August 18, 2003 (Houston, TX) - Leading digital well log data company, A2D Technologies, has been awarded the U.S. Department of the Interior Minerals Management Service (MMS) Digital Well Data Processing Contract. Chosen from a competitive field, A2D was granted the five-year contract based on evaluation criteria that included overall value proposition, superior technological capabilities, proven domain expertise and competitive pricing.
The contract, set to take effect within the next few weeks, entrusts A2D with the technical and logistical aspects of the MMS' mandate to collect and distribute complete, defect-free processed well log data. As the MMS' agent, A2D will channel the distribution of U.S. Outer Continental Shelf (OCS) legacy and new release log data to the public.
Synergy between A2D's well log solutions and the MMS' requirements produced a cost-effective option for the MMS to achieve its mandate. A2D employs a business model that achieves exactly what all constituents require from this multi-year contract. While the MMS benefits from significant direct cost reduction, A2D augments its market advantage through valuable additions to its data library, lower data acquisition costs and an expansion of its data management model. These factors will benefit data standards and efficiencies across the industry.
"The MMS contract award for management of the nation's critical offshore well log data assets is a tremendous vote of confidence for the people and technology of A2D," stated Dave Kotowych, President of A2D Technologies. "It demonstrates the value and strength of our well log data management model and supports our continuing vision to be the leading partner for the industry's digital well log data needs."
A2D expects to realize considerable strategic benefits from this contract. Newly released OCS well log data will be more immediately available to A2D, expanding its superior market share of online industry log data sales. Also, by managing the MMS well log data, A2D will enhance the value of its turnkey data management services for existing and new clients.
The MMS Well Data Processing Contract is another milestone in the continuing success of A2D's commercial well log data and related data management services. In early 2002, A2D upgraded LOG-LINE Plus! to store proprietary data alongside the more than 1.7 million commercially available logs and allow users to instantly view, query and download. Late last year, LOG-LINE Plus! received the World Oil Award for Best Database/Data Management Solution.
The Minerals Management Service (MMS), a bureau in the U.S. Department of the Interior, is the federal agency that manages the nation's natural gas, oil and other mineral resources on the outer continental shelf in Alaska, the Pacific and the Gulf of Mexico.
A2D Technologies, a wholly-owned subsidiary of TGS-NOPEC Geophysical Company, pioneered the delivery of digital well log data over the Internet and currently offers a one-of-a-kind integrated solution for well log data sourcing, well log data management, and well log correlation.
TGS-NOPEC is a leading global provider of multi-client geoscience data and associated products and services to the oil and gas industry. TGS-NOPEC specializes in the planning, acquisition, processing, interpretation and marketing of non-exclusive seismic surveys worldwide. The TGS-NOPEC group places a strong emphasis on providing high-quality data and the highest level of service to the industry.
All statements in this press release other than statements of historical fact are forward-looking statements, which are subject to a number of risks, uncertainties and assumptions. These include TGS-NOPEC's reliance on a cyclical industry and principal customers, the company's ability to continue to expand markets for licensing of data, and the company's ability to acquire and process data products at costs commensurate with profitability. Actual results may differ materially from those expected or projected. TGS-NOPEC undertakes no responsibility to update forward-looking statements.
TGS-NOPEC is listed on the Oslo Stock Exchange (OSLO:TGS). Web-site: www.tgsnopec.no
LOG-LINE Plus! is a registered trademark of A2D Technologies.
For additional information about this news release please contact:
Arne Helland, CFO TGS-NOPEC Geophysical Co.
Telephone: +47-31-29-20-00 / +47-91-88-78-29
Rod Starr, VP Sales A2D Technologies
Telephone: 1-713-860-2152