Crown Point Oil & Gas S.A.

Crown Point Oil & Gas S.A.

April 23, 2010 

To whom it may concern

Re: Running of Enercat System in Argentina.

We have just carried out a scheduled work over for the removal of the rod string and pump from our EVx 21 well in El Valle field in Southern Argentina.  Our observations reveled no wax on our rod string, tubing or in the bottom hole pump.

The pump repair shop personnel questioned us after they tore the pump apart to rebuild it.  As they wanted to know what we had pumped through the pump to clean it up prior to bringing it in for servicing.   They were very surprised when we told them we did not pump any solvents, wax dispersants or hot oiled any fluids in any way.  They commented they never seen a pump come back from this field with out some form of wellbore wax or fines in, on or around the pump.

A typical workover in the majority of  the wells in this field, even after hot oiling takes two to three days just to pull the rod string by most operators.This is due to heavy wax produced as show in the pictures that I had previously sent you.  The cost savings that were experienced compared to our prior workover before the installation of the Enercats was greatly realized due to a quick turn around time was just one of the added benefits we have experienced with this tool.  In addition the well was place back on pump sooner that anticipated and we expect improved production due the elimination of the inherent wax build up on the pumping tubulars, rods and pipeline and in addition, lesser stress on the pumping equipment and reduced production pressures.

Best Regards

Denny Deren  CET

Operations Engineering Consultant

Crown Point Ventures Ltd.(Canada)

Crown Point Oil & Gas S.A.



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