© 2016 Halliburton Confidential Information. All rights reserved.

Greg PowersVice President Technology

Innovative Technologies in Oil and Gas Services

© 2016 Halliburton Confidential Information. All rights reserved.

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+ +

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PRODUCTIONUNIT COST(COST PER BOE)

Product Basis: Efficiency from Cost and Productivity

Drilling Optimization Supply Chain Surface Efficiency

Reservoir Understanding Custom Chemistry

© 2016 Halliburton Confidential Information. All rights reserved.

Technology is the EngineProcess

People

Collaboration

» Innovation at the customer interface »Experience outside O/G

»Globalizing technology»Connecting with customers

»Reliable-Repeatable Development process for products

© 2016 Halliburton Confidential Information. All rights reserved.

Huge Runway for New Technology

But New To O&G Unique Solutions in O&G Why Can’t We?Existing Technologies Novel Technologies Nature Does It

» ICE core» Fiber optics» Illusion plug

» Natural polymers: Going green» Seawater frac» AICD» Polymer microbubbles

© 2016 Halliburton Confidential Information. All rights reserved.

New Technology to O&G: Precision Downhole Spectroscopy

© 2016 Halliburton Confidential Information. All rights reserved.

ICE Core® Measured Concentration (g/cm3)

0.001 0.010 0.100 1.0000.001

0.010

0.100

1.000

Lab MeasuredConcentration (g/cm3)

Gas

Oil/Condensate

Trace (water)

ICE Core: Real-Time Lab Quality

© 2016 Halliburton Confidential Information. All rights reserved.

Current State of the Art is Not Good Enough

Plug and perf technology Intervention completion requiring coiled

tubing mill-out: Risk Resource intensive: High Cost

Fas Drill® PlugMillout time: 20 min.

© 2016 Halliburton Confidential Information. All rights reserved.

New Concept for Oil and Gas: Dissolvable Frac Plug

Make the plug ‘dissolve’ Save money Lower risk

Illusion® Frac Plug

© 2016 Halliburton Confidential Information. All rights reserved.

New Concept for Oil and Gas: Dissolvable Frac Plug

© 2016 Halliburton Confidential Information. All rights reserved.

Novel Solution to a Big ChallengeDownhole ‘Separation’ of Water and Oil: AICD

© 2016 Halliburton Confidential Information. All rights reserved.

300 nm

30 μm

Novel Delivery Mechanisms

Polymer Microbubbles 275 barConventional Thinking:

Hollow Glass Spheres 200 barEncapsulation for targetedchemical delivery

New polymer microbubbles and gels in water-based fluids.

Acid stored in hydrogels

6 M HCl

20-25x swell

Acid release with ΔT

0 400Time (hr)

100% encapsulation and release

30˚C

70˚C

90˚C

© 2016 Halliburton Confidential Information. All rights reserved.

Nature Can Be Better: From Wood to Shrimp

Outstanding properties & process flexibility Use for all conceivable fluids downhole

Rheology control

500 nm

Cellulose Nanocrystals

Temperature Stability

0

Wei

ght (

%)

100

Temperature (˚C)200 700

NFC 288

C-NFC1 287

C-NFC2 301

TONFC 312

NFLC 300

Cat-NFC 261

CNC 241

0 1000

30

15

0

Shear Rate (1/S)

Shea

r Str

ess

(1 P

a)

© 2016 Halliburton Confidential Information. All rights reserved.

Radical New Ideas Driving Productivity

Economic environment creates challenge Industry capability driven by challenge Innovation the engine to productivity and

cost

© 2016 Halliburton Confidential Information. All rights reserved.