TGS-NOPEC Geophysical Company has successfully completed an offering of senior bonds. The loan amount is limited to NOK 500 million, of which a first tranche of NOK 300 million (by today's exchange rate approximately USD 43 million) will be drawn on May 5, 2004. The bonds mature on May 5, 2009, and will bear interest on a per annum rate adjusted quarterly equalling 3 month NIBOR plus 2%. The Company will apply to list the bonds on the Oslo Stock Exchange.
The net proceeds from the loan will be used to finance TGS-NOPEC's activities and secure liquidity for the Company to act on opportunities in the market. The bond issue adds a new source of capital for TGS-NOPEC and strengthens its financial flexibility.