Expro International Group PLC
07 July 2004
Embargoed until 0700
7 July 2004
Expro International Group PLC
AGM Statement
Expro International Group PLC ("Expro" or "the Group"), a leading upstream oil
and gas technology service provider, will be holding its AGM at 11.00am today at
its offices in Reading. Chris Fay, Chairman will be making the following
comments on current trading, contract awards and Board changes:
Current Trading
Following the challenging market environment in 2003/2004, actions were put in
place to refine the Group's strategy. We are pleased to report that trading in
the new financial year is more encouraging and is in line with the expectations
set out in our preliminary results statement of 2 June 2004.
Contract Awards
We are pleased to announce the following awards, demonstrating initial signs of
progress in the conversion rate of outstanding tenders into contract awards,
though the full impact of some of these awards will not be apparent until 2005/
06. In particular, we are pleased that a number of these recent awards relate to
our newer technology offerings.
In January 2004, we announced the acquisition of a downhole tractor business,
SmarTract Inc. The Group has won a major three year contract with EnCana to
supply electric line and tractor services on their SAGD (Steam Assist Gravity
Drainage) project in North East Alberta, valued at US $8.3m, starting this
month. Also in the Americas region, over and above the steady progress being
made with the land based Excape(R) perforating technology, contracts have been
awarded by Agip and Dominion for our ultra deepwater electro hydraulic subsea
tools, valued at over US $5m, for work commencing in the second half of the
year. We will also be supplying our latest 15k high pressure landing strings for
this work.
Offshore West Africa we are pleased to announce the award, via FMC, for BP's
Block 18, Greater Plutonio development. Delivery of the subsea equipment is
scheduled for March 2005, with installation work commencing in the following
financial year. Contract value is approximately £5m. Further contract awards in
Africa have focused on our Surface and Environmental business with development
and production well clean up awards from Agip in Algeria, Woodside in Mauritania
and CNR in the Ivory Coast. All are scheduled to commence this year, with a
combined value of over US $9m.
Santos has awarded the Group contracts in excess of £6m for a range of services
on their Exeter/Mutineer development on the North West shelf of Australia. The
largest portion, over £4m, is for our Tronic connector business where both
electrical and power connectors are being supplied, with first deliveries being
shipped later this month.
These awards, coupled with our recently announced US $60m Early Production
Facility for ExxonMobil's Chayvo development, provide early evidence of the
success of the Group's new strategy.
Board Changes
As recorded in our preliminary results announcement of 2 June 2004, the Board
announces that Ian Clubb retires as a non-executive director today, after 10
years outstanding service with the Group. Following the conclusion of the AGM,
Roger Boyes will be appointed the Senior Independent director.
The Board is pleased with the progress being made, after a difficult year in
2003/04. Expro has a strengthening technology platform, a clearly defined
strategy, and there are early signs of a more encouraging outlook for the
business.
-Ends-
For further information please contact:
Expro International Group PLC 0118 9591 341
Graeme Coutts, CEO
Michael Speakman, Finance Director
Colin Ainger, Executive Director
Weber Shandwick Square Mile 020 7067 0700
Mike Kirk / Rachel Taylor / Stephanie Badjonat
This information is provided by RNS
The company news service from the London Stock Exchange
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