Portfolio news 2007
GETECH Group plc - Commences the marketing of Russian Arctic Shelf aeromagnetic data
24 Jan 2007
GETECH Group plc (“GETECH” or “the
Company”), the oil services business specialising in the
provision of exploration data and petroleum systems evaluations, is
pleased to announce the finalisation of Agreements to permit GETECH
to commence exclusive marketing of Russian Arctic Shelf
aeromagnetic data. These data will help major oil companies
evaluate the hydrocarbon potential of the Arctic. Several oil
majors have expressed strong interest in licensing these data and
one has already placed an order totalling £840,000.
Commenting on this order, Peter Stephens, Chairman of
GETECH, said: “This contract is the culmination of
almost two years work. It is our first major win this year and is
typical of the small number of large contracts on which the company
relies to achieve its targets."
The enabling Agreements have taken over 18 months to finalise,
with initial signing in January 2006 followed in December 2006 by
Russian approval to release the data. These Agreements give GETECH
exclusive rights to over 850,000 line kilometres of flight line
aeromagnetic data over the Russian Arctic continental shelf. These
aeromagnetic products will allow oil and gas companies, to evaluate
more effectively the potential of Russia’s 6,800 km long
northern offshore continental margin. The data are available to oil
companies from April 2007 and should contribute significantly to
GETECH’s future earnings as Arctic exploration increases.
Commenting on the Agreements, Managing Director of
GETECH, Professor Derek Fairhead, said: “We are
delighted to have signed these Agreements and are now able to
implement them. These data form part of a suite of Arctic products
that GETECH is making available to international oil companies to
allow them to evaluate the hydrocarbon potential of the shallow-
and deep-water basins of the Arctic continental shelf. In this way,
the Company is playing an important role in helping oil companies
access data in one of the world’s largest and most
challenging exploration frontiers”.
“Additionally, these data enhance GETECH’s position
as the holder of one of the world’s most extensive commercial
archives of gravity and magnetic data”.
For more information, please contact:
Prof Derek Fairhead, Managing Director
0113 343 5240
Notes to Editors
GETECH evolved from a Research Group headed by Professor Derek
Fairhead within the Department of Earth Sciences at the University
of Leeds (UK) in the mid-1980s. During the subsequent 15 years,
Professor Fairhead completed a number of major industry-supported
continental-scale compilations of gravity and magnetic data.
In the year 2000, GETECH spun out from the University as a separate
company and in 2005, floated on the AIM stock market in London.
GETECH is a profitable and cash generative oil services business
specialising in the compilation and analysis of gravity and
magnetic data and in evaluating petroleum systems within basins.
GETECH licenses these data sets and interpretation reports to major
oil, gas and mining companies to enable these companies to evaluate
regional geology and thereby assist their exploration strategies.
GETECH has compiled one of the world’s most extensive
commercial libraries of gravity and magnetic data. GETECH is based
at the University of Leeds, and it has a subsidiary in Houston,
Texas and an active presence in Singapore.
On September 23 2005, the Company listed on the AIM market of
the London Stock Exchange, raising just over £3 million via
an institutional placing.
GETECH has 3 principal activities:
Licensing Global Gravity and Magnetic Data
Integrated Basin Interpretation Studies and Services
Evaluating the Petroleum Systems within basins
The first two activities contributed the majority of Group
revenue for the year ended 31 July 2006 with a profit of
£1.01. million on a turnover of £3.23 million. The
third activity relates to the evolving Petroleum Systems Evaluation
Group, (PSEG), headed up by Dr Paul Markwick, which was formed in
2004 and provides oil companies with detailed insights into the key
source, reservoir and seal issues relating to the prospectivity of
hydrocarbon basins. PSEG is seen as a major business growth area
within the Company.