Business Brief

BusinessBrief

Baker Hughes, Minot ND Energy Development and Transmission Committee

Minot, N.D., Nov. 29, 2017 Baker Hughes, a GE company (NYSE:BHGE) is the world’s first and only full stream provider of integrated oilfield products, services and digital solutions. Drawing on a storied heritage of invention, BHGE harnesses the passion and experience of its people to enhance productivity across the oil and gas value chain.

BHGE helps its customers acquire, transport and refine hydrocarbons more efficiently, productively and safely, with a smaller environmental footprint and at lower cost per barrel. Backed by the digital industrial strength of GE, the company deploys minds, machines and the cloud to break down silos and reduce waste and risk, applying breakthroughs from other industries to advance its own.

With operations in over 120 countries, the company’s global scale, local know-how and commitment to service infuse over a century of experience with the spirit of a startup – inventing smarter ways to bring energy to the world.

bmetz

Text Box

APPENDIX H

Confidential. Not to be copied, distributed, or reproduced without prior approval.© 2017 Baker Hughes, a GE company,

LLC - All rights reserved.

Baker Hughes - Minot

December 1, 2017

The Bakken’s Leading Service Industry Facility

Kalvin Larson & Warren Wilson

Confidential. Not to be copied, distributed, or reproduced without prior approval.

History

Confidential. Not to be copied, distributed, or reproduced without prior approval. December 1, 2017 3

History of the Minot Facility

Beginning “Joint Facility” Construction Facility DetailsOperations started out of Minot in 2009

Grand Opening in September 2012

• The Minot Joint Facility was first built as a supporting office for other ND facilities

• Now is the Central Hub for the Bakken/Three Forks operations in the Northern Rockies area

20 Acres Sq. Ft.Admin 12,400Work Shop 97,358Petrolite Office/Warehouse 20,400Stim Plus Office/Warehouse 13,200Total SQ FT 143,458

Confidential. Not to be copied, distributed, or reproduced without prior approval. December 1, 2017 4

Why not, Minot?

Minot Air Force Base Centralized hub on 3 US Hwys Quality of LifeGreat candidate pool

Highly trained candidates, good employment pool

Hwy 2, 52, and 83 intersect in Minot

Oilfields exist to the north, south, and west ranging from 15 minutes to 45 minutes

• Minot Air Force Base

• Minot is a hub intersection on 3 major US Highways; 2, 52, 83

• Good quality of life, easy to retain employees

Minot has good housing and accommodations for employees

Easy to retain employees living in Minot


Joint Facility Facts


Baker Hughes - Minot Joint Facility Facts

December 1, 2017 6

Currently 155 employees out of the Minot Office• 55,000 employees world-wide, operating in 120 countries• Added 55 employees in 2017 to-date• Approximately 50 employees use the Minot International Airport for work-related

business

Minot’s facility is the #2 revenue generating facility in the US Market for BHGE

Minot’s Joint Facility currently has 24 different vendors that help service the facility

Employees/Revenue



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Product Lines8 product lines operating/distributing out of the Minot Office• AMO – Assembly/Maintenance/Overhaul• Drilling Services – MWD/LWD for drilling the wells• Drill Bits – Industry Leading drill bits for drilling rigs• Production Chemicals – Bakken/Three Forks leading production chemicals

company• Completion Chemicals – Industry leading completions chemicals• Automation – In-house manufacturing of components for pumps• Pumping Units – Lufkin Pumping units• ALS – Industry leading Electric Submersible Pumps (ESP) and Quinn Pumps



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Aerial Image – 20 acre footprint


Minot Area Oilfields



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North of Minot – 1020 active wells located in Ward, Renville, and Bottineau County



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Western ND – Red Boundaries indicate active oilfields

Minot


Summary


Baker Hughes - Minot Joint Facility

December 1, 2017 13

Currently 155 employees out of the Minot Office• Added 55 employees in 2017 to-date

Minot’s facility is the #2 revenue generating facility in the US Market for BHGE

We’re here for the long haul!

Summary

BA ER fl UGH ES a GE company

Electric C<Ible

Pump

Gas Separator

.Motor -

Va11iable Speed Drive

Motor l ead

Figure 8-3 ESP System

64

ESP CABLE

1. Purpose

Chapter 4

Pump

Baker Hughes ESP System Pumps are multistage centrifugal pumps that convert the energy from the rotating shaft into centrifugal forces that lift well fluids to the surface. The pump is normally attached to, or hangs from the production tubing.

2. Components ESP Pumps (Figure 4-1) are made up of the following basic components:

• Shaft • Impeller • Diffuser • Housing

31

Housing--

Shaft~-"-~~-

Figure 4-1

PUMP

ESP Pump Cutaway

Gas Vent Port ------r-- .

Guide Vane ------.--

Inducer or HAVA

Figure 5-1 Rotary Gas Separator

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GAS SEPARATOR

Separation Chamber

_____ Intake

Figure 6-1 shows the construction and major components of a typical seal section.

--- Mechanical Seal

Elastomer Bag----..1

---Mechanical Seal

Labyrinth Chamber--

tiE;;~~,;tt-----Thrust Bearing Heat Exchanger---tUE=.~ and Runner

Figure 6-1 ESP Seal Components

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2. ESP Cable Components Baker Hughes cables are constructed in both round and flat configurations (Figure 8-1 ). Most cable are composed of at least four components; a conductor, insulation, jacket and armor.

F'at Cable Cons ruction

Armor Jacket o ~ ductor

Round Cabe Construction Figure 8-1

Flat and Round Cable Cutaway

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