Houston, Texas; Oslo, Norway; July 10, 2000: Petroleum Geo-Services ASA (NYSE: PGO; OSE: PGS) announced today that after more than two years of operating its production business under several management teams focused on similar but slightly different markets, the entire production management group will be brought together under one cohesive management team led by Kaare Gisvold.
As the newly appointed President of PGS Production, Kaare Gisvold will leverage more than 25 years of offshore industry experience towards the further development of PGS’ production business. Dr. Gisvold holds a Doctorate degree in Naval Architecture and Marine Engineering and previously served as managing director of Golar-Nor Offshore, which was purchased by PGS from Awilco in 1998. Prior to Golar Nor, Dr. Gisvold has worked with NFDS, Volvo, Marintek and Det norske Veritas.
The PGS Production organization will incorporate the current activities of PGS Atlantic Power Ltd., PGS Golar-Nor Offshore AS and PGS Floating Production, Inc. as well as the general sales and business development activity of PGS Offshore Technology AS. This comprises the operation of four harsh weather FPSO’s, five shuttle tankers and about 20 fixed installations in the North Sea. The new organization is intended to create sharper focus, maintain clearer responsibilities, share operational best practice, and streamline business development activities as one dynamic business unit of Petroleum Geo-Services.
Chairman and Chief Executive Officer of Petroleum Geo-Services, Reidar Michaelsen, said, “Kaare Gisvold is one of our industry’s most experienced and respected individuals. He has proven himself over the years and was a clear choice to lead one of the largest offshore production companies in the world.” Reidar went on to say, “We certainly look forward to the growth and the added value that should be achieved by a more focused and more cohesive organization.”
“The integration of PGS Production from its individual components will take some time, but will be specifically focused on growth with the goal of achieving better returns, more synchronized operational practices, systems and procedures,” said Bjarte Bruheim, President and Chief Operating Officer of Petroleum Geo-Services. Bruheim went on to say, “With the increased focus on floating production facilities surrounding the oil industry’s continual pursuit of hydrocarbons in far away and deepwater locations, this production business should be among the fastest growing sectors within the oilfield service area during the next ten year period. We believe that with this new management team, we are now better positioned to capture our fair share of this enormous market.”
Petroleum Geo-Services is a technologically focused oilfield service company principally involved in two businesses: geophysical seismic services and production services. PGS acquires, processes, manages and markets 3D, time-lapse and multi-component seismic data and provides associated data management solutions. This data is used by oil and gas companies in the exploration for new reserves, the development of existing reservoirs, and the management of producing oil and gas fields. In its production services business, PGS owns four floating production, storage and offloading systems and operates numerous offshore production facilities for oil and gas companies. FPSOs permit oil and gas companies to produce from offshore fields more cost effectively. PGS operates on a worldwide basis with headquarters in Oslo, Norway and Houston, Texas.