EANS-News: C.A.T. oil has successfully marketed its sidetrack drilling capacities for 2013
22.01.2013 – 12:53
-------------------------------------------------------------------------------- Corporate news transmitted by euro adhoc. The issuer/originator is solely responsible for the content of this announcement. -------------------------------------------------------------------------------- Subtitle: Existing sidetrack drilling contract extended by EUR 38 million to EUR 65 million by Lukoil Further tenders for sidetrack drilling contracts worth EUR 63 million awarded by Rosneft, Slavneft and Tomskneft-VNK Early and remarkable success in 2013 tendering campaign Company Information Vienna, 22 January 2013 (euro adhoc) - C.A.T. oil AG (O2C, ISIN: AT0000A00Y78), one of the leading providers of oil and gas field services in Russia and Kazakhstan, today announced that its operating subsidiary CATOBNEFT has been awarded an extension on an existing contract by EUR 38 million to EUR 65 million (based on a rouble-to-euro exchange rate of 40). In addition CATOBNEFT has succeeded in securing tenders for conclusion of further sidetrack drilling contracts by Rosneft, Slavneft and Tomskneft-VNK worth EUR 63 million. In total, the existing order book represents approximately 85% utilization of the Company's sidetrack drilling capacity for the full year 2013. Based on the recently announced award of tenders for hydraulic fracturing services and the current order book volume of EUR 128 million for sidetrack drilling C.A.T. has achieved an early and remarkable success in its 2013 tendering campaign. Manfred Kastner, CEO of C.A.T. oil, commented: "Following the award of two three-year tenders for hydraulic fracturing services we have more good news to report today: C.A.T. oil has successfully marketed its sidetrack drilling capacities worth EUR 128 million for 2013, representing a utilization of 85%. Having further tenders at an advanced stage we are thus well under way in our 2013 tendering campaign laying a sound basis for the upcoming year." Having achieved the extension of an existing sidetrack drilling contract at an early stage of time is a positive sign for two reasons: On the one hand it once again clearly mirrors the customers' trust in C.A.T. oil. On the other hand it gives an indication on the customers' strong activity levels going forward. Manfred Kastner added: "What we have learned in the tendering campaign so far is that our customers prepare themselves for a busy 2013. Having increased our sidetrack drilling and fracturing capacities as well as successfully set up high class drilling as our third core service in 2012 we are optimistic to once again grow our profitable business in 2013." www.catoilag.com Press contact: FTI Consulting Thomas M. Krammer Phone: +49 (0)69 92037-183 Email: thomas.krammer@fticonsulting.com Steffi Fahjen Phone: +49 (0)69 92037-115 Email: steffi.fahjen@fticonsulting.com About C.A.T. oil AG C.A.T. oil AG is one of the leading providers of oil and gas field services in Russia and Kazakhstan and is listed on the Frankfurt Stock Exchange (SDAX). C.A.T. oil offers a wide spectrum of services to increase the lifecycle of an oil field or to make unexploited oil fields accessible. The Company's growth is driven by the following factors: Existing oil fields need to be stimulated due to shrinking oil and gas resources in order to optimize capacities. Simultaneously, idle wells are reactivated or made accessible through new methods in order to deploy wells to their maximum. Additionally, C.A.T. oil has established high class drilling as third core service which allows to access completely unexploited oil and gas reserves. Since its foundation in 1991 in Celle, Germany, C.A.T. oil has built up a leading hydraulic fracturing services business in Russia and Kazakhstan. Following its IPO in 2006 the Company has invested more than EUR 250 million in additional services and capacities: sidetrack drilling has become the Company's second core business. In 2011, the Company initiated a comprehensive investment program with a volume of EUR 150 million, focusing on the set up of high class drilling as third core service offering. The new service line was fully installed in 2012. C.A.T. oil's portfolio also includes cementing and seismic services. With its state-of-the-art technology the Company clearly differentiates itself in its core markets as the equipment allows for very time-efficient and effective deployment. C.A.T. oil's customer base includes the leading Russian and Kazakh oil and gas producers amongst them Gazprom, KazMunaiGaz, LUKOIL, Rosneft and TNK-BP. C.A.T. oil has a long-standing relationship with these customers and has been a reliable service provider since its market entrance in the early nineties. The Company has its headquarters in Vienna. In 9M 2012, the Company employed an average of 2,469 people, most of which are based in Russia and Kazakhstan. Further inquiry note: Thomas Krammer Tel: +49(0)69-92037-183 Email: thomas.krammer@fticonsulting.com end of announcement euro adhoc -------------------------------------------------------------------------------- company: C.A.T. oil AG Kärtner Ring 11-13 A-A-1010 Wien phone: +43(0) 1 535 23 20 - 0 FAX: +43(0) 1 535 23 20 - 20 mail: ir@catoilag.com WWW: http://www.catoilag.com sector: Oil & Gas - Upstream activities ISIN: AT0000A00Y78 indexes: SDAX, Classic All Share, Prime All Share stockmarkets: regulated dealing/prime standard: Frankfurt language: English