Presentation of TCTM and its truly revolutionary technlology: ETCT: Environment-friendly Thermochemical Treatment The most modern, cost-effective, fully-automated and environment-friendly method of stimulation of crude oil, bitumen and shale oil extraction known in the world.

1. TCTM Oil Ltd.
Business
presentation
December 2016
1

2. Summary
• WHO IS TCTM
• ADVANTAGES OF TCTM TECHNOLOGY
• USES
• COMPARISON WITH OTHER TECHNOLOGIES
• BASIC PRINCIPLES
• AUTOMATED SYSTEM
• RESULTS
• CONCLUSION

3. Who is TCTM Oil Ltd.
★TCTM Oil Ltd. is a company established and registered in Czech Republic in 2015
and will probably be transferred to Liechtenstein in 2017.
★TCTM Oil Ltd. has the exclusive rights to the patents and unique know-how, whose
results far surpass two patents published by same authors in 2010 and 2012.
★Know-how represents the most modern and efficient technology for extracting oil:
ETCT-Technology (Environment-friendly Thermo Chemical Treatment)
★The technology was developed and tested many years in Russia, Czech Republic,
USA, with current system development in USA
★The purpose of our technology is to dramatically lower costs of oil extraction,
especially on bitumens, heavy oil and shales, and rejuvenation of old, shut-down
wells

4. Advantages of ETCT Technology
ETCT (Environment-friendly Thermo Chemical
Treatment - ETCT) is a thermo-chemical
stimulation of oil reservoirs by exothermic
chemical reaction of a mix of reagents. ETCT
is highly efficient, requires minimal investment,
is simple to use and is much more ecological
than any other stimulating (EOR) technology.
It can be characterized by:
• cost savings
• time savings
• lowering water cut
• efficiency of extraction
• increase in recovered amount of oil
• competitive and strategic advantage
• environmental protection

5. COST SAVINGS
TIME SAVING
LOWERS WATER CUT
1. on constructing new wells and infrastructure
- for enhanced production it is not necessary to
drill new wells or invest in infrastructure
2. on personnel
- application usually takes just a few days and
with usage of automated system minimum staff
is necessary
3. on overhauling old wells
- extends the life of wells
1. increased production is immediate
2. treatment process is regulated and continuous
3. wells can be treated either periodically or
permanently
1. in many cases lowers water cut
2. almost zero water contamination
3. some recipes do not use water at all

6. ✤ chemicals used produce no harmful environmental by-products
✤ almost no water contamination
✤ can use certain toxic waste as a source of energy and thus liquidate it ecologically
EFFICIENCY OF EXTRACTION
✤heats up very large space around the borehole
✤extracts oil that would otherwise be unreachable by other existing technologies
✤increases total production several-fold, day by day
✤results in very low costs per barrel of oil produced
✤cleans collector from paraffin, resin, tar, asphalten, etc. far from the well
COMPETETIVE AND STRATEGIC ADVANTAGES
✤ETCT technology is further being developed by our scientists
✤suitable for shale gas and shale oil
✤suitable for conversion of kerogen in shale into synthetic crude oil (patent pending)
✤suitable for bitumen (patent pending)
✤suitable for heavily watered wells
✤suitable for conversion of heavy oil into the light one in-situ (patent pending)
✤suitable for old, shut-down, depleted or damaged wells
✤suitable for newly-opened wells with very heavy oil
✤no depth limits
✤suitable for extreme climatic conditions thanks to special formulas
✤…and more
ENVIRONMENT FRIENDLY

7. 1. nearly depleted or closed reservoirs
2. reservoirs with high viscosity
3. hard-to-reach bitumen reservoirs
4. suitable for light or heavy oil
5. newly opened wells
6. large potential for shale gas and shale oil
7. suitable for tight formations
(substitutes hydro-fracturing)
(patent pending)
8. efficient on heavily watered wells
9. deep wells with very heavy oil where
(steam can not be used efficiently)
10. Liquidation of toxic wastes
… and more
USES

8. Bitumen / extra heavy
API less than 10 (>1000 kg/m3) - primary and secondary production (EOR)
• Can be used either separately or in combination with steam injection
• Decreases viscosity of the oil and increases pressure
• There is no limit in depth of deposit
• First application planned for 2017
Heavy Oil
API higher than 22,3 (< 920 kg/m3) - mostly secondary production (EOR)
• Providing that oil moves, it can be used for primary or secondary production
• On shallower deposits it can be used in combination with or after steam injection
• Successfully applied in Russia
Medium / light crude oil
API of 10 - 22,3 (920 - 1000 kg/m3) - primary and secondary production (EOR)
• Very useful for vast cleaning of pores and fractures from paraffin, tar, resin, etc.
• If applied at the end of life cycle of the well, life cycle can be significantly extended
• Successfully applied in Russia and in Texas

9. Shale oil
Primary and secondary production (EOR)
• Used as a replacement for hydrofracturing
• Significantly increases amount of recoverable oil (from 5-
20%, often more)
• There is no limit to depth of deposit
• Can extract kerogen type I or II (thus increases amount of
recoverable oil up to 40-50%)
• First application planned for 2017
Heavily watered wells
Secondary production (EOR)
• Creates a new system of fractures and enables locked oil
(especially when water was used for pushing oil) push to
neighboring wells
• Significantly increases amount of recoverable oil
• Good results even on wells with 99% water cut
• Successfully applied in Texas and in Russia

10. Overview of EOR Technologies
ETCT - Technology
Chemical EOR
Gas EORThermal EOR
Hydrodynamic EOR
• Steam treatment (cyclic or continuous steam injection)
• In situ combustion
• Hot water flooding
• Air injection
• Light hydrocarbon injection
• Carbon dioxide injection
• Nitrogen, flue and other gases injection
• Surfactant flooding (including foam)
• Polymer displacement
• Alkaline displacement
• Acid displacement
• Chemical reagents displacement
(including micellar-polymer flood, etc.)
• Microbiological treatment
• Integrated displacement technologies
• Development of by-passed oil reserves
• Barrier flooding
• Non-stationary (cyclical) flooding
• Accelerated production
• Stepwise-thermal flooding

11. Comparison with other technologies
Criterion SAGD Hydrofracturing ETCT
Principle
Heats the formation with steam
to lower viscosity
Cold liquids at enormous
pressure to fracture formation
Heats the formation to lower
viscosity. Chemical reactions
increase energy and gas-lifting
Damage to well
Rapid water-logging Rapid water-logging
No irrigation or any other
damage
Production over time
Non-economical after appx.
30% of oil is extracted
Non-economical after appx.
35% of oil is extracted
Can extract 50-80% of all oil
from the well over its lifetime
Energy loss
+/- 25% to heat and to transfer
water to the well
Strong pumps (>10.000 HP),
proppants Negligible losses
Depth limit
800-1000m (deeper, with costly
thermo-insulated tubing)
Depends on well construction
and strength of pumps available
Proven at 4,5 km but should be
effective at still greater depths
Temperature reached
250°C N/A From 100-500°C, fully regulated
Investment
Very high infrastructure costs
High (up to 10 million dollars
per well including drilling
horizontal well)
Low to Moderate
Production costs
$50-60/BBL $40-60/BBL
$1-35/BBL depending on
geological/market conditions
Environment friendliness
Water and air pollution.
Wastes and contaminates
water
Negligible: by-products are
nitrogen, water, and CO2. Any
other solid materials remain
down in the well.

12. Basic principles
• Separate channels for delivery of chemicals
• Multiple measurement of temperature and pressure
• Automated control system
• Multiple safety protection
• Reaction occurs mostly in productive layer
• Well is not overheated
• No limit to amount of reagents used

14. Technical solution
1. Prior analysis of wells based on
detailed data of production history,
geological maps, all available logs and
geophysical information
2. Delivery of several containers with
equipment & control system
3. Overhaul rig to pull two concentric
tubes (or coiled tubing with two
channels) out and push them down
into borehole
4. Measuring devices with relatively fast
response, preferably with at least 5
fiber sensors and cables
5. Pumps with sufficient power (depends
on parameters of well and pressure
necessary for cracking of formation)
installed
6. Various reagents according to desired
result (more heat / higher pressure)
7. Possibility to alter reagents during the
treatment process
8. Possibility to use air and thus save
costs

15. Chemical principles
1. Basic reagent is source of energy or it is oxidizer
2. Secondary reagent is necessary for exothermic
decomposition of the first reagent
3. Some catalysts necessary to reach desired result
4. Typical reaction
NH4NO3 —> N2 + 2H2O + O
CnH(2n+2) + 3O —> CO2 + H2O + C(n-1)H(2n)
5. Crude oil oxidizing releases more energy than
decomposition of the basic reagent (red line on graph)
6. Basic reagent can release either more gases or
more heat or it can be a combination of both
7. Water can participate in hydro-cracking of crude oil
in-situ if we are close to supercritical conditions, which
is suitable for very heavy oil or bitumen
8. Water can be helpful in conversion type I or type II
kerogen of into synthetic light crude oil, which can
be very suitable for shale oil
9. Certain toxic wastes can be used as a source of
energy for our purpose; it can be even additional
source of incomes
This is described
in our new patents

16. Another technical solution
• Parallel horizontal channels can be used
• Enables simultaneous stimulation and
recovery of the same oil well
• Enables supercritical conditions, creating the
possibility either to get good results in heavily-
watered wells or to reach hydro-cracking of
heavy oil or bitumen

17. OIL WELL REJUVENATION TECHNOLOGY PROCESS MODULES
The preparation / pumping
modules are designed
with focus on simplicity of
installation and flexibility of
mix & matching
components to specific
local conditions and
characteristics. The
assemblies are housed in
standard (sea-worthy)
high cube 40-ft containers.
Each module contains
PLC control system and
HMI, capable of local or
remote control.
WELL WATER FILTRATION MODULE (SELF CLEANING
FILTERS)
SOLUTION “A” PREPARATION MODULE
SOLUTION “B” PREPARATION MODULE
BULK CHEMICAL MIXING MODULE
WATER STORAGE MODULE
Automated controlling system

18. SOLUTION “A” PREPARATION / PUMPING MODULE
Solution “A” is for preparation and holding of chemical and water
solution during the pumping phase down the well. The pump is
connected through the existing oil well head up to 5km deep.
Preparation and mixing is controlled by PLC and HMI, providing
accuracy, repeatability and safety of the well rejuvenation process.

19. The filters with innovative and patented design combine the power of
continuously cleaning cross flow filtration with centrifugal separation and
solids collection into one device. It treads a wide range of difficult, non
potable feed waters containing up to 10,000 mg/L and can filter down to 10
microns even under variable conditions and in the presence of fats, oils,
greases and fibers. The filters ar conveniently housed in the HC 40 ft.
container. The PLC control system and HMI make the operation of the filters
predictable, even under large capacity demands. System is controlled by
PLC and HMI, providing local or remote (satellite) control/monitoring.
WELL WATER FILTRATION MODULE

20. WATER STORAGE MODULE
Water storage module is used for mixing solutions and process
control. The module is intended to function as a fixed, modular,
stationary unit. Can be quickly interconnected with any other
module with flexible piping.

21. Parameters of the well are entered into the
system
10m3 tanks can be filled from the top with
chemicals
Mixing to desired concentration is controlled by
computer
Mixing is secured by nozzles
Chemicals delivered by auger (screw)
Automatic, one push button operation
Various valves enable fast switching between
injection of chemicals and water
Sensors monitor the precise working
temperature (+/- 1.5%) and pressure
Software is designed to alleviate delay even in
deep wells
Manual and remote controls possible (password
protected)
Data is stored for further optimization of the
process (system knowledge base)
Operation

22. Some options
System can be delivered with additional
options according to customer needs
• Another 40” container with unit for
preparing chemicals (this unit requires
sufficient source of energy up to several
hundred kilowatts)
• Another module for water storage.
Cleaned or delivered water can be
stored in separate containers and used
later either for preparing chemical
solutions or for well cleaning, etc.
• All modules can be connected by
flexible hoses
• All modules can be connected to central
control unit or can have its own simple
control unit

23. More options
Some additional options available
• Another system with powerful unit for
water cleaning. Water polluted by crude
oil (sourcing from simple oil/water
separator) can be cleaned and used for
dissolution of chemicals. Developed for
places with lack of fresh water, yet with
heavily watered wells.
• Water can be cleaned up to highest
level (even drinkable).
• Remote operation - system can
optionally be controlled from dedicated
remote “central" point (under
development)
• System stores and applies all data
about temperature, pressure, flow rate
of chemicals / water at every instant

24. Results
The protocol below shows the results reached by our technology during the first operations on 5 wells at Lukoil
Komi.
Wells produced from 0 to 5.6 tons of crude oil before treatment, with water cut 50-98%. Results were recorded:
after 547 days, wells were still producing 1.3-13 tons of crude oil daily.
Total working days with recorded results were 1356, total additionally incremental recovered crude was 13,232
tons (just during traced period; production was much more actually), an average daily increase of 9.8 tons, or 70
barrels.
Total additional production was over 90,000 barrels, for a profit of 4 mil. USD.

25. Results (cont.)
Results from the previous page in English. Ratio between returned and invested dollar was much better than10:1 in less
than 1 year in average. Costs per barrel were less than $ 4. Actually it was < $2 in Russia (if we do not take into account
costs for recovery itself, cleaning of crude oil and transport to refinery). However, profit calculated bellow uses crude oil
price $40, while today it is around $50, so the difference can be considered as costs for above mentioned services.

26. Summary
TCTM Oil Ltd. is a technology company offering the most
modern, efficient and environmentally friendly method of oil
extraction in the world using Environment-friendly Thermo
Chemical Technology (ETCT).
ETCT-technology is based on unique know-how of the most
efficient technology for extracting oil:
ETCT-technology:
• Significantly lowers costs and investment as compared
to every competing secondary oil recovery method
• Very quick application
• Immediately multiplies production of oil several-fold, in
practically any well, under any conditions
• Reduces the water-to-oil ratio in most wells
• Can induce cracking to improve the quality of oil
• Effects last for up to two years and can be repeated
• Can be modified for any type of oil, in any climate
(desert, arctic, off-shore), on any type of well, at any
depth, with any water-cut
• Environmentally friendly: no harmful chemical by-
products are produced, no water is polluted. This is
unsurpassed in comparison with any other known
extraction technology.
• With a single mobile unit, hundreds of wells can be
treated and maintained with ETCT-technology.

27. The world is full of unrecovered oil. Over a million wells
have been shut down and a million more have not yet
been tapped. Climate, depth and heavy viscosity, together
with low prices, have made it uneconomical to explore
many regions where oil is abundant. Until now, with ETCT-
technology.
Increasing public pressure to save water and preserve the
environment has made oil and gas recovery a contentious
issue in the USA and elsewhere. Legislation may ban
hydro fracture in many countries. ETCT is the solution to
all of these concerns and more – it is probably the most
environmentally friendly method in the world.
Old wells can be restored to their original production levels
(or more), and new wells can be opened economically –
all without any technical or climatic limitations. And the
costs are much, much lower than by any other method.
In view of all the indicators, it is no exaggeration to say
that TCTM Oil Ltd. and its ETCT-technology is far and
away the best solution for oil production for the present
and future, under any and all conditions.
Conclusion

28. New patents are being prepared in cooperation with original inventors
and leading scientists and engineers.
TCTM Oil Ltd.
Křesomyslova 23
140 00 Praha 4
Czech Republic
e-mail: info@tctmoil.com
Contact us for more information.