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

Expro (NYSE: XPRO), a leading provider of energy services, has secured a significant victory in its expansion strategy in Eastern Europe with the awarding of major contracts from OMV Petrom, totaling over $10 million USD for the Neptun Deep gas project in the Black Sea. This strategic win not only bolsters Expro's financial outlook but also solidifies its position as a key player in Romania's energy landscape.

The contracts involve Expro's subsea landing string (SSLS), SeaCure® cementing technology, tubular running services (TRS), and Coretrax Advance drilling tools, supporting the project in offshore Romania. The Neptun Deep project, the largest natural gas development in the Romanian Black Sea, is crucial for Romania's energy supply and independence.

Expro's recent investments in Romania, including opening a new office in Bucharest, setting up a new operational base, and implementing a program to grow its Romanian-based staff, demonstrate the company's commitment to the region. These investments align with Expro's long-term strategy in Eastern Europe, particularly in the context of Romania's energy independence.

The Neptun Deep project presents both challenges and opportunities for Expro. Offshore natural gas developments like Neptun Deep require specialized equipment and expertise, presenting technical challenges that Expro's subsea landing string technology can help mitigate. Additionally, the Black Sea region has emerged as a focal point for natural gas exploration, offering opportunities for Expro to capitalize on the region's growing importance in energy infrastructure development.

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 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, positioning Expro to potentially secure additional work packages as the project advances through development phases.

The $10+ million contract win for the Neptun Deep gas project represents a strategic victory for Expro, extending beyond the immediate revenue impact. For a company with a $1.26 billion market cap, these contracts, representing less than 1% of valuation, establish Expro as a key service provider in Romania's largest offshore gas development. The multi-service nature of the win validates Expro's technical capabilities across product lines while potentially opening doors to additional work as the project progresses.

In conclusion, Expro's $10 million contracts for the Neptun Deep gas project in the Black Sea mark a significant milestone in the company's expansion strategy in Eastern Europe. By leveraging its technical expertise, regional expansion efforts, diverse service offerings, and commitment to energy independence and security, Expro is well-positioned to capitalize on the opportunities presented by the Neptun Deep project and the broader Romanian energy market.