FLOTEK PROVIDES UPDATE ON PROPOSED AMENDMENTS TO EPA FLARE MONITORING REGULATIONS

(MENAFN- PR Newswire) The EPA's proposed amendments make discrete technical changes to the vent gas NHV continuous monitoring requirements for flaring operations expanding some of the exemptions for new testing requirements while limiting the number of flares that were "generally exempted" from compliance testing. The proposed amendments are open for comment for 45 days after publication in the federal Register. While the Company believes the regulations should allow the industry to confidently move forward with compliance testing, impacted companies continue to face limited technical, staffing, and analytical resources to conduct these challenging measurements.

As previously announced, on July 12, 2024, the EPA notified the Company that its JP3 system had been designated as an approved measurement technology for the initial flare regulations. The Company's state-of-the-art optical instrument, designed for the precise measurement of
NHV in flare gases, was the first to be approved as an alternative method under the initial regulations.

Following EPA approval, the Company's Data Analytics segment began providing flare monitoring services to its customers utilizing its proprietary JP3 VeraCal flare monitoring analyzer. Third quarter revenues from its Data Analytics segment increased 30% from second quarter 2024 in part due to new flare monitoring services as the VeraCal analyzers have now conducted numerous compliance tests since receiving approval. Flotek has invested in a fleet of analytical assets to help resolve industry resource restrictions while simplifying compliance.

Ryan Ezell, Chief Executive Officer, said, "After a diligent assessment of the proposed amendments, we continue to believe that the flare monitoring regulations provide a meaningfully positive opportunity for our Data Analytics segment and overall business. We are confident in our ability to offer our customers, and the oil and gas industry, a superior and approved technology, utilizing autonomous, real-time measurements, to monitor flares and reduce emissions. We expect our Data Analytics segment to experience significant growth in 2025 leveraging off our 'VeraCal analyzer', which allows our customers to comply with the updated flare monitoring regulations. At
Flotek, our strategy remains focused on delivering differentiated technologies at the convergence of chemistry and real-time data solutions."

About
Flotek Industries, Inc.

Flotek Industries, Inc. is a leading chemistry and data technology company focused on servicing the Energy industry. The Company's top tier technologies leverage near real-time data to deliver innovative solutions to maximize customer returns. Flotek has an intellectual property portfolio of over 170 patents, 20+ years of field and laboratory data, and a global presence in more than 59 countries.

Flotek has established collaborative partnerships focused on sustainable and optimized chemistry and data solutions, aiming to reduce the environmental impact of energy on land, air, water and people.

Flotek is based in Houston, Texas and its common shares are traded on the New York Stock Exchange under the ticker symbol "FTK." For additional information, please visit .

Forward-Looking Statements

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SOURCE Flotek Industries, Inc.

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