GeoStReAmeR® - A BReAKtHRouGH in StReAmeR teCHnoloGY
As a part of PGS' HD3D® strategy the Company launched its GeoStreamer® at the European Association of Geoscientists and Engineers (EAGE) Exhibition in 2007. It is the world's first dual sensor streamer with motion sensors (geophones) in addition to conventional pressure sensors (hydropho- nes).The GeoStreamer® is a proprietary technology, unique to PGS and provides higher resolution, better penetration and improved operational efficiency (see images to the right). Respected geoscientists claim it is the most significant advance in towed marine streamer technology since its origi- nal invention 61 years ago.
During 2008, the Company has acquired and processed approximately 30,000 line kilometers of 2D GeoStreamer® data and 10 customers have been served.
The first 3D vessel was equipped with GeoStreamer® in fourth quarter 2008 and
started on a MultiClient job in the DeSoto Canyon in the Gulf of Mexico at year-end. BP America was the main underwriter of the survey and has collaborated on the techni- cal specifications.The MultiClient survey will be a springboard to new opportunities in the Gulf of Mexico.
Improved operational efficiency was proved by a North Sea GeoStreamer® survey conducted during December 2008 and the first half of January 2009, when the weather is typically too rough to shoot seismic with conventional streamers. Despite the season and the weather experienced on this survey, the data quality was first class.This bodes well for future winter acquisition in the North Sea with GeoStreamer®.
Endorsement of the technology has been demonstrated throughout 2008 by direct awards and significant price uplifts.The technology is very beneficial in areas of
complex geology and where conventional seismic methods have traditionally failed to produce adequate imaging.The Company is scheduled for several contract GeoStrea- mer® jobs during 2009.
Roll-out of the technology will continue with at least one more 3D vessel in 2009. Customer support of this technology has been rapid and positive.
Exploration and Reservoir Exploration Technology all of whom are active within limited areas of PGS' overall service scope.
Throughout 2007, there were two sig- nificant company acquisitions within the seismic industry. WesternGeco ac- quired EasternEcho and PGS acquired Arrow Seismic.The seismic market has consolidated further as a result of CGGVeritas' bid for Wavefield Inseis launched in November 2008. Now that the transaction is consummated, the three largest players control approxi- mately 80% of capacity in the industry.
multiClient library PGS owns a substantial library of marine MultiClient seismic data in all of the major oil and gas basins of the world, including the Gulf of Mexico, the North Sea, West Africa, Brazil and the Asia Pacific region.The marine MultiClient data library comprises 385,000 square kilometers of 3D and 160,000 line kilometers of recent 2D seismic. In addition, PGS has integrated 169,000 square kilometers of third party data to build MegaSur- veys. MegaSurveys integrate multiple surveys into a single contiguous da- taset to offer high quality data for full basin-wide prospectivity and regional modeling studies.
Goals and Strategies PGS Marine aims at capturing value from its strong operating platform by using productivity leadership, increas- ing streamer count on its vessels and maximizing the Company's capacity utilization.
This is the new Ramform Sovereign, which PGS took delivery of in March 2008.
PGS ANNUAL REVIEW 2008 14
PGS will focus on value-added products and services such as HD3D®, Wide Azimuth, Multi Azimuth, 4D and MegaSurveys and, at the same time, will continue to build the MultiClient library.
outlook 2009 PGS expects Marine contract rev- enues to decrease despite additional capacity coming on stream through- out 2009. Price pressure will have a negative impact on margins.The main drivers behind the expected decrease in revenue and lower margins are cuts and delays in exploration and production spending by oil companies as a result of the global financial crisis and liquidity squeeze. The global economic situation has resulted in sharply lower oil prices through the second half of 2008, continuing into 2009.
MultiClient investments are expected to be lower in 2009 than in 2008.
Marine capital expenditures are expected to decrease as the new-build program is about to enter its final phase.
PGS ANNUAL REVIEW 2008 15