Sep,20, 2012, our snubbing unit passes the provincial new product appraisal.

Appraisingmeeting is organized by Dongying Economic and Information Commission, entrustedby Shandong Province Economic and Information Commission. Appraisal committeeconsists of Gu Xinduo, a member of the Chinese Academyof Engineering, leaders and experts from China University of Petroleum andShengli Oilfield. Appraisal committee listened the R and D Report, make anon-the-spot investigation for the snubbing unit and review the snubbing unit technicaldata. The opinions are as follows:

1.The data for evaluation is complete, meeting the requirement.

2.Design the hydraulic interlock system for BOP and grippertube. Before opening a set of BOP and gripper tube, first shut downanother set of BOP and gripper tube, it can reach the design purpose and gooduse effect.

3.Design synchromanual gripper tube and improve the operation safety.

4.Each specification of snubbing unit meet Q/SH1020 2085-2011 snubbing unittechnical requirements.

5.the device can adopt oilfield snubbing unit need, which is practical and ingood benefit.

Appraisalcommittee agreed on: the device reaches the technical and economic requirement,reasonable structure, stable performance, reliable safety. It has completequality assurance system, perfect inspect means.

The provincial appraisal for snubbing unit plays animportant role on promoting snubbing unit.