L-POD® GEN. 5 TECHNOLOGY

Best In-Class Patented Technologies:

Gen. 5 L-POD® system, completely automated, 53’ trailer mounted (Triple Axel Low Boy) for BS&W removal/cleaning crude oil to pipeline spec, with proprietary/patented Red Stag technology

• Client Benefits

- Mobile unit for easy transport & commissioning

- Latest generation of a proven technology

- Highest industry output (10,000 Barrels/Day)

- High efficiencies (time & cost savings)

Key Features of the Gen. 5 LPOD® include :

• Patented Horizontal Oil Heater Treater producing oil quality at or below 0.05 % BS&W

• Patented Plate & Frame Ultra-Efficient Electro-Static Heat Exchangers

• Non-blending & low shearing progressing cavity pumps fitted with variable frequency drives

• Dual LACT Units designed to determine inlet and outlet crude oil quality

• Automated electronic control system, for level and temperature control

• Self-generating fuel capabilities

• Remote control interface to all component parts

• Special alarm interconnect for auto-shutdown and diagnostics

GEN V L-POD® - Performance Enhancement:

• Larger 4” piping for greater throughput

• Integration of AI technology, continued optimization of the system

• Self-Managing software, monitors system for safety and performance

• Intelligent interconnect managing all functions of the system

• Remote connectivity/diagnostics—IoT

• State-of-the-Art control systems for pumps, valves, temperature alarms, auto-shutdown

GEN V L-POD® - OPERATING COSTS:

• The utility costs to operate an L-POD® Unit depend on the operating conditions.

• Operated at 100% capacity, the feed pump on each L-POD® Unit will consume 466 kW/day. The current value of one kilowatt/hour of electricity is $0.1389, so 466 kilowatts per day times $0.1389 = $64.72 worth of electricity each day.

• Operated at 100% capacity, the single burner on each L-POD® Unit will fire at full capacity. Each burner is rated for 1,250,000 BTU/hour. There are one million BTU’s in every 1,000 standard cubic feet of natural gas. Gas is normally sold in until of 1,000 standard cubic feet , often referred to as 1 MCF (where “M” stands for 1,000 and “CF” stands for cubic feet). One MCF of natural gas has a current value of $4.61. So, each burner consumes 1.25 MCF per hour, or 30 MCF/day. At $4.61/MCF, 30 MCF/D will cost $138.30 each day.

• Adding the two maximum utility costs together, we get a total maximum utility operating cost of $64.72 plus $138.30, or $203.02/day.

• At today’s oil recently reduced value of $67.60 per barrel, and using the maximum L-POD® throughput of 11,000 BOPD, each day the L-POD® operates it will process $743,600 worth of oil at a maximum cost of only $203.02, which equates to a processing cost of only $0.000273/barrel.

• Assuming a three year capitalization on the purchase on one L-POD® Unit, the total capital plus operating cost of an L-POD® Unit is $1,823.39/day when processing 11,000 BOPD, for a cost per barrel of only 16.58 cents per barrel.

GEN V L-POD® - Summary:

• Integrated state-of-the-art digital technology

• Out-performs competition by a factor of 3

• Mobil unit for ease of commissioning

• Proven technology