SOURCE: Roxar

May 03, 2005 07:00 ET

Roxar Wins Multi-Million Dollar Contract Extension to Supply Permanent Downhole Monitoring Equipment to Hydro

STAVANGER, NORWAY -- (MARKET WIRE) -- May 3, 2005 -- Roxar, a leading technology solutions provider to the upstream oil and gas industry, today announced a multi-million dollar extension to its contract with Hydro, one of the world's largest offshore oil companies, to provide Permanent Downhole Monitoring Systems (PDMS) for its offshore fields in the North Sea.

The deal is a two-year extension of the original contract signed in 2000. Under the extended agreement, Roxar will provide project planning, installation and maintenance services to help Hydro maximize its investment in downhole instrumentation. Roxar has been the key supplier of PDMS systems to Hydro since 1994.

Roxar's PDMS equipment ensures reliable around-the-clock access to downhole information from any office location, improving reservoir management, well planning and resource exploitation. PDMS will provide mission-critical, real-time pressure and temperature information from both Hydro's conventional and multi-zone intelligent wells, the data gathered being crucial to increasing oil and gas recovery from Hydro's reservoirs.

Hydro is one of the world's leading offshore producers of oil and gas and has been a leader in developing the Norwegian petroleum industry over the last 40 years. With 36,000 employees and operating in 40 countries worldwide, Hydro is currently the operator of 12 oil and gas fields in the Norwegian offshore sector and produced 530,000 barrels of oil equivalent per day in 2003.

Roxar CEO, Sandy Esslemont, welcomed the announcement: "Roxar's monitoring systems continue to be at the forefront of permanent subsurface instrumentation and continue to give our customers the information they need to better manage their reservoirs and optimize production. We are delighted to be extending our relationship with Hydro today and providing them with highly effective and intervention-free reservoir surveillance on an around-the-clock basis.

"Hydro's world-renowned project execution skills and experience in deep water and rough sea fields has ensured maximized production from its North Sea and global operations over the past few years. By continuing to partner with Roxar, Hydro is demonstrating its confidence and satisfaction in Roxar's technology solutions and can look forward to outstanding reservoir performance for many years to come."

Roxar is widely recognized as a global leader in providing reliable downhole monitoring solutions with a proven track record of success across the world. Over the last decade, Roxar has won a series of major contracts in the Norwegian Continental Shelf, in the Middle East and Asia Pacific with customers including BP, Oxy and Total. Roxar has held an agreement to be Statoil's single source PDMS vendor in designated North Sea fields since 1987.

The Roxar PDMS is highly robust and reliable for onshore, offshore and subsea wells and is deployed in production, injection and observation wells as well as in conjunction with the instrumentation of highly complex multi-zone intelligent wells.

The Roxar PDMS can be supplied as a stand-alone system or as a completely integrated system. PDMS typically provides information on reservoir pressure and temperature. However, measurements such as flow rate, fluid fraction, sand detection and chemical properties add value to the system.

Roxar creates value for its customers through its Reservoir Interpretation, Reservoir Modeling, Reservoir Simulation, Well and Completion, Production and Process Solutions and Consultancy Services.

Note to Editors:

About Roxar

Roxar is a leading international technology solutions provider to the upstream oil and gas industry. The company creates value for its customers through innovative products and services that help achieve maximum performance from oil and gas reservoirs.

With its head offices in Stavanger, Norway, Roxar employs close to 450 staff across a network of wholly owned offices in Europe, the Americas, Africa, CIS, Asia Pacific and the Middle East. Founded in May 1999, the company generated revenues of approximately US$100 million in 2004. Roxar's International customer base includes all of the multinationals, major independents and the majority of national oil companies.

Contact Information

  • For further information:
    Sandy Esslemont (USA)
    CEO, Roxar Group
    Tel: +1 713 482 6439
    Email:sandy.esslemont@roxar.com

    Ådne Grødem (Europe)
    CFO, Roxar Group
    Tel: +47 51 81 88 23
    Email:aadne.groedem@roxar.com

    Gunnar Hviding
    Managing Director
    Roxar Flow Measurement
    Tel: +47 51 81 88 75
    Email: Gunnar.Hviding@roxar.com

    Svenn Haugen,
    Group Marketing Manager
    Tel: +47 51 81 88 00
    Email: svenn.haugen@roxar.com