PGS has previously disclosed its desire to take a leading role in a consolidation of the seismic industry. Accordingly, both management and financial advisers have performed evaluations of PGS and other participants in the seismic industry. Based on these evaluations, the management and the Board of Directors of PGS consider the Proposal to be inadequate in terms of price and other conditions. Consequently, PGS has informed CGG that the Proposal is rejected.
On the basis of CGG''s stated intention to disclose the Proposal "on the occurrence of the publication of [their] second quarter results on September 2, 2004", PGS deems it appropriate to disclose this information as soon as possible.
PGS still acknowledges the potential benefits of consolidation in the seismic industry, and will continue to work proactively towards an improved industry structure.
Petroleum Geo-Services is a technologically focused oilfield service company principally involved in geophysical and floating production services. PGS provides a broad range of seismic- and reservoir services, including acquisition, processing, interpretation, and field evaluation. PGS owns and operates four floating production, storage and offloading units (FPSOs) and owns a small oil and gas company. PGS operates on a worldwide basis with headquarters in Oslo, Norway. For more information on Petroleum Geo-Services visit http://www.pgs.com/.
The information included herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on various assumptions made by the Company which are beyond its control and certain additional risks and uncertainties as disclosed by the Company in its filings with the Securities and Exchange Commission. As a result of these factors, actual events may differ materially from those indicated in or implied by such forward-looking statements.
FOR DETAILS, CONTACT: Ola Bosterud Sam R. Morrow Svein T. Knudsen Phone: +47 6752 6400 Suzanne M. McLeod Phone: +1 281-589-7935
Petroleum Geo-Services ASA