CWAG 2010

WATER LAW CONFERENCE

The Broadmoor Colorado Springs, Colorado

April 29 – 30, 2010

The Trilogy System is the world’s first economically viable, environmentally responsible well head solution created to address the major waste and emissions issues facing the world’s oil and gas production fields. Our state-of-the-art system provides well owners an affordable way to comply with environmental legislation and regulation today and in the future.

Purestream Technology introduces The Trilogy System

Purestream Technology has joined forces with global leaders in the fields of environmental engineering, thermal dynamics and space technology to create The Trilogy System.

Combined Heatand Power

Destruction of Air Emissions

Wastewater Disposal

Three integrated systems – one well head solution

• Air emissionsHow do we reduce or eliminate economically?

• Produced wastewaterHow do we treat or dispose of responsibly and affordably and put to beneficial use?

• Combined heat and powerHow do we avoid wasting well head energy resources and utilize them productively?

Oil and gas production fields face enormous environmental challenges

Government agencies continue to tighten their positions on the environmental implications of oil and gas production ::

The Trilogy Solution

• Air emission cleaning and scrubbingThe Trilogy System’s thermal oxidation process eliminates 99% of VOCs at the well head.

• ZAP (Zero Air Shed Potential) – wastewater disposalThe Trilogy System economically and efficiently disposes of wastewater at the well head and purifies the water for future beneficial use.

• Combined heat and power (turbine)The Trilogy System generates electrical power using our gas fired turbine system which captures fugitive gas, converts it into a heat source and then electrical power while simultaneously utilizing the waste heat to evaporate produced wastewater. That recycled power is then loaded onto a nearby power grid for sale on the wholesale market.

Trilogy proactively addresses stricter standards anticipated in future regulation and legislation ::

• VOCs are burned in the Thermal Oxidization Process• The Destruction Efficiency is 99% of overall Total Petroleum Hydrocarbons• Thermal Oxidization Process also reduces produced NOx gases• BTUs produced in Thermal Oxidation Process are utilized in the Scrubbing /

Evaporation Unit• Gases (Aerosols) exposed to water rise through tall vertical stack• Fine spray creates high water/gas interface surface• Effective scrubbing results• Controlled exhaust pressure from engine/heater/flare• Spray pattern optimized for scrubbing/evaporating• Spray pattern ensures repeated 100% contact with exhaust gases

Trilogy thermal oxidization and scrubbing process

Results are VOC, SOx, and particulate reduction ::

Diagram of scrubbing process at Danish Flats

Storage Vaults

Wastewater Disposal

Addition of Heat

Vault Gas Collection

Scrubbing of Aerosols

Vault collection and scrubbing at Danish Flats

99% of the VOCs and pollutants are destroyed and removed ::

ZAP lowers cost of water disposal

• Scrubbing at the well head purifies and evaporates wastewater

• Remaining water can then be disposed of or beneficially used at pad locations

• Water trucking costs are significantly reduced due to localized pad disposal of water

• Easier to permit new and existing locations due to lower emissions and particulate count

Water evaporation at a rate of 100 to 1,500 barrels a day per unit ::

• In terms of Total Dissolved Solids (TDS), in the U.S., the Environmental Protection Agency (EPA) advises against consuming water containing more than 500mg/liter, otherwise known as 500 parts per million (ppm) of TDS.

• Many health specialists believe that ideal drinking water should be under 50 ppm.

• The average tap water in America contains approximately 350 ppm of TDS.

• Trilogy water samples show results of 268 ppm – exceeding the EPA requirement for drinking water in the United States.

Trilogy water exceeds EPA standards

Trilogy water samples show results of 268 ppm ::

• A Natural Gas Turbine Generator is used at the well head for lower power cost and fueling cost

• The BTUs produced in Power Generation Process are recycled in the Scrubbing / Evaporation Unit

• Lower maintenance cost and any excess power generated can be sold back to the power company

Combined heat and power at well head

The Trilogy System captures fugitive gas and converts it into a heat source and then into electrical power ::

Power generation unit for 5.5 megawatts

Waste heat is utilized in the evaporation process and then converted to power and loaded onto a nearby power grid ::

Overall system integration

Vault Covers

GeneratorCombined Heat and

Power

Thermal OxidizerDestruction of Air

Emissions

ControlCenter

ZAPWastewater Disposal

The Purestream Technology TeamUSURFSAE

• USURFRecognized throughout the world as a leader in both space and thermal management technologies.

Space Dynamics Laboratory (SDL)Division of USURF founded in 1959. Responsible for the design, fabrication, and operation of thousands of sensors on over 400 payloads ranging from aircraft and rocket-borne experiments to space shuttle experiments, small satellites, and satellite-based sensor systems.

Energy Dynamics Laboratory (EDL)Division of USURF founded in 2007. EDL is leading the way in developing resources, technologies and systems that will be critical to the energy security of the united states in the 21st century and beyond.

The Trilogy Team – Utah State University Research Foundation (USURF)

The contribution of USURF to the science behind Trilogy is profound and protected ::

• SAEFounded in 1996. Specialized Analysis Engineering, Inc. is a multi-faceted engineering company with over 1,000 machine builds that are utilized in a wide variety of markets.

SAE is the primary production consultant on all fabrication and implementation for The Trilogy System. As educational by-products of Utah State University and USURF, the two founders of SAE are intimately involved in every aspect of the project.

The Trilogy Team – Specialized Analysis Engineering (SAE)

Their multi-faceted contribution to the design and production of Trilogy is state-of-the-art ::

Purestream Mapping AssessmentOur mapping process evaluates, compares and verifies all well head information ::

• Provides complete production wastewater, oil and condensate tracking from point of origin to point of disposal or sale

• Once data is recorded, it is transmitted and made available instantly and securely from anywhere in the world via the world wide web

• The Trilogy interactive interface is very graphical and intuitive. No training on our program is necessary. No additional software is necessary

• Incorporates automated, customized reporting sent via text message or email, providing up to the minute data on all field production

• Reduces costly staff and provides complete transparency for entire operation through fully verified scanned source documents and photo identification

• The Purestream Tracker remotely measures water, oil and condensate levels at the well head or pad location and then uploads that information to the online system

Step #3 :: Integrate Purestream Tracker

Water, oil and condensate data tracking, remote management and source document verification ::

Camera

Key Pad

Scanner

Printer

• No personnel needed to operate

• The truck driver is provided a driver ID – truck and trailer carry their own unique ID

• The camera takes a photo of the trailer and driver

• Volume, turbidity, condensate and transaction time are all recorded and instantly uploaded at disposal site

Water collection / disposal site

The Purestream Tracker provides up to the minute data on all your field production ::

Key Pad

Automated Valve

• At the well head / pad the truck driver keys in ID to allow water or condensate withdrawal

• Automated valve controls start and shut off to ensure the truck only collects what is required

Well head / pad location valve automation

Tracker reduces costly staff and provides complete transparency for your entire operation ::

Corporate Office ::510 South 600 EastSalt Lake City, Utah 84102

Contact Information ::Toll Free :: 1.866.582.8388www.purestreamtechnology.comsales@purestreamtechnology.com

Contact Purestream Technology to learn more about The Trilogy System

CWAG 2010

WATER LAW CONFERENCE

The Broadmoor Colorado Springs, Colorado

April 29 – 30, 2010