Inside this issue

"The effective management of critical rotating equipment is a major challenge faced by all oil & gas operators, no matter where their facilities may be."

Welcome to the second quarter issue of Wood News

In the previous issue, Wood News focused on our work in harsh environments and frontier areas. We explore that theme further in this issue with a review of our work in Africa, where one-third of the world's new oil discoveries of the last decade have been found. The story Africa's hydrocarbon future reviews how we are providing support for the growing oil & gas industry in this very important continent.

The effective management of critical rotating equipment is a major challenge faced by all oil & gas operators, no matter where their facilities may be. Wood Group GTS offers an asset management-based approach that helps to extend the operational life of rotating assets and minimise losses from downtime and unplanned stoppages. Maximising asset value explains the options and benefits of outsourcing rotating equipment management.

This spring marked the 20th anniversary of Rolls Wood Group, our joint venture with Rolls-Royce. Formed in 1990 to provide repair and overhaul services for Rolls-Royce industrial gas turbines, the company has grown from 90 people in Aberdeen, Scotland, to more than 500 people serving customers worldwide.

I would like to personally extend my sympathy to the families and friends of the 11 people killed in the tragic Horizon incident. The effects of the oil spill on the region are devastating. How it will impact the wider industry, and our own Gulf of Mexico deepwater business, which provides approximately four per cent of our revenue, are difficult to determine but will become clearer over time. We will continue to focus on helping our customers develop their businesses to ensure that safe and secure operations help meet the world's energy needs.

Allister Langlands
Chief Executive