www.tervesinc.com 1

Engineered Response™ materials can help

drive efficiency and recovery in completions

Andrew Sherman, President, Terves Inc.

2www.tervesinc.com

Introduction

We Believe Materials Should Do More

Engineered Response

• Structural Materials

• React to External Stimuli

• Dissolve, Expand, Cement, React

• Based on “True Understanding” ofcontrolled oxidation/reaction chemistryof metals and other materials

Materials that respond to their environment to change state or perform additional functions- automatically

3www.tervesinc.com

TervAlloyTM

Tervalloy alloys dissolve in a controlled, reliable manner

• Brine

• Acid

• Freshwater

• CaBr/offshore

Can be overcast or infiltrated into tools (sand control

Pumpable versions in development

• Tracer/chemical release

• Ph control

• Flow diversion

Hot Brine

4www.tervesinc.com

Response CoatingsTM

Hot BrineResponse™ trigger coatings can be applied to chemicals, balls/parts,

or proppants via coating or microencapsulation processes

5www.tervesinc.com

LocPropTM

Hot Brine

6www.tervesinc.com

XPropTM

7www.tervesinc.com Private & Confidential. Not to be shared/distributed without written consent.

Z-MagTM Zero-Valent Magnesium

Effective Ph control and Removal of

• Chlorinated Organics

• Heavy metal compounds

• Chlorinated Non metal inorganic

In Seawater, Produced water, groundwater remediation and other Brines

Available in Powder, flake and in emulsions (in development)

8www.tervesinc.com Private & Confidential. Not to be shared/distributed without written consent.

Realization of The Potential

Response Engineered Magnesium

High strength Patent Pending alloys and composites can be engineered to DO more:

• Dissolve

• Expand

• Release

• React

• Delay

• Other?

Magnesium alloys are stronger and withstand higher temperatures than dissolvable polymers

Tervalloy is tougher (ductile, not brittle) compared to prior dissolving materials

Improve efficiency/cost in hydraulic fracturing operations by reducing the need for drill out and cleanup runs

Can be engineered into many devices and applications, from Ball Drop applications, replacement of shear components, to sand control devices and many more.

9www.tervesinc.com Private & Confidential. Not to be shared/distributed without written consent.

TervAlloyTM Dissolvable Metals

Proprietary casting process

Patent pending suite of magnesium based alloys and composites

• Engineered degradation rates in different fluids and temperatures

Proprietary heat treatments and patented coatings

High strength and ductility

• 35- 40ksi yield strength with 8% elongation typical, up to 16% experimental

Can be easily machined into complex parts using CNC

10www.tervesinc.com Private & Confidential. Not to be shared/distributed without written consent.

Field Applications TAx-100E Balls

Frac Ball Pressure Test, 3-in ball• 6,500 psi on 1/16-in seat

• >10,000 psi on 1/8-in seat

• >10,000 psi on ¼-in seat TervAlloy offers best cost

solution for large overlap (big ball) systems.

Outperforms other degradables in tensile or shear loaded applications.

11www.tervesinc.com Private & Confidential. Not to be shared/distributed without written consent.

Tremendous Possibilities

Engineered response materials enable the development of many new tools, devices, and procedures

Let Terves be your development partner for next-generation devices and applications