DIVERGENT Energy Services Corp.
TSX VENTURE : DVG

DIVERGENT Energy Services Corp.

October 15, 2014 09:00 ET

DIVERGENT Energy Services Corp.: Linear Motor Deployment Update

CALGARY, ALBERTA--(Marketwired - Oct. 15, 2014) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

DIVERGENT Energy Services Corp. (the "Corporation") (TSX VENTURE:DVG) is pleased to announce that five (5) Linear Electric Submersible Motors (the "Motor") have cleared US Customs and are in our Washington warehouse being prepared for shipment to Canada and deployment in the field.

Management anticipates the installations to begin the second week of November 2014, and that it will take approximately two (2) weeks to deploy all five (5) Motors.

The final step prior to deployment and installation was testing the Motor with the actual control panel to be used in the field. To expedite this test, a single panel was built and flown to China to perform functional and diagnostic testing of the Motor while our five (5) Motors were in transit. The test involved simulating down-hole conditions, including having fifteen hundred (1,500) metres of electric cable between the panel and Motor in order to measure certain key performance criteria. Based on the test results, it was determined that:

a) the Motor and pump are ready for deployment, and

b) the required type of transformer needed for the control panel has been determined and has been ordered with expedited delivery.

The panel's transformer could not be ordered until this specific test was performed, and the test could not be performed previously because the Corporation's Motors are the first of this new design to be produced.

Final discussions are underway with the Corporation's client to ensure a safe and successful installation of the Motors, and to ensure that all other ancillary equipment and services are available and ready to be deployed. Once the control panels have been received, the deployment and installations will begin.

ABOUT THE TECHNOLOGY

The permanent magnet Motor technology duplicates rod pump movement without rod strings or surface lifting equipment. All moving parts are contained within the submersible Motor housing, eliminating rod and tubing wear, making the Motor ideally suited for landing in deviated or horizontal oil wells. The submersible reciprocating pump is driven by a linear synchronous permanent magnet Motor, which generates thrust from a magnetic field and permanent magnet mover.

This is the first installation of this technology as part of a five (5) well pilot test. The test will evaluate three (3) major components of the "System": the Motor, a reciprocating pump, and a surface controlling unit, that together make up the System. The test will be in the Bakken formation due to the favourable oil characteristics and large inventory of wellbores with existing reciprocating pumps in use. The Corporation's client intends to install five (5) Systems in total.

During the pilot test, the Systems will be evaluated for ease of installation, pump efficiency, electrical draw, functionality, and other operating parameters. The Corporation will provide an update on the pump's performance at the conclusion of the thirty (30) day test period and after the results have been analyzed.

Headquartered in Calgary, Alberta, DIVERGENT Energy Services Corp. provides an array of specialized products and services that are used in the energy, mining, and industrial & agricultural water industries.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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