PGS Announces Redemption of USD 175 Million of its USD 250 Million 8% Senior Notes, Due 2006 OSLO, Norway, March 8 /PRNewswire-FirstCall/ -- Petroleum Geo-Services ASA ("PGS" or the "Company") (OSE and NYSE: PGS) announced today that it has sent a notice of redemption relating to USD 175 million of its USD 250 million 8% Senior Notes, due 2006 ("Notes"). The Notes will be redeemed on April 7, 2005 at a redemption price equal to 102.00% of the principal amount of such Notes, plus accrued and unpaid interest to the redemption date. This partial debt redemption is in line with PGS previously announced intention of using a portion of the proceeds from the Pertra sale and a portion of its cash position to reduce debt. The Company will consider redeeming the remaining USD 75 million of the Notes later in 2005. Petroleum Geo-Services is a technologically focused oilfield service company principally involved in geophysical and floating production services. PGS provides a broad range of seismic and reservoir services, including acquisition, processing, interpretation, and field evaluation. PGS owns and operates four floating production, storage and offloading units (FPSOs). PGS operates on a worldwide basis with headquarters at Lysaker, Norway. For more information on Petroleum Geo-Services visit http://www.pgs.com/. The information included herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on various assumptions made by the Company which are beyond its control and are subject to certain additional risks and uncertainties as disclosed by the Company in its filings with the Securities and Exchange Commission including the Company's most recent Annual Report on Form 20- F for the year ended December 31, 2003. As a result of these factors, actual events may differ materially from those indicated in or implied by such forward-looking statements. FOR DETAILS, CONTACT: Ola Bosterud Sam R. Morrow Phone: +47 6752 6400 US Investor Services, Renee Sixkiller, Phone: +1 281 679 2240 DATASOURCE: Petroleum Geo-Services ASA CONTACT: Ola Bosterud, or Sam R. Morrow, both at +47-6752-6400; or US Investor Services, Renee Sixkiller, +1-281-679-2240, all for Petroleum Geo-Services ASA Web Site: http://www.pgs.com/

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