Withdrawal of Moody’s credit ratings

26 April 2016
Company announcement no. 4/2016

Withdrawal of Moody’s services related to Welltec A/S and the 2019 Senior Secured Notes


Michael Krabbe, CFO

Welltec A/S (Welltec®) has with immediate effect decided to withdraw and cancel the services from Moody’s Investors Service (Moody’s) in relation to the Welltec B1/Negative corporate family rating and the B1/Negative Senior Secured credit rating related to the 2019 Senior Secured Notes issued by Welltec® in February 2012.

Following the cancellation, Welltec® continues to be rated by Standard & Poor’s Ratings Services.

For further information, please contact:
Michael Krabbe, CFO

About Welltec®
Welltec® is a leading provider of well intervention services to the oil and gas industry using robotic technology. We are also expanding into well completion products and solutions. Our services and solutions enhance well production performance and increase the amount of recoverable oil and gas reserves in reservoirs. We provide our services and solutions for onshore and offshore oil and gas wells and operate in deepwater, subsea, Arctic, high-yield, heavy oil, geothermal and unconventional environments as well as conventional environments. For the twelve months ended December 31, 2015, Welltec reported revenues of USD 246 million.

Angolan operators on the lookout for intervention solutions

On April 14th, the Welltec team in Angola had invited oil and gas professionals to attend a Technology Day, focusing on innovative intervention and completion technology. Taking place in Luanda, and with more than 35 participants, the event included various presentations and live tool demonstrations.


Acting General Manager, Angola
Michael Ipsen

The current low oil price spurs operators to look at innovative and cost-effective intervention and completion methods, increasingly turning to new technology for help.

Michael Ipsen, Acting General Manager at the Welltec base in Angola, says:

“Both new and existing clients are hungry for technology that saves them time and cash. We offer the industry’s best and most reliable intervention tools, all designed with the overall purpose of increasing the client’s production, while reducing his cost”.

The event included a variety of tool introductions, including live demonstrations of conveyance and intervention tools as well as the
Flex-Well® completion concept with a specific focus on the Welltec® Annular Barrier (WAB®).

“For 13 years we have performed well interventions for Angola’s biggest operators, and we look forward to continue increasing their production with improved safety and saving them cost and time”, ends Michael Ipsen.

Read more about our solutions

New TorcPlug® wins second ICoTA intervention award

First in Aberdeen, now Houston. The new TorcPlug, a novel, multiset, retrievable barrier run on e-line has just won its second ICoTA intervention award, this time at the SPE/ICoTA Well Intervention & Coiled Tubing Conference and Exhibition in Houston. The prestigious award recognizes technical innovation in well intervention and rewards technology that is deemed to bring significant benefits to the industry.


VP Marketing
Brian Sidle

Global Business Development Manager
Hein Andre Langåker

Six months after receiving the Intervention Award from ICoTA’s European chapter in Aberdeen, the TorcPlug received the second SPE ICoTA Intervention award in March in Houston.

Run on e-line, the TorcPlug® excels by minimizing operators’ cost, reducing uncertainty and increasing efficiency.

Its design allows the TorcPlug® to be set multiple times in a single trip without damaging the crucial packer element and with no chance of pre-setting. With a rugged design it incorporates the Torc Method, enabling it to be mechanically set and released with just the right amount of force being transferred to the plug and tubing.

Qualified to V3 and V0/Q1 barrier requirements set by the ISO 14310 standards, the TorcPlug® has been certified by independent 3rd party testing to ensure that it meets the industry’s most challenging environments.

The TorcPlug is developed by E Plug with technical support from Welltec and Statoil.

See the full list ICoTA Intervention Technology Award Winners

Celebrating 20 years of Innovation

In late March of 1996, in a field called Gullfaks, offshore Norway, the world’s first successful Well Tractor® job was carried out. Returning from the job, the client and the Welltec crew, consisting of Jørgen Hallundbæk and Jesper Oluf Larsen, spoke excitedly about the results and the enormous potential this technology introduced to the industry.


VP Marketing
Brian Sidle

Fast forward 20 years to a world where Welltec and its brave customers have created a unique market, based upon self-made, disruptive technology to forge a vision and deliver results that the industry did not think possible.

Since 1996, Welltec has conducted more than 36,000 operations around the globe, tractoring ~ 100,000,000 feet and capturing many of the industry’s most prestigious awards while doing so

Passing a milestone like this is cause for celebration, a chance to mark the event and thank all the individuals that have, and continue to contribute, to this journey.

So today let’s celebrate that unique characteristic of Welltec, our people and our customers; to continuously push the boundaries of what is thought possible, to continue the vison that was begun 20 years ago.

Let’s transform the industry, shall we?

World’s first: Well Tractor® 212 successfully deployed

Less is more. Capitalizing on two decades of e-line conveyance solutions, Welltec® has developed and run the world’s first 2 ½” OD Well Tractor®. Delivering similar performance as the Well Tractor® 318 but with a reduced diameter, the Well Tractor® 212 has been deployed several times.


VP Marketing
Brian Sidle

The first was into an offshore oil producer where it’s smaller OD helped to improve the accuracy of a production logging tool (PLT) by minimizing flow interference from the tool body. In another well it was successfully deployed for conveyance of mechanical solutions in opening a sliding sleeve. Smaller tools, same performance. What else would you expect from the world’s leader in well tractor solutions?

Major oil companies attend Welltec technology event

On March 1-2, representatives from some of Germany’s biggest oil operators attended a Welltec and Multiline technology event. Taking place in Diepholz, Niedersachsen, and with more than 60 participants from the German oil and gas industry, the event included various presentations and live tool demonstrations.


Kevin Giles
Area Vice President
Phone: +44 7837 094788

Current low global oil prices have forced the industry to look at smarter, more collaborative approaches to reduce costs in the industry. Recently, Welltec has combined forces with the German e-line provider, Multiline, aiming  to deliver unique e-line technologies to operators and other oil and gas companies in the German market.

Among other items, the two day event included a variety of tools, including live demonstrations of the Well Cutter, which eliminates the use of explosives, and the Well Cleaner PST which, using high-rate fluid circulation, agitates the debris and captures it in bailers within the tool.

Additionally,  the participants got to see and understand static tool displays as well as enjoy various presentations on e-line technology and completion solutions – all designed for reducing cost and time, while increasing recovery.

Learn more about Multiline here

Annual Report 2015

The Board of Directors of Welltec International ApS (Welltec®) has today approved the Annual Report for 2015.

Key highlights
2015 was a challenging year for Welltec® as the industry downturn affected both activity and revenues amid falling oil prices and deteriorating sector fundamentals.

As a result of the challenging market conditions and continued curency headwinds arising from the USD appreciation, revenues and the EBITDA-margin were reduced to USD 246 million and 39% compared to USD 345 million and 45% in 2014.

The full year result was in line with the full year guidance as the proactive implementation of multiple cost reduction initiatives and the decision to align capacity with demand paved the way for a resilient margin performance throug out the year.

Despite the overall reduction in activity, select regions did experience stable, and in some cases, increased activity underlining the inherent strength of our value proposition and continued focus on meeting client objectives.


Michael Krabbe, Chief Financial Officer,
mobile: +45 30 34 30 00
Simon Stadil, Director, Treasury and Investor Relations,
mobile: +45 52 13 89 44

As a result of the volatile market back drop and the challenging industry environment, Welltec® is not able to offer qualified guidance for the full year 2016.

However, Welltec® will continue to evaluate forward looking reference points and commence on outlook guidance once visibility has improved.

Jørgen Hallundbæk, CEO: “2015 proved to be a challenging year for both Welltec® and the broader industry. Like the rest of the industry, Welltec® had to adapt by adjusting our global organization and delivery infrastructure in order to protect our margins and cash flow.

However, 2015 was also a year where our value proposition and industry leading offering proved its relevance as operators had to rethink their operational mindset in order to build sustainable businesses even at the low oil prices recorded.

Intervening for barrels and “doing more with less” by embracing new technology were the overriding themes, and that’s where Welltec® has a role to play as we continue to pioneer new and disruptive technology that allows our clients to extract oil cheaper, faster and in a more sustainable way.”

Investor conference call

Welltec® discuss its results during an investor conference call today at 5 pm CET. An accompanying slide presentation is available on the “Investors” section of www.welltec.com under the subheading “Download Center”. The conference call can be accessed by dialing in a few minutes before the 5 pm CET start and informing the operator that you are dialing in for Welltec’s investor conference call, ID 4739700.

Conference Call Access Numbers:
Denmark: +45 32 71 16 58
UK: +44(0)20 3427 1904
US: +1212 444 0412
The call will be webcast simultaneously and available online following today’s live transmission.

Company Profile

Welltec® is a leading provider of intervention and completion solutions to the oil and gas industry. Our pioneering technology challenges conventions to increase recovery in a safer and more sustainable way, enabling operators to optimize the management and development of their assets throughout the life cycle.

We address the factors that maximize value creation, disruptively innovating to increase reservoir contact over an extended life cycle, in a fraction of the time, energy and logistical effort of the conventional alternatives. The effect is one of increased net present value through higher returns and reduced risks. Our Flex-Well® approach serves to maximize production and increase total recovery while lowering operational and total development costs. Our game-changing solutions extend the productive life of wells and enable clients to pursue fields that would not otherwise be economically viable.

Our unique approach provides for safer operations, removing considerable infrastructure costs and operational effort. Our lightweight technology lowers the complexity and hazard potential of operations, reducing the risk to personnel and allowing smaller work crews, fewer lifts and lighter loads. We reduce dependency on rigs, significantly reducing the industry’s energy consumption and carbon emissions. The ability to operate in extended reach and horizontal wells allows operators to drill multiple wells from the same topside location, thereby further reducing the environmental footprint.

Our technology created the market for robotic well intervention and continued market leadership is the result of constant innovation, rigorous IP protection and a commitment to completely addressing our clients’ challenges. Our completion concept represents the next paradigm shift for the industry, with a simple yet revolutionary approach that allows operators to tap into the full value of their reservoirs at a much lower level of invested capital and with an unprecedented degree of flexibility. The simple application of expandable metallic well annual barriers (WAB®) overcomes the traditional shortfalls of cementing to enable a lower completion as minimal or intricate as the reservoir characterization itself. Fields can be developed and maintained from fewer topside locations and brought on line faster, for longer.

In an industry characterized by maturing fields and increasing depletion, the premium attached to technology which aids in reversing these trends will continue to gain momentum. Our technology safeguards people and returns on investment, enabling clients to unlock more value from their assets and to address reservoir complexities and uncertainties with a greater number of options.

Important Notices
Any statement in this announcement that is not a historical fact is a “forward-looking statement”. Such statements may include opinions and expectations regarding Welltec® and its future business, management’s confidence and strategies as well as details of management’s expectations of new and existing programs, technology and market conditions. These forward-looking statements rely on assumptions concerning future events that are subject to a number of risks and uncertainties, many of which are outside Welltec’s control, and which could cause Welltec’s actual results to be materially different from these forward-looking statements. While Welltec® believes that its assumptions concerning future events are reasonable; there are inherent difficulties in predicting certain important factors that could impact the future performance or results of Welltec’s business. Accordingly, such statements should not be regarded as representations as to whether such anticipated events will occur nor that expected objectives will be achieved. Welltec® expressly disclaims any intention or obligation to revise or update any forward-looking statements, whether as a result of new information, future events, or otherwise.

Total E&P Congo Purchases Welltec® Annular Barrier (WAB®)

COPENHAGEN, Denmark – We are pleased to announce that our award winning Welltec® Annular Barrier (WAB®) has been selected by Total E & P Congo as a completion component for the upcoming wells in their deepwater, Moho Nord project.


Gbenga Onadeko
+1 281 371 1206

Sufficient quantities of WAB’s were purchased to achieve multiple barriers per well during the drilling and completion of the 17 wells planned for development of the Moho Nord field. The wells will be completed in water depths of 450 to 1200 meters producing from the Albian reservoir via a tension leg platform.

“The Moho Nord project is the biggest oil project to date in the Republic of Congo. Total E & P Congo are determined to deliver this project efficiently while assuring integrity of the wells for their full life. Welltec has supported our operations in Congo for years with their technologies and methodologies for well interventions,” states Philippe Labrugère, the Project’s Drilling Manager.

“So when Welltec introduced the WAB® to us, we immediately identified the advantages it could offer to improve efficiency, assure integrity and successfully deliver such a complex project.”

The Welltec® Annular Barrier (WAB®) is an expandable, metal barrier which can we used for well integrity, zonal isolation or cement assurance applications. It won the OTC Spotlight on New Technology in 2015 as one of the latest, most advanced technologies that are leading the industry into the future.

In addition to being rugged, it is full bore, expands on command with surface control, can be rotated during installation in high angle wells and has high expansion and Delta P capabilities.

“This is a milestone award,” explains ‘Gbenga Onadeko, Senior Vice President, Africa.

“Our clients in the region have previously used Welltec® Completions products to address drilling and production challenges but this is our biggest single award so far. We are excited to secure this significant order on the biggest, highest profile oil project in Congo. It is an opportunity to introduce and demonstrate to Total E & P the advantages which the WAB® can provide, setting up future completions successes around the globe for their organization.”

To read more about the WAB® or Welltec’s innovative Flex-Well® completion approach, download the new 2016 completion brochure at our Completion Solutions page

2015 Annual Report and Investor Conference Call announcement

February 17, 2016
Company announcement no. 2/2016

Welltec® will disclose its annual report for 2015 on Thursday, February 25, 2016 and will discuss the results during an investor conference call at 5pm CET.

An accompanying slide presentation will be available on the “Investor” section of Welltec’s website at www.welltec.com under the subheading “Download Center”.

The conference call can be accessed by dialing in a few minutes before the start and informing the operator that you would like to participate in Welltec’s investor conference call, conference ID 4739700.

The conference call will also be webcast simultaneously on a listen-only basis. Please log in via the “Investor” section of the website in due time to test your browser. A replay of the webcast will then be available following the transmission.

Conference Call Access Numbers:
Denmark:  +45 32 71 16 58
United Kingdom:  +44(0)20 3427 1904
USA:  +1212 444 0412

For further information, please contact:
Michael Krabbe
Cell:  +45 3034 3000

Company profile

Welltec® develops and delivers technology and solutions intended to transform the oil and gas industry. Our game-changing solutions are dedicated to optimizing the management and development of clients’ assets, both in the form of well completion technology and intervention services required to ensure performance and integrity.

We operate in all types of onshore and offshore well environments, including the most extreme and hostile, such as deepwater, subsea, extended reach, heavy oil and unconventional gas and oil wells. Our lightweight solutions are based on a vision to improve safety while reducing environmental risks, fuel consumption and carbon footprints.

The Flex-Well® approach

In our new, 2016 Welltec® Completion Solutions brochure you can explore applications to unlock new completion designs which are optimal for your budget and reservoir.


VP Marketing
Brian Sidle

The Flex-Well® completion approach allows you to fast track and build wells which produce more, drain larger areas and won’t require interventions for years to come. The higher production and drainage per well enables you to reduce the overall number of platforms or land locations required, significantly reducing your overall CAPEX.

This brochure details product specifications as well as provides the latest case stories from various well environments and locations across the world. Our clients have benefitted from this unique technology to accomplish zonal isolation, cement assurance and even cementless, standalone primary barriers in environments where it was previously impossible.

At the heart of the Flex-Well® completion is the Welltec® Annular Barrier, a rugged, large expansion ratio, expandable metal barrier that can be used for a wide variety of applications including zonal isolation, cement assurance and sustained casing pressure protection.

Qualified up to ISO14310 V0 leak criteria and manufactured in accordance with ISO9001 the WAB® is designed to deliver outstanding performance across a wide range of operating conditions.


Value throughout the life of the well


Mitigate the uncertainties due to reservoir characterization


Reduce overall CAPEX and fast track production while drilling and completing wells faster and safer

Primary production

Harness higher initial production rates, generating better return on invested capital

Secondary production

Optimize production over the life of the well for maximum recovery


Cost effective approach built in from the start

The Flex-Well® can provides all these benefits while simultaneously offering an approach that results in fewer people required, less complex operations and smaller amounts of equipment deployed for shorter amounts of time.

Welltec®, celebrating 20 years of delivering game-changing solutions.