Rejection of TGS Proposal to Acquire PGS MultiClient Library
August 13, 2020: Oslo, Norway, the Board of PGS ASA (“PGS”, or the “Company”), together with PGS Management, has reviewed and assessed the unsolicited, conditional and non-binding proposal to acquire the MultiClient data library of PGS received from TGS-NOPEC Geophysical Company ASA ("TGS”) on August 6, 2020.
The Board has unanimously concluded to reject the TGS proposal.
The Board of PGS is of the view that the value of the Company’s MultiClient data library is significantly greater to PGS than that represented by the TGS proposal, and that the timing of the proposal is opportunistic given the current market backdrop and macro-economic environment. Having consulted with its financial and legal advisers, the Board of PGS has concluded that the proposal is not in the best interests of the Company and its stakeholders.
PGS remains committed to its integrated service strategy and the benefits to the Company and its stakeholders from the combination of MultiClient and Contract operations.
PGS remains focused on its ongoing discussions with its lenders, as previously announced.
Bård Stenberg, VP IR & Corporate Communication
Mobile: +47 99 24 52 35
PGS ASA and its subsidiaries (“PGS” or "the Company") is a focused marine geophysical company that provides a broad range of seismic and reservoir services, including acquisition, imaging, interpretation, and field evaluation. The Company MultiClient data library is among the largest in the seismic industry, with modern 3D coverage in all significant offshore hydrocarbon provinces of the world. The Company operates on a worldwide basis with headquarters in Oslo, Norway and the PGS share is listed on the Oslo stock exchange (OSE: PGS). For more information on PGS visit www.pgs.com.
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 2019. 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.