Standard and Poor`s Rates Geotech Seismic Services ‘B’; Outlook ‘Positive’Moscow, 20 September 2013
On September 19, 2013, Standard & Poor's Ratings Services (S&P), one of the most influential rating agencies in the world, assigned its 'B' long-term corporate credit rating to GEOTECH Seismic Services, the largest company of GEOTECH Holding CJSC, the managing company for IGSS assets. The outlook is positive. S&P also assigned its ‘ruA’ Russia national scale rating to GEOTECH.
A credit rating ‘B’ reflects the company’s current ability and readiness to fulfill credit obligations.
According to Standard & Poor’s, the positive outlook reflects expectation that the Russian seismic market, particularly the volume and complexity of its services, will grow from its current low level as Russia's key oil provinces mature and oil companies use more advanced technologies, such as high-density seismic services, to save on drilling costs. This will support сompany’s revenue growth and profitability.
Analysts do not exclude the possibility of upgrading the company’s credit rating in the near future.
All ratings affected by this rating action can be found on Standard & Poor's Web site at www.standardandpoors.com