Flotek: A Plea For Accuracy

This postal service had a cloth impact on the stock: the companionship admitted to most the of import allegations inwards this postal service together with the stock halved. My sentiment is that in that location is much to a greater extent than to do. Details inwards the postal service script. 

===========

Warning: this is a actually gonzo story. We tried to banking concern check the information together with utilisation the primary marketing tool for a billion dollar company. 

None of it worked out. The information looks similar it was made upwardly or at to the lowest degree systematically rigged. The marketing tool (an iPad app) but crashes together with is non-functional. 

We can't tell whether the whole companionship is this suspect - but this is every bit non-sensical every bit anything nosotros take away hold seen on Wall Street. The closest comparable on this weblog was Universal Travel Group, a stock which is at nowadays delisted together with where the principals settled civil fraud charges.

If you lot ain the stock you lot must piece of work this to the end. Try to reproduce our results. If this is the whole story this stock volition merchandise amongst a depression unmarried digit handgrip or lower.

John W. Chisholm is a fan of accuracy. Demands it, even. As the CEO of Flotek Industries, Inc., (NYSE:FTK) he requires factual, mathematical accuracy.

How practise I know? Because Chisholm devoted a combat of fourth dimension on the recent 3Q conference call to limited his apparent displeasure amongst a certainly unnamed analyst who, it seems, had chosen a wayward path:

Before I plow the telephone hollo upwardly over to Rob Schmitz to supply additional fiscal review, I desire to convey a infinitesimal to verbalise over an number of involvement to all Flotek investors of which all of us unopen to this tabular array today are. We appreciate the thoughtful piece of work together with attempt that many of the analysts who comprehend Flotek supply together with nosotros empathise how hard the economical analysis of a companionship similar Flotek volition be, peculiarly inwards an environs amongst such high levels of uncertainty. That said, the challenges inwards the analysis draw of piece of work organisation also create challenges for companies similar Flotek, peculiarly when i erroneous approximate tin take away hold such a disproportionate impact on consensus numbers which is what happened inwards the 3rd quarter.

Removing exactly that i approximate from the mix provides a to a greater extent than cogent sentiment of consensus thinking together with makes Flotek's 3rd quarter results non only at or close the top of the service sector, but slightly ahead of mainstream consensus. Please understand, nosotros appreciate the attempt that goes into consummate together with accurate coverage of our Company together with take away hold no involvement inwards a debate over valuation together with rating calls that are based on factual together with accurate information. That is what makes the US populace marketplace thus robust.

However, accurate-based mathematics, factual statements that don't involve blind conjecture or guesses every bit to cloth facts such every bit customers or key chemical scientific discipline functioning together with right statements of fact nigh items such every bit the electrical flow condition of credit agreements together with the similar that tin easily live located inwards our populace filings seem similar basic tenants of objective, thorough securities research. While nosotros take away hold trivial command over what is published inwards today's world, I would say nosotros welcome firms together with analysts that take away hold an involvement inwards factual, constructive evaluation together with we'll experience compelled going frontward to bring upwardly those who appear to potentially [have] agendas other than objective securities analysis together with critique.

We part Mr Chisholm's involvement inwards “factual, constructive evaluation.”

Flotek, the Houston-based companionship he heads, supplies chemicals together with production equipment to the unloose energy industry. The marketplace for those products looks a trivial bleak at the moment. However Flotek claim exception due to special products together with special technology. They take away hold grown regardless. Flotek is a beacon inwards these harsh times.

Flotek is dandy to tell you lot how they did it. On eleven September inwards New York it gave the company's fifth investor presentation since mid-August, together with i time again it gave the story. 

The attraction of the stock (and the miracle of Flotek's draw of piece of work organisation resilience) comes from Flotek’s citrus-based “complex nano-fluid” (“CnF”) surfactants. These, they say, boost the production of stone oil together with gas from hydraulic fracturing of existing together with newly-completed wells. 

Here’s John Chisholm describing it to Jim Cramer inwards Feb 2015:

In recent quarters (and inwards the video) the companionship has highlighted FracMax, an iPad app created every bit a sales tool to demonstrate the complex nano-fluids’ capabilities.

Chisholm has been lavish inwards his praise for FracMax, assigning it almost sole credit for the Company’s industry-downturn-defying increases inwards chemic sales. At a Barclays conference on 10 September, Chisholm stated (p. 3):

While similar other companies amongst an energetic focus, nosotros are non immune to the activity swings resulting from powerful commodity cost cycles. Our unloose energy chemical scientific discipline business, for representative continues to grow, fifty-fifty every bit completion activity weakens. This anomalous together with unprecedented growth is the effect of continued marketplace penetration together with the powerfulness of FracMax, our proprietary information analysis together with visualization software which shows, using producers' ain empirical data, the compelling economical benefits of our customized chemistry.

Moreover, nosotros practise non facial expression that growth to slow. Even inwards this to a greater extent than challenging environment, every bit information supporting the efficacy of our technologies supply ample opportunities for progress every bit exploration together with production companies empathise that the optimal good results only when they come upwardly together with seat Flotek inwards their wells.

The Company’s SEC filings take away hold been similarly sort to FracMax. Last year’s 10-K noted (p.24-25):

Energy Chemical Technologies revenue for the twelvemonth ended Dec 31, 2014 increased…33.8%...primarily due to the increased sales of stimulation chemic additives, largely the effect of the introduction of the Company’s proprietary, patent-pending FracMax™ software which statistically demonstrates the positive production together with economical impact of using Flotek’s CnF® chemistries inwards unconventional good completions. The FracMaxTM software has led to a tape number of novel validation projects together with accelerated commercial credence of the Company’s CnF® completion chemistries.

During the eleven September presentation, Chisholm showed a video (seen below) that proclaimed:

It's to a greater extent than impactful together with convenient than ever to experience the real-world practise goodness of CnF.  An excogitation that's revolutionizing an manufacture past times genuinely making a difference. You tin touching it, you lot tin reckon it, together with now, you lot tin believe it. Your information has move intelligent inwards a agency never imagined. The futurity is here.

Have a look:

 

Put simply, FracMax matters to Flotek. And precision matters to FracMax.

And every bit whatever truthful fan of mathematical precision knows, the proof is inwards the showing, non the telling. So Chisholm demonstrates the analysis Flotek hopes potential customers volition perform using FracMax. 

Let's move through i of his presentations together with banking concern check the data.

Chisholm compares 4 wells inwards Texas: i that used CnF inwards its completion (“Molnoskey 1H”) together with 3 nearby wells that did non (“Targac 1H,” “Gillespie 1H,” together with “Berger 1H”).

Digging into the Data

According to Flotek, the FracMax app visualizes information derived from populace sources, such as FracFocus.org (“FracFocus”) together with dry soil stone oil together with gas production records.  Slide #50 from February’s investor twenty-four hours presentation gives a combat to a greater extent than particular (highlighting added):

FracFocus.org is a centralized database that collects self-reported information on the chemicals used past times unloose energy companies inwards hydraulic fracturing (“fracking”). FracFocus’s information is available in a machine-readable format, thus amongst attempt anybody—not exactly Flotek—can reproduce FracMax-style analysis, provided that the chemic information is joined to production information past times a mutual manufacture identifier such every bit an API number.

For the wells Chisholm highlighted inwards the presentation, production information comes from the Texas Railroad Commission (“RRC”), which collects information on Texas unloose energy production. Chisholm emphasized the independence of the information he presented on eleven September, stressing that it had been reported direct to FracFocus together with the Texas RRC together with was “un-adjusted” (Slide 34, highlighting added).

Chisholm could hardly take away hold declaimed the data’s provenance to a greater extent than loudly. For instance, Chisholm took a shot at critics at 46:35 in the replay:

It was reported 3 or 4 weeks agone inwards a comment that nosotros claim functioning of CnF. That's non right. We report the performance, together with there's a large difference. We don't create the data, nosotros allow the visualization of the information inwards a agency that people take away hold never seen before. [emphasis inwards original]

Chisholm i time again proclaimed the data’s bona fides (Source: 1:01:53 in linked video):

That's why the information backchecks together with validates. This is information coming right from the Texas Railroad Commission. Forget nigh FracMax. Just forget nigh it completely. That's information that comes right from the Texas Railroad Commission.

Let’s take away hold a look.

The 4 proximate wells Chisholm highlighted were:

Slide #	API #	TX Lease#	Well Name	Operator
58, 59	42-285-33654	10702	Targac 1H	Sabine Oil & Gas LLC
60, 61	42-285-33673	10811	Gillespie 1H	Sabine Oil & Gas LLC
62, 63	42-285-33756	10920	Molnoskey 1H (CnF)	Sabine Oil & Gas LLC
64, 65	42-285-33802	10972	Berger Unit 1H	Devon Energy Corp

Targac 1H

Targac 1H from Sabine Oil & Gas (API#: 42-285-33654) was selected for its location inside 4 miles of the CnF-using Molnoskey 1H (see map on slide 58). Targac, said Chisholm, is an representative of a large, expensive good that used substantial amounts of water.

Slide 59 shows production together with additive information from FracMax:

Chisholm narrated at 1:07:20 in the replay: 

So that particular good there, here's what nosotros desire you lot to focus on. eleven 1000000 gallons were pumped inwards that frack job. Here's the initial production: 8 yard 8 hundred barrels inwards the commencement month, no CnF inwards that well. 'Kay? eleven 1000000 gallons, 8800 barrels.

The RRC reports production information past times RRC ID#, to which good API#s direct correspond for the 4 wells of concern to us. So commencement we look upwardly the RRC ID using the API #:

Using the RRC’s query tool, nosotros lookup the RRC production information for lease ID# 10702. 

Let’s compare the numbers.

The tabular array below shows, past times month, the production information for stone oil together with gas from Targac 1H. The commencement column nether each of Oil together with Gas headings, labeled “FTK – FracMax,” reproduces the numbers every bit shown on Chisholm’s slide higher upwardly that was presented to investors. The middle column nether each of the Oil together with Gas headings, labeled “Texas RRC” shows the original production data (not disposition) every bit reported past times the Texas RRC together with reproduced inwards total above. The finally column nether each of the Oil together with Gas headings but divides the FracMax number into the Texas RRC number, stated every bit a percentage.

Eagle-eyed readers—who no incertitude part our commitment to correctness—will notation several problems here. 

• The production information shown on Chisholm’s slide does non check what was reported to the RRC. 

• The information appears to take away hold been adjusted, every bit the numbers shown on the FracMax slide total only 60% of the stone oil production reported to the RRC together with 50% of the gas. 

• The commencement month’s stone oil production was non 8900 barrels inwards Dec 2013, but 17,761 inwards Nov 2013. 

Chisholm it seems understated production information for the good that contained none of Flotek's special "complex nano-fluid". 

We gave John Chisholm the practise goodness of the doubt. We idea this could live a coding or information entry or a uncomplicated copy-paste error. 

Alas nosotros flora that this is a designing rather than isolated error.

Gillespie 1H

Chisholm adjacent presented the Gillespie 1H good (API# 42-285-33673), also from Sabine Oil together with Gas, located nearby (see slide 60).

At 1:07:39 in the replay, Chisholm describes Gillespie 1H every bit a “clone” of the Targac 1H well, every bit Sabine used a similar laid of chemicals:

The operator, Sabine, together with then went together with decided they needed to cut back the size of their jobs. And that's this good right hither that they used a clone with. Focus inwards on this. They reduced the size of the task from eleven 1000000 gallons to eight; production went down, 5800 barrels instead of 8800.

Slide 61, reproduced below, shows the production reported past times FracMax:

As before, nosotros utilisation the API#, 42-285-33673, to look up the Texas RRC ID #, which is 10811.

After retrieving the production data using ID # 10811, nosotros detect that Gillespie has the same undisclosed adjustment every bit Targac. Using the same tabular array every bit nosotros did for Targac, nosotros compare the FracMax numbers from Flotek’s slide together with the original RRC data.

Once again, the numbers don’t match. Chisholm correctly notes that both H2O utilisation together with production at Gillespie 1H were lower than at Targac 1H. 

But what he didn’t say was that his numbers did non check the official information from the Texas Railroad Commission: production was both a calendar month before (May, non June) together with substantially higher than he claimed.

Molnoskey 1H

The Molnoskey 1H well, also past times Sabine Oil & Gas, is the punchline of Chisholm’s presentation of good comparisons using FracMax screenshots. This is the good that enjoyed the practise goodness (and pleasing citrus odour) of Flotek’s complex nano-fluids, together with the other wells were selected for comparing because they are close Molnoskey (slide 62).

Slide 63 shows the additives together with production information every bit reported past times FracMax:

Chisholm noted Flotek's complex nano-fluid sold nether the merchandise call “Super Stim 120,” together with highlighted i ingredient, citrus terpenes. Chisholm together with then made the key, direct comparing betwixt Molnoskey together with Targac, the commencement good presented. At 1:08:04 in the replay, he stated:

They [Sabine] together with then came to us together with said, we're going to cut back it fifty-fifty further, inwards fact they called these wells “smurf” wells. And we're gonna run complex nano-fluid.

Focus hither on this. Volume 6 1000000 gallons versus the master copy i [Targac] of over 11. Production 12.5 yard gallons inwards the commencement calendar month versus eight, thus the production's upwardly 50%, the fluid's downwardly 50%, here's complex nano-fluid, inwards fact it's Super Stim 120, call upwardly FDP? Super-stim inwards this instance they take away house to seat citrus terpene inwards there.

This is the key to Flotek’s claims of the value of CnF together with its FracMax app. Given our experience thus far, nosotros should likely double banking concern check the numbers. We utilisation API #42-285-33756 to retrieve the Texas RRC ID# of 10920.

But this fourth dimension the RRC production data for ID# 10920 holds a surprise: spell the commencement calendar month was i time again omitted, it hasn’t otherwise been adjusted at all. In other words, only for the good amongst CnF did Flotek written report (mostly) the original, unadjusted RRC numbers:

John Chisholm fails to run into his ain "accuracy" standard

Not only were Flotek together with Chisholm’s repeated insistences that the information is “as reported past times the operator” incorrect, but the adjustments nosotros take away hold seen ARE consistently favorable to the Company’s CnF good together with detrimental to the non-CnF wells. 

Mistakes happen, though they undermine the many declarations of FracMax’s statistical robustness. 

Given this designing of adjustments nosotros can’t assist but wonder if these divergences are, inwards fact, mere mistakes. It is exactly every bit good suspicious to consistently understate the results from wells that did non utilisation their product. 

Starker problems

Comparing the adjusted together with unadjusted information for Molnoskey (CnF) together with Targac (no CnF) reveals a starker problem: for at to the lowest degree some months, when the stone oil production is reported without Flotek’s alterations, the CnF-containing good performed worse, non better.

The tabular array below compares monthly stone oil production inwards barrels, starting amongst the commencement month, of Targac together with Molnoskey, the ii wells Chisholm compared above. Under the heading for each well, in that location are 3 columns: Flotek’s numbers from its FracMax slide, the Texas RRC numbers, together with Flotek’s numbers divided past times the Texas #s shown every bit a percentage. (This information is the same every bit shown inwards each well’s respective comparing tables above.)

As Chisholm’s claim was that Molnoskey produced to a greater extent than stone oil than Targac amongst less water—thanks, he implies, to CnF—the finally ii columns banking concern check that claim using the master copy data. 

Under the heading “Diff inwards Production (Mol. – Targ.),” nosotros subtract the ii sets of reported numbers. First, nosotros demo Flotek’s numbers for Molnoskey – Targac, for the same calendar month of production. These demo an increase, every bit Chisholm stated. But when nosotros utilisation the original Texas RRC numbers, inwards the rightmost column below, nosotros detect that, for at to the lowest degree some months, Targac (no CnF) outperformed Molnoskey (CnF).

Sure many factors impact production (eg geology, how much H2O together with sand together with perchance acid are pumped into wells together with perchance fifty-fifty the surfactants use). 

Our aim is non to testify that CnF makes no difference. To practise that nosotros would demand a large sample set. Rather nosotros dot out that on John Chisholm's information (after taking out the errors) it is impossible to conclude that Flotek's complex nano-fluids practise anything.

We believe inwards "accuracy" but in that location ain't none here.

Like the wayward analyst (with apologies to James 1:3), the testing of our organized faith inwards accuracy produces perseverance.  

So let’s facial expression at the finally well.

Berger 1H

The finally good Chisholm highlighted was the Berger 1H Unit from Devon Energy, a nearby good (slide 64) that he told us had no CnF. H5N1 screenshot from FracMax reports Berger’s additives together with production (slide 65):

Chisholm narrated at 1:08:43 in the replay:

Wanted to demo you lot the good right adjacent door to that CnF good was with...by Devon.  Uh...amount of fluid 5.9 million, less than one-half the production. Right adjacent door. To the good that had CnF inwards it, amongst a similar amount of fluid inwards the frack job. This type of information analysis was absolutely [sic] no agency Flotek had access to it 'till nosotros invented FracMax. Absolutely no i else inwards the manufacture has it.

Using the API#42-285-33802, we retrieve its RRC Lease ID#10972:

As above, we look upwardly the production data for Berger from the RRC using ID# 10972. Once again, Flotek’s reported production information from FracMax does non check the RRC’s, every bit the by-now-familiar tabular array below shows:

Where before Flotek omitted the commencement calendar month of production (usually the largest), inwards this instance they take away hold omitted the commencement ii months of September together with Oct 2014, every bit good every bit the most latterly reported month, June 2015. And nosotros detect i time again the same undisclosed modification of the RRC’s data, every bit FracMax displays only 60% of the RRC’s number for stone oil together with 50% for gas.

Chisholm compared Berger together with Molnoskey directly, every bit the ii wells are nearby together with used a similar amount of water, but only Molnoskey contained CnF. Berger, Chisholm said, had “less than one-half the production,” presumably intending for his investor audience to conclude that CnF made the difference. While Molnoskey clearly produced to a greater extent than stone oil inwards its commencement 10 months, the difference is far less stark i time the total RRC production numbers—including the missing months—are taken into account.

The size of the claimed Flotek information base

Ultimately, of the 9,800 wells Chisholm claims take away hold used CnF (replay at 45:48), Flotek picked these to compare. They were chosen deliberately. If this is management’s “best pes forward” nosotros wonder how FracMax volition persuade sophisticated reservoir engineers who must build models incorporating production cost, geological complexity, etc., spell maintaining statistical robustness.

It’s worth quoting Chisholm’s argument at 45:48 inwards the replay in full: 

“[W]hat you'll reckon today is on a FracMax instance that has 98 thousand wells. Not 98. Not 980. Not 9000. Ninety-eight yard wells inwards the US that nosotros take away hold all categorized based on what went inwards together with what the production is. And 10% of it has CnF inwards it. And whatever statistician volition tell you lot that's plenty of a database that you lot tin create algorithmic, statistic inferences every bit to what the economical impact is on a dataset that big.” [emphasis inwards original]

So nosotros idea nosotros powerfulness testify the whole information base. And it was all meant to live inwards their FracMax app all ready for your ipad.

So nosotros downloaded an app claiming to live FracMax.

We exactly can’t teach inwards piece of work together with nosotros tried amongst a create novel ipad exactly to testify compatability.

Trying the FracMax App (?)

A version of what claims to live FracMax is available inwards the Apple iTunes Store nether the call “Flotek Max.” Released on 17 Feb 2015, the description of the app fits the populace descriptions of FracMax:

 A quick but of import caveat: we cannot know for certainly if this is the app Chisholm demonstrated or the app used past times Flotek’s sales force. It is exclusively possible—likely, even—that some other version of FracMax exists. That said, our reading Apple's policies make it unlikely that a parallel private app exists. 

With that caveat out of the way, nosotros practise what nosotros tin to attempt to utilisation the app. 

We find the same Flotek application pictured inwards the consumer app shop above:

Clicking on the link leads us to the same page every bit before, except amongst “Volume Purchase Program” every bit the header:

(Note the department on “Managed Distribution” on the webpage above.  It indicates that costless apps are only available inwards mass when using a “Mobile Data Management” solution, which implies command over the destination user’s iPad.  This shape of distribution would live to a greater extent than mutual inside a unmarried enterprise whose mobile devices are managed centrally.)

Anyway, nosotros downloaded the iTunes Store application—the commencement i shown, from the consumer app store—and tried to run it on ii separate iPads, each running the latest version of iOS (one an iPad 4^th Generation the other an iPad Mini 4).

Here’s what happened when nosotros tried it, from the initial download onwards - notation that this is a really dull video showing you lot what happened right to the dot where the ipad crashed:

On neither iPad nosotros tried did the application work. First, it asked for access to the camera, for what purpose nosotros practise non know. Next, it but displayed a dark covert amongst a laid of ruby bubbles, much similar the screenshot of the draw of piece of work organisation carte inwards the app shop images above—except without whatever discernable paradigm inwards the background. No amount of tapping or dragging or swiping or pinching could persuade it to practise anything.

We would beloved if other readers could attempt to charge the app. At finally testing it crashed both our ipads. 

This is curious every bit Flotek tells us that this app is responsible for the fantastic recent sales performance. (Also curious is the claim inwards the app shop description that the information is updated weekly; every bit the images show, the latest version of the app was released on 17 Feb 2015.)

As nosotros can’t run FracMax—or an app from Flotek claiming to live FracMax, anyway—accuracy-minded investors similar us can’t banking concern check other wells. It would live fascinating if Mr Chisholm's faulty information is repeated over the whole United States. That would live deeply "curious".

And nosotros similar a expert stock puzzle - peculiarly i where the administration seem to teach inwards up.





John

And a side notation to Mr Chisholm. 

Adlai Stevenson suggests that “Accuracy is to a paper what virtue is to a lady, but a paper tin e'er impress a retraction.”

Can nosotros facial expression a retraction or is Flotek genuinely without virtue?


==========

Post script:

The companionship seat out a press release that admitted to most the key issues inwards this weblog post. The press release is repeated here.

Flotek has carefully reviewed a recent written report regarding the validity of the information from the Company's FracMax® database past times analyzing information from a pocket-size subset of wells inwards FracMax®.  The analysis suggests the production information presented past times Flotek – for 3 of the wells analyzed – were misinterpreted past times Flotek together with understated the production of those wells. 

"We convey whatever contestation of errors inwards our data, processes together with analysis really seriously," said John Chisholm, Chairman, President together with Chief Executive Officer of Flotek. "We appreciate the thorough analysis provided inwards the written report together with are using this critique every bit good every bit others to improve our FracMax® application to ensure both the validity together with reliability of the underlying information every bit good every bit the accuracy of the analytical processes." 

As a effect of our initial review of the written report nosotros take away hold concluded that the FracMax® database – partly a effect of 3rd political party information used past times Flotek – identified the 3 wells inwards inquiry to live contained inwards units amongst multiple wells (the dry soil of Texas organizes production reporting past times units, or leases, that written report total production inwards the aggregate).  The FracMax® application uses algorithms to assign production to private wells inside multiple good units. In this case, the written report contends that the wells inwards inquiry were on single-well units and, every bit a result, 100% of the production from those units should live assigned to the identified wells. After review of the report, information from the Texas Railroad Commission every bit good every bit other third-party information providers, it appears that the wells inwards inquiry are single-well units. 

While the adjustment does impact the magnitude of the outperformance of the good completed using CnF® when compared to the non-CnF® treated wells, it does not, the Company believes, alter the determination that the CnF® good outperformed the non-CnF® wells, peculiarly when normalized for the length of the lateral completion zone.
"While nosotros are concerned past times the unintentional information together with processing error that led to this unitization miscalculation together with are taking aggressive steps to ensure this procedure is forthwith corrected, our analysis of the wells inwards inquiry concludes the utilisation of CnF® improved productivity when compared to the neighboring wells that did non utilisation CnF® inwards the completion process," said Chisholm. "Moreover, Sabine Oil & Gas – the operator of 3 of the wells inwards inquiry – continues to utilisation CnF® on its completions, an indication that Sabine's internal information demo compelling benefits from the utilisation of Flotek's Complex nano-Fluids® suite of completion chemistries." 

The Company has conducted an initial review of the FracMax® database together with has determined that this information together with procedure error does non impact the vast bulk of wells inwards the database which appear to live unitized appropriately past times the software application. "In fact, in that location were several other wells inwards the investor presentation that were unitized together with reported correctly, showing the benefits of CnF® that were non discussed or referred to inwards the report," added Chisholm. 

"While FracMax® is an of import tool inwards the evolution of novel markets for CnF®, the most of import determinant of the success of CnF® is the actual functioning of the Company's completion chemical scientific discipline inwards the wells of novel together with existing clients," said Chisholm. "The growth inwards validations that effect inwards novel commercial customers is the ultimate proof of the efficacy of our completion chemistries. Our clients together with their experiences – every bit seen through their ain proprietary production information – are past times far the best evidence of the performance-enhancing nature of CnF®." 

The number of production companies using CnF® inwards the completion procedure continues to grow amongst a consistent menses of validation projects for operators of all sizes.

H5N1 previous press release took number amongst my assertion that the FracMax iPad app did non work. To quote:

"In addition, every bit nosotros take away hold noted consistently over the past times year, FracMax® is currently used exclusively past times the Flotek squad to analyze good together with functioning information for our clients," added Chisholm. "The application is non available exterior of Flotek and, every bit a result, cannot live downloaded without appropriate credentials."

I take away hold notwithstanding to reckon whatever working FracMax app. Moreover I take away hold non seen anyone (such every bit a client) using said app. The companionship at nowadays says that the app is exclusively an internal tool. However this is non how it was represented inwards the past. Here is a link to the app's website on Archive.org.

And hither is a picture.

This is the "innovative mobile app where the manufacture revolutionising impact of Flotek's CnF applied scientific discipline is on total display" together with nosotros should "prepare to experience what it tin practise for yourself".

This is really different from the electrical flow assertion that FrackMax is an internal sales tool only.

Here is a uncomplicated challenge to Flotek management: detect a friendly Wall Street Journal reporter who volition written report - fifty-fifty inwards a brief column - that they take away hold experienced it for themselves.

I practise non think it tin live done. Without farther proof I rest convinced that the administration are but making it all up.



John