Oslo, Norway (7 March 2023) – Today, TGS hosts a Capital Markets Day in Oslo. In connection with the event, the following announcements are made:
- Based on the continued strong contract inflow and a growing pipeline of opportunities, TGS management now expects multi-client investments of more than USD 350 million, up from a range of USD 320 to 350 million guided previously. The early sales rate is still expected to be a minimum of 70%.
- TGS has signed a strategic collaboration agreement with SLB, providing the JV access to both companies’ US Gulf of Mexico data for sparse OBN acquisition and processing. The combined database, which covers all of the prospective areas of the US GoM, will allow the JV to pursue multi-year campaigns offering the industry superior data quality over both producing and exploration assets.
- TGS has signed a multi-year vessel agreement with COSL. The agreement secures TGS access to modern 2D, 3D and source vessel capacity at stable and predictable costs.
- TGS has secured prefunding for a new multi-client 3D seismic survey in a key emerging basin in West Africa. This project is due to commence in Q2 2023 and will be the first 3D project to be performed under the multi-year vessel agreement with COSL.
- TGS has secured an award for an extension to an ongoing proprietary OBN campaign in South America. The OBN program will now extend through Q4 2023.
- Following the success of the first multi-client wind measurement campaign in the New York Bight, TGS will deploy four additional floating LiDAR buoys in the coming weeks, all in lease areas offshore the US East Coast and supported by industry funding.
“TGS has built a strong strategic position over the past years, allowing us to capitalize fully on the continued market recovery. With leading business development capabilities combined with an unmatched data library and a robust balance sheet, we are seeing strong growth in the pipeline of opportunities in all our segments. This means that we can deploy more capital at attractive returns to our shareholders,” says Kristian Johansen, CEO of TGS. “I’m excited about the important strategic collaboration with SLB in the Gulf of Mexico. Together with SLB, we have had great success in offering our clients long-offset OBN data through the multi-client model, and with this JV agreement, we increase our ambitions further. Moreover, we are pleased to enter into a long-term partnership with COSL. Increased investment activity combined with the acquisition of Magseis Fairfield ASA means that TGS has a growing need for vessel capacity going forward. This agreement provides TGS with visibility on vessel availability and costs, both for the multi-client business and for our OBN activities.”
The Capital Markets Day presentations will last from CET 1300 to approximately CET 1600 and will be streamed live at tgs.com. The presentation material will be published at CET 1230 at newsweb.no and tgs.com.
The event will take place at Felix Konferansesenter, Bryggetorget 3, Oslo, Norway, and afterward, we invite attendees to join us for a reception.
View the entire presentation on-demand by clicking the below link:
TGS provides scientific data and intelligence to companies active in the energy sector. In addition to a global, extensive and diverse energy data library, TGS offers specialized services such as advanced processing and analytics alongside cloud-based data applications and solutions.
Forward Looking Statement
All statements in this press release other than statements of historical fact are forward-looking statements, which are subject to a number of risks, uncertainties and assumptions that are difficult to predict and are based upon assumptions as to future events that may not prove accurate. These factors include volatile market conditions, investment opportunities in new and existing markets, demand for licensing of data within the energy industry, operational challenges, and reliance on a cyclical industry and principal customers. Actual results may differ materially from those expected or projected in the forward-looking statements. TGS undertakes no responsibility or obligation to update or alter forward-looking statements for any reason.
For more information, contact:
Sven Børre Larsen
Chief Financial Officer