HMS Group to produce equipment for Surgutneftegaz

HMS Neftemash, a subsidiary of HMS Group, has won a tender by Surgutneftegaz for delivery of a bulk of oilfield equipment designed for West Surgut, East Surgut, Suryegan and North Labatyugansk oil fields of the company (Khanty-Mansiisk Autonomous Area).

In accordance with tender results HMS Group will produce and deliver oilfield equipment, including modular, among which there would be oil pumping stations, pumping water distribution units for reservoir pressure maintenance, pumping bottom water distribution units and an operator station.

Surgutneftegaz is one of the key customers of HMS Group. In 2011 alone the Group has delivered to Surgutneftegaz subsidiaries series of equipment for oilfield development including gas pressure reduction block, equipment for reservoir pressure maintenance and a pumping station designed for water drawing and distribution.

The HMS Group is the leading pump manufacturer and provider of flow control solutions and related services to the oil and gas, nuclear and thermal power generation and water utilities sectors in Russia and the CIS. The HMS Group’s products are mission-critical elements of projects across a diverse range of industries. The Group reported revenues of RUB 7.1 billion, adjusted EBITDA of RUB 1.6 billion and profit for the period of RUB 1 billion for the three months ended March 31, 2011. The HMS Group’s global depositary receipts (“GDRs”) are listed under the symbol “HMSG” on the London Stock Exchange.