Exhibit B - Directional Drilling for 3 Gas Wells.doc

Contract No. Exhibit B – Scope of Services

EXHIBIT BScope of Services

___________________________________________________________________________________________________________________________October 2010


EXHIBIT "B"

SPECIAL TERM AND CONDITION1.0 GENERAL SCOPE OF WORK

1.1 CONTRACTOR is to provide directional drilling services for supporting the COMPANY POD Drilling Operation located in Kabupaten Siak – Riau.

1.2 It is COMPANY's intent to utilize CONTRACTOR's equipment and service personnel as detailed in this exhibit to perform the services hereunder.

1.3 A rig site work will be based on 24 hours per day continuous operation and CONTRACTOR will perform the said services as directed by COMPANY. There will not be any additional charges to COMPANY for overtime.

1.4 CONTRACTOR must submit past experience in Directional Drilling work in the last 3 years in Indonesia and or South East Asia with list of wells, location, year and customers. Experience in HTHP well drilling is preferable. CONTRACTOR is advised that the following specifications should only be regarded as COMPANY’s best estimate of minimum equipment, material, services and/or personnel needed to meet its service requirements as specified in this Scope of Work.CONTRACTOR to submit failure statistic (MTBF) for mud motor and MWD and/or EM (preferable in HTHP wells) in circulating hours for the last 3 years.

1.5 COMPANY anticipates the following requirements for the provision of the Services in support of the work described herein. The cost of providing these items shall be included in the rates quoted in Exhibit C.

1.6 CONTRACTOR shall ensure that it contacts COMPANY Representative to establish which COMPANY procedures apply to the Work and to obtain an up-to-date copy of such procedures prior to commencement. It shall be CONTRACTOR’s responsibility to thereafter ensure that the Work is, at all times, performed and any items provided by CONTRACTOR are in accordance with COMPANY procedures, specifications and statutory requirements.

1.7 At COMPANY’s sole option, CONTRACTOR is required to propose its own current Oil and Gas drilling procedure and document where it used currently or specifications for COMPANY’s approval and, once approved, adhere to them for the term of the contract.

1.8 CONTRACTOR shall provide Directional Drilling (DD)/ Measurement While Drilling (MWD) Services on COMPANY owned/operated drilling rigs for the term of the Contract as and when directed by the COMPANY Representative.

1.9 CONTRACTOR must possesses the necessary skills, equipment, competent personnel and organization to perform the Work in a manner satisfactory to COMPANY.

1.10 CONTRACTOR personnel shall discuss with COMPANY representative regarding planning of BHA design and directional program.

1.11 CONTRACTOR shall at its own cost supply personnel protective clothing to CONTRACTOR’s assigned personnel to meet all current or future relevant regulations for onshore work.

1.12 CONTRACTOR shall be responsible for the coordinating, planning and supervision of all activities relating to Directional Drilling and MWD/EM. This is including scheduling, maintenance program for directional tools, e.g. drilling jar, if necessary.

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1.13 CONTRACTOR is required to have operation base in Jakarta to support drilling operation that consists of Offices, Labs, R&M for full maintenance.

2.0 TERM The Contract period is to cover of COMPANY’s drilling program of 3 gas wells.

The estimated duration of the drilling program is 8 (eight) months such estimated duration shall not be deemed to imply any contractual commitment by COMPANY.

In the event that operations on the “Scope of Work” are not completed within 8 (eight) months, the Contract shall continue in effect until completion of operations on the “Scope of Work”. In this case the Total Estimated Contract Value shall be increased on a day by day basis for such period that the actual days exceed 8 (eight) months.

3.0 DRILLING PARAMETER

3.1 Approximate Design of the well:

Gas Wells (4 wells)1. RM-3A Twin

HoleSize

Casing Depth,m-MDGL

Bit Type MudType

Flow Rate gpm

DirectionalType

Survey Type

Piled 30” 6026” 20” 504 Insert Water 1200 Vertical Vert. Sub17.5” 13.375” 1504 Insert HPWBM 1000 Vertical Vert. Sub12.25” 9.625” 2454 PDC HPWBM 900 Vertical Vert. Sub8.5” 7” 2904 PDC HPWBM 600 Vertical Vert. Sub

2. BSR-DHole Size

Casing Depth, m-MDGL

Bit Type MudType

Flow Rate gpm

DirectionalType

Survey Type

Piled 30” 6026” 20” 504 Insert Water 1200 Vertical MWD17.5” 13.375” 1504 Insert HPWBM 1000 Build MWD12.25” 9.625” 2454 PDC HPWBM 900 Tangent MWD8.5” 7” 2904 PDC HPWBM 600 Drop MWD

3. BSR-CHole Size

Casing Depth, m-MDGL

Bit Type MudType

Flow Rate gpm

DirectionalType

Survey Type

Piled 30” 6026” 20” 504 Insert Water 1200 Vertical MWD17.5” 13.375” 1504 Insert HPWBM 1000 Build MWD12.25” 9.625” 2454 PDC HPWBM 900 Tangent MWD8.5” 7” 2904 PDC HPWBM 600 Drop MWD

Notes: The well will be drilled in vertical and directional with inclination range 20 – 33 degrees. The casing depths, directional type and well design are estimates only and may be revised by

COMPANY during well design phase and drilling operation.

3.2 Anticipated Maximum Temperature, Bottom Hole Pressure (BHP), H2S:BHST: 347 deg F or 175 deg C maximum. Flowing In at surface: 71 deg C without cooling, 68 deg C with cooling (est’d).BHP for Oil well (2504 m): 9.2 ppg and possible to be as high as 9.8 ppgBHP for Gas well (2904 m): 12.5 ppg and possible to be as high as 13.3 ppg



H2S: The presence of low content H2S is anticipated. Flashing signal is to be set at 5 ppm and alarm to be set at 10 ppm for personnel evacuation.

4.0 MOBILIZATION AND DEMOBILIZATION

CONTRACTOR shall be responsible for mobilization and delivery of all equipment material and spares to COMPANY’s delivery / departure point in Indonesia. CONTRACTOR will provide all paperwork required by COMPANY/SI/Customs to import the equipment to Indonesia (if required). COMPANY will not responsible for any cost associated with the shipping, docking, loading and handling/transportation of equipment and materials supplied under this contract. COMPANY will not be liable for any demurrage or other charges incurred by CONTRACTOR during delivery.

4.1 Company BaseCompany Office Base: JakartaCompany Field Base: SP Field, Siak, RiauMaterial and Equipment Point of Delivery: Company Rig SitePersonnel Mobilization Point: Rig Site

4.2 Contractor BaseContractor Office Base: JakartaContractor material and Equipment Base: Jakarta

CONTRACTOR shall participate in pre-mobilization and pre-demobilization meetings as requested by COMPANY, with the objective of developing mutually agreeable, safe, and logistically sound plans which have minimal or no impact on the local community and the environment.

All equipment and material to be adequately crated and/or palletized as necessary for the save handling from CONTRACTOR’s source of supply to Work Site. All costs associated with packaging, bulking, and handling are to be included in the unit price of the items quoted. COMPANY will not pay any additional costs.

The equipment will be delivered to Work Site, by the CONTRACTOR within 1 (one) week of receiving formal notice from COMPANY.

5.0 TRANSPORTATION

5.1 Loading and transportation of CONTRACTOR’s Goods from CONTRACTOR’s stock points to COMPANY Filed base is CONTRACTOR’s responsibility. COMPANY will support the off loading of equipment and material purchase at COMPANY supply base.

COMPANY will arrange adequate transportation and all related equipment for the transportation of CONTRACTOR’s equipment and material purchase at COMPANY supply base to COMPANY well site. All cost related to this services will be COMPANY’s responsibility.

5.2 COMPANY maintains transport as deemed necessary to support their operation, which will operate between rig location and COMPANY’s Field base. These transports operate at no cost to CONTRACTOR.

5.3 Adequate weather protection of Goods during transportation is the responsibility of CONTRACTOR and to CONTRACTOR’s account.

5.4 Transportation of CONTRACTOR’s Goods between wells is to COMPANY’s account. Other transportation except stated otherwise here in to CONTRACTOR’s account.

5.5 CONTRACTOR shall provide for transportation of personnel from CONTRACTOR base to Pekanbaru airport. COMPANY shall provide transportation for CONTRACTOR’s personnel from Pekanbaru airport to rig location.



6.0 CONTRACTOR’s RESPONSIBILITIES

6.1 CONTRACTOR shall be responsible for all maintenance (planned or otherwise), spares, and replacement parts for all equipment supplied by CONTRACTOR.

6.2 CONTRACTOR shall be responsible for the provision of fully certified equipment and all recertification to maintain all equipment with continuous valid certification in accordance with the requirements of the certifying authority for the drilling rig unit.

6.3 CONTRACTOR shall be responsible for suitably certified shipping baskets, containers and slings for safe transport of equipment together with all appropriate lift subs.

6.4 CONTRACTOR shall be responsible for the manifesting and prompt return of its equipment from the onshore locations. Items not accounted for or left on the location shall be to CONTRACTOR’s account. CONTRACTOR and COMPANY shall communicate and co-operate over forthcoming, current and completed equipment requirements.

6.5 CONTRACTOR shall be responsible for properly calibrating its equipment to ensure accuracy of tool operation, with due regard to the expected well conditions.

6.6 CONTRACTOR shall responsible and perform QA checks on all surveys, and compile definitive survey listings for the entire well bore trajectory. The definitive survey shall be available both as a paper copy and on a disk to the format specified by COMPANY.

6.7 CONTRACTOR shall submit a monthly contract expenditure status statement to the COMPANY Representative. This statement will show initial Total Contract Value, invoices submitted to date and the Remaining Contract Value. CONTRACTOR must alert COMPANY If Contract Value or Contract Duration is close to being reached.

6.8 Manual and Drawing CONTRACTOR shall provide 1 (one) complete unbound operating manual and drawing in addition to manuals submitted with this document. Not mandatory.

6.9 Supporting Services6.9.1 Provision of comprehensive survey data processing and well planning facilities in

Jakarta to provide field survey data analysis, optimum slot/target allocation, interference plots, structure views etc.

6.9.2 Provision of individual well plans and proposals, and post well reports/analysis. Normally, 3 copies will be required.

6.9.3 The CONTRACTOR must have its own established repair and maintenance base with an existing stock of tools in Jakarta, preferable in Pekanbaru or Duri. A proven track record of supporting operation from this facilities is required. Minimum repair and maintenance equipment: High Temp Testing Oven, MWD lab test, HTHP soldering Facilities, Break Out Machine, Jar tester and other support tools.

6.10 CONTRACTOR shall provide daily, monthly and final well report:

Daily ReportingA daily update report will be required on a midnight-to-midnight basis, and will include the following data:

(a) Meter drilled.(b) Tools run(c) Bit and BHA details(d) Rotating hours(e) Circulating hours/Running hours(f) Cumulative Motor/turbine hours. If motor failed, include total hours to failure and

details of failure.(g) Any failures, including reasons and attempted solutions.



(h) MWD log at 1:200 and/or 1:500 MD scale, covering the section drilled during the twenty-four (24) hour period with at least fifteen (15) meter overlap with the previously drilled section, where possible.

(i) Tabulated deviation survey data, including depth, inclination, azimuth, and calculated TVD.

(j) Operations summary.

Monthly ReportingA monthly report will be required to be submitted by the tenth (10th) day of each Calendar Month. The report shall include a summary of details as per daily reports, details of equipment operability, problems and repairs carried out.

Final Well Report Three (3) copies of all volumes of the "Final Well Report", including logs, floppy disks,

and well critique will be submitted to COMPANY within 10 days of the completion of the Well.

The final well report should include printouts of all surveys taken identified by instrument type and date/run number. All tie-in points must be defined. The definitive survey is to be presented as a data printout with all survey stations and tie in points identified by instrument type and date/run number and also as a graphical plot showing actual well path (vertical section and plan view) versus the proposed well plan. BHA details are to include the length, OD and ID of each component and the BHA performance data (build/turn rates etc.).

A detailed operational summary including recommendations and explanations of pertinent operations should also be included. COMPANY reserves the right to define and/or alter the format and contents of the Final Well Report, within reason, at any time.

7.0 IMPORT OR EXPORT TAXESCOMPANY will not responsible for any import or export taxes and/or levies or custom duties for material and equipment necessary to CONTRACTOR to provide the services as outlined in this Contract. Any other charges not outlined above but associated with providing the said equipment will be for the sole account of CONTRACTOR.

8.0 EQUIPMENT AND SERVICES

8.1 Contractor shall be capable of providing all Services and Equipment, as listed below, in order to be considered for the Contract award. If any third party equipment is to be utilized in the provision of these services, this equipment or service must be clearly identified.

8.2 The description of Mud Motor equipment needed by Company is given below. All the equipment should be new or like new condition. The list of equipment below for each hole section is what Company deems to be the minimum number of mud motors necessary to make one rig set for that hole section.

No Specifications CONTRACTOR’s Specification

1 8” OD Steerable Mud Motor, c/w adjustable bent housing, 900-1000 gpm, 132 RPM, 2-6 klb/ft torque, <3 deg/100 ft build rate, 40 lb/bbl medium size LCM., temperature 190 deg F. Equipped with Sleeve Stabilizer with hard facing HF2000




2 6-1/2” – 7-1/4” OD Steerable Mud Motor, c/w adjustable bent housing, 550-750 gpm, high torque: >10 klb/ft, 5 lb/bbl fine size LCM, temperature 320 deg F. Equipped with Sleeve Stabilizer with hard facing HF3000 or HF4000

8.3 MWD systems could be Pulse System or EM with back up. Contractor is to propose the systems to be utilized.

8.4 CONTRACTOR shall have Computer systems that are capable of dealing with all aspects of multi-well development pre-planning, well planning and daily operational support, including generation of well trajectory plots, spider plots, traveling cylinder plots and anti-collision minimum separation information. The systems shall be capable of providing definitive survey listings and concise end of well reviews, BHA design/modeling, BHA directional performance prediction, torque and drag modeling, side wall contact force calculations, and casing wear modeling calculations.

8.5 CONTRACTOR shall provide for each well a detailed table showing maximum permitted doglegs at given depths, which equate to the maximum allowable sidewall contact forces as specified by Company.

8.6 CONTRACTOR shall provide Well-site Computer systems that shall be capable of borehole survey calculations, forward well path projection, anti-collision monitoring and BHA performance input into an information database.

8.7 The description of Measurement While Drilling equipment required by Company is given below. All the equipment should be new or in new condition. The list of equipment below for each hole section is what Company deems to be the minimum number of tools necessary to make one rig set for that hole section.

No Specification CONTRACTOR’s Specification1 Set of rig floor surface equipment including

surface recording unit of modem design with suitable monitoring, recording and display facilities (MWD and drilling mechanics data), and including all cables, crossover hydraulic line, power transformer adapter, etc.

28” OD or equivalent MWD tools to be used in 17- 1/2” and 12-1/4” hole sections. The MWD system is required to meet the following: pump rate up to 1000 GPM, min 0.75 bit/sec data rate, LCM: fine to medium size, 40 lb/bbl, connection 6-5/8” API Regular (NC-50), operating temperature rated 150°-175 C (static).

3 6-3/4” OD or equivalent MWD tools to be used in 8-1/2” and 12-1/4” hole sections. The MWD system is required to meet the following: pump rate up to 550-750 GPM,



min 0.75 bit/sec data rate, LCM : fine size, 40 lb/bbl, connection 4-1/2” API IF, operating temperature rated 150°-175 C (static).

8.8 The equipment must be designed to operate correctly in wells of inclination up to 40 degrees and depths of up to 10,000 feet-MD, with operating temperature 347F (175 C).

8.9 CONTRACTOR must provide a surface recording system capable of depth matching and well site interpretation computation.

8.10 The MWD equipment must be capable of providing information regarding downhole vibrations to allow decisions to be made real time, regarding operating parameters, to minimize destructive vibrations and be suitable for all downhole conditions encountered

8.11 Where non-magnetic collars are not used and raw data is transmitted to surface, the Contractor shall provide proof that their magnetic correction model is fit for purpose in the particular application.

8.12 Contractor’s tools must be capable of being downloaded and read on deck, so as no communications are required whilst tools are suspended from the top drive.

COMPANY Requirement CONTRACTOR’s SpecificationTool Set Up Update Rate Tool set upTool Face (TF) only 8 seconds Tool Face (TF) onlyTF/PWD 22 seconds TF/PWD

8.13 CONTRACTOR’s equipment shall be expected to operate to accuracy levels stated by the CONTRACTOR in Contractor produced publicity information or as previously published

8.14 CONTRACTOR shall be capable of providing all the auxiliary Equipment, as listed in Table below, in order to be considered for the Contract award. If any third party equipment is to be utilized in the provision of these services, this equipment or service must be clearly identified.

8.15 All down-hole equipment is to be bored back and stress relieved. DS-1 Category 3 as a minimum requirement of all the BHA unless otherwise agreed by Company

5.15.1 Non Magnetic Drill Collars (NMDC)


1 8” by 10’ Pony NMDC, Connection 6-5/8” Reg. box up x 6 5/8” Reg. pin down

2 6-1/2” by 10’ Pony NMDC, Connection 4-1/2”IF up x 4-1/2” IF pin down.

3 8” by 30’ NMDC, Connection 6-5/8 Reg. box up x 6- 5/8 Reg. pin down.

4 6-1/2” by 30’ NMDC, Connection 4-1/2” IF box up x 4-1/2” IF pin down.

5.15.2 Integral Blades Stabilizers


2 26” IB STRING stabilizer, Spiral or donut blade type, with 9-1/2” nominal OD bodies bored for float, Connection 7-5/8” Reg, hard facing HF1000 or better.

3 17-1/2” IB NB stabilizer, Spiral or donut




blade type, with 8” nominal OD bodies bored for float, Connection 6-5/8” Reg. box up x 6-5/8” Reg. box down, hard facing HF2000 or better.

4 15” - 17-1/2” IB stabilizer, Spiral or donut blade type, with 8” nominal OD bodies, Connection 6-5/8” Reg. box up x 6-5/8” Reg. pin down, hard facing HF2000 or better.

5 12-1/4” IBNB stabilizer, Spiral or donut blade type, with 8” nominal OD bodies bored for float, Connection 6-5/8” Reg. box up x 6-5/8” Reg. box down, hard facing HF3000 or better.

611” - 12-1/4” IB stabilizer, Spiral or donut blade type, with 8” nominal OD bodies, Connection 6-5/8” Reg. box up x 6-5/8” Reg. pin down, hard facing HF3000 or better.

7 8-1/2” IB NB stabilizer, Spiral or donut blade type, with 6-1/2” nominal OD bodies, Connection 4-1/2” IF box up x 4-1/2” IF box down (NC 46), hard facing HF3000 or better.

8 7.5” - 8-1/2” IB stabilizer, Spiral or donut blade type, with 6-1/2” nominal OD bodies, Connection 4-1/2” IF box up x 4-1/2” IF pin down (NC 46), hard facing HF3000 or better.

Note: All stabilizer feature shall be SPIRAL type. Straight stabilizer type is NOT ACCEPTED.

5.15.3 Integral Blades Under gage Stabilizers


1 12-1/8” stabilizer, with 8” nominal OD bodies, Connection 6-5/8” Reg box up x 6-5/8” Reg pin down, hard facing HF2000 or better.

2 12” stabilizer, with 8” nominal OD bodies, Connection 6-5/8” Reg box up x 6-5/8” Reg pin down, hard facing HF2000 or better.

3 8-3/8” stabilizer, with 6-1/2” nominal OD bodies, Connection 4-1/2” IF box up x 4-1/2” IF pin down, hard facing HF3000 or better.

4 8-1/8” stabilizer, with 6-1/2” nominal OD bodies, Connection 4-1/2” IF box up x 4-1/2” IF pin down, hard facing HF3000 or better.



Note: All stabilizer feature: shall be SPIRAL type. Straight stabilizer type is NOT ACCEPTED.

5.15.4 Shock Sub


1 6-3/4” OD Shock Sub

5.15.5 Float Subs


1 8” nominal OD float sub, Connection 6-5/8” Reg box up x 6-5/8 Reg pin down.

2 6-1/2” or 6-3/4” nominal OD float sub, Connection 4-1/2” IF box up x 4-1/2” IF pin down.

5.15.6 Drilling Jars

NoSpecifications CONTRACTOR’s Specification

1 (7-3/4” to 8”) OD X (2-3/4” to 3”) ID, Hydro-Mechanical with Latch facility, Directional Drilling Jars with 6-5/8” API Regular Box Up and Pin Down Connection. Dailey or Houston Jars are preferred. Minimum Torque yield: 100 klbs-ft.

2 (6-1/4” to 6-7/8”) OD X (2-1/4” to 2-1/2”) ID, Hydro-Mechanical with Latch facility. Directional Drilling Jars with 4-1/2” API IF Box Up and Pin Down Connection (NC – 46). Dailey or Houston Engineering Jars are preferred. Minimum Torque yield: 100 klbs-ft.

5.15.7 Case Hole Sidetrack - Optional



1 9-5/8” Casing Whipstock c/w Milling Bit and Water Melon for sidetrack inside casing.

2 Gyro Tool : North Seeking Gyro tool 1.75” OD or 1.85” OD with Heat shield, Temperature Rating 150° – 200° C.

3Milling tool: Start Mill, Upper and Lower Water Melon Mill.


5.15.8 Logging While Drilling (LWD) - Optional

8.16 CONTRACTOR shall provide a full range of magnetic single shot instruments and running equipment. The Directional Drilling Engineer shall be fully competent in the use of this equipment.


1 1.75” Electronics Single shot Kit complete with necessary running gears and Heat shield, capable to take survey single shot measurement.

8.17 CONTRACTOR Equipment must available in Jakarta area during technical evaluation.

9.0 LIST OF DIRECTIONAL TOOL REQUIRED

CONTRACTOR are advised that the following BHA component should only be regarded as COMPANY’s best estimate of equipment needed to meet its service requirements as specified in the Scope of Work.

It is CONTRACTOR responsibility as the service specialist to bring to COMPANY’s attention and include in the tender any additional items not specifically included in this inquiry document but nonetheless required to perform the Scope of Work in a safe and efficient manner, according to current standard Oil and Gas practices. Justification for any addition must be included.

Additional items not specified herein, not brought to the attention of COMPANY and not subsequently included by CONTRACTOR in its submission, and yet which are required by the successful CONTRACTOR at a later date in order to perform operations specified in the Scope of Work will be provided by CONTRACTOR at CONTRACTOR’s expense.

CONTRACTOR shall insert any or all Equipment information such as specifications, type and minimum quantities of the following equipment required:

A. 26” Hole BHA Component: 30 ft Pendulum Assembly w/ or w/o motor:

No BHA Component Provider Remark1 26” Insert Bit Company2 9-1/2” Bit sub w/ Float Sub

c/w FV, 1 eaContractor With back up

3 9-1/2” DC, 1 ea Company4 9-1/2” Flow Drift Company5 9-1/2” x 24” OD IB String Bit

Stabilizer, HF1000, 1 eaContractor With back up

6 9-1/2” OD Spiral DC, 1 ea Company7 9-1/2” x 24” OD IB String Bit

Stabilizer, HF1000, 1 eaContractor With back up

8 9-1/2” X/O Pin x Box, 1 ea Contractor With back up



1 Triple Combo (GR-Cal, Resistivity, Neutron-Density)


No BHA Component Provider Remark9 8” OD Spiral DC, 3 ea Company10 8” Jar, 1 ea Contractor With back up11 8” OD Spiral DC, 1 ea Company12 8” X/O Pin x Box, 1 ea Contractor With back up13 HWDP Contractor With back up

B. 17-1/2” Hole BHA Component: Pack Assembly and Directional:

Vertical Hole

No BHA Component Provider Remark1 17-1/2” Insert Bit Company2 9-5/8” Mud Motor with

Sleeve StabilizerContractor With Backup

3 9-5/8” Float Sub c/w FV Contractor With Backup4 15.75” OD x 17-1/2” IB

String Bit Stabilizer Contractor With Backup

5 9-1/2” Sub Pin x Pin Company6 9-1/2” Flow Drift Company7 X/O Pin x Box Contractor With Backup8 8” Spiral DC Company9 8” Jar Contractor With Backup

10 8” Spiral DC Company11 8” X/O Pin x Box Contractor With Backup12 HWDP Contractor With Backup

Directional Hole

No BHA Component Provider Remark1 17-1/2” Insert Bit Company2 9-5/8” Mud Motor with

Sleeve StabilizerContractor With Backup

3 9-5/8” Float Sub c/w FV Contractor With Backup4 15.75” OD x 17-1/2” IB

String Bit Stabilizer Contractor With Backup

5 9-1/2” NMDC Contractor With Backup6 9-1/2” Index Sub Contractor With Backup

9-1/2” Antenna Sub Contractor With Backup7 X/O Pin x Box Contractor With Backup8 8” Spiral DC Company9 8” Jar Contractor With Backup10 8” Spiral DC Company11 8” X/O Pin x Box Contractor With Backup12 HWDP Contractor With Backup

C. 12-1/4” Hole BHA Component: Directional / Pack Assembly:

Vertical Hole

No BHA Component Provider Remark1 12-1/4” PDC Bit Company2 8” Mud Motor with Sleeve

StabilizerContractor With Backup



No BHA Component Provider Remark3 8” Float Sub c/w FV Contractor With Backup4 11.5” OD IB String Bit


5 8” Sub, Pin x Pin Company6 8” Flow Drift Company7 8” Spiral DC Company8 X/O Pin x Box Contractor With Backup9 5” HWDP Contractor With Backup10 6” Jar Contractor With Backup11 5” HWDP Contractor With Backup

Directional HoleNo BHA Component Provider Remark1 12-1/4” PDC Bit Company2 8” Mud Motor with Sleeve


3 8” Float Sub c/w FV Contractor With Backup4 11.5” OD IB String Bit


5 8” NMDC Contractor With Backup6 8” Index Sub Contractor With Backup7 8” Antenna Sub Contractor With Backup8 8” Spiral DC Company9 X/O Pin x Box Contractor With Backup10 5” HWDP Contractor With Backup11 6” Jar Contractor With Backup12 5” HWDP Contractor With Backup

D. 8-1/2” Hole BHA Components: Directional / Pack Assembly:

Vertical Hole



3 6” Float Sub c/w FV Contractor With Backup4 8” OD IB String Bit Stabilizer Contractor With Backup5 6” Sub, Pin x Pin Company6 6” Flow Drift Company7 6” Spiral DC Company8 X/O Pin x Box Contractor With Backup9 5” HWDP Contractor With Backup10 6” Jar Contractor With Backup11 5” HWDP Contractor With Backup

Directional Hole





No BHA Component Provider Remark3 6” Float Sub c/w FV Contractor With Backup4 8” OD IB String Bit Stabilizer Contractor With Backup5 6” NMDC Contractor With Backup6 6” Index Sub Contractor With Backup7 6” Antenna Sub Contractor With Backup8 6” Spiral DC Company9 X/O Pin x Box Contractor With Backup10 5” HWDP Contractor With Backup11 6” Jar Contractor With Backup12 5” HWDP Contractor With Backup

Note:

CONTRACTOR shall provide one set of back-up tool to avoid any rig time delay if require for tool replacement. If back-up tool has been used, another back-up tool must be available at site within 24 hours.

Back-up tools are preferred kept at rig site. Contractor could keep back-up tool at Jakarta base, however if any rig delay due to unavailable tool, no rental charges will be applied.

BHA component could be swabbed to other hole size if applicable.

All inspections are to be performed in accordance with T.H. Hill Associates Standard DS-1 First Edition, December 1992, from the DEA Project 74. The inspection procedures from the DS-1 Standard should be followed for a Service Category 4 inspection (Premium Class and/or a BSR range of 2.25-2.27) and include the following inspections:

Visual: Examination of connections, shoulders, tool joints and profile check of threads and measurement of box swell (DS-1 Sec 3.11).

Black light: Wet MPI to identify fatigue cracks (DS-1 Sec 3.15).

Dim 3: Measurement of gauge of box OD, pin ID, pin lead, bevel diameter, pin stress relief diameter and width, bore back diameter and thread length (DS-1 Sec 3.14).

Elevator Groove of Drill Collar: Dimensional verification and visual inspection

Frequency of Inspection:

(a) Inspections in accordance with the above shall be conducted within one (1) month prior to the Commencement Date.

(b) Inspection in accordance with the applicable section above shall be conducted subsequent to the failure of any CONTRACTOR Furnished drill string component.

(c) COMPANY may inspect any drill string components at any time other than the above indicated schedule at COMPANY’s expense.

Inspection documentation: Written inspection results to be provided to COMPANY for all tools, prior tool delivery. All appropriate inspection documentation to reference tool serial numbers.

10.0 CONTRACTOR’s PERSONNEL

CONTRACTOR shall demonstrate that CONTRACTOR is capable of supplying highly qualified personnel upon receipt of COMPANY’s request and within the time frame required. CONTRACTOR will furnish the suitable qualified and experienced personnel to work in professional and workmanlike manner in accordance with the Contract.

CONTRACTOR shall provide complete organization chart of its organization and its proposed sup-port organization for the purposed service, separate from the resumes mentioned above.



COMPANY reserves the right to have the CONTRACTOR replace personnel, for technical incompe-tence, misbehavior, incompatibility, or any other reason. The COMPANY’s verbal approval is re-quired for any change in the CONTRACTOR’s personnel.

Personnel are to be available on location at all times, to perform such duties are requested by the COMPANY, including but not limited to the following services.

CONTRACTOR shall be responsible for keeping in his employment sufficient personnel to provide for rotation, vacation, leaves and other absences.

CONTRACTOR will ensure that its personnel comply with any requests or instructions given by COMPANY under terms of this contract and in particular with any safety regulations or directions that may be in force at the Work Site.

The COMPANY will provide for the emergency evacuation of the CONTRACTOR’s personnel on Site. The CONTRACTOR will be charged for the cost of emergency medical evacuation of the CONTRAC-TOR’s personnel beyond the COMPANY’s normal transportation.

If the COMPANY is not satisfy with the performance or conduct of any of the CONTRACTOR’s per-sonnel or that person’s level of experience or qualification to undertake the services, the COM-PANY may request the CONTRACTOR to call off that person from site. The CONTRACTOR must comply with that request and provide a replacement acceptable to COMPANY at no additional cost to the COMPANY.

If CONTRACTOR wishes to replace any of its personnel assigned to the Contract who have been ap -proved by COMPANY, CONTRACTOR shall first provide a detailed resume to COMPANY’s Drilling manager for each individual proposed as a replacement, and a transition plan for such individual. This resume shall include as a minimum: the name; COMPANY and industry training; current posi-tion; background / qualification / educational profile; related work experience; location of work (office, rig, lab, bulk facilities / warehouse); and years employed by CONTRACTOR. Such personnel shall be required to fully meet the qualifications describe in this attachment and elsewhere in this Contract. COMPANY will then have the option of interviewing and testing such proposed person-nel, and accepting or rejecting them and the associated transition plan for assignment to the Con-tract. COMPANY will not accept the removal of dedicated personnel from assignment to the Con-tract for a transfer by CONTRACTOR to a Contract with another COMPANY unless such transfer is clearly for the purpose of career advancement for such individual. If a transfer is required, a time period of up to two (2) months may be required for the transition to take place. The time required transition will be specifically described in the transition plan.

Without prejudice to other provisions in this Contract, COMPANY has the right to reject personnel who, in the opinion of COMPANY, are unqualified or physically unfit for the work. CONTRACTOR will be required to replace said personnel with acceptable personnel at no additional cost to COM-PANY, in a timely manner not to exceed four (4) weeks from the date that CONTRACTOR was so ad-vised.

Temporary replacement must be in point of delivery within 5 working days and remain until the re -placement arrives in point of delivery.

Should CONTRACTOR fail to provide its personnel that meet COMPANY’s quality standards as writ-ten, or if said personnel are other than represented, or if doesn’t comply with the terms then COMPANY at its option may terminate this Contract.

CONTRACTOR shall furnish trained and experienced personnel sufficient in number and with appro-priate qualifications to implement the Contract and meet its specifications and standards in respect of safety, efficiency and technical competency. Notwithstanding anything to the contrary in the Contract, is the responsibility of the CONTRACTOR to ensure that the Contract is being adminis-



tered efficiently and effectively and comply with the terms and condition of the Contract. If addi -tional staffing is required, this will be at the expense of CONTRACTOR, unless specifically requested and approved in writing by COMPANY.

CONTRACTOR shall provide suitably qualified technicians for maintenance, equipment installation, removal, modifications, testing and / or calibrations, and / or any other work necessary to keep their equipment in top operational condition.

Requirement for Medical Check-up is as follows: PA Chest X-Ray, Urinalysis, Blood Test (blood type, lipids, urea and creatinine, liver function test, test for hepatitis A and hepatitis B, drug screen, vision and hearing test and ECG.

CONTRACTOR shall perform Medical Check-Up of the CONTRACTOR’s person(s) on a twelve (12) month (annual) basis. All valid Medical Check-Up results are acceptable unless the requirements stated here in are not being fulfilled.

10.1 Contractor shall provide the following qualified and technically competent Directional Drilling (DD) and MWD engineers for Company.

TITLE COMPANY EXPERIENCE REQUIREMENTS

CONTRACTOR SPECIFICATIONS

Coordinator in Jakarta Must understand Directional Drilling and rig operation, including BHA and drilling optimization. Must having experience as DD.

Directional Drilling (DD) Engineer

At least six (6) year experience for day DD and four (4) year experience for night DD in Oil-Gas Drilling in Indonesia and or South East Asia

Measurement While Drilling (MWD) or EM Engineer

At least five (5) year experience for day and three (3) year experience in Oil-Gas Drilling in Indonesia and or South East Asia.

Logging While Drilling (LWD) Engineer

At least five (5) year experience in Oil-Gas Drilling in Indonesia and or South East Asia.

10.2 CONTRACTOR’s personnel shall carry Approved Passport’s of Competency and Work History. Competency Systems and example of assessment papers to be included in tender submission. CV’s shall be supplied for inspection prior to initial deployment on Company operations. Company reserves the right to change personnel selection.

10.3 Contractor shall provide the following nominated onshore support personnel to provide focal points of contact for Directional Drilling and MWD operations for Company:

COMPANY REQUIREMENT CONTRACTOR SPECIFICATIONSOperations Engineer to support Company daily drilling operations and co-ordinate



activities with the relevant Company drilling and well evaluation personnel. Contractor shall provide operations engineer to this contract. Engineer to have minimum 3 years experiences supervisory DD/MWD Oil and Gas drilling operations.

At least one experienced Well Planner with a minimum of 2 years experience as well planner for consultation and liaison with Company’s Drilling staff on technical matters, continuously and over the entire terms of this Contract. The Well Planner must have had prior experience working with interference in multi platform fields and specific experience in Oil and Gas well planning is preferred.

Account Manager to support contractual, financial and service quality issues during the term of the Contract and participate in monthly service reviews.

These onshore support functions shall be provided at no additional cost to COMPANY.

10.4 CONTRACTOR shall undertake to ensure the continuity of field personnel. DD/MWD engineers shall be assigned for a period of not less than three months where applicable and office support functions assigned for a period of not less than six months for each program. Changes in the assignment of personnel shall be subject to prior Company approval.

10.5 CONTRACTOR shall at its own cost supply personnel protective clothing to Contractor’s assigned personnel to meet all current or future relevant regulations for offshore work.

10.6 CONTRACTOR shall provide equipment and support in accordance with drilling program generated by COMPANY. The COMPANY reserves the right to vary the program or discontinue operations at any time during the well. Operating procedures for the running of CONTRACTOR’s equipment shall be provided to the COMPANY by the CONTRACTOR as and when required.

Minimum information to include names, experience and educational profile of proposed DDE, MWD or EM and onshore support functions personnel.

NAME AGE NATIONALITY POSITION TRAINING /QUALIFICATION

BACKGROUNDEXPERIENCE



NAME AGE NATIONALITY POSITION TRAINING /QUALIFICATION

BACKGROUNDEXPERIENCE

The CV's for personnel above is attached.

11.0 CONTRACTOR'S BUSINESS ADDRESS

1. Corporate legal name : 2. Name of executive signing the agreement : 3. Title : 4. Complete address : 5. Telephone number : 6. Telex number :7. Fax number :8. Payment instruction :

(Bank Account)

12.0 STOCK CONTROL

During the course of this Contract should CONTRACTOR be unable to meet COMPANY's equipment and service requirements, it is the responsibility of CONTRACTOR to make up the deficiency in supply from an alternate source (e.g. competitive vendor), with the stipulation that the quality of the product so supplied is not reduced and the price is not increased. In the event that CONTRACTOR anticipates a problem in not being able to fulfill his obligation then it must notify COMPANY immediately in writing to that effect, and at COMPANY's option this could qualify as grounds for cancellation of the contract and forfeiture of the Performance Bond.

13.0 SAFETY AND SAFETY PROCEDURES

13.1 CONTRACTOR is to work diligently in keeping with COMPANY's goals to improve safety, optimize performance, and implement new or revised procedures as required.

13.2 CONTRACTOR is required to have a Safety Incentive Program in place for participation of all its employees. Such program will be reviewed and approved by COMPANY.

13.3 CONTRACTOR is to have written Safe Working Procedures for all hazardous, potentially hazardous or critical tasks associated with equipment. CONTRACTOR shall train CONTRACTOR’s personnel in the use of these procedures and tasks. Training records shall



be made available for audit upon request by COMPANY.

13.4 CONTRACTOR is to have in place as part of its safety program, a method of reporting accident near misses. Personnel are to be encouraged to report all near misses. CONTRACTOR shall provide COMPANY a copy of CONTRACTOR’s accident report for any accident reported on any COMPANY location within 24 hours of incident occurrence.

13.5 CONTRACTOR is to participate in the rigs specific, mandatory, safety orientation program for all new personnel on site, no exceptions.

13.6 CONTRACTOR must provide both a list of specific safety equipment provided as well as safety equipment expected from COMPANY.

13.7 CONTRACTOR must provide a description of its preventative maintenance program.

13.8 CONTRACTOR is to provide a description of its enforcement and disciplinary action program regarding safety violations, controlled substances, and other prohibited items.

14.0 SAFETY RECORD AND TRAINING PROGRAM

14.1 CONTRACTOR shall make available some or all of its personnel assigned hereunder to participate in safety training conducted by COMPANY at time place to be determined by COMPANY from time to time.

COMPANY shall bear the cost of such training, including the cost of training materials, instructor, and meeting room (if such is conducted outside COMPANY's premises); and CONTRACTOR shall bear the costs of meal, lodging, transport, and the salaries / overtime wages for its personnel while they are attending the training, if such are required.

14.2 CONTRACTOR shall present the following data regarding safety records and crew safety training programs.

14.2.1 Injury and illness incident rates, both worldwide and Indonesia, for a minimum of the past two years.

14.2.2 The name and/or position of the CONTRACTOR's representative responsible for safety issues related specifically to this Contract.

14.2.3 CONTRACTOR must provide a list of all safety, health, and environmental training provided for its personnel and frequency of this training. Training records shall be kept current and available for audit upon request by COMPANY.

14.3 CONTRACTOR personnel are required to participate in all rig safety meetings while on board COMPANY contracted rigs.

15.0 PENALTY CLAUSE

15.1 In the event CONTRACTOR fails to provide its services on the commencing date after COMPANY’s notification, COMPANY shall impose a penalty of 0.1 % of estimated total contract value of each day CONTRACTOR delays to provide its services. If the penalty has reached 5% of the estimated total contract value, after fifty (50) days COMPANY as its discretion may either terminate the Contract or continue applying the penalty until CONTRACTOR provides its services.

15.2 Tool Failures



All tools must be checked for serviceability when they arrive on the rig site, a copy of the latest inspection report shall be kept on location all the time. It is the CONTRACTOR’s responsibility to inform COMPANY’s on site supervisor of any unserviceable tools, anomalies or problems immediately.

All rates for particular item will cease from the time a tool fails downhole until such time as a serviceable tool is run in hole and performing correctly or replacement tool arrived on the rig site.

Clarifications:

A Field Failure is defined as the occurrence of any of the following events:

- A failure of CONTRACTOR's downhole assembly to provide the requested measurements, when called upon to do so.

- If a tool does not give repeatable results at a mutually agreed upon checkpoint. The limits of repeatability for directional tools are :

Azimuth - within 3 degrees at inclinations greater than 15 degrees,

Inclination - within 0.4 degrees for no change in BHA; within 1.0 degrees for a change in BHA;

- Failure by CONTRACTOR to calibrate a downhole assembly within the required tool specifications. CONTRACTOR shall, if requested by COMPANY, provide calibration data for each tool.

16.0 PERIOD OF CONTRACT The period of Contract is 10 (Ten) months effective from April 2015 to January 2016.


Contract No…………………….. Exhibit C – Contract Price Calculation

EXHIBIT CContract Price Calculation

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Contract No. 61510152-OS Exhibit C – Contract Price Calculation

EXHIBIT CCONTRACT PRICE CALCULATION

1.0 General Terms and Pricing Conditions1.1 For satisfactory performance of the Work and Services required in Exhibit B, including

all labor, supervision, technical and maintenance personnel, equipment, supplies, transportation, charges, accommodations, insurance, and any all costs necessary therefore, COMPANY agrees to pay CONTRACTOR the compensation set forth in this exhibit.

1.2 It is agreed that the compensation payable to CONTRACTOR shall be based only on “actual usage” - the services rendered and itemized and cost on the job service ticket.

1.3 All of the equipment listed in Exhibit B is not required to be on the Drilling Unit at all times. CONTRACTOR with COMPANY approval will specify the particular items needed on the Drilling Unit.

1.4 COMPANY expressly reserves the right to revise the drilling program as deems appropriate, including increasing or decreasing the number of wells within the Contract area.

1.5 CONTRACTOR is responsible for maintenance and provision of spares during normal operations.

1.6 Payment for actual repairs to tools outwit normal wear and tear is subject to Company's prior approval.

1.7 Redress cost of the tool shall include in rental or mob-demob charges.

1.8 The maximum payable amount for tools will be those that are agreed on by CONTRACTOR and Company at all times. No additional charges will be paid for tools when the number of required tools is exceeded during change out or repair of such tools.

1.9 Blanks or comments such as "included in..." in items tools shall be interpreted as “Zero Rate”. Company will not accept the kind of wording and, will interpret such wording as zero.

1.10 Mobilization / demobilization of CONTRACTOR’s Equipment to COMPANY “Delivery Point” and “Re-Delivery point” if any should be included in equipment daily rate.

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COMPANY will also not pay, mobilization and demobilization charges for CONTRACTOR’s equipment from and to outside country “Indonesia”.

1.11 All repairs, redress, servicing and maintenance are expected to be carried out by CONTRACTOR. This cost shall include in rental or mob-demob charges.

1.12 Field service personnel will work no longer than 28 consecutive days with a minimum of two weeks off before returning to work.

1.13 Consumable items not otherwise provided for under this Contract shall be reimbursed by COMPANY at cost following submission of proper support documentation by CONTRACTOR subject to Company's prior approval.

1.14 COMPANY strictly adheres to the Contract value and/or rate specified in this Exhibit C, and no additional rate applies. The day rate should be all inclusive and Contractor should not expect to receive any additional payments related to the services specified Exhibit B. Company will not make additional payments for necessary expendables, such as but not limited to; batteries, charts, office supplies etc. Company will not pay additional costs that are an integral part of the services performed, such as, but not limited to; final report, redressing charges, inspection charges, overhead charges for maintaining an office or equipment. Company will not pay any hidden costs for equipment that is required or normally considered part of the services specified in Exhibit B, such as, but not limited to; handling tools, recording equipment, hazardous condition surcharges etc. The Contract value is for estimation only. Company is not obligated to meet the value stipulated in this Contract.

1.15 “Day” shall mean a period of 24 hours beginning at 00:00 hours on any day and ending at 24:00 hours on the same day.

1.16 CONTRACTOR shall be paid for all services performed by Contractor's Personnel and Directional Drilling, MWD and LWD Equipment and Services based on the unit rate or charges shown in this Exhibit C, and in Contractor’s published price list book attached if applicable.

1.17 Equipment Rental Rate starts when Equipment has been received by Company at COMPANY’s delivery point and valid until the Equipment is returned to Contractor at the COMPANY’s Re-delivery point and not in operating mode. The Standby Rate shall be prorated for periods of less than one full day during which they apply.

1.18 Equipment Operating Rate will only be paid while a tool is in hole and serviceable (can perform all the specified functions). All rates (operating and rental) for a particular failed tool will cease from the time that tool fails downhole until such time as a serviceable tool of the same type is run in hole.

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1.19 Operating Rate to be based on time equipment is run in hole and/or below the rotary table. Other equipment charges are based on daily rental rates.

1.20 Personnel charges applies and starts when a specialist arrives at Company point of origin following COMPANY’s call out for departure to well, and cease when the specialist is back to the COMPANY’s point of return from the well. On crew change only one day rate shall be applicable for personnel fulfilling the same position.

1.21 All tools must be checked for serviceability and correct calibration when they arrive at the rig site. It is the CONTRACTOR’s responsibility to inform Company’s on site supervisor of any unserviceable tools, anomalies or problems immediately. COMPANY will not be liable for rental charges for unserviceable tools. This applies to tools that fail during initial surface checks or during in-hole checks while running in for the first time subject to item below. 1.21.1 Mud Motors / MWD Equipment

The following penalty system shall apply in respect of the Operating rate chargeable for Mud Motors MWD and MWD equipment.

(i) The Daily Rate and Operating Rate charges for Mud Motors, MWD and MWD equipment (prorated) shall be zero during any equipment failure.

1.21.2 Clarifications: (i) A Field Failure is defined as the occurrence of any of the following events:

• A failure of Contractor’s downhole assembly to provide the requested measurements, when called upon to do so.

• Failure by Contractor to calibrate a downhole assembly within the required tool specifications. Contractor shall, if requested by Company, provide calibration data for each tool.

(ii) A Field Failure shall not include any event described above if preceded or accompanied by any of the following events:

• Presence in the drilling fluid of debris or other foreign materials (including lost circulation materials) of sufficient size and/or quantity to cause a malfunction in the downhole assembly.

• Presence in the drilling fluid of sand or other abrasive materials in sufficient quantity and/or at sufficient flow rates to cause unusually rapid erosion of the downhole assembly.

• Jarring operations immediately prior to the failure of a downhole assembly.

• Use of Contractor’s equipment under environmental or operating conditions outside those contained in Contractors Specifications including, but not limited to, Contractor’s specifications for temperature and flow rates.

• Mishandling of the downhole assembly by Company or its Company’s third party which occurs when none of Contractor’s personnel are present.

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• An in-hole failure of the downhole assembly which occurs when none of Contractor’s personnel are present.

Note:1. Any additional services, equipment, materials or personnel not specifically

required by the Scope of Work as specified in Exhibit B, but nonetheless performed or supplied by Contractor at Company request, shall be invoiced according to the attached Current Price List, with 5% discount. The Terms and Conditions, if any, attached in the Price List SHALL NOT be applicable.

2. For cost control purposes and as part of Company policy, Contractor is requested to attach the completed Form in its invoice document any time submitted to Company. One copy of the completed Form (only) should also be submitted directly to Procurement Department. Failure to do so resulting in withholding the current invoice up to the completed is submitted to Company.

2.0 Equipment Rate DefinitionAll the daily rates specified thereon are applicable for full calendar days and parts thereof shall be billed as full calendar days.

2.1. Mobilization - Demobilization:

Mobilization and Demobilization of personnel applied each well. For the first well, equipment stand by cost until spud the well (bit below rotary table)

should be included in Mobilization cost.

2.2. Operating Rate:

Operating rate for each section hole start from RIH the first BHA (bit below rotary table) and stop when the BHA pulled out (bit above rotary table). The rate shall be counted prorate hourly.

2.3. Moving Rate:

Daily Moving rate shall be applied during Rig Down, Rig Move and Rig Up between wells, including skidding rig if applicable.

Rig activity after the last BHA of last hole section run is pulled at surface.

2.4. Standby Rate:

Standby rate shall be applied outside point 2.1., 2.1., 2.3. respectively.

2.5. Tools Break Down Rate:

In event at tool failure, replacement tool must be delivered to rig site within 24 hours. Failure to do so will result in 50% reduction on all rates for that hole section.

The Equipment Rental Charges could be simulated as follows:

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No Rig Activity Moving Rate

Rental Rate

Operating Rate

Remark

1 Rig Move, Rig Up Yes2 Drill 26” Hole Yes Yes3 Run 20” casing, cement

and BOPYes

4 Drill 17-1/2” Hole Yes Yes5 Run 13-3/8” Casing,

cement and BOPYes

6 Set Cement plug, and/or open window

Yes Apply ST rental charge

7 Drill 12-1/4” Hole Yes Yes(*)8 Coring Yes9 E-Logging Yes10 Run 9-5/8” casing,

cement and BOPYes

11 Drill 8-1/2” Hole Yes Yes(*)12 Run 7” Liner, Cement

and BOPYes

13 Completion Yes14 Production Test Yes15 RD & Release Rig Yes

Note (*): if MWD and Mud Motor are not run, Operating Rate shall not be applied

3.0 Contract Value Estimation1.1. Any LIH charges shall be reimbursed for individual tool left in hole refer to LIH prices

with 20% depreciation per year.1.2. Detail contract value estimation:

Equipment Mob-Demob Cost

No Description Unit Quantitya

Unit Price, USDb

Total, USDc = a x b

1 Mobilization Lump sum 1 Times2 De-Mobilization Lump sum 1 TimesSub Total Mob-Demob

Rental CostNo Description Daily

Rental

a

Operating Hour Rate

b

Est. Rental Days

c

Est. Operating

Hoursd

Total, USD

e = (a x c) + (b x d)1 26” Hole Section,

w/o MWD44 45

2 17.5” Hole, w/o 44 94

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MWD2 17.5” Hole, w/

MWD112 188

3 12.25” Hole, w/o MWD

44 191

4 12.25” Hole, w/ MWD

112 381

5 8.5” Hole, w/o MWD

44 62

6 8.5” Hole, w/ MWD 112 275Sub Total Equipment Rental

Personnel Cost

No Description Unit No Of Person

a

Unit Price, USD/Man/Day

b

Est. Days

c

Total, USD

d = a x b x c1 Mobilization

Directional DrillerLot/Person 2 2.5

2 Demobilization Directional Driller

Lot/Person 2 2.5

3 Directional Driller, Day

$/Day/Man 1 97

4 Directional Driller, Night

1 65

5 Mobilization MWD Engineer

Lot/Person 2 2

6 Demobilization MWD Engineer

Lot/Person 2 2

7 MWD Engineer, Day $/Day/Man 2 658 MWD Engineer,

Night$/Day/Man 2 65

Sub Total Personnel Charges

Consumable ItemNo Description Unit Price Total Price

1 MWD Module 52 Single Shot Film 20Sub Total Consumable Item

Estimated Total Contract Prices

No Description Total Cost, USD

1 Sub Total Mob-Demob

2 Sub Total Equipment Rental

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3 Sub Total Personnel Charges

4 Sub Consumable Item

5 Allocation for Lost in Hole 10,000

6 ESTIMATED TOTAL CONTRACT PRICES

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Summary of contract expenditure form: CONTRACTOR should include “Summary of contract expenditure form” attached with invoices:

SUMMARY OF CONTRACT EXPENDITURES FORM

Contract No. : _____________(Title: _______________________________)Period Ending:_________________________

Invoice No.: ______ Date:_______

CONTRACTOR shall complete the following information, anytime invoice to MNL, and submit directly to Procurement Dept.

a. Contract Period: form _________ to ________b. Amount of this Invoice: _____________c. Total amount of all previous invoices: ____________

(Including invoices submitted but not yet paid).d. Invoice to date (b + c): ____________e. Estimated value of work not yet invoiced: ____________f. Total Estimated Contract Value: _____________

(Including Amendment/variasion etc. – if any)g. Balance of Contract Value (f-e-d): _____________

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Exhibit B - Directional Drilling for 3 Gas Wells.doc

Documents

Transcript of Exhibit B - Directional Drilling for 3 Gas Wells.doc