ROSS Technology Removal of Oil, Solids and Scale Formers

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1 ROSS Technology Removal of Oil, Solids and Scale Formers Frac Flowback and Produced Treatment for Reuse WATER TECHNOLOGIES

2 Treatment for Reuse and Enhanced Oil Recovery ROSS Technology is a an effective method for treating upstream produced water generated from oil exploration and production operations. This unique technology combines Veolia s proprietary Multiflo high-rate chemical softening process with CeraMem ceramic membrane technology to generate high-quality water suitable for reuse in steam flooding, water flooding and fracking operations. Benefits of ROSS Technology Effective removal of scale formers (hardness, silica, iron, barium, strontium) Effective removal of particulates (oil, solids, bacteria, algae, clay) Absolute barrier to particulates, minimizing downstream carryover during upsets High system recovery rates (>98%), minimizing liquid waste generated Excellent thermal resistance (up to 210 F) Compact treatment system; 30% less space requirement than conventional approach Packaged, modular, shop-fabricated, pre-piped, pre-wired treatment system Applications for ROSS Technology Shale Oil Production: Treatment of frac flowback and produced water for reuse as frac water Flooding: Treatment of produced water for injection to achieve enhanced oil recovery Steam Flooding: Treatment of produced water for steam generation to achieve enhanced oil recovery Multiflo Softening is a compact-footprint process provided as packaged systems for removal of scale formers (hardness, silica, iron, barium, strontium) from produced water. The CeraMem ceramic membrane utilizes a 0.01 micron ultrafiltration membrane for removal of particulates (oil, solids, bacteria, algae, clay).

3 Reuse in Shale Oil Applications ROSS Technology is ideal for treatment of flowback and produced water for reuse in fracking operations. In the process, the feed water is first treated in Veolia s high-rate chemical softening and thickening technology called Multiflo for removal of scale formers. This process utilizes a proprietary draft tube mixing technology, Turbomix, to assist in the formation and separation of crystalline solids. These dense solids (6 to 10% by weight) are then removed in a settling zone using lamella plates. Excess solids are intermittently purged from the Multiflo for dewatering and subsequent landfill disposal. The softened water and crystalline solids are then processed through the CeraMem ceramic membrane ultrafiltration technology. Operated in crossflow mode, the membranes remove free oil, suspended solids and ROSS Technology - Shale Oil Reuse bacteria to very low concentrations in a single step. The solids from the CeraMem ultrafiltration are continuously recycled to the crystallization tank of the Multiflo, providing seed for crystal growth. The treated water from the CeraMem process is neutralized and reused in the shale oil operations as frac water, reducing fresh water demand. Coagulant Multiflo Chemical Softening CeraMem Ultrafiltration Alkali A Alkali B Acid Flowback / Produced Frac Reuse Filter Press Benefits Enables reuse of produced water as frac water Reduces fresh water demand Lessens dependency on natural fresh water resources Reduces produced water disposal costs Minimizes truck traffic for water transportation Reduces frac chemical demand Lowers lease operating expenses Performance Data Shale Oil Reuse Applications Contaminant Feed Multiflo CeraMem Total hardness, ppm as CaCO ,000 < 20 < 20 Total iron, ppm 3 80 < 1.0 < 0.5 Free oil, ppm (>20 μm) < 10 < 0.2 Total suspended solids, ppm < 10 < 0.2 Bacteria, cells / ml 100 9, ,999 non-detect

4 Flood Applications In water flooding operations, a deaeration gas stripper is added to the basic ROSS system. The deaerator removes dissolved oxygen from the treated water, preventing corrosion in the injection piping network in the oilfield. ROSS Technology - Flood Coagulant MultiFlo Chemical Softening CeraMem Ultrafiltration Deaeration Gas Stripper Alkali A Alkali B Fuel Gas Acid Fuel Gas Produced Injection Filter Press Benefits Increases reservoir injectivity rates Enhances recovery of oil from formation Reduces plugging of formation pores with particulates and scale deposits Lessens injector pipe scaling issues Minimizes injector piping corrosion Reduces injection chemical demand Lowers lease operating expenses Performance Data Flood Applications Contaminant Feed Multiflo CeraMem Deaerator Total hardness, ppm as CaCO 3 1,000 5,000 < 20 < 20 < 0.5 Total iron, ppm 2 30 < 1.0 < 0.5 < 0.5 Free oil, ppm (>20 μm) < 10 < 0.2 < 0.2 Total suspended solids, ppm < 10 < 0.2 < 0.2 Bacteria, cells / ml 100 9, ,999 non-detect non-detect Oxygen, ppm < 0.05

5 Steam Flood Applications In steam flooding applications, a Weak Acid Cation (WAC) Ion Exchange (IX) Softener is added to the basic process to reduce the hardness to lower levels. The WAC IX Softener is regenerated with acid and caustic, and regeneration waste is sent for deep well disposal. ROSS Technology - Steam Flood Coagulant Multiflo Chemical Softening CeraMem Ultrafiltration WAC IX Softener Alkali A Alkali B Acid Produced To Steam Generator Filter Press Benefits Alkali B Reduces silica scaling on steam generators Reduces steam generator pigging costs Increases steam quality from 65% to 80% Higher thermal efficiency: more heat, less water injection Less waste generation (<20%) than conventional approach Lowers steam generator scale inhibitor costs Reduces blowdown volume and handling costs Increases steam generator uptime availability Performance Data Steam Flood Applications Contaminant Feed Multiflo CeraMem WAC IX Silica, ppm < 20 < 20 < 20 Total hardness, ppm as CaCO ,500 < 20 < 20 < 0.1 Total iron, ppm 2 3 < 1.0 < 0.5 < 0.1 Free oil, ppm (>20 μm) < 10 < 0.2 < 0.2 Total suspended solids, ppm < 10 < 0.2 < 0.2

6 Total Project Capabilities Pilot Demonstration Veolia offers onsite performance demonstration of ROSS Technology using mobile pilot systems. These pilot units are capable of treating 150 to 685 barrels/ day of water. Through piloting, each unique application can be thoroughly tested prior to design and installation of the full-scale system. This ensures that the installed system will achieve the designed performance and operating cost parameters. Flexible Project Delivery Options Our project delivery can be tailored to your purchasing preferences: Engineering / Procurement Design / Build / Operate / Guarantee (DBOG) Design / Build / Own / Operate (DBOO) Design / Build / Operate / Finance (DBOF) Veolia is the only water treatment company that offers DBOG project delivery agreements. Long-term operation contracts include facility maintenance, treatment chemicals and guaranteed system performance for the life of the operating contract. Under DBOG contracts, each system is designed to optimize operations, eliminating the risks of rising costs, performance and availability over the life of the system.

7 Proven Performance ROSS Technology is a critical part of other produced water treatment systems. Veolia s OPUS II technology utilizes a ROSS system as pretreatment prior to ion exchange and reverse osmosis. The overall treatment is designed to produce 45,000 barrels/day of high-quality effluent. In this application, 25,000 barrels/day of the ROSS system effluent is used for steam generation and 20,000 barrels/day is further processed in the OPUS II system for discharge to surface water. OPUS II provides clean water for downstream irrigation and other beneficial reuse. The treated water exceeds state and federal requirements for quality. This 3-D drawing shows a typical design of a ROSS system, illustrating the small footprint of the process. Why Veolia? Unmatched expertise in design, build and operation of produced water treatment systems Strong references in produced water treatment systems from 5,000 to 250,000 barrels/day Proven technology that enables reuse of produced water with effective contaminant removal DBOG / DBOO / DBOF delivery options eliminate capital outlay and offer performance guarantees Largest environmental company in the world with $30 billion annual revenue Veola provides the financial backing for delivery of large commercial projects

8 Pittsburgh, PA Tel. +1 (412) Veolia Technologies Houston, TX Tel. +1 (281) VWS Communications - 10/2014 Boston, MA Tel. +1 (781) Los Angeles, CA Tel. +1 (800) water.info@veolia.com

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