PGS CLOSES SALE OF ONSHORE SEISMIC BUSINESS TO GEOKINETICS
OSLO, NORWAY- Petroleum Geo-Services ASA announced today that it had closed the sale of PGS' Onshore seismic data acquisition business and related MultiClient library to Geokinetics. The consideration in the transaction consisted of a combination of approximately USD 184 million in cash and 2.15 million shares of Geokinetics common stock.
The 2.15 million shares issued to PGS represent approximately 12% of the current outstanding common shares of Geokinetics. Following the closing of the transaction, PGS is expected to be the second largest shareholder of Geokinetics.
The combination of Geokinetics and the onshore business of PGS will create the second largest onshore seismic acquisition company in the world in terms of crew count and the largest based in the Western Hemisphere. The company will have the assets and technical capabilities for up to 38 crews and carry in excess of 207,000 equipment channels, more than 150 vibroseis units and possess in excess of 6,240 square miles of MultiClient library data upon completion of current projects in progress.
FOR DETAILS, CONTACT:
Tore Langballe, SVP Corporate Communications
Phone: +47 67 51 43 75
Mobile: +47 90 77 78 41
Bård Stenberg, Investor Relations Manager
Phone: +47 67 51 43 16
Mobile: +47 99 24 52 35
The information included herein contains certain forward-looking statements that address activities, events or developments that PGS expects, projects, believes or anticipates will or may occur in the future. These statements are based on various assumptions made by PGS, many of which are beyond its control and are subject to certain additional risks and uncertainties. PGS is subject to a large number of risk factors including but not limited to the demand for seismic services, the demand for data from our MultiClient data library, the attractiveness of our technology, unpredictable changes in governmental regulations affecting our markets and extreme weather conditions. For a further description of other relevant risk factors we refer to our Annual Report for 2008. As a result of these and other risk factors, actual events and our actual results may differ materially from those indicated in or implied by such forward-looking statements.The reservation is also made that inaccuracies or mistakes may occur in the information given above about current status of PGS or its business. Any reliance on the information above is at the risk of the reader, and PGS disclaims any and all liability in this respect.