CGG said Dec. 30 it is completing its exit from the seabed data acquisition business and has terminated the Seabed Geosolutions’ joint venture (JV) agreement.
CGG is a fully integrated geoscience company providing leading geological, geophysical and reservoir capabilities to customers primarily from the global oil and gas industry. The company focuses on three complementary businesses of equipment, acquisition and geology, geophysics and reservoir (GGR).
In line with its strategy to exit the data acquisition business, CGG has agreed to transfer its 40% shareholding in Seabed Geosolutions to Fugro before the end of first-quarter 2020 and to conclude before year-end 2019 the remaining matters related to Seabed Geosolutions’ financing and non-competition provisions by paying $35 million to Fugro.
Including the payment, CGG anticipates in 2019 a significant positive net cash flow above its expectations, according to the company press release.
The termination of the Seabed Geosolutions’ JV agreement is effective Dec. 31.