Magseis Fairfield further consolidates OBN market through asset purchase from Carbon Transition

March 3, 2022

(Oslo, 3 March 2022) Magseis Fairfield has entered into an agreement to acquire Carbon Transition’s proprietary node-on-a-rope handling systems. Magseis Fairfield pays an initial USD 0.5 million and enters a profit-sharing model with the seller for surveys executed with this equipment over the coming three years.

“We see an increasingly optimistic outlook for a market recovery for OBN services in 2022 and beyond, and with this acquisition we are further consolidating the market with a minimal upfront payment. In a global environment with significant supply chain delays this asset purchase gives us a time-to-market advantage to capture project opportunities. This acquisition adds to our delivery capability in the mid-water-depth market, and we improve our competitive situation in this market segment. The deal structure limits our financial risk and gives us the ability to deploy additional capacity quickly as the market continues to improve”, says CEO Carel Hooijkaas in Magseis Fairfield.

The transaction is structured based on an earn-out model over a three-year period conditional upon the utilization of the equipment acquired. Earn-out payments are capped at a maximum of USD 12.0 million and have a minimum payment of USD 1.5 million, subject to certain milestones.

The node handling systems Magseis Fairfield acquires are currently installed on two Havila vessels with an additional system onshore and have previously been used for a large survey for ONGC in India and other surveys in the Middle East and North Sea.

For further information, please contact:

Stig Hognestad, CFO
Tel: +47 902 59 040
Email: stig.hognestad@magseisfairfield.com

Carel Hooijkaas, CEO
Tel: +47 480 49 277
Email: carel.hooijkaas@magseisfairfield.com

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Magseis Fairfield is the global leading provider of ocean bottom seismic (OBS) technology and data acquisition projects. The company has a flexible business model with full scale node operations, as well as lease and sale models. The Marine Autonomous Seismic System "MASS" nodes and the range of Z-nodes combined with handling systems and source technology enables market leading deployment speed and highly cost-efficient acquisition of data with exceptional quality.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.