3.20141014 Finanskonferanse Stavanger Badger

8/19/2019 3.20141014 Finanskonferanse Stavanger Badger

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The mission

• Badger Explorer is developing a rig-less exploration tool, based on an

idea from IRIS in Stavanger

• A large portion of the undiscovered oil and gas resources are expected

to be located in the Environmentally Sensitive Area. The cost of

exploring these areas has increased to a level where the oil and gas

companies now are turning down proposals to drill exploration wells.

• In, for example, an Arctic offshore setting, the Badger Explorer will be

able to deliver exploratory wells to a cost in the range of USD 15 – 20

million. Conventional wells might have a price in excess of USD 100

million.

• In addition, the Badger Explorer will not represent any environmental

exposure or threat.


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Technology

Rig-less exploration tool

- Autonomous drilling robot

- Logging formation data as the tool buries itself into the underground

- Environmentally friendly

- Large cost savings


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Badger Explorer - history

Early 2000, Idea about rig-less exploration tool

from IRIS…

2003:

Company Badger Explorer established

2005 – 2006:

Funded by oil companies, governmental fundingand private funding. 95 MNOK

2007:

Listed on Oslo Stock Exchange. 165 MNOK

2007 –

2014:Oil companies, Innovation Norway, Research

Council of Norway. 105 MNOK

ORIGINAL PATENT GRANTED IN 2003


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Badger Explorer – development programs

2003:

Original patent granted

2005 – 2011:

Prototype development

Concept studies, modeling and testing

Prototype tool

Public funding (Petromaks)

Supported by Statoil, Shell and ExxonMobil

2012 - 2014:

Demonstrator Program

Implementing solutions from previous program

Reliability engineering

Full scale tests

2015 – 2017:

Development Program

Aims to deliver a commercial tool


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Technical cooperation with range of companies


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Enabling technologies

Game changing technology and solutions

Need for new technologies

Patents important to protect concepts during development


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Two cases

Two cases where patents have played an important role:

Case 1:• Unique drill bit

• Patent allows Badger Explorer to investigate and

develop concept

• Discussions with partners and suppliers

Case 2:• Plasma drilling

• Badger Explorer acquires rights and IP to investigate

concept

www.zaptec.no


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Case 1: New drill bit concept

To enable drilling without external fluids, a novel bit design have

been developed –The self cleaning bit

Several patents are pending on the concept

Patent pending allowed discussion with bit specialist companies


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Case 1: New drill bit concept

The concept of the Self cleaning bit has evolved from sketches to full scale prototype

Successfully drilled to range of different formations

The patent process was started early to protect the technology

Q1-2013 Q3-2014

Patent process

started Q3-2013

X


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Case 2: Valueable IP – even if not used

University of

Strathclyde had aconcept for Plasma

Drilling.

Badger Explorer got

exclusive right to

use the technologyin oil & gas industry

Together with

Badger Explorer,Zenzor developed

unique technology,

which was patented

by Badger Explorer

Separate companyowning IP

established, Badger

Explorer Plasma

Drilling

R&D concluded that

Plasma Drilling wasnot feasible for

Badger Explorer.

The IP was sold to

ZAPTEC.


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New partner oil company - CNPC

China National Petroleum Company

(CNPC) latest partner for Badger Explorer

Patents and IP instrumental in securing

partnership

CNPC will use Badgers IP to develop a Badger Explorer tool

in China

Mutual exchange of technology and IP


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Way forward

Milestone 5 and 6 remaining

Full scale tests

Development Program (2015 – 2017) …commercial tool

Documents

3.20141014 Finanskonferanse Stavanger Badger