PowerProp

High Performance Proppant System

Santrol - Part of Fairmount

Part of Fairmount Minerals Minerals
Ltd. Ltd. Company Proprietary and Confidential
 PowerProp Proppant The high performance hydraulic fracturing solution

Patent pending and proven technological advancement in

resin chemistry

Unique chemical cross-linking creates a strong and elastic

system

Santrol proprietary multi-coat technology assures uniformity

and performance

PowerProp provides excellent performance in conductivity

and crush resistance

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Patent Pending and Proven Technological advancement in resin chemistry

Developed in-house by Santrols R&D group

Patentable resin chemistry - a revolutionary step for

proppant performance

Achieves superior conductivity and crush resistance

A new proppant classification; a technological alternative

to LWC

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Unique Chemical Cross-Linking Creates a strong and elastic system

First proppant system to cross-link the resin structure for dual

purpose

Creating 30% more molecular linkages for strength AND elasticity

Provides performance previously not seen in a proppant

Combine with previous slide

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Strength, Elasticity, and Consistent Performance A Unique System Approach

Patent Pending, Unique Cross-Linking Proprietary Multi-Coat Technology

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Strength, Elasticity, and Consistency Performance Create a strong AND elastic
system
ULTIMATE
STRENGTH

Y
TOUGHNESS
Stress (psi)

IT
C
ULTIMATE
ZONE
TI
STRENGTH
AS
EL

Y
IT
IC
A ST
EL

TOUGHNESS
ZONE

Strain (%)
PowerProp System

Conventional Proppants

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Superior Conductivity and Crush Resistance Performance testing beyond expectation

API (dry) Crush confirms excellent performance versus LWC

Hot Wet Crush shows downhole potential

API Conductivity confirms superior production possibilities

Conductivity at higher temperature confirms deep well use

Beta conductivity provides data for unconventional gas use

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 API Dry Crush Test A comparison using ISO13503-2

Crush PSI 20/40 PowerProp 20/40 LW Ceramic

6000 0.20% 3.91%

8000 1.04% 7.89%

10000 1.97% 13.94%

12000 2.14% 17.23%

10%+ leads to excessive fines and low conductivity

PowerProp is less than 3.0% in all tests

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Hot Wet Crush Test A downhole comparative test

Hot Wet Crush PSI 20/40 PowerProp 20/40 LW Ceramic

6000 0.23% 5.96%

8000 1.21% 10.88%

10000 2.21% 17.24%

12000 2.87% 29.10%

10%+ leads to excessive fines and low conductivity

PowerProp is less than 3.0% in all tests

Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Crush Results on PowerProp

20/40 PowerProp at 8000 PSI crush

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Proppant Integrity Test A Santrol QC test to compare performance (10,000 PSI for 48 hours)

PowerProp Proppant Light Weight Ceramic

Results Show Little Fines Results Show Crust of Fines

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Conductivity Comparison Performed at 2lb/ft, 250F
Pressure in PSI 20/40 PowerProp 20/40 LW Ceramic

2000 5009 6300

4000 3847 5500

6000 3008 4100

8000 1969 2500

10000 1190 1300

PowerProp tests performed by StimLab June 2009

LWC data published on the website of a prominent LWC provider
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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Conductivity Comparison Performed at 2lb/ft, 300F
Pressure in PSI 20/40 PowerProp 20/40 LW Ceramic

2000 4360 6231

4000 3916 4464

6000 2776 2895

8000 1893 1852

10000 1102 1042

12000 710 685

14000 528 451

PowerProp tests performed by StimLab and Santrol June 2009

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Beta Factors Tests Performed at 2lb/ft, 300F. Values below are Beta Factor (atm*sec/kg)

Pressure in PSI 20/40 PowerProp 20/40 LW Ceramic

2000 0.34 0.25

6000 0.54 0.50

10000 3.49 3.71

12000 6.99 8.03

14000 25.00 29.00

A lower Beta Factor Indicates better performance in

non-Darcy (turbulent/high velocity) flow

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 Performance Comparison Outpacing the other proppants
Tests/Physical Light Weight PowerProp
PowerProp
Properties Ceramic Advantage
Less than 3%
API Crush - on all tests
Superior
performance at
API Conductivity - higher
temperatures
Lower factor at
Beta Factor - 10,000 PSI +
Less fines vs.
Proppant Integrity - ceramic
Non-reactive
Diagenesis - coating
Comparable
Specific Gravity - density of 2.48
(LWC at 2.55)

Acid Solubility - Less than 0.3%

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 In Field Success PowerProp has extensive production experience

Play Basin Location

Montana/North
Bakken Williston
Dakota

Bone Springs Permian New Mexico/Texas

Eagle Ford Western Gulf Coast Texas

Granite Wash Anadarko Oklahoma

Haynesville TX-LA-MS Salt Louisiana/Texas

Mancos Piceance/Uinta Utah

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Company Proprietary and Confidential

Part of Fairmount Minerals Ltd.
 PowerProp
High Performance Proppant System

17

Santrol - Part of Fairmount

Part of Fairmount Minerals Minerals
Ltd. Ltd. Company Proprietary and Confidential