®

Pressure Control
Business
Contents

 History
 Management Team
 Manufacturing Facilities
 Worldwide Sales & Service
 Product Lines
 Commitment
 Summary
 Additional Information
3
History

4
Management Team

Chairman
Hydril Company
Richard Seaver

President & CEO

Hydril Company
Chris Seaver

Managing Director Managing Director

Tubular Products Division Pressure Control Division
Steve Magee Charles Jones

Director Director Director

Manufacturing Sales & Marketing Engineering
Desi Barreto Dave Wiley Bob Kane

Director Director
Advanced Technology & Applications Research & Development
Graeme Reynolds Charlie Peterman

5
Hydril Technology Center

 Scope of Activity
 World headquarters
 Design, manufacture and test of pressure control products
 Manufacturing Competence………………...ISO 9001 awarded by ABS
ABS, DNV, Lloyds
API Spec 6A, 7, 8C, 16A D and (RP) E, 17D and (RP) 64
ASME B-PV Code Section VIII, Div. 1
Quality Assurance program conforms to API Spec Q1
 Facility Size……………………………………. 96 acres, 218,000 square feet covered
 Manpower……………………………………….600 employees of which 303 are pressure control
 Location…………………………………………Houston, Texas, USA (since 1978)
 Convenient to Intercontinental Airport 6
Valvcon Facility

 Scope of Activity
 Repair and remanufacture of Hydril blowout preventers, pulsation dampeners
 Repair and remanufacture of other brands of blowout preventers and marine riser
 Fabrication and unitization of Hydril blowout preventer stacks
 Manufacture of FlatpakTM chemical injection and downhole control lines
 Manufacturing Competence………….. ABS, DNV, Lloyds
API 6A, tested to 16A
Testing to 30,000 psi
 Facility Size…………………………… 6 acres, 59,000 square feet covered
 Manpower…………………………….. 119 employees
 Location………………………………. Houston, Texas, USA (since 1976)
Convenient to William P. Hobby Airport
7
Elastomer Facility

 Scope of Activity
 Formulation of elastomeric compounds and molding of Hydril, BettisR, proprietary and
contract rubber and rubber-over-metal products
 Design and manufacture of pulsation dampeners
 Manufacturing Competence….ASME B-PV Code Section VIII, Div. 1
ABS, DNV, Lloyds
API 6A, 16A
Quality Assurance program conforms to API Spec Q1
 Facility Size…………………….. 44 acres, 100,000 square feet covered
 Manpower………………………..160 employees
 Location…………………………. Houston, Texas, USA (since 1979)
Convenient to Intercontinental Airport
8
Sales/Service - Western Hemisphere
Hydril
Coverage Personnel Agent ARF*

Argentina X
Bolivia X
Brazil X X X
Canada X X
Chile X
Colombia X
Costa Rica X
Ecuador X
Guatemala X
Mexico X
Peru X
Trinidad X
United States X X
Venezuela X X X

* Authorized Repair Facility

9
Sales/Service - Europe, Middle East, & Africa
Hydril
Coverage Personnel Agent ARF*

Algeria X
Angola X
Cameroon X
Congo X
Croatia X
Denmark X
Egypt X
Gabon X
Germany X X
Italy X X
Jordan X
Netherlands X X
Nigeria X
Norway X X X
Oman X
Qatar X
Russia X
Saudi Arabia X X
South Africa X
Sudan X
Syria X
Turkey X
U.A.E. X X X
United Kingdom X X
Yemen X
Zaire X
* Authorized Repair Facilities

10
Sales/Service - Asia Pacific
Hydril
Coverage Personnel Agent ARF*

Australia X X
Azerbaijan X
Bangladesh X
Brunei X
China X
India X
Indonesia X X
Japan X
Kazakhstan X
Korea X
Malaysia X
Myanmar X
Pakistan X
Philippines X
Russia X
Singapore X X
Taiwan X
Thailand X

* Authorized Repair Facilities 11

Authorized Repair Facilities

 Contract with Hydril

 Disassemble, inspect, machine, weld repair,
replace parts, reassemble, test, and paint

 Conform to Hydril engineering specifications,

QA standards and shop procedures

 Audits by Hydril on quality of operations

12
Products for Oil/Gas Well Drilling

Control systems
for operating
Drill pipe wiper
subsea BOP

Pulsation Control System Diverter

dampener operates blowout
preventers

Annular Ram blowout Gas

blowout preventers Telescopic handler
preventer joint packer

Control
Line

Drill pipe
protectors

Anti-
collapse
Annular valve
Drill stem blowout
valves preventers
and ram
blowout
preventers

Products for Land Rig Products for Floating Rig

13
 Blowout Preventer Stacks

Surface BOP Stack Subsea BOP Stack Guidelineless Subsea BOP

Britannia Platform Saga Snorre Stack
Transocean Mariannas

7/2/98 14
Blowout Preventers - Drilling
 Developed 1930s (market pioneer)
 Broadest offering in the industry
 Models GK, GL, GX, MSP ...34
configurations
 2-9/16 to 30 inch, 500 to 20,000 psi
 $10,000 to $500,000
 Conforms to API 16A, DNV, ABS,
Lloyds,NACE MR0175
GX Annular

 Developed 1970s, re-engineered 1995

 Broad product offering
 18 configurations
 Single, double or triple ram
 Blind, pipe, variable, dual offset, shear,
hanging or alignment
 7-1/16 to 21-1/4 inch, 2,000 to 20,000 psi
 $60,000 to $700,000
Compact Double Ram  Conforms to API 16A, DNV, ABS, Lloyds,
NACE MR0175
15
Compact BOP Customer List
End User Rig or Platform Operator/Destination Water Depth

1. Phillips Petroleum 2/4 - X Platform Phillips Petroleum/North Sea 230 ft

2. Santa Fe International Andrew Platform British Petroleum/North Sea 380 ft
3. Britannia Operator Ltd. Britannia Platform Britannia Operator/North Sea 460 ft
4, Santa Fe International Rig 135 British Gas/North Sea 1000 ft
5. Santa Fe International Rig 140 British Petroleum/Gulf of Mexico 1800 ft
6. Transocean Offshore Drlg Marianas Shell/Gulf of Mexico 3500 ft
7. Smedvig Drillship Odin Statoil/Norway 6000 ft
8. Smedvig West Future 2 Norsk Hydro/Norway 6000 ft
9. Transocean Offshore Drlg Discoverer 7 Seas Exxon/Gulf of Mexico 6500 ft
10. Noble Roger Eason Petrobras/Brazil 8000 ft
11. Sedco Forex Sedco 707 Petrobras/Brazil 10000 ft
12. Transocean Offshore Drlg Discoverer Enterprise Amoco/Gulf of Mexico 10000 ft
13. Transocean Offshore Drlg Discoverer Spirit Unocal/Spirit Energy/Gulf of Mexico 10000 ft
14. Transocean Offshore Drlg Discoverer Deep Seas Chevron/Gulf of Mexico 10000 ft

16
Control Systems
 Developed 1950s, acquired Valvcon 1976,
acquired Syntron 1995
 For surface applications
 Custom designed to meet customer specs
 Encompasses accumulator bottles, hydraulic
fluid pumps, valves and gauges, motors
 Unitized system or individual major
Skid Mounted Surface Unit components
Phillips Ekofisk

 Developed 1970s, acquired Syntron 1995

 For subsea applications
 Multiplex (MUX) electro-hydraulic
 Microprocessor based, software driven
systems
 Most reliable technology in ultra-deep water
 20-year design life

Subsea MUX Control Pod

 On-line diagnostics
17
Control System Customer List

End User Rig or Platform Operator/Destination Water Depth

1. Phillips Petroleum 2/4 - X Platform Phillips Petroleum/North Sea 230 ft

2. Santa Fe International Andrew Platform British Petroleum/North Sea 380 ft
3. Kvaerner Oil & gas Shelf V BP/Statoil "Shah Deniz"/Azerbaijan 1800 ft
4. Dolphin Drilling Bideford Dolphin SAGA Petroleum/Norway 2200 ft
5. Dolphin Drilling Borgland Dolphin Statoil/Norway 2200 ft
* 6. Transocean Offshore Drlg Marianas Shell/Gulf of Mexico 3500 ft
* 7. Sedco Forex Amethyst Petrobras/Brazil 4000 ft
* 8. Noble Victor Muravlenko Petrobras/Brazil 5500 ft
* 9. Smedvig Discoverer Odin Statoil/Norway 6000 ft
* 10. Smedvig West Future 2 Norsk Hydro/Norway 6000 ft
* 11. Transocean Offshore Drlg Discoverer 7 Seas Exxon/Gulf of Mexico 6500 ft
* 12. Noble Roger Eason Petrobras/Brazil 8000 ft
* 13. Petroserve Louisiana Petrobras/Brazil 8000 ft
* 14. Sedco Forex Sedco 707 Petrobras/Brazil 10000 ft
* 15. Transocean Offshore Drlg Discoverer Spirit Unocal/Spirit Energy/Gulf of Mexico 10000 ft
* 16. Transocean Offshore Drlg Discoverer Deep Seas Chevron/Gulf of Mexico 10000 ft

18
Diverter Systems
 Developed 1960s
 FS/FSP patented design 1985
 For offshore applications
 Diverts the flow of gas and/or
sand away from the rig in the
event a pressurized gas zone is
penetrated during shallow drilling
 Positioned between the water line
and drill floor, or
 Subsea latched to the wellhead
 Breadth of offering
 5 configurations
 21 to 30 inches, 500 to 2,000 psi
 Flow selector with actuator
optional
 $200,000 to $1,300,000
FS 21-500 Diverter
 Conforms to API RP 64

19
FS Diverters / Gas Handlers
HYDRIL FS DIVERTERS / GAS HANDLERS
Customer List CUSTOMER LIST

Customer FS Rig End User GH Operator

Size (Drilling Contractor)
Aker Rauma Offshore 49.5" Shelf 5 BP Exploration BP
Maritime Hydraulics 49.5" Borgland Dolphin Dolphin
Petrodrill 49.5" Amethyst 2 Petrodrill Petrobras
Petrodrill 49.5" Amethyst 3 Petrodrill Petrobras
Petrodrill 49.5" Amethyst 4 Petrodrill Petrobras
Petrodrill 49.5" Amethyst 5 Petrodrill Petrobras
Petrodrill 49.5" Amethyst 6 Petrodrill Petrobras
Petrodrill 49.5" Amethyst 7 Petrodrill Petrobras
Sedco Forex 49.5" Elf Express 1 Sedco Forex Elf
Sedco Forex 49.5" Elf Express 2 Sedco Forex Texaco
Deepwater Drilling LLC 60.5" Deepwater Frontier (R & B 2) RB Falcon Drilling Conoco / R&B
Deepwater Drilling LLC 60.5" Deepwater Millennium (R & B 3) RB Falcon Drilling Statoil
Deepwater Drilling LLC 60.5" Pathfinder (R & B 1) RB Falcon Drilling Conoco
Marine Drilling 60.5" Marine 500 Marine Drilling Wapta
Marine Drilling 60.5" Marine 700 Marine Drilling Exxon
Maritime Hydraulics 60.5" West Future 2 Smedvig Norsk Hydro
RB Falcon Drilling 60.5" Peregrine 9 RB Falcon Drilling GH Mobil
RB Falcon Drilling 60.5" Peregrine 10 RB Falcon Drilling GH
RB Falcon Drilling 60.5" Peregrine 4 RB Falcon Drilling GH Petrobras
RB Falcon Drilling 60.5" Peregrine 6 RB Falcon Drilling GH Mobil / Phillips
RB Falcon Drilling 60.5" Peregrine 7 RB Falcon Drilling Amoco
RB Falcon Drilling 60.5" Peregrine 8 RB Falcon Drilling GH Texaco
RB Falcon Drilling 60.5" RBS - 6 RB Falcon Drilling GH Shell
Smedvig 60.5" West Odin (CADS 1) Smedvig Statoil
20
Drill Stem Valves
 Developed 1930s (market pioneer)
 Positioned above and below the kelly, or in the top drive or
power swivel to close the bore of the drill string
 Broadest offering in the industry
 15 configurations, including top drive or power swivel
 2-1/2 to 5-1/4 inch; 10,000 to 20,000 psi
 Pneumatic actuator for top drive models
 $3,000 to $13,000
 Conforms to API Specifications 7 and 8C,
 NACE MR-01-75 optional
Kellyguardä

 Developed 1930s (market pioneer)

 Installed in the lower end of the drill string above the bit
 to prevent backflow
 Broadest offering in the industry
 4 configurations
 1-11/16 to 3 inches
 10,000 psi
 $8,000 to $12,000
Checkguardâ
 Conforms to API Specification 7
21
Pulsation Dampeners - Drilling

 Developed 1950s (market pioneer)

 Installed at the discharge end of a
reciprocating-type mud pump to
moderate pulsations
 Other applications
 Suction stabilizer
 Surge absorber
 Energy storage
 Broadest offering in the industry
 13 configurations
 10, 20 and 80 gallons,
 275 to 7,500 psi
 $12,000 to $50,000
 Conforms to ASME B-PV Code
K-Series  Section VIII, Div. 1

22
Elastomer Capability
 150 active compounds
 Most frequently sold. . . . .
Buna Nitrile Natural Rubber
EPDM Neoprene
Hydrogenated Nitrile Viton
 Temperature range. . . . -100 to +500° F.
 Fluid mediums encountered . . . .nonpolar hydrocarbons
to sulfuric acid
 Press capability up to 96” X 96” compression and 630 ton
injection
 Size range of molded products . . . . 2 to 90 inches O.D.
 Expertise in bonding rubber to metal 23
Commitment
Mission Statement
 To provide our customers with technology that enables
them to increase productivity, improve safety, reduce
operating costs, protect the environment
 To make it easy for our customers to do business with us
 To maintain the highest standards for quality of products
and operations

How We Do This
 Focus on the customer
 Improve product lines and work processes
 Develop or acquire new/enabling technologies
24
Improved Products

 Compact Ram BOP

 Developed 1995
 18-3/4 inch
 5,000/10,000/15,000 psi
 Patented bonnet seal
carrier design

 20-25 % weight reduction

Old Style 18-15 New Style 18-15  Field repairable

25
R&D Projects
 Proprietary Studies
 Underbalanced Drilling
 Riserless Drilling
 Free Standing Riser
 Joint Studies
 Deepstar…… Gulf of Mexico deep water (oil
companies, engineering firms, manufacturers,
service companies)
 Jamstec……. Japan offshore geological strata
 NIST ………. U.S. National Institute for Standards &
Technology study of composite materials

26
Summary

 Ownership with a long term view

 Modern, well-equipped manufacturing facilities
 Worldwide sales and service
 Durable, reliable products
 Well-known active technology company

27
Authorized Repair Facilities
Country Company Name Since

Brazil PWR Mission Ind. Mec. Ltda. 1993

Canada Academy Petroleum Industries 1995
Germany BENTEC GmbH Drlg & Oilfield Syst 1994
Indonesia P.T. FMC Santana Pet Eqmt Indonesia1994
Italy OMPA 1995
Norway WEPCO A. S. 1989
Saudi Arabia AMCO (Arabian Metals Company) 1992
Scotland AJT Engineering LTD. 1988
Scotland Yardbury Eng and Oilfield Products 1995
Singapore Van Der Horst LTD. 1988
Singapore Eastburn Stork PTE. LTD. 1991
The Netherlands Stork Services BV 1993
U.A.E. WESCO 1992
USA - Houston, TX Valvcon 1983
USA - Alaska BW/IP International, Inc.., Pump Div 1995

28
Enabling Technology
 Patented design
 Developed 1984
 4-piece connector
 For marine drilling riser joints
 Greater fatigue life in ultra-deep water (to 13,000 ft)
 Reduced joint cycle time by 50% with hydraulic make-up tool
 Companion products include
 Telescopic joint
HST Coupling  Stowable tensioner ring
 Gas handler
 Anticollapse valve

 Patented design
 Developed 1987
 3-piece connector
 Connects joints of pipe to form unitized tendons for
a TLP mooring system
 Shell Oil purchased and tested 6 prototypes in 1988….funded
further development in 1995

XST Coupling 29