Skip to main content

KBC acquires upstream software specialist FEESA Ltd

Hydrocarbon Engineering,


KBC Advanced Technologies plc has announced that it has purchased FEESA Ltd, a leading UK-based provider of specialised software and services to the upstream oil and gas industry, for an enterprise value of £10 million plus one million KBC shares, totalling £11.2 million.

Expanding into the upstream business

The acquisition of FEESA marks the next step in KBC's growth strategy to expand into the upstream oil and gas industry. Key benefits of the transaction include:

  • KBC now being able to offer profit improvement and business transformation programmes, underpinned by technology, across the full hydrocarbon value chain. FEESA's Maximus™ software, when integrated with KBC's Multiflash™ and Petro-SIM Production™ technologies, completes the KBC software simulation suite from reservoir through to refinery.  
  • KBC's consulting services moving further upstream. FEESA brings to KBC a leading position in the provision of specialised software and consulting for the development and production segments of the upstream oil and gas industry. Its Maximus software is a well-established oil and gas well bore and production pipeline modelling system and is accompanied by an expert flow assurance consulting team that has helped leading operators in the world solve complicated production challenges.
  • A simple integration of this capability into KBC's platform as Maximus already uses KBC's Multiflash PVT engine for its component and chemistry predictions and has been further integrated with KBC's Petro-SIM Production simulator to provide life cycle value through wells, pipelines and processing facilities.
  • Sales of Maximus and associated consulting benefiting from KBC's existing international customer relationships as well as its sales and marketing channels.

Flow assurance

The flow assurance market in oil and gas development is growing strongly as oil and gas companies seek to explore further and deeper offshore to maintain reserves and production. The combination of KBC's and FEESA's technologies and consulting allows an oilfield service company or an upstream operator to understand the full impact of changes within reservoir management and production optimisation programmes in order to achieve improved efficiency in field development worth hundreds of millions of dollars.

In its financial year to 31 March 2014 FEESA reported a profit before tax of £0.5 million on revenues of £2.3 million.


Adapted from press release by Cecilia Rehn

Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/22072014/kbc-advanced-technologies-acquires-upstream-software-specialist-feesa-ltd/


 

Embed article link: (copy the HTML code below):