Electromagnetic Geoservices ASA (the “Company” or “EMGS”) releases information on vessel activity and utilisation 4-5 working days after the close of each quarter. The Company defines vessel utilisation as the percentage of the vessel charter period spent on proprietary or multi-client data acquisition. Downtime (technical or maritime), mobilisation, steaming, and some standby activities are not included in the utilisation rate.
Vessel utilisation for the first quarter 2020 was 26% compared with 11% for the first quarter in 2019.
In the first quarter of 2020, the Company’s vessels were allocated 20% to proprietary work and 6% was spent on multi-client projects. In the comparable quarter of 2019, the vessels were allocated 11% to proprietary work and no time was spent on multi-client projects.
EMGS had two vessels in operation and recorded 6.0 vessel months in the quarter. In the first quarter 2019, the Company recorded 6.0 vessel months.
The Atlantic Guardian spent the beginning of the first quarter completing the confirmed work for Pemex in Mexico. The vessel then transited in preparation for a proprietary survey offshore Mauritania and Senegal. Upon notification by the customer that the project was postponed, the Atlantic Guardian started transit towards Norway for an eventual cold stack. The Company has subsequently been notified by the customer that the project is terminated, and the Company will receive a contractual fee of approx. USD 2 million in this connection. The vessel’s utilisation for the first quarter was 40%.
The Petrel Explorer (formerly Thalassa) started the first quarter transiting towards Mexico in preparation for additional acquisition work connected to the two-year acquisition contract. Upon notification by the customer that no additional acquisition work would be forthcoming in the near to medium future, the Petrel Explorer transited to Norway to begin acquisition on a prefunded multi-client survey in Norway. The vessel’s utilisation for the first quarter was 11%.
Multi-client revenues in the fourth quarter
The Company expects to record approximately USD 0.2 million in multi-client revenues for the first quarter 2020.
EMGS will publish its first quarter 2020 financial results on Thursday 7 May 2020 at 07:30 Norwegian time. A presentation will be broadcasted live over the Internet, starting at 10:00 Norwegian time. To access the presentation, please go to the Company’s homepage (www.emgs.com) and follow the link.
Anders Eimstad, EMGS Interim Chief Financial Officer, +47 948 25 836