Baker Jardine and Hyprotech Announce Major Upstream Simulation Alliance; PIPESIM and HYSYS System Integration To Produce Production System Model for Improved Asset Performance.

Business Editors/High-Tech Writers

CALGARY, Alberta--(BUSINESS WIRE)--Dec. 1, 2000

Baker Jardine and Hyprotech today announced an alliance aimed at producing the first fully integrated, commercial Production System Model. In the first product from this alliance, Baker Jardine's industry leading wellbore, tubing and flowline simulation software, PIPESIM(TM), will be integrated into Hyprotech's HYSYS(TM).Process simulation environment. This integration will allow the development of models from well completion through the entire process production facilities sharing common PVT descriptions. Baker Jardine's Production Network Model, PIPESIM-NET, will then be integrated into HYSYS.Process, allowing the joint modeling of production networks and facilities.

These Production System Models deliver significant benefits in production system optimisation where processing constraints often interact with the performance of wells. For example, such benefits would be achieved in gas lifted oil production systems where compression limitations control the lift gas availability to individual wells.

The alliance will deliver integrated Field Planning Tools from reservoir performance through process capacity, time stepped over field life and powered by Baker Jardine's Field Planning Tool (FPT) with HYSYS.Process. The alliance will also examine the integration of production surveillance and optimisation by combining Baker Jardine's production surveillance tool, ProdMan, with real time process optimisation software.

Additionally, the alliance will deliver new generation Production System Models where the benefits of applying such technology have been shown to result in typical increases in oil and gas production of approximately 12% over field life.

Alan Baker, Managing Director, Baker Jardine, stated: "For the first time, the Upstream Industry will have a consistent platform for well, flow line and process facility modeling, sharing consistent fluid model descriptions from reservoir through process. The alliance will allow standard process simulation technology such as optimisation and neural network analysis to be used in conjunction with standard petroleum engineering techniques."

Wayne Sim, CEO of Hyprotech, added: "This alliance will provide a unique approach to the challenges of oil and gas production and will allow our customers rapid analysis of the performance and profitability of their facilities throughout the lifecycle."

About Baker Jardine & Associates

Baker Jardine have wide experience in the provision of engineering design and operations optimisation tools for oil and gas production systems, particularly in the transportation of live hydrocarbon fluids, a vital element in the production and processing of hydrocarbons. The development of efficient gathering and transportation systems requires a combination of detailed theoretical knowledge and practical experience of the complex behaviour of multiphase hydrocarbon mixtures.

Baker Jardine have developed PIPESIM, which is the industry standard, steady state, multiphase fluid flow simulation software tool. PIPESIM is a comprehensive production system model, with modules for Reservoirs, Wells, Flowlines, Pipeline Networks and Process Facilities. These models are extensively linked to other industry tools. PIPESIM has been successfully applied to many complex challenges in the modeling of new and existing oil and gas production and distribution systems for most major oil companies.

Baker Jardine's ProdMan Production Operations Manager is one of the industry's leading production operations tools. Data management, combined with the power of PIPESIM simulation, provides significant production gains to oil and gas producing assets by providing surveillance, diagnosis and optimisation. For more information about Baker Jardine, contact Rachel Henderson, Marketing Co-ordinator, at: [e-mail] or Stephen King, Director, at [phone] or visit www.bakerjardine.com

About Hyprotech and AEA Technology 

Hyprotech, a wholly owned subsidiary of AEA Technology plc, is a leading supplier of engineering knowledge deployment solutions to the process industries, focused on innovation, improved profitability and operating performance throughout the enterprise lifecycle. With integrated capabilities to address design, automation, optimisation and training, Hyprotech serves more than 1500 companies in over 80 countries.

AEA Technology plc (LSE:AAT) is recognized as one of the world's leading innovation businesses, turning science and engineering services into bottom-line profit for its customers. With years of experience in understanding complex industrial processes and managing the way in which they interact with each other and their environment, the innovative delivery of knowledge and skills differentiates AEA Technology from its competitors. Its principal markets are oil and gas, rail, defense, pharmaceuticals, utilities, infrastructure, processing, manufacturing and the nuclear industry, operating in 31 countries in Europe, North America and Asia Pacific.

For more information about Hyprotech or AEA Technology, contact Marie Telepneff, Media Relations, at [phone] / [e-mail] or Andy Howell, Oil & Gas Business Manager, at [phone] / [e-mail] or visit www.hyprotech.com

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