Oando Energy Services Brochure

The Supplier of Choice for products and

services in the Upstream Oil & Gas Industry

To be the preferred value-adding

Integrated Oil Field Services Provider

to the Sub-Saharan Upstream Oil Sector

Oando Energy Services Limited (OESL) is a leading indigenous energy services company that offers high quality oilfield services to E&P companies operating in Nigeria by deploying a suite of best practices, innovative technology, safety procedures, high quality support and environmentally sound well site operations, which increases efficiency, lowers operating costs and enhances asset value for its clients.

OESL commenced operations over 14 years ago but re-tooled to its current business outlook in 2005 when its services were structured along three major offerings namely:

Drilling and Completion Fluids Services Drill Bits and Engineering Services Drilling Rigs

This enterprise refocusing was boosted through partnerships with leading global companies leading to its emergence as the oilfield services company of choice in its markets.

In 2004, the company entered into a technical alliance with Halliburton's Baroid for the Drilling Fluids. This partnership enabled OESL to deliver supply chain services to world class work program like the Erha and Agbami Field Development Projects. OESL subsequently signed a Consignment Sales Distributor Agreement with Halliburton's Drill Bit and Services division for the provision of Drill Bits.

In furtherance of its strategic growth plan, OESL commenced its third service line in 2007 when it acquired two swamp drilling rigs for US$100million. It later added three swamp rigs to become the largest swamp rigs operator in Nigeria with five rigs. Some of these swamp rigs are currently drilling for major International Oil Companies.

OESL is currently developing a 26,000sqm land asset to warehouse all its services and create a one stop location for its service offerings.

•••

Products and Services

OESL has been investing in the expansion of its Drilling & Completion Fluids Management business since 2005. Today, the turnaround in the business is evident as OESL is now a leading indigenous fluids management company in Nigeria engaged by major international oil companies such as Shell Nigeria Exploration and Production Company Limited (SNEPCO), Mobil Producing Nigeria Unlimited, Nigerian Agip Oil Company (NAOC), Chevron Nigeria Limited and Star Deep Water Petroleum Limited.

The alliance with Baker Hughes Drilling Fluids Division, gives the company direct access to latest best practices through research and development, specialized chemicals and “knowledge banks” to demonstrate high level of competence in the provision of fluids services. The company has commenced the construction of a world-class mud facility at Onne which will have the capacity to store 18,000bbls of Completions Brine, Oil Base Mud, Water Base Mud and 8,500 bbls of Base Oil.

Drilling & Completion Fluids Management

OESL has being offering drill bits services to the Nigerian upstream industry since 2005. Its customized solutions enable clients to deliver their wells on time and within budget. OESL seasoned application specialists are trained to identify fit-for-purpose solutions, assist clients to achieve a high Rate of Penetration (ROP), optimum abrasion resistance, and a longer life cycle.

As the sole distributor of Halliburton bits in Nigeria, OESL has successfully won contracts withnumerous international operating companies including Shell Petroleum Development Company of Nigeria Limited (SPDC), BG Exploration and Production Nigeria Limited, Addax Petroleum Development (Nigeria) Limited, Esso Exploration and Production Nigeria Limited, Nigerian Agip Oil Company (NAOC), Shell Nigeria Exploration and Production Company Limited (SNEPCO) and Total Exploration and Production Nigeria limited.

In 2008, OESL made a strategic decision to expand its drill bits services to include the provision of drilling systems. The service which will include the provision of Directional Drilling, Measurement While Drilling (MWD) and Logging While Drilling (LWD) applications is set to commence in 2010.

Drill Bits Engineering Services & Drilling Systems

Alliances

Baker Hughes Company Limited

Halliburton Energy Services Inc.

Axxis Drilling Inc.

CPD

• • • •

The rig formerly called Searex XII and operated by Transocean is a 3000HP swamp drilling

barge equipped with 10,000 psi BOP systems. It has IDECO built mast and substructure with

rated static hookload capacity of 1.5M lbs and capable of drilling up to 25,000 ft deep wells.

The rig is equipped with three model 645E8 EMD diesel engines, two model T-1600 IDECO

mud pump, three Derrick Linear Motion Shakers, two Hi-G- dryers, and Varco TDS-3 Top Drive.

Furthermore, Searex XII has newly furnished accommodation with bed space for 98 people,

2 recreation rooms, senior and junior mess and a gymnasium.

OES Teamwork

The rigs business is managed by an experienced team of experts who have had prior work experience with reputable global drilling companies. Axxis Drilling Inc. and CPD of Singapore provides spares and equipment as well as maintenance of the rigs for OESL.

OESL commenced its drilling rigs service in 2007 following the acquisition of two swamp rigs by Oando. Today, we have invested over US $250 million in the acquisition of five Swamp Drilling Rigs namely Teamwork, Respect, Integrity, Passion and Professionalism, making OESL Nigeria's largest swamp drilling company. The company has various contracts ongoing with major internationalcompanies including a US$150million rig contract for a Joint Venture of NNPC/NAOC.

04

OES Teamwork

05

OES Respect

OES Respect

The rig formerly called Searex VI and operated by Transocean is a 3000HP swamp barge

equipped with 10,000psi BOP systems. It has Pyramid built mast and substructure with static

hookload rating of 1.5M lbs and capable of drilling up to 25,000 ft deep wells. The rig is

equipped with four model CATD399 Caterpillar diesel engines, two model A-1700PT OILWELL

mud pumps, three RIGTECH VSM 300 Shakers and model TDS 3H Varco Top Drive.

OES Integrity

OES Integrity

OES Integrity is a 3000HP modern swamp barge equipped with 15,000 psi BOP systems.

The rig formerly called Constitution and owned by Axxis Drilling has Derrick built mast and

substructure with static hookload rating of 1.5M lbs and capable of drilling up to 30,000 ft

deep wells. Constitution is highly recommended for drilling exploration, appraisal, HPHT

and challenging development wells. The drawworks system is joystick operated with

strategically located monitors for easy coordination of operations. The rig also has four

Caterpillar model 3516 diesel engines, three model F1600 Oilwell mud pumps, three new

generation Derrick model FL-513 HI-G force shale shakers, Canrig model 1275 Top Drive

and other state of the art rig equipment.

OES Passion

OES Passion

The rig formerly called Parker 75

Limited, it is a 3000HP cantilever swamp barge equipped with a 10,000 psi BOP System.

The Cantilever functionality of this rig enables the rig drill multiple well slots while remaining at

the same client location. The drilling unit has a static hookload rating of 1.5M lbs and capable

of drilling up to 25,000ft. The drawwork is an Oilwell DE3000 system. Other equipment installed

on the rig include three 16-645/EMD engines and three PZ 11 mud pumps.

was owned by Shell Petroleum Development Company

OES Professionalism

The rig formerly called Parker 73

with a 10,000 psi BOP System. Equipped with a Pyramid mast and substructure with static hookload

rating of 2.0M lbs, the rig is capable of drilling up to 21,762ft. The rig has an Ideco E3000 drawwork

system, three 16-645-E8/EMD engines and three PZ 11 mud pumps.

was also acquired from SPDC, it is a 3000HP swamp barge equipped

OES Professionalism

Rigs SpecificationTeamwork Respect Integrity Professionalism Passion

Length of Hull Overall (ft)Breadth of Hull Overall (ft)Min/Max Operating Water Depth (ft)Rated Drilling Depth (ft)Accommodation (No. of people)

Manufacturer ModelCapacity (lbs)

Manufacturer ModelCapacity (lbs.)

Make/TypeRated Capacity (Ton)No. of SheavesSheave Diameter (inch)Sheave Grooved for Line Size (inch)

Manufacturer / ModelMax Opening (inch)Rated Capacity (Ton)Output Power (HP)Max, Continuous Torque (ft/lbs)

QuantityManufacturer ModelMax Continous Power (HP)

Ram Type Preventers (Manufacturere)Quantity (Single/ Double)Size (inch)Working Pressure (psi)

Bag Type Preventers (Manufacturere)Size (inch)QuantityWorking Pressure (psi)

Mast

Substructure

Crown Block

Rotary table

Diesel Engines

Blow Out Preventers (Ram)

Blow Out Preventers (Annular)

209.5

70

10/25'

25,000

98

DrecoDreco

1,500,000

DrecoDreco

1,500,000

Dreco750

7 + 160

1 1/2

Ideco37-1/2

700750

28,800

3EMD

645 E81573 each

Cameron

1 each

13-5/8 each10,000

Hydril

13-5/8 1

5,000

Main Dimensions

209.5

72

10/21'

25,000

100

PyramidPyramid

2,000,000

PyramidPyramid

1,500,000

Pyramid/CB 750750

7 + 160

1 1/2

Oilwell37-1/2

590900 (Cont), 1000

(Intermittent)20,000

4CAT

D3991250 each

Cameron

1 each

13-5/8 each10,000

Shaffer

13-5/8 1

10,000

220

70

7.5/22'

30,000

106

Superior DerricksSuperior Derricks

2,000,000

PrometPromet

2,000,000

Superior750

7 + 160

1 1/2

B37537-1/2

535800

12,200

4CAT

35161983 each

Shaffer

2/1

13-5/8 each15,000

Shaffer

13-5/8 1

10,000

214.5

72

10/25'

21,762

90

PyramidJacknife

1,555,000

PyramidPyramid

2,000,000

Continental EMSCO

5007+1

601

Ideco37-1/2

590800

20,000

3EMD

16-645-E81950 each

Cameron

1 each

13-5/8 each10,000

Shaffer

13-5/8 1

5,000

240

70

10/16

25,000

82

Superior DerricksJacknife

1,500,000

OBIOBI

2,100,000

Lee C Moore750

7 + 160

1 5/8

Cont-Emsco37-1/2

750800

20,000

3EMD

16-645-E82200 each

Shaffer

2/1

13-5/8 each10,000

Hydril

13-5/8 1

5,000

Teamwork Respect Integrity Professionalism Passion

Manufacturer Model

QuantityCombined Flowrate (gpm)

Active Liquid Mud (bbls)Reserve Liquid Mud (bbls)Drilling Water (bbls)Fuel (bbls)Bulk Bentonite/ Barie (ft3)

Manufacturer ModelInput Power Continuous (HP)Input Power Maximum (HP)Drum Diameter (inch)Maximum Line Pull 14 Lines (lbs)

Manufacturer ModelRated Capacity (Tons)No. of SheavesSheave Diameter (inch)Sheave Grooved for Line Size (inch)

Manufacturer ModelQuantityPressure rating (psi)

Brandt Desander (gpm)Brandt Desilter (gpm)

Storage Capacities

Draw works

Traveling Block

Mud Pump(s)

Other SCE

Derrick FLC2 x Flo-line+ 1 X FLC 513

31,200

901

1,252

5,9051,9685,100

IdecoE30002,400

3,000 (max)

361,373,500

Gardener Denver550550

760

1 ½

Ideco

T-16002

5,000

1,2001,000

RigtechVSM300

31,200

900

1,330

4,6601,5104,480

IdecoE30002,000

3,000 (max)

361,373,500

PyramidPyramid

7507

601 ½

Oilwell

A-1700PT2

5,000

1,2001,000

DerrickFLC513

31,500

618

2,460

2,5151,5254,800

TSM3000TSM3000

3,000

3,000 (max)

361,500,000

American BlockB60G750

7507

601 1/2

Sichuan Hinghua Equip

HHF-16003

7,500

1,2001,200

DerrickFlo-line

31,200

1,575

1,575

2,9292,9295,100

IdecoE30003,000

3,000 (max)

421,308,000

IdecoTP 750

7507

601 1/2

Gardner Denver

PZ 113

5,000

1,200500

Derrick

2E48-120F-4TA

41,200

1,247

1,335

10,3252,5003,280

NationalDE-3000

2,400

3,000 (max)

361,420,000

Cont-EmscoRA-60-7-750TB

750 ton 7

601 5/8

Gardner Denver

PZ 113

7,500

1,5001,200

Linear Motion Shale Shakers

16