May 02, 2005 07:00 ET

Roxar Wins Multi-Million Dollar Contract to Supply Over 50 Multiphase Flow Meters to Middle Eastern Client

Deal Is Largest Ever Single Order of Multiphase Meters to Oil and Gas Industry

STAVANGER, NORWAY -- (MARKET WIRE) -- May 2, 2005 -- Roxar, a leading technology solutions provider to the upstream oil and gas industry, today announced that it has signed a multi-million dollar contract to supply more than 50 of its topside MPFM 1900VI® Multiphase Flow Meters to a Middle East customer for one single onshore field development.

The contract is the largest recorded single order to date for Multiphase Flow Meters to the oil and gas sector, further strengthening Roxar's position as the market leader in online and in-line multiphase flow metering.

Roxar's Multiphase Flow Meters are designed to continuously measure the flow rates of oil, water and gas in the well stream, without the need for separation. Multiphase meters are used in the oil and gas industry for well testing and continuous well monitoring. The information from the meters is used to determine the optimal production capacity of each individual well over the lifetime of the field, thus allowing accelerated production and increased recovery.

Roxar sees an increasing interest in utilizing multiphase meters for continuous well monitoring, compared with conventional well testing. This trend is particularly evident for subsea applications and for high value wells onshore. The main benefit of continuous monitoring is that operators are better informed and can predict when a problem is developing, thus avoiding escalation of a potential problem that could cause permanent damage to the well or the reservoir.

The contract follows other recent deals in the Middle East to purchase Roxar's industry standard reservoir modeling software, IRAP RMS, additional MPFM 1900VI® Multiphase Meters, WaterCut Meters and Downhole Pressure and Temperature Gauges.

Said Roxar CEO, Sandy Esslemont:

"Today's announcement represents another milestone in Roxar's history. Having pioneered this technology for topside well testing and further developed multiphase and wetgas meters for continuous monitoring of subsea wells, the market is now responding to the value these meters offer to all producing wells, including land based operations. It's a vindication that we are on the right track."

He continues:

"Through the ability to remotely measure multiphase flows in real-time, we at Roxar are confident that we can enhance the operators' ability to manage their reservoirs to positively impact cash flow."

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.

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