EMGS expects revenue hike following Norwegian offshore block awards
Norwegian geophysical services company Electromagnetic Geoservices (EMGS) is expecting an uplift in revenues following the latest license awards offshore Norway.
To remind, the Norwegian Ministry of Petroleum and Energy announced on Tuesday announced the award of 75 new production licenses in the North Sea, Norwegian Sea, and the Barents Sea to 34 companies as part of the Awards in Pre-defined Areas (APA 2017).
Of the 75 production licenses, 45 are in the North Sea, 22 in the Norwegian Sea and 8 in the Barents Sea. Twenty-two of the production licenses are additional acreage for existing production licenses.
Also, of the 39 companies that submitted applications, 34 will be offered ownership interests in at least one production license.
EMGS said on Wednesday that, based on the offered awards, the company expects a net uplift in revenues of approximately $1 million from data-licensing agreements related to the company’s multi-client library.
The company added that the uplift revenues, subject to the company’s customers’ formal approval of the awards offered by the MPE, would be recognized in the first quarter of 2018.
Offshore Energy Today Staff