Houston, Texas; Oslo, Norway; February 7, 2002: Petroleum Geo-Services ASA (NYSE: PGO; OSE: PGS) announced today that its Seafloor Seismic division has secured new four-component (4C) seismic acquisition contracts valued at $33 million in offshore Nigeria, Norway's North Sea sector and the West of Shetlands area in the North Atlantic. These contracts also include the provision of seismic data processing services by PGS' Data Processing division.
All of these surveys will be acquired using PGS' FOURcESM Seafloor Seismic Acquisition System. The FOURcE system is a proprietary multi-component acquisition system comprised of components that are proven effective in water depths down to 2000+ meters. In addition to handling the challenges of seafloor seismic recording in deepwater, the FOURcE system is also highly effective in shallow water areas where towed streamer surveys are uneconomic or geophysically inappropriate.
In Nigeria, PGS has been selected by ChevronTexaco to acquire and process a 3D 4C survey and additional 2D 4C data. This project marks the first purpose-designed application of 4C technology in West Africa.
A full North West Europe season of 4C acquisition follows the Nigeria survey. PGS will acquire 3D 4C data over the Statfjord and Statfjord East fields in Norway's North Sea sector for Statoil. Multi-component seafloor technology using a high-density survey design is being applied to these producing fields to better characterize the reservoirs, with emphasis on enhanced fault definition.
PGS will also acquire and process a large 3D 4C survey in the West of Shetlands area for BP. This survey will image the Clair field located off of the United Kingdom Continental Shelf (UKCS). The use of seafloor technology, which allows for optimal attenuation of multiple energy caused by the hard water bottom in the area, will enhance imaging of major faults and the reflectors adjacent to these faults.
"These 4C projects indicate the growing acceptance of multi-component technology in the industry. It is worth noting that the technology is being used on both undeveloped and producing fields to solve geophysical problems that do not lend themselves to conventional towed streamer acquisition methods," said Tim Rigsby, President of PGS' Seafloor Seismic division. "The efficiency and 4C capability afforded by our proprietary FOURcE system, coupled with our experience in performing complex surveys around platforms, pipelines and other subsea production installations played a major role in PGS being selected to perform these surveys over competition that was firmly established in the region," he added.
Diz Mackewn, President of PGS Geophysical, stated, "PGS is a leader in the multi-component segment of the seismic market. Projects like these strengthen our view that there is a bright future for this technology and reinforce our ongoing efforts to make 4C acquisition more efficient and affordable."
Petroleum Geo-Services is a technologically focused oilfield service company principally involved in two businesses: Geophysical Operations and Production Operations. PGS acquires, processes and markets 3D, time-lapse and multi-component seismic data. These data are used by oil and gas companies in the exploration for new reserves, the development of existing reservoirs, and the management of producing oil and gas fields. PGS' advanced geophysical technologies allow oil and gas companies to better characterize and monitor their reservoirs in order to enhance production and ultimate recovery of hydrocarbons. In its Production Operations business, PGS owns four floating production, storage and offloading systems ("FPSOs") and operates numerous offshore production facilities for oil and gas companies. FPSOs permit oil and gas companies to produce from offshore fields more quickly and cost effectively. PGS operates on a worldwide basis with headquarters in Oslo, Norway and Houston, Texas
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The information included herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on certain assumptions and analyses made by the Company in light of its experience and its perception of historical and future trends, on general economic and business conditions and on numerous other factors, including expected future developments, many of which are beyond the control of the Company. Such forward-looking statements are also subject to certain risks and uncertainties as disclosed by the Company in its filings with the Securities and Exchange Commission. As a result of these factors, the Company's actual results may differ materially from those indicated in or implied by such forward-looking statements.
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