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However, most companies are an opportunistic approach to years. Dolphin is hoping for 50% concerned about building backlog further develop “through a mix of pre-funding of 2D projects and 85% for their feets, which often means consolidation and organic growth for 3D multi-client with a sales ratio adding work at a less than ideal in all business segments”. Reading of between 1.8 and 2.4 times the price. No substantial increases are between the lines this implies that investment costs.

expected until vessel availability not only would the company look at A combined portfolio of contract is more obviously limited than it is appropriate vessels to acquire, but and multi-client surveys is regarded

Geology & Geophysics today. might also contemplate a merger. as the way to improve margins and In the short term the acquisition It’s hard to imagine WesternGeco, feet utilization. PGS, for example, of Fugro’s feet of seven seismic PGS or CGGVeritas wanting to take says it is increasing its cash vessels by CGGVeritas seems likely on Dolphin: they are engaged in investment in multi-client from to depress prices. Before the end their own feet building/renewal $280-300 million in 2012 (with of last December, in a statement programs linked to their proprietary 150% pre-funding) to an estimated to reassure shareholders about technologies. This leaves Polarcus $300-350 million this year (with the sale of its Geoscience division as the only other merger option. 110% or more pre-funding). It says to the French company, Fugro Many people were surprised by that approximately 40% of its 2013 management admitted that oil CGGVeritas making the move active feet capacity will be used company client concern about the for Fugro, so the idea of Dolphin for multi-client surveys. Industry- deal had affected the marketing and Polarcus combining cannot wide, at least 30% of all surveys of its seismic vessels. This means be entirely ruled out even if the are multi-client, although Polarcus that CGGVeritas is inheriting a short histories, vessel inventory puts the fgure nearer 50% as a feet that is seriously short of work. and management styles of the two proportion of offshore seismic E&P

Altogether it will have 15 high-end organizations are very different. spend. Last year, Polarcus had 9% 3D vessels and fve mid-capacity of its feet engaged on multi-client 3D vessels plus two 2D vessels Multi-client surveys work but expects to increase this to to manage, so expect them to A conclusion that all the global 20% by 2015. be extremely competitive about players in the marine seismic The consummate artist when it winning orders. It could well market have come to is that comes to multi-client surveying be that the company – expected the conditions favor increased is TGS. It has no feet of its own to rebrand itself back to its old emphasis on multi-client surveys. and essentially identifes survey

Compagnie General de Geophysique This is partly economics. targets, sells the project to oil (CGG) name – will opt to unload Contractors have the cash and the company customers, and then some capacity, and who knows, confdence to take on the element contracts vessels and crew to carry

Dolphin could be a potential taker of risk involved. If pre-funded, out the surveys on short-term in its bid to grow. these surveys are potentially very charters: as a result the company In its outlook for 2013, Dolphin proftable, especially with data is invariably a client or partner refers to the need for more library sales which can constitute of a seismic contractor. For 2013, consolidation, and summarizes a positive on the balance sheet by TGS has already booked Geco by stating that it will continue earning revenue for quite a few Eagle (WesternGeco) for work to polarcus

Turkish delight: joining Turkish company on long-term contract.Polarcus Samur

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