Memorandum of Understanding

GETECH Group plc 07 November 2005 Monday 7 November 2006 GETECH Group Plc Memorandum of Understanding with The Development Research Center of the China Geological Survey GETECH Group Plc ('GETECH' or 'the Company'), the oil services business specialising in the compilation and analysis of gravity and magnetic data, is pleased to announce that the Company has signed a Memorandum of Understanding ('MOU') with The Development Research Center of the China Geological Survey ('CGS'). Commencing in 2006, GETECH will act on behalf of the CGS to market, outside of China, their geological, geochemistry and geophysical data, in Geographical Information System ('GIS') format at data resolutions to be agreed. Until now, these data have not been previously available, even within China. GETECH has a long standing and commercially beneficial relationship with the CGS, having jointly completed a major aeromagnetic compilation study of China with one of its divisions, the Aero Geophysical Survey & Remote Sensing Center ('AGRS') in the mid 1990's. GETECH geophysicist, Kaxia Lei managed this three year study, in Beijing, which involved a work force of ten geophysicists from AGRS. GETECH continues to market this aeromagnetic data to the oil and mineral industries. Besides the MOU allowing GETECH to market the CGS data, it allows available exchanges of personnel and will promote the undertaking of joint studies of mutual scientific interest. Commenting on this news, Managing Director of GETCH, Professor Derek Fairhead said: 'The signing of this MOU is a significant strategic development for GETECH as it acknowledges the close links we have developed with CGS in previous years. Access to these data will allow GETECH to continue to expand and diversify its commercial geoscientific library, which currently holds the most extensive commercial collection of gravity and magnetic data in the world.' For further information, please contact: Buchanan Communications www.buchanan.uk.com Kelly-Ann French 01943 883990 kelly-annf@buchanan.uk.com GETECH Group Plc www.getech.com Prof Derek Fairhead 0113 343 5240 Colin Glass 07831 258494 jdf@getech.com Teather & Greenwood Ltd www.teathers.com Rob Naylor 020 7426 9000 robert.naylor@teathers.com Notes to Editors GETECH is a profitable and cash generative oil services business specialising in the compilation and analysis of gravity and magnetic data. 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 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. 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: • Global Gravity and Magnetic Data Licensing • Interpretation Studies and Services • PSEG The first two activities contributed the majority of Group revenue for the year ended 31 July 2005. 1. Global Gravity and Magnetic Data Licensing GETECH has compiled one of the most extensive commercial libraries of gravity and magnetic data, which is marketed and then licensed to oil, gas and mining companies. This activity has contributed the majority of Group revenue and profit since 2000 and contributed 51 per cent. Of Group revenue for the year ended 31 July 2005. GETECH continues to update its data library by entering into new marketing agreements with data suppliers and therefore continues to develop new products. For example, RAMS, an ongoing GETECH study, receives funding from four of the leading oil companies totalling in excess of £1.2 million. 2. Interpretation Studies and Services The Group undertakes two types of interpretation studies: • Non-exclusive studies, whereby a number of companies provide the funding for the study but the ownership of the study remains with GETECH. The study is then licensed to as many clients as possible after completion. GETECH's global gravity and magnetic archive data are often incorporated within the studies. An example of such a study is the 'Libya Depth to Basement Study', which used GETECH-compiled gravity and magnetic data, over 700 wells, and public domain data to undertake a geological/geophysical three-dimensional interpretation study of the basement. The study has been sold successfully for five years as oil companies either enter Libya for the first time or return after sanctions were lifted. New studies are being considered in Africa, the Middle East and South East Asia. • Proprietary studies, whereby a single client commissions work. Currently, this is a relatively modest revenue earner for GETECH contributing 3 per cent. of Group revenue for the year ended 31 July 2005. The work covers processing and interpretation of both GETECH datasets and survey data provided by the client. GETECH provides three types of services, which include: • Software sales and support of a limited range of databasing, processing and interpretation software developed by GETECH. • Training courses to oil, gas and mining companies, which are part of GETECH's marketing strategy. • Research and development to be undertaken and funded within set projects or as a standalone proprietary or group-funded study. 3. PSEG In mid-2004, GETECH decided to enhance its interpretation capability by establishing PSEG, headed by Dr John Jacques and Dr Paul Markwick. PSEG uses data already held by GETECH with other data to analyse the potential petroleum systems within sedimentary basins. The aim of PSEG is to provide oil companies with a more detailed insight of where oil and gas are likely to be found within the sedimentary basins. -ENDS- This information is provided by RNS The company news service from the London Stock Exchange

Companies

GETECH Group (GTC)
UK 100

Latest directors dealings