Petroleum Geo-Services ASA
oslo : PGS

July 15, 2011 02:12 ET

PGS GeoStreamer® Boosts MultiClient Sales;

OSLO, NORWAY--(Marketwire - Jul 15, 2011) - Petroleum Geo-Services ASA (PGS) will present its second quarter results on July 28, 2011. The Company expects to report results which are higher than current market expectations, due to strong MultiClient sales in the quarter.

The Company has not provided any earnings guidance for Q2 2011. Based on preliminary consolidated numbers, however, it observes that Q2 2011 Revenues, EBITDA and EBIT are expected to end significantly higher than current market expectations.

Total revenues for Q2 2011 are expected to exceed $310 million. EBITDA is expected to exceed $150 million. EBIT is expected to exceed $40 million.

+----------------+----------------------------------+
|                |                                  |
| In USD million |         2(nd)( ) quarter         |
|                |                                  |
|                +---------------------------+------+
|                |           2011            | 2010 |
+----------------+---------------------------+------+
| Revenues       | To exceed            310  |  215 |
+----------------+---------------------------+------+
| EBITDA         | To exceed            150  |   71 |
+----------------+---------------------------+------+
| EBIT           | To exceed              40 |    5 |
+----------------+---------------------------+------+


PGS recognizes changes in the fair value of its convertible bond investment in Seabird Exploration Ltd. as financial income/expense. During Q2, the fair value was negatively impacted by approximately $8 million due primarily to the decline in Seabird's share price in the quarter.

The Company provides this information based on preliminary consolidated Q2 2011 numbers. The Company has not completed all review and control procedures relating to its quarterly reporting, and significant evaluations have not yet been concluded, including tax provision. The estimates provided in this release are therefore subject to change and the Q2 2011 financial statements finally approved and released by the Company may deviate materially from the information herein.

The Company's full year 2011 EBITDA guidance remains unchanged.

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Petroleum Geo-Services is a focused geophysical company providing a broad range of seismic and reservoir services, including acquisition, processing, interpretation, and field evaluation. The company also possesses the world's most extensive multi-client data library. PGS operates on a worldwide basis with headquarters at Lysaker, Norway.

For more information on Petroleum Geo-Services visit www.pgs.com.

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The information included herein contains certain forward-looking statements that address activities, events or developments that the Company expects, projects, believes or anticipates will or may occur in the future. These statements are based on various assumptions made by the Company, which are beyond its control and are subject to certain additional risks and uncertainties. The Company 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 multi-client 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 2010. 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 the Company 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. This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

Q2 earnings update: http://hugin.info/115/R/1531199/465978.pdf

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Petroleum Geo-Services ASA via Thomson Reuters ONE

[HUG#1531199]

Contact Information

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    Tore D Langballe
    SVP Corporate Communications
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