Both companies have also entered into a non-exclusive worldwide multi-client cooperation agreement, as well as a non-exclusive global technology licensing agreement.
As a part of the agreement, Fugro has provided a NOK150 million secured convertible loan bearing interest at 7.00% per annum to Electromagnetic Geoservices. The loan can at any time be converted into common shares in Electromagnetic Geoservices at the conversion price of NOK5.75 until the maturity date on January 2, 2012.
Roar Bekker, Electromagnetic Geoservices acting chief executive officer, commented:
We are delighted to team up with Fugro’s extensive marine geosciences expertise and global presence. The combination of Electromagnetic Geoservices’ industry-leading EM technology and Fugro’s position brings to the market a solution that we are confident will enhance industry adoption of our EM technology.
Steve Thomson, Fugro’s Director General Geophysical Services, commented:
Fugro is very pleased to gain access to Electromagnetic Geoservices’ unique marine EM methods for hydrocarbon exploration and production. This complements Fugro’s EM airborne and ground EM offerings. Electromagnetic Geoservices pioneered the industry and remains the undisputed market leader. Through our cooperation with Electromagnetic Geoservices we are providing our global client base with a key emerging geophysical technology.
