C.A.T. oil AG expands into geotechnical services

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Vienna (euro adhoc) - July 03, 2007 - C.A.T. oil AG (O2C, ISIN: AT0000A00Y78),
one of the leading providers of oil and gasfield services in Russia and
Kazakhstan, today announced the formation of a new subsidiary, CAToil-Geodata.
C.A.T. oil AG hires a technical and management team of 90 people from the
Russian independent private service company Geodata Consulting to diversify into
new products and to provide its customers with integrated reservoir engineering
solutions and exploration services.

Geodata Consulting was established in 1997 to provide high quality geotechnical
services to Russian and international oil and gas companies and promptly became
a visible player in the Russian geoservice market. Its highly skilled technical
team possesses strong expertise in reservoir engineering, complex geologic and
reservoir modeling as well as seismic data processing, interpretation and
reservoir characterization. Geodata´s core specialty also includes appraisal of
oil and gas reserves and preparation of field develop-ment plans for approval by
Russian authorities.

Geodata specialists´ successful 10-year track record covers more than 120
consultancy projects in Russia and abroad. These include reserves appraisal and
development plans for high profile Russian projects such as Kovykta, Sugmut,
Kharyaga, Varyogan, Vanyogan and other fields, with total reserves in excess of
4.5 bn bbl-oil and 100 tcf-gas, and more than 20 reservoir characterization and
reservoir modeling projects in Mexico, Argentina, Nigeria and India.
Geodata Consulting´s personnel has also developed proficiency in field seismic
data acquisition since 2003, when the company launched a 3-year 750 sq. km 3D
onshore seismic project for Oil India in Assam. Furthermore, it accomplished a
number of successful 3D and 2D seismic projects in India, Columbia and Russia,
including West and East Siberia.

Despite successful 10 years on the Russian geoservice market, the move of
Geodata Consulting´s management, which controlled the company, has been
triggered by small companies' limited access to capital and growth
opportunities, as well as the intensified sector competition in the wake of the
Russian oilfield service industry consolidation. Employment with C.A.T. oil AG,
a public oilfield service company, fuels the confidence of Geodata Consulting´s
management and technical teams in sustainable realization of their strong
expertise and business potential amid challenging market environment.

The business plan for the Group´s new company CAToil-Geodata envisages the
mobilization of 5 to 6 new 3D/2D seismic crews for the 2007/08 winter season in
Russia and abroad with a view of expanding the total number of seismic crews to
12 during the 2009/10 winter season. CAToil-Geodata´s total capital expenditure
and working capital requirements for the years 2007 to 2010 stand at EUR 27.5
million to attain strong organic growth across seismic and reservoir engineering
businesses.

"We are excited about this unique opportunity to hire Geodata´s highly visible
geotechnical team and leverage its strong reservoir engineering and seismic
expertise with our client relations and financial strength and welcome our new
colleagues to the Group. C.A.T. oil AG is fully committed to meeting customers´
growing needs for integrated services through a product diversification and
exposure to early stages of oil and gas fields´ life cycle such as explora-tion,
appraisal and development planning. Separately, our core fracturing and fast
growing sidetrack drilling operations should hugely benefit from the new team´s
qualifications, which will be shared by our core subsidiaries CATOBNEFT and
CATKoneft for a thorough selection of candidate wells," said Leonid Mirzoyan,
the Company´s Chief Corporate Finance Officer.

www.catoilag.com

Press contact:
A&B Financial Dynamics
Dr. Lutz Golsch Claudia Werth
phone: +49 (0)69 92037-110 phone: +49 (0)69 92037-114
Email: l.golsch@abfd.de Email: c.werth@abfd.de

About C.A.T. oil AG:
Austria-based C.A.T. oil AG (O2C, ISIN: AT0000A00Y78) is one of the leading
provid-ers of oil- and gasfield services in Russia and Kazakhstan. C.A.T. oil´s
core business is hydraulic fracturing, a process which helps to open up oil- and
gas-bearing rock formations in order to increase or even enable oil and gas
production. The C.A.T. oil crews use state-of-the-art methods and technologies
to generate high pressure in the oil or gas reservoirs concerned. This pressure
causes cracks to appear in the rock through which oil or gas can be produced in
larger quantities from the production well, and hence efficiently boosts
extraction, particularly in the case of deposits that are difficult to develop
or low-output wells. In addition, hydraulic fracturing can be used to revitalize
wells that have previously been idle.
The Company has its headquarters Vienna and employed 2,657 people at the end of
the first quarter 2007, most of whom are based in Russia and Kazakhstan.
Customers include leading oil and gas producers such as Gazprom, KazMunaiGaz,
LUKOIL, Rosneft, and TNK-BP. C.A.T. oil has been listed in the Prime Standard of
the Frankfurt Stock Exchange since May 4, 2006, and has been a member of the
SDax since September 18, 2006.

Further inquiry note:
Claudia Werth
Telefon: +49 (0)69 920 37-199
E-Mail: c.werth@abfd.de

end of announcement euro adhoc 03.07.2007 18:19:44
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emitter: C.A.T. oil AG
Helenenstraße 56
A-A-2500 Baden
phone: +43(0)2252 437-20
FAX: +43(0)2252 470-26
mail: ir@catoilag.com
WWW: http://www.catoilag.com
sector: Oil & Gas - Upstream activities
ISIN: AT0000A00Y78
indexes: Classic All Share, Prime All Share, SDAX
stockmarkets: official dealing: Börse Frankfurt
language: English

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