C.A.T. oil AG

EANS-News: C.A.T. oil AG
C.A.T. oil reiterates its 2014 guidance and stays adhered to its 2014-16 investment plans

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Subtitle: •	Business model stays intact
•	Management reiterates its outlook for 2014 despite recent economic sanctions
and export controls regarding the Russian oil industry 
•	Assessment of the details of the EU and the US restrictive measures ongoing
•	Adherence to the 2014-16 investment program 
•	CEO Manfred Kastner: “Despite the macroeconomic uncertainties we hold on to
our plans. We are confident in our forecast for this year as our operations run
smoothly and according to the plan.”

Company Information

C.A.T. oil AG (O2C, ISIN: AT0000A00Y78),one of the leading providers of oil and
gas field services in Russia and Kazakhstan, reiterates its outlook for the
current fiscal year following the initial assessment of the effects of the
latest EU and US export restrictions for the Russian oil industry. C.A.T.
oil expects revenues in the range of EUR 420 to 450 million and EBITDA in the
range of EUR 113 to 121 million for 2014.

The Company assessed the effects of the sanctions on its business model, 2014
objectives and 2014-16 capital expenditure program. While the EU and the US
export restrictions for certain items target specific projects pertaining to
deep water and Arctic exploration and production and shale oil projects, neither
C.A.T. oil nor its subsidiaries have ever been involved in any of the
aforementioned projects. The Company's focus has always been pressure pumping,
sidetracking and drilling services solely at onshore conventional oil and gas
reservoirs in Russia and Kazakhstan. C.A.T. oil has repeatedly stressed that it
will consequently follow its proven strategy and neither change its business
focus nor the nature of its operations going forward. Thus, the 2014-16
investment program of EUR 390 million is also not intended for any of the
restricted activity areas but support of customers' production from maturing
conventional oil and gas reservoirs with diminishing productivity.

Manfred Kastner, CEO of C.A.T. oil, said: "We have been active in Russia for
more than 20 years. Over time we have gone through different economic and
political phases. We have always been flexible in our operations and committed
to our customers and services. Despite the current macroeconomic uncertainties
we thus also hold on to our plans now. We are confident in our forecast for this
year as our operations run smoothly and according to the plan."

C.A.T. oil's business model resides upon modern technology and a well invested
asset base with operating capacities primarily of EU and US origin. After having
made the initial assessment, C.A.T. oil is - despite its awareness that export
controls are subject to change and that regulators have broad discretion when
interpreting export controls - confident in its business model. The planned
capacity additions are not intended for deep water, Arctic or shale oil
projects. Therefore, the Company believes the latest EU and US export control
rules for Russian oil industry do not jeopardize its business model, 2014
operating and financial objectives and 2014-16 investment program.

Manfred Kastner further concluded: "We are of course closely following the
developments and are constantly evaluating the conditions of the sanctions. At
the same time, however, we are concentrating on our operations and the execution
of our investment plan. We, therefore, remain focused beyond 2014 as our
strategy aims at profitable growth going forward."


Press contact:
FTI Consulting
Carolin Amann
Phone: +49 (0)69 92037-132
Email: carolin.amann@fticonsulting.com
Steffi Fahjen
Phone: +49 (0)69 92037-115
Email: steffi.fahjen@fticonsulting.com
About C.A.T. oil AG:
C.A.T. oil AG is one of the leading independent oil and gas field service
contractors in Russia and Kazakhstan and is listed on the Frankfurt Stock
Exchange (SDAX). C.A.T. oil provides a range of high quality services, which
enable oil and gas producers to extend lifecycle of their fields or bring yet
unexploited oil and gas reserves to production.
Since its foundation in 1991 in Celle, Germany, C.A.T. oil has built up a
leading hydraulic fracturing service, a very effective method of well
stimulation by cracking rock formations with pressurized fluids, in Russia and
Kazakhstan. Following its IPO in 2006, the Company developed a second core
service of sidetrack drilling in 2006-08 and has established a strong presence
in Russia's sidetrack drilling market. Sidetrack drilling is a term used to
describe drilling of a new wellbore from the upper section of an existing well.
In 2011-12, the Company launched the next phase of its growth and
diversification strategy and set up high class drilling operations as a third
core service offering. High class drilling is the classical technology of
drilling vertical, inclined and horizontal wells for extraction of oil and gas.
In total, the Company has already invested more than EUR 450 million in growth
and diversification since its IPO in 2006.
Following the successful set up of high class drilling in 2011-12, C.A.T. oil
introduced its new segment reporting in 2013 clustering its activities in "Well
Services" (fracturing, cementing and completion operations) and "Drilling,
Sidetracking and IPM (Integrated Project Management)".
C.A.T. oil's customer base includes the leading Russian and Kazakh oil and gas
producers such as Rosneft, Lukoil, Gazprom Neft, Tomskneft VNK, Slavneft,
Russneft and KazMunaiGaz. The Company has long-standing relationships with these
customers and has been a reliable service provider since its market entrance in
the early nineties.
C.A.T. oil has its headquarters in Vienna. The Company's Q1 2014 weighted
average headcount stood at 2,837 people, most of which are based in Russia and

Further inquiry note:
Carolin Amann Tel: +49(0)69-92037-132 Email: carolin.amann@fticonsulting.com
Steffi Fahjen Tel: +49(0)69-92037-115 Email: steffi.fahjen@fticonsulting.com

end of announcement                               euro adhoc 

company:     C.A.T. oil AG
             Kärntner Ring 11-13
             A-1010 Wien
phone:       +43(0) 1 535 23 20 - 0
FAX:         +43(0) 1 535 23 20 - 20
mail:     ir@catoilag.com
WWW:      http://www.catoilag.com
sector:      Oil & Gas - Upstream activities
ISIN:        AT0000A00Y78
indexes:     SDAX, Classic All Share, Prime All Share
stockmarkets: regulated dealing/prime standard: Frankfurt 
language:   English

Original-Content von: C.A.T. oil AG, übermittelt durch news aktuell

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