High Arctic spends significant resources on research and development to create innovative new technology for its diversified product lines. High Arctic's research and development efforts are focused on providing specific solutions to the challenges experienced by oil and gas exploration and production companies when drilling for oil and gas production. Its success in underbalanced drilling has been facilitated by High Arctic's technical expertise and innovative equipment that result in improved production for their customers. High Arctic presently holds, or is in the process of obtaining, four patents or licenses for equipment design relating to underbalanced drilling and has registered trademarks for its Snub Fracing¨ and Stand Alone Snubbing System¨.