CGG has announced that it has entered into a binding agreement with NEOS for the sale of its Multi-Physics Business Line encompassing gravity, magnetic, electromagnetic and radiometric surveys with an advanced range of airborne fixed-wing and helicopter systems and the General Geophysics Italy business specialising in high-end land EM processing and imaging. NEOS is a US American exploration solutions provider to energy ministries and natural resource firms involved in oil & gas, minerals, and groundwater extraction specialising in multi-measurement subsurface interpretation.
The Transaction is expected to close during the summer following receipt of required approvals and licenses, at which time the businesses will transfer. Financial terms of the Transaction are not being disclosed.
Commenting on the Transaction, Jean-Georges Malcor, CEO of CGG, says, “CGG is continuing to resolutely implement its Transformation Plan which entails refocusing on our high-added value Geoscience businesses while reducing our exposure in data acquisition activities. We look forward to establish long term business relationships with NEOS as our clients are looking for extensive knowledge and expertise of the Oil and Gas value chain. The sale of the Multi-Physics business line supplements our capital and liquidity during this period of challenging market conditions.”