EMGS - Successful completion of bond offering
Jul 20, 2010 08:20 CEST
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN
Oslo, 20 July 2010: Electromagnetic Geoservices ASA ("EMGS" or the "Company" - OSE: EMGS)
EMGS is pleased to announce that it has signed a bond agreement for a USD 20 million senior secured bond with Norsk Tillitsmann ASA on behalf of Fugro as sole bondholder. The bonds will yield quarterly coupons of LIBOR + 8.0 percentage points, and will, unless previously redeemed or purchased, mature 3.5 years after the settlement date. The proceeds from the bonds will be used in relation to the issuance of a performance guarantee, required according to the contract with PEMEX announced on 6 July 2010, and for general corporate purpose. The bonds will not be listed. Funding is expected on or around 21 July 2010.
The bonds offer an attractive and flexible financing for EMGS, and will together with the long term economic benefits from the PEMEX contract, further increase the financial strength of the Company.
ABG Sundal Collier Norge ASA and First Securities AS are acting as joint lead managers in relation to the bond offering.
Contact
Roar Bekker, EMGS chief executive officer, +47 22 01 14 00
Svein Knudsen, EMGS chief financial officer, +47 22 01 14 00
About EMGS
EMGS uses its proprietary electromagnetic (EM) technology to support oil and gas companies in their search for offshore hydrocarbons. The company is the EM market leader, and provides Clearplay, the world's first fully integrated EM system.
Three service offerings - Clearplay Find, Test and Evaluate - have been designed to assist operators in the exploration and production phase. Clearplay supports each stage in the workflow, from survey design and data acquisition to processing and interpretation. The services enable integration of EM data with seismic and other geophysical and geological information to give explorationists a clearer and more complete understanding of the subsurface. This improves exploration efficiency, and reduces risks and the finding costs per barrel.
EMGS operates the world's first purpose-built 3D EM vessel fleet and has conducted more than 450 surveys to improve drilling success rates across the world's mature and frontier offshore basins. The company operates on a worldwide basis with main offices in Trondheim and Stavanger, Norway; Houston, USA; and Kuala Lumpur, Malaysia. Please visit www.emgs.com for more information.
Oslo, 20 July 2010: Electromagnetic Geoservices ASA ("EMGS" or the "Company" - OSE: EMGS)
EMGS is pleased to announce that it has signed a bond agreement for a USD 20 million senior secured bond with Norsk Tillitsmann ASA on behalf of Fugro as sole bondholder. The bonds will yield quarterly coupons of LIBOR + 8.0 percentage points, and will, unless previously redeemed or purchased, mature 3.5 years after the settlement date. The proceeds from the bonds will be used in relation to the issuance of a performance guarantee, required according to the contract with PEMEX announced on 6 July 2010, and for general corporate purpose. The bonds will not be listed. Funding is expected on or around 21 July 2010.
The bonds offer an attractive and flexible financing for EMGS, and will together with the long term economic benefits from the PEMEX contract, further increase the financial strength of the Company.
ABG Sundal Collier Norge ASA and First Securities AS are acting as joint lead managers in relation to the bond offering.
Contact
Roar Bekker, EMGS chief executive officer, +47 22 01 14 00
Svein Knudsen, EMGS chief financial officer, +47 22 01 14 00
About EMGS
EMGS uses its proprietary electromagnetic (EM) technology to support oil and gas companies in their search for offshore hydrocarbons. The company is the EM market leader, and provides Clearplay, the world's first fully integrated EM system.
Three service offerings - Clearplay Find, Test and Evaluate - have been designed to assist operators in the exploration and production phase. Clearplay supports each stage in the workflow, from survey design and data acquisition to processing and interpretation. The services enable integration of EM data with seismic and other geophysical and geological information to give explorationists a clearer and more complete understanding of the subsurface. This improves exploration efficiency, and reduces risks and the finding costs per barrel.
EMGS operates the world's first purpose-built 3D EM vessel fleet and has conducted more than 450 surveys to improve drilling success rates across the world's mature and frontier offshore basins. The company operates on a worldwide basis with main offices in Trondheim and Stavanger, Norway; Houston, USA; and Kuala Lumpur, Malaysia. Please visit www.emgs.com for more information.