excess of 99%. Recompression horsepower requirements which compare favorably with even the most efficient conventional cryogenic process designs. Much lower power and compression requirements than non-cryogenic technologies.
Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

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Gas Processing

Nitech NRU Technology

Enhanced Oil Recovery
Both nitrogen and fire floods are used in order to enhance oil recovery. The basic difference is a fire flood injects air while a nitrogen flood injects near pure nitrogen.

Project Reference
Plant Location: Facility Size: Gas Source: Plant Type: Inlet Gas: Project Type: Completion: Bowman, ND, USA 430 Million m per year Associated gas from fire flood Carbon Dioxide, Nitrogen, Water, and NGL Extraction/ Fractionation N2 60% to 75% EPC August 2007

PROJECT DESCRIPTION

A typical gas content in a flood has; a variable inlet nitrogen content; an increase of nitrogen content over time as field matures. Our answer: The Nitech NRU process is able to take on these variables and escalations, without the need for equipment modifications. Also normal for these facilities is; an integrated NGL extraction is a requirement; The process gas will be associated with oil/condensate production, therefore will contain high levels of C3+ hydrocarbons. Our answer: Nitech process can integrate NGL extraction with high ethane recovery Our history with flood applications; 3 NRUs associated with nitrogen floods; 1 NRU associated with a fire flood.

In Southwestern North Dakota, producers are injecting air into oil producing reservoirs in order to increase the temperature in the reservoir and to decrease the viscosity of the crude oil. In addition, the reservoir pressure is increased facilitating increased production. We employed a proven process designed to remove residual amounts of oxygen coming from the reservoir that had not taken part in the combustion process. In addition, there was a significant amount of carbon dioxide and nitrogen generated by the air flood process. Our process is designed for a wide range of nitrogen since the air injection process is on-going and the nitrogen content is increasing. This facility utilizes the newest generation Nitech internal condenser that provides a cleaner nitrogen vent relative to methane losses. Another feature of this facility was to design with small footprints since the facility is installed in process buildings as required to protect the facility from the harsh and cold winter environment with normal temperatures reaching from -29 to -40 degrees C. Carbon dioxide removal is brought about by the use of conventional amine and reduces the carbon dioxide content feeding the NRU from approximately 8 PPM to approximately 10 PPM. The oxygen removal system was designed to remove oxygen content to as low as 1 PPM. Nitrogen is removed from near 60% down to the specified level of approximately 10% to be used for both sales and field fuel gas. The Nitech NRU also includes integrated NGL extraction. The facility also fractionations the liquids to produce an HD-5 grade propane for the local market.

Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

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Nitech NRU Technology

Project Reference
PROJECT SPECIFICATIONS

Conventional low-BTU Gas

Low Inlet Nitrogen Content Gas Streams Historically, solutions for gas streams that were just out of pipeline specification with regard to nitrogen content (3-10% nitrogen) included: Pay a penalty for off-spec gas; Blend gas to spec, if blend gas is available; If associated with an NGL extraction facility, ethane may be blended with sales gas to meet the inert specification. Today, we deliver economic solutions for processing low nitrogen gas streams: As a stand-alone system behind the expander plant; As an integrated part of the existing expander plant.

Plant Location: Facility Size: Gas Source: Plant Type: Inlet Gas: Project Type: Completion:

Paden, OK, USA 480 million m per year Conventional low-BTU gas Nitech NRU 6 - 9% N2 EP plus fabrication of the NRU cold boxes May 2008

PROJECT DESCRIPTION

An existing facility with NGL and condensate extraction, the Nitech NRU is located in Paden, OK, USA. For this particular facility, condensate, NGL, carbon dioxide and water are removed upstream of the NRU. In November, 2006, a Nitech NRU to remove nitrogen from a slip stream of facility gas has been designed and constructed. Implementing the Nitech NRU design allowed the client to more economically market their natural gas product. The Paden NRU utilizes the Nitech NRU technology in order to reduce the nitrogen levels below the pipeline requirements. The facility was designed to process a portion of the total volume of available higher nitrogen gas to less than 1.0 mole % nitrogen, then blending this low nitrogen stream with the remaining higher nitrogen gas that bypasses the NRU. The total blnded stream meets the pipeline specification of 3.0 mole % nitrogen. By bypassing a substantial amount of gas, the capital cost and operating costs were reduced. Additional equipment purchased and installed included an amine unit and associated compression. BCCK assisted the client with specification of the amine unit and compressors. NG Resources completed the fabrication of the NRU cold boxes. The NRU was installed at the Paden Facility by a third party construction company and continues to operate today.

Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

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Gas Processing

Nitech NRU Technology

Unconventional Gas
The unconventional gas, after exploration, may have gas processing needs to meet pipeline quality, safety, and environmental specifications. At this moment, there is too little awareness on the market on the advanced NRU gas processing technologies availiable at the global level.

Types of Unconventional Gas

Located in conventional pore spaces in sandstone Low vertical permeability because of laminated structures No significant gas flow without fractures, natural or Induced Located in shales in source rock Very low permeability, almost no drainage radius, very heterogeneous Must be fractured

Tight Gas

Shale Gas

Global Development
Global reserves on unconventional are tremendous. Furthermore, there is a wide distribution of unconventional resources.
in trillion cubic meters (TCM)

(Source: Rogner)

Located in coal seams, often near surface Natural Fractures often filled with water and gas Key challenge is removal of iar in Coal Mine Methane

Coal Bed/Mine Methane

In gas-exporting regions such as the former Soviet Union and the Middle East, unconventional resources will not displace, but might complement conventional gas production. In gas-importing regions such as Europe and Asia, unconventional gas become interesting as currently most gas is imported (also might reduce import needs). The permeability in regions such as Europe and Asia is much lower to the other regions, which
233 tcm 36 tcm

makes overall E&P costs relatively higher. But the gas price in regions such as Europe are higher, which makes to overall investment still attractive (also royalties are included).

Developments with Nitech NRU

Today, we are working with an oil and gas company on one of the first tight gas exploration project in Poland, which is the first unconventional gas exploration facility to become active in Europe. We are confident this project will be the first of many unconventional gas processing projects in Europe.
156 tcm

250 tcm 126 tcm 98 tcm

Key Figures: Coal Seam Gas (tcm) Shale Gas (tcm) Tight Gas (tcm)
Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897 Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

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Nitech NRU Technology

Coal Mine Methane Utilization
Utilizing to the Nitech NRU technology, you can stop venting your coal mine methane (CCM) to the atmosphere, capture that waste gas and create a sellable methane product or liquid natural gas (LNG). revenue can be created. Main benefits for effective capture and utilization of CMM;

Safer work environment decreases the

Benefits of coal mine extraction/enrichment:

methane

Applying an efficient and correct drainage system will addres the inherit risks associated with coal mines. By having an effective utilization process for the drained CMM, an additional

risk of fire/explosion Environmentally friendly methane, a dangerous greenhouse gas, is captured instead of vented to the atmosphere Cost-effective fuel source captured, processed gas can power mining equipment New revenue source coal mining and methane mining now go hand-in-hand

Coal Mine Methane Gas Treating Configuration

Experience
The Nitech process is already in operation across the country with coal mine methane enrichment facilities in; Location: Facility Size: Inlet Gas N2: Location: Facility Size: Inlet Gas N2: Location: Facility Size: Inlet Gas N2:
Carbon Credits
CMM extraction CMM Extraction CMM purification Pipeline injection or planning and Recovery and compression LNG transportation (Source:GMI, 2010) (Source: RVID, 2009) (Source: M.I.C.S., 2010)

Process of Coal Mine Methane Utilization

Marketable Gas

Pennsylvania, USA 120 million m annual 10% - 25% Alabama, USA 120 million m annual 15% 30% Illinois, USA 120 million m annual 15% 30%

Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

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Gas Processing

Integrated Solutions
Helium Recovery
In order for processors to benefit from a high value commodity like helium, we provide stand-alone helium extraction units, or integrated helium extraction capability in the Nitech NRU system. Benefits of this process: Simple process providing crude grade helium with 99%+ He recovery. Easily integrated with Nitech NRU. Can provide significant source of revenue due to high helium value. With either naturally occurring high CO2 or an associated CO2 flood, we can supply the best CO2 extraction solutions, while minimizing overall capital expenditures and operating costs. We have the experience, capability and technology to cost effectively provide clients with the best CO2 extraction option for high CO2 streams either for enhanced oil recovery or for sale. Benefits based CO2 removal systems include: Purify natural gas into an on-spec product Create high quality CO2 for reuse or sale Recover NGLs for sale

NGL Extraction/Recovery
As mentioned above, G.I. Dynamics, together with its business partner BCCK Engineering Inc. is capable to provide an intregrated as well as an stand-alone NGL extraction, with high ethane recovery.

(Ultra High) CO2 Removal

The CO2 removal technologies provide producers with the most efficient and cost effective means of handling high concentrations of CO2. As an added bonus, greenhouse gas emissions are mitigated since the separated CO2 is sequestered rather than vented.

2.000 million m3 per year CO2 removal and injection, Nitech NRU & HeRU extraction facility Wyoming, USA

This facility includes CO2 removal and NGL extraction/stabilization. It produces high quality CO2 that is reinjected with an associated enhanced oil recovery project.

This is the worlds largest CO2 sequestration project. The Wyoming project utilizes a patented CO2 removal technology along with the proven Nitech nitrogen rejection / helium extraction process.
Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897 Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl

Contact Us

For more information about the technology and applications, dont hesitate to contact our business associates. We would be glad to help you in achieving sustainable business!

Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in GI Dynamics BV and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without express prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction. Disclaimer This document includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this report are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for G.I. Dynamics and G.I. Dynamics (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as expects, believes, estimates or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for G.I. Dynamics businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the document. Although G.I. Dynamics believes that its expectations and this document are based upon reasonable assumptions, it can give no assurance that G.I. Dynamics expectations will be achieved or that the actual results will be as set out in this document. G.I. Dynamics is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither G.I. Dynamics nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use

Einsteinlaan 10 2289CC Rijswijk The Netherlands G.I. Dynamics B.V. Kvk: 27372897

Tel: +31 (0)70 300 22 31 Fax: +31 (0)70 300 21 11 info@gidynamics.nl www.gidynamics.nl