Petrofac Creates International Training Division

Petrofac Limited announces the creation of a new training division with the acquisition of RGIT Montrose Holdings Limited ("RGIT Montrose"), an internationally renowned specialist in training and consultancy services headquartered in Aberdeen. The value of the acquisition is £17.4 million.

Petrofac Training will comprise RGIT Montrose and Chrysalis Learning, the competence and production training business which was acquired by Petrofac in 2003, and offers an unmatched total training solution for the international oil and gas industry. Petrofac's vision is to become a global leader in total facilities solutions and the creation of Petrofac Training reinforces this with its focus on operational excellence and an unrivalled depth of knowledge and ability in safety and skills training and development worldwide.

Ayman Asfari, Chief Executive of Petrofac Limited, said:
"Training is increasingly a key element of our service offering and the creation of Petrofac Training is a logical extension for the group. We aim to become a global leader in technical and safety training, training management and consultancy services, and the acquisition of RGIT Montrose brings a significant wealth of experience, an internationally recognised reputation for delivering safety and skills training and a highly competent and skilled workforce to Petrofac. As part of the Petrofac group, we believe the business has considerable potential for continued development, particularly in international markets."

The new Petrofac Training division will be led by three of the current executives of RGIT Montrose. Murray Strachan will be the division's Managing Director with Martin Beard as International & Development Director and Scott Martin as Finance Director. Louise Ferguson continues as Managing Director of Chrysalis Learning and will also be a Director of Petrofac Training with additional responsibility for business integration.

Mel Keenan, who as chairman of RGIT Montrose steered the business through the successful transition from public to private ownership in the buy-out backed by 3i and Bank of Scotland in 2003, is to retire.

Murray Strachan, Managing Director of Petrofac Training, said:
"This is an exciting development for RGIT Montrose. As part of Petrofac we look forward to accelerating our existing growth plans as we develop into new geographical markets, delivering services that reward investment in training and competence through the enhancement of operational and safety performance.

"On behalf of the board, I would like to thank Mel for his contribution and wish him an enjoyable retirement. As we move into a new era, it is also important to recognise the outstanding efforts of the entire RGIT Montrose team, who I know will relish this new challenge."

Robin Pinchbeck, Chief Executive of Petrofac Operations Services and Chairman of Petrofac Training, said:
"We are delighted to be bringing the RGIT Montrose team into the Petrofac environment. We believe this acquisition will assist us to anticipate and serve the important markets emerging for technical training and competence management, as well as supporting our industry-leading outsourced facilities management services."

Graeme Sword, 3i Director of Oil & Gas, said:
"We are delighted with the sale of RGIT Montrose to Petrofac. 3i backed the RGIT Montrose team in April 2003 and since that date has been impressed with the actions taken by the team and the resulting improvements in performance. Petrofac, also backed by 3i, is an ideal partner to take RGIT Montrose to the next development level. This deal clearly reflects both the benefits and opportunities of 3i's network."