Acquisition

2 May 2006 07:03

Petrofac Limited02 May 2006 PETROFAC LIMITED ("Petrofac") ACQUISITIONS BY PETROFAC TRAINING Petrofac, the international oil & gas facilities service provider, announcesthat its Training division, has acquired certain companies from the PPS Groupwhich provide operations & maintenance training on Sakhalin Island, Russia, andprocess control & instrumentation services, in Singapore, Malaysia and Indonesia. The aggregate consideration comprises an initial payment of US$1.6 million incash with further payments of up to US$2.25 million in cash depending on thefinancial performance of the businesses acquired over the next three years. Ends For further information, please contact: Bell Pottinger Corporate & Financial +44 (0) 20 7861 3232Ben WoodfordGeoff Callow Notes to Editors The PPS Group was established in 1990 to provide specialised services primarilyin the area of commissioning, start-up, operations & maintenance and training tothe oil & gas and petrochemical industries, with offices in the UK, Nigeria,Romania, China, Singapore, Malaysia and Indonesia. In 2003, it formed a Russianjoint venture company, PKT Technical Services Limited, to provide operations &maintenance training to Sakhalin Energy Investment Company (SEIC), and then in2005 launched a subsidiary, PKT Training Services Limited, to expand itspresence in this market. Running to December 2008, PKT's current contracts withSEIC are for the provision of technical, operations and maintenance trainingalong with specific competency development, with a target to train over 200technicians during this period. In addition, the acquisition enhances Petrofac Training's capability in theareas of mechanical, electrical and process engineering training, which can beutilised worldwide. As part of the transaction, Petrofac Training will also acquire PPS Group'sprocess control & instrumentation (PCI) companies based in Singapore, Malaysiaand Indonesia. The PCI companies currently provide design, engineering, systemdevelopments and process skid fabrication, providing Petrofac Training withadditional engineering design in support of its training operations. Approximately 40 staff will transfer from PPS Group to Petrofac Training. This information is provided by RNS The company news service from the London Stock Exchange