SCHLUMBERGER

'Schlumberger Limited' is the world's largest oilfield services corporation operating in approximately 80 countries, with about 70,000 people of 140 nationalities. Schlumberger supplies a wide range of products and services from seismic acquisition and processing; formation evaluation; well testing and directional drilling to well cementing and stimulation; artificial lift and well completions; and consulting, software and information management. Schlumberger also provide similar products and services for the groundwater industry.

Contents

Pronunciation of the name

Business

History

Management

References

See also

External links

Pronunciation of the name

The company name is that of its eponymous founders, the French Alsatian Schlumberger brothers. It is pronounced in IPA notation (phonetic: "''shlum-bur-ZJAY''").

Business

Operating revenue in 2006 was US $19.23 billion with a market capitalization as of January 31 2007, of US $74.5 billion.[1]

History

Schlumberger Limited began life as the 'Société de Prospection Électrique' (Electric Prospecting Company) founded in 1926 by Conrad and Marcel Schlumberger. Prior to founding their company, the brothers had worked conducting geophysical surveys in countries such as Romania, Canada, Serbia, South Africa, the Democratic Republic of the Congo, and the United States. The newly founded SPE (not to be confused with the Society of Petroleum Engineers) sold electrical-measurement mapping services, and quickly began expanding. The company recorded the first electrical resistivity well log in Pechelbronn, France in 1927, and logged the first well in the US (in Kern County, California) in 1929.
In 1934, the Schlumberger Well Surveying Corporation was founded. This was later to become 'Schlumberger Well Services' (and later Schlumberger Wireline & Testing). 1940 saw the company move its headquarters to the US oil capital, Houston, Texas. The next few decades brought numerous breakthroughs in Schlumberger's logging technology offerings, including the Microlog tool, Laterolog system, and Microlaterolog tool, the latter designed to measure resistivity near the borehole. The Ridgefield, Connecticut Research Center (Schlumberger-Doll Research or SDR) was inaugurated in 1948.
In 1956, the company known as 'Schlumberger Limited' was officially set up in Curaçao as a holding company for all Schlumberger businesses. The American testing and production company Johnston Testers was acquired this year as well. 1960 marked the formation of the well-known Dowell Schlumberger (50% Schlumberger, 50% Dow Chemical), which specialized in pumping services for the oil industry. Two years later, Schlumberger Limited became listed on the New York Stock Exchange.
Schlumberger purchased 50% of Forex in 1964 and merged it with 50% of Languedocienne to create the Neptune Drilling Company. The first computerized reservoir analysis, SARABAND, was introduced in 1970. The remaining 50% of Forex was acquired the following year; Neptune was renamed Forex Neptune Drilling Company. In 1979, Fairchild Camera and Instrument (including Fairchild Semiconductor), became a subsidiary of Schlumberger Limited.

Continuing the trend of supporting high-technology solutions, Schlumberger quickly integrated e-mail into their business model, establishing the first international data links with e-mail in 1981. In 1983, Schlumberger opened their 'Cambridge Research Center' in Cambridge, England.
The SEDCO drilling rig company and half of Dowell of North America were acquired in 1984, resulting in the creation of another well-known Schlumberger trademark, the Anadrill drilling segment, a combination of Dowell and The Analysts' drilling segments. Forex Neptune was merged with SEDCO to create the Sedco Forex Drilling Company the following year, when Schlumberger purchased Merlin and 50% of GECO.
Schlumberger's Information Network, or SINet, launched in 1985, is the world's second largest internal corporate network and the first commercial ARPANet-based intranet.
In 1987, Schlumberger completed their purchases of Neptune (North America), Bosco and Cori (Italy), and Allmess (Germany). That same year, National Semiconductor acquired Fairchild Semiconductor from Schlumberger for $122 million, and the domain name www.slb.com was registered by the company. In 1991, Schlumberger acquired PRAKLA-SEISMOS, and pioneered the use of geosteering to plan the drill path in horizontal wells.
Schlumberger acquired the software company GeoQuest Systems, Inc. in 1992. With the purchase came the conversion of SINet to TCP/IP and www capability. The remainder of the decade saw Schlumberger buy out the petroleum division, AEG meter, and ECLIPSE reservoir study team Intera Technolgies Corp. A joint venture between Schlumberger and Cable & Wireless plc saw the creation of Omnes, which today handles all of Schlumberger's internal IT business. Oilphase and Camco International were also purchased.
In 1999, Schlumberger and Smith International created a joint venture, M-I L.L.C., the world's largest drilling fluids (or mud) company. The company consists of 60% Smith International, and 40% Schlumberger. Since the joint venture was prohibited by a 1994 antitrust consent decree barring Smith from selling or combining their fluids business with certain other companies, including Schlumberger, the U.S. District Court in Washington, D.C. found Smith International Inc. and Schlumberger Ltd. guilty of criminal contempt and fined each company $750,000 and placed each company on five years probation. Both companies also agreed to pay a total of $13.1 million, representing a full disgorgement of all of the joint venture's profits during the time the companies were in contempt.[2]
At the turn of the 21st century, the Geco-Prakla division was merged with Western Geophysical to create the seismic contracting company WesternGeco, of which Schlumberger held a 70% stake, the remaining 30% belonging to competitor Baker Hughes. Under new business policy, the company got rid of its famous brand names in the oilfield service industry viz, Anadrill, Dowell, GeoQuest, Geco-Prakla, Wireline & Testing in order to promote and sell its oil & gas services under the single trading name of Schlumberger Oilfield Services (OFS). Also that year, Sedco Forex was spun off, and merged with Transocean Drilling company.
The following year, Schlumberger acquired the IT consultancy company Sema plc for $5.2 billion. The company was an Athens 2004 Summer Olympics partner, but Schlumberger's venture into IT consultancy did not pay off, and divestiture of Sema to Atos Origin was completed that year for $1.5 billion. That same year, the Cards division was divested through an IPO to form Axalto, which later merged with its competitor Gemplus to form Gemalto. In 2003 the Automated Test Equipment group, part of the 1979 Fairchild Semiconductor acquisition, was spun off to NPTest Holding, which later sold it to Credence.
On January 10, 2005 Schlumberger purchased Waterloo Hydrogeologic,^[1] which was followed by several other groundwater industry related companies, such as Westbay Instruments, and Van Essen Instruments.
In late 2006, the corporate head office moved from its previous location in New York back to Houston, Texas. In 2006, a 2 for 1 stock split was announced, effective as of March 1, 2006.
On April 21, 2006, Schlumberger purchased of the remaining 30% stake in WesternGeco from Baker Hughes for US$2.4 billion.
In 2006, Schlumberger built a new research facility in Cambridge, Massachusetts to replace the Ridgefield, Connecticut research center. The move was completed at the end of 2006. The new facility joins the other research centers operated by the company in Cambridge, England; Moscow, Russia; Stavanger, Norway; and Dhahran, Saudi Arabia.

Management

★ Andrew Gould — Chairman & Chief Executive Officer

★ Simon Ayat — Chief Financial Officer

★ Sophie Zurquiyah — Chief Information Officer

★ Ashok Belani — Chief Technology Officer
;WesternGeco

★ Dalton Boutte — Executive Vice President
;Oilfield Services

★ Chakib Sbiti — Executive Vice President

★ Mark Corrigan — Vice President - Operations
;Oilfield Services (Areas)

★ Antonio Campo Mejia — President - Latin America

★ Bill Coates — President - North America

★ Maurice Dijols — President - Russia

★ Satish Pai — President - Europe, Caspian & Africa

★ Zaki Selim — President - Middle East & Asia
;Oilfield Services (Technologies)

★ Imran Kizilbash — President - Reservoir Characterization Group

★ Sami Iskander — President - Drilling & Measurements

★ Mario Ruscev — President - Testing

★ Charles Woodburn — President - Wireline

★ Doug Pferdehirt — President - Reservoir Production Group

★ Belgacem Chariag — President - Well Services

★ Patrick Schorn — President - Completions

★ Don Sweet — President - Artificial Lift

★ Jeff Spath — President - Reservoir Management Group

★ Miguel Galuccio — President - IPM

★ Chris Hopkins — President - Data & Consulting Services

★ Olivier Le Peuch — President - Schlumberger Information Solutions

References

1. http://www.flowpath.com/whi-slb-press-release.htm

See also

★ List of oilfield service companies

External links

★ Schlumberger

★ Oil Service Index

★ Schlumberger Oilfield Glossary Online glossary of oil-related terminology

★ Yahoo! - Schlumberger Limited Company Profile

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