Ziebel AS Acquires Tubel Technologies Inc.

The Norwegian based wellbore technology company Ziebel AS, has signed an agreement to take over the Houston based downhole technology company Tubel Technologies Inc. for an undisclosed sum.

Ziebel has a goal of rapidly growing into a substantial international oil service company focusing on technology for well completions, downhole artificial lift, wellbore monitoring and well intervention.

The vision for the company is to deliver products and solutions that are reservoir optimized, creating value for oil and gas company customers and rapidly mature to be recognized as the most efficient and innovative well technology company in the world.

Ziebel was established on the January 1, 2006 by industry recognized well production technology experts and senior management. Since its establishment, Ziebel has worked on growing its business based on mergers, acquisitions and organic growth. This acquisition follows shortly after the UK companies iCalTech Ltd. and Axon Instruments Ltd. were acquired by Ziebel.

'We recognize a strong global need for innovative new solutions that will increase total recovery from oil- and gas fields' says David Ottesen, Ziebel's CEO. 'Our management has the relevant experience from international sales and marketing, operations and company mergers to identify and deliver a new set of integrated solutions to meet that need. Tubel is a company delivering exactly that.'

Tubel Technologies was established in 2000, and is a leading technology company having downhole two-way, wireless sensor systems for coiled tubing stimulation and permanent or retrofit reservoir monitoring, as well as downhole power generator and a high accuracy fiber optic pressure sensor system for downhole permanent monitoring. These technologies for "intelligent" completions and production optimization for oil and gas exploration and production, provides new abilities in real time monitoring and control. Tubel Technologies also has a wireless casing collar locator for coiled tubing applications that will be a substantial cost saver for the operating companies. The fiber optic sensing system will also be integrated into the new fiber optic well logging tool that Ziebel is developing, creating a very powerful production logging and wellbore leakage detection and monitoring system. Tubel Technologies have substantial operations in Canada, which further strengthen Ziebel's presence there.

"The acquisition of Tubel Technologies by Ziebel will allow us to better meet current and future customer demands and accelerate the introduction of new tools, services and technologies worldwide." said Paulo S. Tubel, CEO and Founder of Tubel Technologies Inc. "At the same time the Ziebel's personnel, expertise, products, and existing markets will bring new opportunities for Tubel Technologies. We are very pleased to have Tubel Technologies as part of Ziebel group of companies. The knowledge and understanding of the oil and gas Exploration and Production business by the Ziebel management and employees will create new opportunities and will enhance Tubel Tech products ability to grow in the marketplace"

'Downhole reservoir and completions performance monitoring is one of our core focus areas' says Henning Hansen, Business Development Manager of Ziebel, 'and the integration of Tubel Technologies has greatly expanded our capabilities, complementing an already strong technology position and a market presence in electronic downhole monitoring. Tubel has always been a very innovative company developing very challenging technologies with its world class staff in Houston. We are very excited to have this group now part of the rapidly expanding Ziebel team."

'Our group of financiers backing Ziebel are also very pleased to see the Ziebel team making excellent progress against the vision' say Einar Gamman, Chairman of Ziebel and Senior Partner in founding investor Energy Ventures. 'The team has confirmed themselves as world class and the Tubel transaction places the business on an excellent footing for aggressive growth'

'Tubel is an excellent match for Ziebel' says Shane McElroy, Director in Ziebel and a Partner in the investor Viking Ventures II AS. 'the owners are very supportive of the management team and congratulate them on this latest acquisition'.