PGS ASA

Earnings Release • Feb 13, 2014

Petroleum Geo-Services ASA : Fourth Quarter and Preliminary Full Year 2013 Results

Petroleum Geo-Services ASA : Fourth Quarter and Preliminary Full Year 2013 Results

Improved Profitability

Highlights 2013

* Revenues of $1,501.6 million, down 1% from 2012

* EBITDA of $828.9 million, up 7% from 2012

* EBIT of $382.1 million, up 30% from 2012

* Group EBIT margin of 25%, up from 19% in 2012

* Cash flow from operations of $775.3 million, up 3% from 2012

* EPS of $1.11, up 29% from 2012

* Record MultiClient late sales revenues

* Increased and extended the Revolving Credit Facility

* Successful introduction of the new Ramform Titan-class vessels

* Breakthrough for new imaging technologies as the multiple benefits of

GeoStreamer get better recognised

* The Board will propose an ordinary dividend for 2013 of NOK 2.30 per share,

up 39% from prior year

"Margins continued to increase in 2013, driven by solid performance from all

business areas and the increasing effects of our 2012 Profit Improvement

Program. I am pleased to report record MultiClient late sales given the lower

MultiClient pre-funding level compared to 2012.

We took delivery of the Ramform Titan in May and the Ramform Atlas in January

2014. These vessels combined with an increasing contribution from the

GeoStreamer technology improve PGS competitive advantages and margin

differentiation.

We currently have close to 70% of 2014 capacity booked. With the exception of Q1

2014, the latest additions to the contract order book were signed at flat prices

compared to the average 2013 level. Full year 2014 guidance is reiterated,

however due to the challenging market conditions for work to be performed in Q1

2014 and a relatively high level of vessel steaming, we expect the quarter to be

weak as earlier indicated."

Jon Erik Reinhardsen,

President and Chief Executive Officer

+--------------------------------------------+----------------+----------------+

| |   |   |

|  | 4(th) Quarter | Full year |

|Key Financial Figures +-------+--------+-------+--------+

|(In USD millions, except per share data) |   |   |   |   |

| | 2013 | 2012 | 2013 | 2012 |

| |   |  |   | |

+--------------------------------------------+-------+--------+-------+--------+

|Revenues | 359.5| 360.1|1,501.6| 1,518.3|

+--------------------------------------------+-------+--------+-------+--------+

|EBITDA (as defined, see note 1) | 201.0| 162.2| 828.9| 776.2|

+--------------------------------------------+-------+--------+-------+--------+

|EBIT ex. impairment charges | 81.4| 60.7| 397.1| 293.0|

+--------------------------------------------+-------+--------+-------+--------+

|EBIT as reported | 66.4| 60.6| 382.1| 293.8|

+--------------------------------------------+-------+--------+-------+--------+

|Income before income tax expense | 44.8| 45.0| 327.9| 228.5|

+--------------------------------------------+-------+--------+-------+--------+

|Net income to equity holders | 30.1| 40.1| 238.3| 185.5|

+--------------------------------------------+-------+--------+-------+--------+

|Basic earnings per share ($ per share) | 0.14| 0.19| 1.11| 0.86|

+--------------------------------------------+-------+--------+-------+--------+

|Diluted earnings per share ($ per share) | 0.14| 0.18| 1.10| 0.85|

+--------------------------------------------+-------+--------+-------+--------+

|Net cash provided by operating activities | 211.9| 163.6| 775.3| 752.9|

+--------------------------------------------+-------+--------+-------+--------+

|Cash investment in MultiClient library | 111.0| 71.3| 373.0| 297.4|

+--------------------------------------------+-------+--------+-------+--------+

|Capital expenditures (whether paid or not) | 73.3| 139.5| 437.8| 368.1|

+--------------------------------------------+-------+--------+-------+--------+

|Total assets (at period end) |3,544.3|3,275.6*|3,544.3|3,275.6*|

+--------------------------------------------+-------+--------+-------+--------+

|Cash and cash equivalents (at period end) | 263.8| 390.3| 263.8| 390.3|

+--------------------------------------------+-------+--------+-------+--------+

|Net interest bearing debt (at period end, | 666.7| 435.6| 666.7| 435.6|

|see note 10) | | | | |

+--------------------------------------------+-------+--------+-------+--------+

*The financial information for 2012 is restated from retrospectively adopting

IAS19R, see note 3

The complete Q4  and preliminary full year 2013 earnings release and

presentation can be downloaded from www.newsweb.no and www.pgs.com.

FOR DETAILS, CONTACT:

Bård Stenberg, Investor Relations Manager

Phone:   +47 67 51 43 16

Mobile:  +47 99 24 52 35

Tore Langballe, SVP Corporate Communications

Phone:   +47 67 51 43 75

Mobile:  +47 90 77 78 41

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1761645]