EANS-News: 100% of hydraulic fracturing capacities successfully marketed for 2014
18.02.2014 – 08:32
-------------------------------------------------------------------------------- Corporate news transmitted by euro adhoc. The issuer/originator is solely responsible for the content of this announcement. -------------------------------------------------------------------------------- Subtitle: Tender worth EUR 148 million awarded by Rosneft for a two-year hydraulic fracturing contract Additional tender worth EUR 53 million awarded by Slavneft-Megionneftegaz for 2014-16 More than 60% of fracturing capacities locked up under two- to three-year contracts 2014 order book for fracturing totals EUR 221 million CEO Manfred Kastner: The 2014 tendering campaign has entered the final straight. We are looking forward to concluding negotiations thus laying the basis for another year of success for C.A.T. oil. Company Information Vienna, 18 February 2014 (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 it has successfully marketed its fracturing capacities. The Company's operating subsidiary CATKoneft has been awarded a tender worth EUR 148 million (based on a rouble-to-euro exchange rate of 47) for a two-year hydraulic fracturing contract by its largest and long-standing customer Rosneft. Furthermore, CATKoneft has been awarded with an additional tender worth EUR 53 million by Slavneft- Megionneftegaz for 2014-16. Combined with already existing three-year contracts with Lukoil and Rosneft, these tender awards underpin a successful lockup of more than 60% of C.A.T. oil's fracturing operating capacities under two- to three-year contracts. The 2014 total order book for fracturing stands at EUR 221 million, representing 100% of the Company's fracturing capacity for the current year. Manfred Kastner, CEO of C.A.T. oil, commented: "When it comes to hydraulic fracturing we go back to our roots: Fracturing has been the first service we offered and it is indeed an important backbone of our Company. By having secured orders worth EUR 221 million we have fully marketed our fracturing capacities for 2014. And what we are particularly pleased about is that key customers such as Rosneft have once again decided to place their trust in us by awarding multi- year tenders. The 2014 tendering campaign has entered the final straight. We are looking forward to concluding negotiations very soon thus laying the basis for another year of success for C.A.T. oil." 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 independent oil and gas field service contractors in Russia and Kazakhstan and is listed on the Frankfurt Stock Exchange (SDAX). C.A.T. oil provides a range of high quality services, which enable oil and gas producers to extend lifecycle of their fields or bring yet unexploited oil and gas reserves to production. Since its foundation in 1991 in Celle, Germany, C.A.T. oil has built up a leading hydraulic fracturing service, a very effective method of well stimulation by cracking rock formations with pressurized fluids, in Russia and Kazakhstan. Following its IPO in 2006, the Company developed a second core service of sidetrack drilling in 2006-08 and has established a strong presence in Russia's sidetrack drilling market. Sidetrack drilling is a term used to describe drilling of a new wellbore from the upper section of an existing well. In 2011-12, the Company launched the next phase of its growth and diversification strategy and set up high class drilling operations as a third core service offering. High class drilling is the classical technology of drilling vertical, inclined and horizontal wells for extraction of oil and gas. In total, the Company has already invested more than EUR 400 million in growth and diversification since its IPO in 2006. Following the successful set up of high class drilling in 2011-12, C.A.T. oil introduced its new segment reporting in 2013 clustering its activities in "Well Services" (fracturing, cementing and completion operations) and "Drilling, Sidetracking and IPM (Integrated Project Management)". C.A.T. oil's customer base includes the leading Russian and Kazakh oil and gas producers such as Gazprom, Rosneft, Lukoil and KazMunaiGaz. The Company has long-standing relationships with these customers and has been a reliable service provider since its market entrance in the early nineties. C.A.T. oil has its headquarters in Vienna. The Company's 9M 2013 weighted average headcount stood at 2,673 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 Kärntner Ring 11-13 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