Roxar Targets Third Quarter IPO

Roxar reports that the Board of Directors of Roxar AS has approved a process for listing the Company on the Oslo Stock Exchange. Enskilda Securities and Deutsche Bank Securities have been appointed advisors to the Board. Roxar aims to apply for a listing within the third quarter 2005.

Roxar is an independent technology services company, dedicated to developing effective solutions to reservoir management challenges for oil and gas companies of all sizes around the world. The company's core competency is leveraging oil and gas reservoir flow dynamics to improve individual well performance and achieve greater recovery from oil and gas fields. With widely recognized products like IRAP RMS TM and Tempest TM, Roxar is the industry leader in 3D reservoir geological modeling and integrated simulation. Within production flow measurement, Roxar provides the most comprehensive suite of real-time subsea and topside multiphase meters, wetgas meters and permanent downhole monitoring systems.

Said Roxar CFO, Ådne Grødem:
Roxar's extensive global customer list includes more than 150 multinational, national and independent oil and gas companies which represent geographically diverse reservoir and production environments. Over the last 12 months, we have secured major contracts with oil and gas companies including, among others, BP, TOTAL, NORSK HYDRO, PETRONAS, LUKOIL, BP-TNK, PDVSA, PEMEX, REPSOL, PETROCHINA and STATOIL. We expect market conditions to remain favourable and believe the time is right to capitalize the company for further growth.

Consolidated Group operating revenue in 2004 amounted to NOK 624 million, representing a compound annual growth rate of 18.2% since 2000. Roxar's EBT of NOK 61 million in 2004 has grown 38.8% compounded annually since 2000. The Company has a backlog of NOK 300 million, compared to 150 million at the same time last year.

Roxar CEO, Sandy Esslemont continues:
Today's announcement marks another chapter in Roxar's emergence as a market leader in the field of reservoir management and production optimization. The Board and management are excited by the opportunity to grow the company further both organically and by acquisition.

Roxar is currently owned 100% by Lisme AS, which is owned 50,3% by Lime Rock Partners, 43% by Smedvig ASA and 6,7% by 173 minority shareholders