ESG Solutions Announces Installation of New Permanent Microseismic Monitoring System in Southern California

HOUSTON, Jan. 24, 2013 /CNW/ - ESG Solutions, an industry leader in microseismic technology and services, is pleased to announce the successful installation of a permanent microseismic acquisition system near Bakersfield, California. The system, consisting of multiple, time-synchronized downhole geophone arrays and surface acquisition units, will be used to monitor hydraulic fracturing and waterflood operations in a diatomite formation.

(Logo: http://photos.prnewswire.com/prnh/20101122/DA06004LOGO)

Diatomite is a low permeability, oil-bearing formation that benefits from enhanced oil recovery methods. "In these operations, fracturing processes that occur in the reservoir can lead to unexpected movement of the injection fluid and/or hydrocarbon within the reservoir," says Dr. Ted Urbancic, Executive Vice President of Global Energy Services at ESG. "Understanding these processes using microseismic analysis helps to optimize reservoir treatments and can provide some measure of safety during stimulation."

Operators near Bakersfield are also taking advantage of powerful software tools such as ESG's SeisAlert™ to provide real-time alerting in the event of abnormal fracture growth, compromised well casing integrity or larger magnitude induced seismicity. Originally developed for use in the mining industry, SeisAlert™ continuously evaluates microseismic data against pre-determined thresholds for added surveillance of the reservoir and in the event of abnormal seismicity, automatically dispatches communications notifying operators.

ESG has been monitoring seismicity in California's diatomite for nearly 10 years. "This most recent installation brings the number of permanent ESG systems in California to over 10," says Urbancic. "We are pleased that our technology is helping many operators improve completion effectiveness and reservoir management." With extensive microseismic experience in complex reservoirs such as diatomite, ESG attributes part of its success in the formation to advanced multi-well acquisition and analysis that uniquely provides operators with in-depth assessment of reservoir behaviour during production and/or injection activities.

For more information, please visit our website: www.esgsolutions.com.

About ESG Solutions:

Founded in 1993, ESG Solutions (Engineering Seismology Group or ESG) is the leading provider of innovative microseismic solutions for the oil and gas, mining and geotechnical industries. ESG helps operators improve safety, optimize production, reduce costs and mitigate risk associated with hydraulic fracturing, thermal enhanced oil recovery, waste-water injections, underground and open-pit mining, natural gas storage, carbon sequestration and geotechnical applications. ESG is headquartered in Kingston (Canada), with operations in Calgary, Houston and Changsha, China and sales in Dubai, Denver, Amsterdam and Beijing. 2013 marks ESG's 20^th Anniversary.

SOURCE: ESG Solutions

Katie Mountjoy, [phone] ext 257, [email protected]

www.esgsolutions.com

http://photos.prnewswire.com/prnh/20101122/DA06004LOGO

PRN Photo Desk, [email protected]