TGS ASA — Earnings Release 2015

Oct 23, 2015

TGS announces Q3 revenues of USD 169 million

TGS announces Q3 revenues of USD 169 million

ASKER, NORWAY (23 October 2015) - TGS reports net revenues of USD 169 million in

Q3 2015, compared to USD 190 million in Q3 2014. Earnings before interest and

taxes (EBIT) totaled USD 46 million, corresponding to an EBIT margin of 27%.

Cash flow from operations was USD 121 million, resulting in an increased cash

balance of USD 191 million at the end of the Quarter.  A Q3 backlog of USD 182

million was reported.

3(rd )QUARTER HIGHLIGHTS

* Consolidated net revenues were USD 169 million, compared to USD 190 million

in Q3 2014.

* Net late sales totaled USD 90 million, down 31% from USD 130 million in Q3

* Net pre-funding revenues were USD 74 million, up 45% from Q3 2014, funding

55% of the Company's operational multi-client investments during Q3

(operational investments of USD 135 million, up 45% from Q3 2014).

* Proprietary revenues were USD 5 million, compared to USD 9 million in Q3

* Operating profit (EBIT) was USD 46 million (27% of net revenues), compared

to USD 71 million (38% of net revenues) in Q3 2014.

* Cash flow from operations was USD 121 million, compared to USD 187 million

in Q3 2014.

* Earnings per share (fully diluted) were USD 0.39, down from USD 0.53 in Q3

9 MONTHS FINANCIAL HIGHLIGHTS

* Consolidated net revenues were USD 481 million, down from USD 617 million in

* Net late sales from the multi-client library totaled USD 244 million, down

40% from USD 405 million in 2014.

* Net pre-funding revenues were USD 220 million, up 19% from 2014, funding

53% of the Company's operational multi-client investments during the first

nine months of 2015 (operational investments of USD 414 million, up 23% from

2014).

* Proprietary revenues were USD 17 million, compared to USD 28 million in

* Operating profit (EBIT) was USD 119 million (25% of net revenues), compared

to USD 247 million (40% of net revenues) in 2014.

* Cash flow from operations was USD 467 million compared to USD 474 million in

2014, a decrease of 1%.

* Earnings per share (fully diluted) were USD 0.91, down from 1.78 in 2014.

"Energy companies continue to cut exploration spending, leading to continued

pressure on demand for seismic data. Customer communication indicates that the

current difficult market conditions will persist for some time. With a flexible

cost structure and an asset-light balance sheet, TGS is positioned to take

advantage of the uncertain market conditions and strengthen our position

further," TGS' CEO Robert Hobbs stated. "Although investments will decline

substantially in Q4, our 2015 revenue guidance remains unchanged".

To access TGS Q3 2015 results information, click on the links below or go to the

Company website at www.tgs.com:

TGS Q3 2015 Earnings Release

TGS Q3 2015 Presentation Slides

TGS Q3 2015 Webcast

Q3 2015 Conference Call

CEO Robert Hobbs and CFO Sven Børre Larsen will host a conference call on 23

October 2015 at 16:00 CET (10:00 AM New York time). Attendees may want to call

5-10 minutes before 16:00 CET (10:00 AM NY) to ensure registration and access.

* Norwegian attendees are invited to call +800 56053 or +47 2350 0486

* International attendees are invited to call 0800 279 5004 or +44 (0)20

3427 1901

* US attendees are invited to call +1 877 280 2296

Participants will need to quote the following confirmation code when dialing

into the conference: 5334026

A Q&A session will follow a short introduction, based upon the presentation

issued in the morning. To pose a question, please press *1.

A replay of the conference call will be available shortly after. To access

replay of the TGS conference call,

* Dial +47 2100 0498 (Norway) or +44 (0)20 3427 0598 or +1 866 932 5017 (US)

* Replay access code is 5334026 followed by the # (pound sign)

A replay of the conference call will also be available at www.tgs.com.

Company summary

TGS-NOPEC Geophysical Company (TGS) provides multi-client geoscience data to oil

and gas Exploration and Production companies worldwide.  In addition to

extensive global geophysical and geological data libraries that include multi-

client seismic data, magnetic and gravity data, digital well logs, production

data and directional surveys, TGS also offers advanced processing and imaging

services, interpretation products, and data integration solutions.

For more information visit TGS online at www.tgs.com.

Forward-looking statements and contact information

All statements in this press release other than statements of historical fact

are forward-looking statements, which are subject to a number of risks,

uncertainties and assumptions that are difficult to predict, and are based upon

assumptions as to future events that may not prove accurate. These factors

include TGS' reliance on a cyclical industry and principle customers, TGS'

ability to continue to expand markets for licensing of data, and TGS' ability to

acquire and process data products at costs commensurate with profitability.

Actual results may differ materially from those expected or projected in the

forward-looking statements. TGS undertakes no responsibility or obligation to

update or alter forward-looking statements for any reason.

TGS-NOPEC Geophysical Company ASA is listed on the Oslo Stock Exchange

(OSLO:TGS).

TGS sponsored American Depositary Shares trade on the U.S. over-the-counter

market under the symbol "TGSGY".

For additional information about this press release please contact:

Sven Borre Larsen

Chief Financial Officer

Tel: +47 90 94 36 73

Email: sven.larsen@tgs.com

Will Ashby

Director Finance Western Hemisphere & Investor Relations

Tel: +1 713 860 2184

Email: will.ashby@tgs.com

This information is subject of the disclosure requirements acc. to §5-12 vphl

(Norwegian Securities Trading Act)

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