Expro Boosts Romanian Growth With $10M+ Contracts for Black Sea Project

Rhea-AI Summary

Expro (NYSE: XPRO) has secured contracts worth over $10 million USD from OMV Petrom for the Neptun Deep gas project in the Black Sea, Romania. The contracts encompass the provision of subsea landing string, SeaCure® cementing technology, tubular running services, and Coretrax Advance drilling tools.

The Neptun Deep project, positioned as the largest natural gas development in the Romanian Black Sea, is important for Romania's energy supply. As part of its expansion strategy in Romania, Expro has made significant investments including:

• Opening a new office in Bucharest
• Establishing a new operational base
• Implementing a program to expand Romanian-based staff

Expro, with over 8,000 employees operating in approximately 60 countries, provides energy services across the entire well life cycle, including well construction, flow management, subsea well access, and well intervention and integrity solutions.

Positive

• Secured $10M+ in new contracts for Black Sea project
• Strategic expansion in Romanian market with new facilities
• Growing local workforce in Romania
• Part of largest natural gas project in Romanian Black Sea

Negative

• None.

Insights

Financial Analyst

Expro's $10+ million contract win for the Neptun Deep gas project represents a strategic victory that extends beyond the immediate revenue impact. For a company with a $1.26 billion market cap, these contracts - while representing less than 1% of valuation - establish Expro as a key service provider in Romania's largest offshore gas development.

What's particularly notable is how these contracts leverage multiple service lines including subsea landing strings, cementing technology, tubular running services, and drilling tools - demonstrating Expro's ability to secure integrated service packages rather than single-product offerings. This cross-selling capability typically drives higher margins and stickier client relationships.

The company's deliberate investment in Romanian infrastructure (new office, operational base, and local staffing) shows these contracts aren't opportunistic but part of a calculated regional expansion strategy. Eastern Europe represents an important growth vector as the region seeks to develop energy independence.

For investors, this development signals Expro's execution against strategic initiatives and ability to compete successfully for significant projects in international markets. The multi-service nature of the win validates their technical capabilities across product lines while potentially opening doors to additional work as the Neptun Deep project progresses.

Energy Industry Expert

The Neptun Deep project represents a critical component in Romania's energy security strategy, with Expro now securing a meaningful role in its development. As the largest natural gas project in the Romanian Black Sea, this development carries outsized importance in the European energy landscape.

Offshore natural gas developments like Neptun Deep present complex technical challenges requiring specialized equipment and expertise - precisely what Expro provides through its contracted services. The subsea landing string technology is particularly important for safely connecting and disconnecting the subsea well from the surface rig in deep water environments.

Expro's strategic positioning in Romania through local office establishment and staff development demonstrates recognition of Eastern Europe's growing importance in energy infrastructure development. The Black Sea region specifically has emerged as a focal point for natural gas exploration as European nations diversify supply sources.

The inclusion of multiple Expro technologies in this single project highlights how integrated service offerings create value in complex offshore developments. SeaCure cementing technology ensures wellbore integrity while tubular running services and drilling tools address critical operational requirements. This comprehensive approach positions Expro to potentially secure additional work packages as the project advances through development phases.

HOUSTON--(BUSINESS WIRE)-- Expro (NYSE: XPRO), a leading provider of energy services has been awarded major contracts from OMV Petrom, totalling more than $10 million USD for the Neptun Deep gas project in the Black Sea.

Semi Submersible Rig (Photo: Business Wire)

The contracts involve Expro’s subsea landing string (SSLS), SeaCure® cementing technology, tubular running services (TRS) and Coretrax Advance drilling tools to support the project in offshore Romania.

Neptun Deep is the largest natural gas project in the Romanian Black Sea and is essential for Romania’s energy supply.

The two contracts mark the latest stage in Expro’s growth in Romania. Recent investments by the company include opening a new office in Bucharest, setting up a new operational base, and a program to grow its Romanian-based staff.

Andrei Ion, Expro Senior Area Manager in Europe Mediterranean and Caspian, said: “With the awarding of these contracts, Expro is progressing our plans to expand our operations and strengthen our support of the energy industry in eastern Europe and beyond.

“Neptun Deep is an important energy project for Romania. We are proud of being selected to support this important development.”

Expro

Working for clients across the entire well life cycle, Expro is a leading provider of energy services, offering cost-effective, innovative solutions and what the Company considers to be best-in-class safety and service quality. The Company’s extensive portfolio of capabilities spans well construction, well flow management, subsea well access, and well intervention and integrity solutions.

With roots dating to 1938, Expro has more than 8,000 employees and provides services and solutions to leading exploration and production companies in both onshore and offshore environments in approximately 60 countries.

For more information, please visit expro.com and connect with Expro on X (formerly Twitter) @ExproGroup and LinkedIn @Expro.

About OMV Petrom:

OMV Petrom is the largest integrated energy producer in Southeastern Europe, with an annual Group hydrocarbon production of approximately 40 million boe in 2024. The Group has a refining capacity of 4.5 million tons annually and operates an 860 MW high-efficiency gas-fired power plant. The Group is present on the oil products retail market in Romania and neighboring countries through approximately 780 filling stations under two brands – OMV and Petrom.

More details about Neptun Deep project can be found here: https://www.omvpetrom.com/en/our-business/exploration-and-production/neptun-deep

About ROMGAZ:

ROMGAZ is the largest natural gas producer and the main supplier in Romania. The company has a vast experience in gas exploration and production. In 2013, took over Iernut thermoelectric power plant, becoming electricity producer and supplier. ROMGAZ became in 2022 the sole shareholder of ROMGAZ BLACK SEA LIMITED (formerly ExxonMobil Exploration and Production Romania Limited) which holds 50% of the acquired rights and obligations under the Petroleum Agreement for the Deep Water Zone of XIX Neptun offshore block (“Neptun Deep”).

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release, and oral statements made from time to time by representatives of Expro Group Holdings N.V. (“the Company”), may contain certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements regarding, among other things, the Company’s future business strategy and prospects for growth, and are indicated by words or phrases such as “anticipate,” “outlook,” “estimate,” “expect,” “project,” “believe,” “envision,” “goal,” “target,” “can,” “will,” and similar words or phrases. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from the future results, performance or achievements expressed in or implied by such forward-looking statements. Forward-looking statements are based largely on the Company’s expectations and judgments and are subject to certain risks and uncertainties, many of which are unforeseeable and beyond our control. The factors that could cause actual results, performance or achievements to materially differ include, among others the risk factors identified in the Company’s Annual Report on Form 10-K, Form 10-Q and Form 8-K reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, historical practice, or otherwise.

The Company is not able to provide a reconciliation of Coretrax’s forward-looking Adjusted EBITDA to the most directly comparable measure in accordance with U.S. generally accepted accounting principles without unreasonable effort because of the inherent difficulty in forecasting and quantifying certain amounts necessary for such a reconciliation, including net income (loss).

View source version on businesswire.com: https://www.businesswire.com/news/home/20250305933686/en/

Media Contact

InvestorRelations@expro.com

MediaRelations@expro.com

Source: Expro

FAQ

What is the value of Expro's (XPRO) new contracts for the Neptun Deep project?

Expro secured contracts worth over $10 million USD from OMV Petrom for the Neptun Deep gas project in the Black Sea.

What services will Expro (XPRO) provide for the Neptun Deep gas project?

Expro will provide subsea landing string, SeaCure® cementing technology, tubular running services, and Coretrax Advance drilling tools.

How is Expro (XPRO) expanding its presence in Romania?

Expro is expanding through a new Bucharest office, new operational base, and a program to increase Romanian-based staff.

Why is the Neptun Deep project significant for Romania?

Neptun Deep is the largest natural gas project in the Romanian Black Sea and is essential for Romania's energy supply.