Large seismic service companies with Pre-salt services merge

TGS will buy Spectrum and the merger will create a new multinational company specializing in 2D and 3D seismic services.

The Brazilian offshore merger market continues to be busy, this time, TGS announced, last Friday (3/5), that it will acquire Spectrum Geo, creating a new global company in the area of ​​2D and 3D seismic services.
The deal has already been approved by the boards of directors of the companies and the expectation is that in mid-May, the documents formalizing the transaction should be sent to regulatory bodies for approval and that the deal will be concluded by the end of September this year.

The preliminary estimate of costs for the new company will be around US$ 20 million per year and shows the interest and planning of the companies in the investments that are to come in the pre-salt layer.

Company partnership history

Regarding Spectrum, the company has a strong presence in the South Atlantic and, according to a press release, the company declares, “With TGS's database and financial strength, the new company will be well positioned to accelerate investment plans in 3D seismic”.

Currently, the companies are already participating together in the seismic campaign in the southern area of ​​the Santos Basin and the vessel used is the ai Yang Shi You 720 vessel, from China Oil Field Services (COSL).

In March 2019, oil and gas production in Brazil grew compared to both the previous month and the same month in 2018. Both totaled 3,261 million barrels of oil equivalent per day (boe/d). 

The FPSO sector is waiting for a great demand, as we have previously published here on our portal, so Petrobras has been inviting each of the FPSO manufacturers to talks. Access here and find out the content of the conversation!