Newpoint's efforts have focused in Colorado working with producers to capture and eliminate methane emissions. The technologies introduced also transport and monetize flare gas. Zero Flare - Zero Emission - Oil and Gas Production. Attached is the presentation we made to the COGCC in January 2018.

1. Well Site of the Future
Zero Emissions

2. Typical Well Site Designs
Design Philosophy
Oil is king
Gas is abandoned
Emissions
Not considered
Trapped in the 1960’s

3. Trapped in the 2018?
Not much changed

4. Overview
Facility designed and constructed by principles of
Newpoint Gas, LLC.

5. All Process Emissions are incorrectly
assumed to be 100% methane and
average 1050 BTU
Process Emissions contain ethane,
propane, butane, pentane, etc.
averaging over 2000 BTU or more
Captured emissions increase oil
production and add revenues from
NGL’s and methane in
Faulty Reasoning Leads to Faulty Designs

6. Define Emissions
Fugitive Emissions cannot be predicted. These gases
or vapors are emitted from pressurized equipment due
to leaks and other unintended or irregular releases.
Process Emissions are predictable. These gases or vapors
from pressurized equipment that are the result of the design
and intended operation of the equipment.

7. Environmental Defense Fund (EDF)
“We flew over 8,000 oil and gas wells.
Here's what we found.”
Aliso Canyon – Fugitive Emission
Atmospheric Hydrocarbon Storage
Tanks – Process Emission
Define Emissions

8. Flash gas is known to be a major by-product of oil and natural gas
production by those in the industry which is the result of lighter, more
volatile, hydrocarbons coming out of the liquid due to a decrease in
pressure or an increase in temperature. Process Emission
Tank Vapors are Flash Gas
Vapor Recovery Units (VRU) don’t solve the problem
NGL’s are a problem but also a revenue source
Flash Gas

9. Power of Process Simulators
Blank Slate Design
A Reactionary Approach to catch
clouds of hydrocarbon vapors.
Capture before they occur.
Interactions of hydrocarbons at
various pressures and temperatures
can be predicted.
Optimize in advance.
Zero Emission Oil & Gas Production

10. “You can't manage what you don't measure
- Peter Drucker
Mass Balance, is an application of
conservation of mass to the analysis of
physical systems. By accounting for material
entering and leaving a system, mass flows
can be identified which might have been
unknown, difficult to measure, or even lost.
Measurement

11. The Well Site of the Future
No Process Emissions (CFU) – No Flare Gas (DPNG™)
Compact Fractionation Units (CFU) process
incoming liquid hydrocarbons into 3 profit
generating sources (Oil, Y-Grade NGL, & Gas).
The CFU also eliminates the need for a VRU and
guarantees the oil meets RVP specs.
DPNG™ captures flare gas and transports the
gas at high pressure. This raw high BTU gas
stream eliminates the flare and pre-processing
and profitably monetizes the natural gas plus
any NGL’s contained in the gas stream.

12. The Well Site of the Future
Addressing Process Emissions – Compact Fractionation Units (CFU)

13. The Well Site of the Future
Existing Technology – Industrial Fractionation is over 100 yrs. old
Colorado
La Plata County
2007 2017

14. Addressing Fugitive Emissions
Reduce flanged/threaded connections
Cover connections with indicating covers
FLIR Cameras etc.
Zero Emissions
The Well Site of the Future

15. Dense Phase Natural Gas (DPNG)
15
• DPNG has the better
attributes of both liquids
and gases providing
benefits in transportation.
• Dense Phase Natural Gas (DPNG) - The dense phase has a viscosity similar
to that of a gas, but a density closer to that of a liquid.
– Viscosity - a property defined as a liquid’s resistance to flow.
– Density- the state or quality of being dense; compactness; closely set or
crowded.

16. DPNG vs LNG
LNG
DPNG
• Gas Density:
– Determined by pressure and temperature
– Maximum Density ≠ Maximum Economics
• Compression vs Liquefaction:
– High BTU DPNG / Low BTU LNG
– Less Pre-Treatment / Less Energy
– Compression – Simple
– Liquefaction - Complex
– Proven Offshore / Costs Less
• Typical storage conditions:
– LNG: Ambient pressure, -162 °C
– DPNG: 250 bar, Ambient temperature

17. LNG Pre-Treatment

18. DPNG Pre-Treatment
DPNG