TYRONE ENVIRONMENTAL GRP.

1. TYRONE ENVIRONMENTAL GRP. An introduction to cleaning fracture water for Oil and Gas drilling

2. WHO WE ARE: • Tyrone Environmental is involved in recycling water, plastics and rubber. • Tyrone’s Distillation and Vapor Compression, water cleaning equipment, separates distilled water and contaminants from waste water • We have teamed up with equipment suppliers of patented and proprietary systems to efficiently clean and recycle fracture water and salts in gas drilling.

3. WHAT WE OFFER: Cleaning Fracture Water • Portable and Modular System • Automatic operation • Minimal labor and minimal maintenance • Cost effective operating System • Buy or Lease Options

4. BRINE WATER: CHOICES • You can choose whether you wish to remove and recycle as much water as possible, but before salt crystals form, which is called making saturated brine; or • You can choose to remove even more water such that the you make a slurry with salt crystals; or • You can choose to remove and recycle the maximum amount of water and dry the salt crystals

5. Level of De-Watering Recap: The amount of water you remove depends on what you wish to do with the water and contaminates in the water. Do you wish to create a… • Saturated Brine or • Crystal Slurry or • Dry Crystal

6. PROCESS FLOW CHART: DISTILLATION & RECOVERY BRINE WATER – OIL & GAS Notes: Depending on Type of Pre-treatment, Crystals will be “Clean” and Recyclable, or “Contaminated” with minerals, metals, oils, etc. When practical to form Slurry, “Crystallizer” is integrated with Distillation so the operating system takes advantage of the Ultra-Efficient Vapor Compression Cycle

7. EQUIPMENT CONFIGURATION • Different equipment is required in the making of either a saturated brine, or a crystal slurry, or a dry crystal output

8. Saturated Brine: OBEJECTIVE • If your objective is to reduce costs (transportation and disposal), and comply with EPA regulations, then removing as much water as possible before salt crystals form may be your choice • Depending on the make-up of the waste water stream you can expect to remove 40% to plus 90% of the water • The distilled water, and clear brine can be sold and the concentrate will be disposed

9. Saturated Brine: Important • Maximum de-watering depends on the saturation point of the brine. It is important that crystals do not form in the standard configuration of Distillation & Recovery system. • We avoid problems: The level of brine concentration is monitored and automatically managed by process controls and set points.

10. Crystal Slurry: OBJECTIVE • If your objective is to exceed the saturation point and remove extra water, thereby reducing your costs further, you will create even more distilled water and a crystal slurry • You can sell the distilled water, but you’ll need to dispose of the crystal slurry

11. Crystal Slurry: Important • Recovering brine crystals require the solution to be processed in a Forced Circulation Crystallizer. (see slide #13) • The Vapor Compression Cycle is integrated making an Ultra-Efficient Process.

12. CRYSTAL SLURRY: Forced circulation • Vessel is designed for collecting and growing crystals. The solution containing both saturated brine and crystals is “force-circulated” downward through a “stand-pipe” where crystals have resident time to grow. • The co-mingled solution is force-circulated through a centrifugal separator where brine and crystals are separated

13. FLOW DIAGRAM:

14. FLOW DIAGRAM: EXPLANATION

15. Forced Separation The Co-Mingled solution has two components having different mass: • Brine Liquid…lighter component circulates back to the vessel and • Brine Crystals…heavier component discharges the system as a Wet Slurry. As the slurry cools, more crystals form and separate from the remaining saturated liquid. This liquid can be sent back to the Distillation & Recovery system for more dewatering, if practical.

16. Dry Crystals • Depending on desired dryness, Slurry can be post-processed by conventional means and equipment.

17. COMPARISON: THREE DE-WATERING CHOICES

18. COMPARISON: THREE DE-WATERING CHOICES For making saturated brine, for this sample of feedstock, our D&R (Distillation and Recovery) machine has energy costs per gallon of 2 ¢ For making salt, for this sample of feedstock our D&R (Distillation and Recovery) machine has energy costs per gallon of 3 ¢

20. BENEFITS OF OUR SYSTEM: • It is mobile and can be operated in the field • You choose how much water you wish to remove, recycle, or dispose • It eliminates the need to dispose of large volume of brine contaminated waste • It provides resource recovery of brine combined with water recycling

21. BENEFITS OF OUR SYSTEM: Ecological Benefits • Recycling Clean Water and Brine prevents contaminating the ground, ground water, or local POTW. • Recovers valuable commodities that are otherwise contaminants.

22. SUGGESTED NEXT STEPS: • Review PowerPoint Slide shows: • 1) Making Saturated Brine • 2) Making Crystals • Decide which equipment configuration you want based on how much water you wish to remove from the brine water; or when advantageous to make crystals

23. CONTACT US: Tyrone Environmental Grp. 304 Spring Dr. Winston Salem, N.C., 27107 Telephone: 336 499 0592