Epi-V Supports Global Expansion of Norwegian Well Tool Firm

Specialist private equity fund Epi-V has invested GBP4.5 million in the only independent supplier of advanced well intervention tools to the global oil industry.

Stavanger-based Petrotools AS develops and manufactures advanced coiled tubing, wireline intervention and drilling tools used in the well production process.

The deal will provide Petrotools with the strategic expertise and growth capital required to broaden its product portfolio, move into equipment rental and servicing and market its products in the USA, the Middle East and Asia.

Nigel Leggett, the Epi-V partner who led the investment, said: "Petrotools is recognized as one of the foremost engineering and technology businesses in Norway and has earned a reputation of supplying tools that provide outstanding performance and quality.

The £50 million Epi-V fund was launched in August 2007 with the aim of making equity investments of between GBP2 million and £10 million in emerging technology and service companies within the upstream services sector. LDC is the sole institutional investor in the fund.

The deal with Petrotools quickly follows Epi-V's GBP5 million investment in Guardian Global Technology, a business which designs and manufactures specialist down-hole hydrocarbon logging tools and associated services.

Epi-V also recently made an undisclosed investment in Oslo-based Tar Blaster, a business which is developing technology that increases the efficiency of the oil recovery process for oil sands, a bituminous material which is a mixture of sand, water and heavy crude oil.