HONG KONG, Sept. 13, 2012 /PRNewswire/ -- Anton Oilfield Services Group ("Antonoil" or the "Group", HKEx stock code: 3337), the leading independent oilfield services provider in China, today announced a joint venture ("JV") with the leading global oilfield services company Schlumberger ("Schlumberger") at a signing ceremony held in Beijing. The JV, which will provide integrated project management services for the development of China's onshore oil and gas projects, will be incorporated in China with Antonoil and Schlumberger holding stakes of 40% and 60%, respectively. Both companies will second members of their management to jointly lead the JV.
The JV represents a stepping up of cooperation between the two parties following Schlumberger's acquisition of a 20.1% stake in the Group this July, and further reflects the parties' mutual understanding and their positive outlook on the Chinese market. With China's onshore oil and gas sector entering a new phase of development, especially in the development of emerging energy resources, stand-alone services can no longer meet demand in delivering higher production and cost savings at the same time. Integrated project management can deliver both higher growth and improved efficiency. By offering end-to-end management of oil and gas exploration and development -- from project design, resource procurement to project supervision -- the synchronization of various stand-alone services throughout the project to facilitate overall production growth and cost savings. As a result, customers are in greater demand for integrated solutions.
As service providers, Antonoil and Schlumberger are compelled to respond to such demands. Antonoil and Schlumberger decided to form a JV in order to provide integrated project management services for oil and gas exploration and development in China. Schlumberger is a world-leading oilfield services provider with global experience, advanced technology and outstanding operating standards. Integrated project management is a service model that Schlumberger spent years developing, with proven success worldwide; meanwhile, Antonoil is a leading independent oilfield services provider in China with local expertise, specialized industry knowledge, access to a variety of resources as well as a strong team of highly experienced engineers. Since the Group built up its integrated services department in 2010, Antonoil's integrated project management has generated early success in China. The partnership between Antonoil and Schlumberger combines the respective strengths of each party in integrated project management through a unique service platform that provides advanced solutions from across the globe and with local expertise, ultimately bringing greater value to customers. Antonoil believes the action of both parties should bring premium value to the customers. At the same time, the development of the integrated project management services will also boost the demand for both parties' stand-alone services and will benefit their respective businesses. One point needs to be emphasized: as integrated project management services require premium services to be pooled from different channels to bring great value to customers, the JV will also be an open platform for cooperation with other services providers, creating a multi-lateral winning partnership.
The Chairman of Antonoil, Mr. LUO Lin, and the CEO of Schlumberger, Mr. Paal KIBSGAARD, as well as the senior management of both sides, were present at the signing ceremony held in Beijing today.
Mr. LUO said: "Antonoil operates in a market where state-owned, foreign and private service providers co-exist and complement each other. Among them, small to medium-sized private companies are the most dynamic market players which bring hope for the industry's future. As a private company, Antonoil has constantly strived to demonstrate its unique value so as to make distinctive contributions to the Chinese petroleum industry's future development."
Mr. KIBSGAARD said: "Today I believe we stand at a cross road in the oil and gas industry in China. The traditional approach to oil and gas resource development is rapidly changing out of necessity. We in the oilfield services industry must prepare ourselves for this changing landscape. Our mission in China is to help our clients meet their challenges and be successful. To do that we must work closely with local suppliers and service providers in a highly integrated way. The company we are creating here today with Antonoil will do just that -- it will help our clients to succeed as they move into the new era of unconventional resource development."
To conclude, Mr. LUO said: "The JV agreement between Antonoil and Schlumberger represents a partnership between a private company in China and an international firm. I hope our partnership will be more than a sum of its parts, but reaping synergies created by the combined advantages of both parties which will provide better services to our customers. I hope our partnership will have a catalytic effect in boosting the growth and development of the oilfield services market in China. At the same time, the JV will also be a platform for both companies to cooperate with their domestic counterparts. We hope to work with other companies to advance the industry, injecting new vigor and business models to eventually benefit the country's petroleum industry."
About Anton Oilfield Services Group
Anton Oilfield Services Group (HKEx stock code: 3337) is a leading independent oilfield services provider offering one-stop oil and gas field development technical services to oil companies. Its services and solutions span across the drilling technology, well completion, down-hole operation, and oil production stages in the development process. Its fast growth benefits from the expanding development of natural gas in China and the Group's increasing presence in the overseas markets. At the same time, Antonoil is committed to continuously strengthening its R&D capabilities and making additions to its talent reserves. The Group's strategic objective is to become a global oilfield services provider with a solid foothold in China.
Antonoil is headquartered in Beijing with sales offices and operations bases across China's major onshore oil and natural gas basins. The Group also has an international headquarters in Dubai with an extensive network across the Middle East, Central Asia, Africa, and Americas.
SOURCE Anton Oilfield Services Group