Shell and Krohne signed an agreement to commercialise a new
multiphase flowmeter based on the magnetic resonance principle for oil and gas field installations. The
agreement comprises the manufacturing, marketing and sales of the new meter which was developed
through an R&D collaboration between Shell and magnetic resonance specialist Spinlock. The aim is to
bring the first generation flow meter into operation in 2012.

The magnetic resonance (MR) principle is based on strong permanent magnets, excitating the medium particles
to oscillate and measuring the resonance frequency. Krohne is the first manufacturer to implement this
measurement principle in an inline multiphase flow meter for use in oil and gas field applications, allowing to
measure both gas and liquid flow phases simultaneously. The most important field of application for this type of
flow meter will be the measurement of crude oil directly at the well where it is basically a mixture of oil, natural
gas and water. The application of a MR flow meter will give oil companies major cost reduction.

“Leveraging enhanced and more cost-effective multi-phase metering solutions in our operations is a priority
area for Shell. With Krohne we have found a recognised partner to commercialise this exciting
technology” said Jeroen Regtien, vice president of Hydrocarbon Recovery Technologies.

“This new and highly innovative measuring principle fits perfectly in the Krohne culture and is a strategic
addition to the existing product portfolio” said Stephan Neuburger, managing director of the Krohne group.