PETERS & CO. LIMITED

hollandmarigoldOil and Offshore

Nov 8, 2013 (3 years and 10 months ago)

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PETERS & CO. LIMITED
2011 NORTH AMERICAN
OIL & GAS CONFERENCE
September 13-15, 2011
Toronto, Ontario
TSX Listing : TCW
Trican Well Service Ltd.
2900, 645 - 7th Avenue SW
Calgary, Alberta T2P 4G8
Tel: (403) 266-0202
Fax: (403) 237-7716
Web: www.trican.ca
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FORWARD LOOKING STATEMENTS
This document contains statements that constitute forward-looking statements within the
meaning of applicable securities legislation. These forward-looking statements include,
among others, the Company’s prospects, expected revenues, expenses, profits, expected
developments and strategies for its operations, and other expectations, beliefs, plans, goals,
objectives, assumptions, information and statements about possible future events,
conditions, results of operations or performance. These forward-looking statements are
identified by their use of terms and phrases such as “anticipate,” “achieve”, “achievable,”
“believe,” “estimate,” “expect,” “intend”, “plan”, “planned”, and other similar terms and
phrases. Forward-looking statements are based on current expectations, estimates,
projections and assumptions that involve a number of risks and uncertainties, which could
cause actual results to differ materially from those anticipated. These risks and
uncertainties include: fluctuating prices for crude oil and natural gas; changes in drilling
activity; general global economic, political and business conditions; weather conditions;
regulatory changes; and availability of products, qualified personnel, manufacturing capacity
and raw materials. If any of these uncertainties materialize, or if assumptions are incorrect,
actual results may vary materially from those expected.
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52%
33%
15%
OVERVIEW OF TRICAN

Large, world-wide, full service
pressure pumping company

Major operating areas

Canada

USA

Russia and International

Recently entered Australian market

Purchased a small Australian
cementing and environmental services
company

Smaller operations in Kazakhstan and
Algeria

Signed a JV to start operations in
Saudi Arabia

REVENUE BY GEOGRAPHY
1
st
6 months 2011 Revenue - $956 million
* International includes Russia, Kazakhstan and Algeria

International*
USA
Canada
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STRENGTHS – FULL SERVICES
Service Line % of Revenue
Fracturing 77.1%
Cementing 11.4%
Coiled Tubing 4.2%
Nitrogen 3.8%
Acidizing & Specialty
Chemicals
2.2%
Industrial & Pipeline
Services
0.9%
Geological Services 0.3%
5
COMPETITIVE ADVANTAGES

Customer-focused provider of
technical solutions

Separate ourselves with technology

Product development is a quick,
customer-focused process

Strong regional technical teams that
understand the local market

Our people – service attitude

Operational excellence

Strong Balance Sheet
TECHNOLOGY IN TIGHT OIL PLAYS
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TIGHT OIL TECHNOLOGY

Tight Oil plays, in general, require a
higher level of technology

Technology varies by play

Large variation in geology from shales to
tight sandstones to tight carbonates

More difficult for oil to flow from tight rock
than gas

It all starts with the rock

Technology developed from understanding the rock

Trican purchased CBM Solutions in 2007

Worldwide tight reservoir geologists

Incremental technology changes introduced into all plays throughout the life
of a play

Always working to increase production and decrease costs

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TIGHT OIL TECHNOLOGY

High technology fracturing fluids

Nitrogen foams

CO
2
emulsions

Gelled hydrocarbons

Crosslinked waters

Acid on carbonates

Higher level of engineering

SRVmax
TM
Reservoir modelling

Less brute force and more engineered
treatments

Higher level of completion technology

Burst Port System

Sliding Sleeves
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TRICAN TECHNOLOGY

Trican focuses on separating itself with
technology

SRVmax
TM

Integrated technical solution

Combines geology, microseismic, frac
modelling and reservoir modelling

Want to assist customer in choosing horizontal
length, fracture size and number of fractures
to effectively produce reservoir

Acid demulsification technology that improves
acid performance in tight carbonates


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TRICAN TECHNOLOGY

BPS - Burst Port System

Patented tool technology for multi-zone
fracturing

Replaces perforating

Lowers cost and saves time

Limited to coiled tubing fracturing
applications

Very effective in medium depth oil plays

EcoClean Fluids

Environmentally friendly fracturing fluids

Completed over 800 jobs since 2006


IMPACT OF TIGHT OIL ON TRICAN
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TIGHT OIL GROWTH
Effect on Trican

Significant growth in fracturing, coiled
tubing

Large capital investment

Increase in technology plays to our
strengths

Reduces impact of gas price volatility

Balances revenue stream between oil
and gas

Reduces cyclicality of Canadian basin

Increased pad work improves second
quarters

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CANADA GROWTH - 2011

2011 Capital Program - $215 M

$129 Million expansion capital

62,500 HP additional frac
capacity – 4 crews

5 Cementing units

Acidizing and Nitrogen
equipment

321,000 HP by end of 2011

2012 Capex

92,500 HP

5 Cementing units

7 N
2
Pumpers

4 Acid Units

413,500 HP by end of 2012
* Anticipated HP at year-end based on approved
budgets, which are subject to change

0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
2007 2008 2009 2010 2011* 2012*
Canadian HP Growth
14
0
2
4
6
8
10
12
14
16
2007 2008 2009 2010 2011* 2012*
USA Cement & Coil Growth
Series1
Series2
USA GROWTH - 2011

2011 Capex: $360 Million

$296 Million expansion capital

Fracturing capacity after 2011
build: 570,000 HP – 5 crews

2012 Capex:

193,000 HP (6 crews)

16 Cement units

7 Coil units

9 N
2
units

10 Acid units
* Anticipated HP at year-end based on approved budgets, which are subject to change

0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
2007 2008 2009 2010 2011* 2012*
US HP Growth
Cement
Coil
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LONG TERM IMPACT

Significant growth in North America for
many years – extends the life of the
Western Canadian basin and many
US fields

Technology being looked at in many
areas of the world

Russia - completed horizontal
fracturing pilot project

Europe - tight and shale oil prospects

Shift to higher technology benefits
Trican

Significant growth in revenue and
operating profits due to equipment
expansion
PETERS & CO. LIMITED
2011 NORTH AMERICAN
OIL & GAS CONFERENCE
September 13-15, 2011
Toronto, Ontario
TSX Listing : TCW
Trican Well Service Ltd.
2900, 645 - 7th Avenue SW
Calgary, Alberta T2P 4G8
Tel: (403) 266-0202
Fax: (403) 237-7716
Web: www.trican.ca