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Petroleum Geo-Services ASA: Update on new builds in SpainLYSAKER, NORWAY, Mar 23, 2009 (MARKET WIRE via COMTEX) -- March 23, 2009: Reference is made to previous announcements regarding the vessels under construction at the Factorias Vulcano shipyard in Spain. Petroleum Geo-Services ASA ('PGS' or the 'Company'), and its subsidiary Arrow Seismic Invest II Ltd. ('Arrow'), having informed WesternGeco that there was a right to cancel the shipbuilding contract for New Build number 532 have received a formal notification by WesternGeco that the company on that basis has canceled the charter party and all other related agreements for New Build number 532. As a consequence, Arrow has formally notified the yard that it cancels the contract for New Build 532, and has called upon the refund of EUR 39 million with the addition of interest, as set out in the shipbuilding contract. As previously communicated, the cancellation of vessel 532 is expected to result in an impairment charge of up to USD 50 million, recorded in the first quarter results. FOR DETAILS, CONTACT: Tore Langballe, SVP Corporate Communications Phone: +47 67 51 43 75 Mobile: +47 90 77 78 41 Bard Stenberg, Investor Relations Manager Phone: +47 67 51 43 16 Mobile: +47 99 24 52 35 US Investor Services Phone: +1 281 509 8712 **** Petroleum Geo-Services is a focused geophysical company providing a broad range of seismic and reservoir services, including acquisition, processing, interpretation, and field evaluation. The company also possesses the world's most extensive multi-client data library. PGS operates on a worldwide basis with headquarters at Lysaker, Norway. For more information on Petroleum Geo-Services visit www.pgs.com. **** The information included herein contains certain forward-looking statements that address activities, events or developments that the Company expects, projects, believes or anticipates will or may occur in the future. These statements are based on various assumptions made by the Company, which are beyond its control and are subject to certain additional risks and uncertainties. The Company is subject to a large number of risk factors including but not limited to the demand for seismic services, the demand for data from our multi-client data library, the attractiveness of our technology, unpredictable changes in governmental regulations affecting our markets and extreme weather conditions. For a further description of other relevant risk factors we refer to our Annual Report for 2007. As a result of these and other risk factors, actual events and our actual results may differ materially from those indicated in or implied by such forward-looking statements. This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement. Update Spain Newbuild: http://hugin.info/115/R/1299508/296414.pdf Copyright Copyright Hugin AS 2009. All rights reserved. SOURCE: Petroleum Geo-Services ASA |