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Integra brochure
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September 14, 2007

Integra enters coiled tubing business


Moscow, 14 September 2007. Integra Group (LSE: INTE) a leading Russian oilfield service provider, is pleased to announce that today it has broadened its service offering by entering the coiled tubing workover tools market.
Integra has purchased new coil tubing equipment, (MK20T), from FIDMASH (division of National Oilwell Varco). The first unit has been successfully tested at the Yuzhno-Priobskoe field operated by Gazpromneft-Khantos. Industrial use of the coiled tubing technology will commence following receipt of the necessary approvals from Rostekhnadzor. Coiled tubing services will form a part of Integra’s oil field services division and will be based in Surgut.
Coiled tubing is one of the most technologically advanced methods used in workover operations. Coiled tubing technology refers to flush-joint pipe or continuous pipe that can be wound on a spool, giving significant logistical benefits. In particular, coiled tubing is used in order to enhance recovery, especially from mature fields. In addition, coiled tubing can be used for oil & gas remediation.
Coiled tubing is considerably more cost effective than conventional workover methods due to the fact that it allows to perform workover on draw down (without killing of well) and has the benefit of rapid deployment capabilities reducing rig uptime and also allowing greater environmental safety for the project in hand.
Commenting on the broadening of the oil field services offering, Mark Sadykhov, Executive Vice President of Integra Group said:
“Extension of our oil field service offering into coiled tubing is directly in line with our growth strategy as an innovative service provider. The potential for increasing traditional workover technologies has been exhausted to a large extent, therefore we are shifting towards pioneering technologies, which have already proved their efficiency in OFS industry worldwide.
“We estimate that the demand for coiled tubing operations will increase in the next few years driven by natural production declines at the majority of the fields. Undoubtedly, we will strive to increase our market share in this segment.”
Notes to editors:
About coiled tubing: According to Spear & Associates, Inc. (2005), the annual growth rate of coiled tubing market is at least 18%. Growth of the coiled tubing segment in Russia is lower and the market is characterized by lower transparency as most of the coil-tubing equipment has been operated by the in-house OFS subsidiaries of the oil and gas companies. Currently, the size of the Russian coiled tubing market is estimated to be around US$200 million. About Integra Group:Integra Group is a leading Russian independent provider of onshore oilfield services and is also a leading manufacturer in the Russian Federation of drilling rigs with heavy lifting capacity, cementing equipment and certain specialized equipment used in the exploration, development and production of oil and gas.
Integra Group operates in the drilling, workover, seismic and geophysics sectors and manufactures oilfield services equipment.  Integra has oilfield services operations in all major oil and gas producing regions in Russia and in many other CIS countries. The company’s customer base includes major Russian and international oil and gas companies operating in Russia and CIS.
Established in March 2004, Integra Group has, through 16 strategic acquisitions, become one of the leading companies in the oilfield services and equipment manufacturing sectors of the Russian market and employs approximately 19 000 people.
Since February 27, 2007 Integra Group has been traded on the London Stock Exchange (symbol: INTE).
For additional information please contact:
Integra Grouphttp://www.integra.ru
Andrei Machanskis, Head of Investor Relationsamachanskis@integra.ruTel. +7 495 933 0621
Alla Sapun, Press Secretaryasapun@integra.ruTel. +7 495 933 0621
Financial DynamicsJonathon Brill / Edward Westropp London+44 20 7269 7170
Anna ShumaylovaMoscow+7 495 795 0623

Forward looking statements: These materials contain statements about future events and expectations that are forward-looking in nature. Any statement in these materials that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to differ. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.