DECEMBER 22, 2003: OSLO, NORWAY; HOUSTON, TEXAS - Petroleum Geo-Services ASA ("PGS" or the "Company") (OSE: PGS; OTC: PGEOY) announced today that it expects to distribute by the end of the year $17,932,152 in excess cash pursuant to its Modified First Amended Plan of Reorganization, dated October 21, 2003 (the "Plan"). In accordance with the terms of the Plan (which was substantially consummated on November 5, 2003) this distribution will be made to the holders of Allowed Class 4 Claims (PGS' former bondholders and bank debtholders). The Company engaged an independent third party to review its computation of excess cash.
PGS' previously announced discussions regarding a $70 million working capital facility and a $40 million letter of credit facility remain ongoing. If and when the working capital and letter of credit facilities are finalized and cash collateral associated with outstanding letters of credit is released, PGS expects to make a second distribution of excess cash in an amount of $22.7 million. In addition, following completion of the 2003 audit of PGS' consolidated financial statements, an excess cash additional recovery distribution will be made, if required, to the holders of Allowed Class 4 Claims. Currently, it is not possible to estimate the amount of the excess cash additional recovery, if any.
A conference call to discuss the excess cash calculation will be held today at 16:00 Oslo Time (10:00 a.m. New York Time). To access the call, which is open to the public, please call the conference call operator at (888) 862-6557 or +1 (630) 691-2748 for callers outside the United States and ask for the "PGS Conference Call." There will be a digital replay of the conference call beginning at 18:00 Oslo time (12:00 p.m. New York Time) on the day of the call through Monday, January 5, 2004 at (888) 843-8996 or +1 (630) 652-3044 for those calling from outside the United States (reference passcode 8200895). Presentation slides regarding the excess cash calculation are available on the Company's web site at www.pgs.com.
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Petroleum Geo-Services ASA is a technologically focused oilfield service company, principally involved in geophysical and floating production services. PGS provides a broad range of seismic and reservoir services, including acquisition, processing, interpretation, and field evaluation. PGS owns and operates four floating production, storage and offloading units (FPSOs). PGS operates on a worldwide basis with headquarters in Oslo, Norway. For more information on Petroleum Geo-Services ASA visit www.pgs.com.
The information included herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on various assumptions made by the Company which are beyond its control and certain additional risks and uncertainties that are also beyond its control as disclosed by the Company in its filings with the Securities and Exchange Commission. As a result of these factors, actual events may differ materially from those indicated in or implied by such forward-looking statements.
FOR DETAILS, CONTACT:
Sam R. Morrow
Svein T. Knudsen
Phone: +47-67-52-6400
Suzanne M. McLeod
Phone: +1 281-589-7935
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