NEWS FROM SEG 2013: Baker Hughes and CGG strengthen business alliance
HOUSTON -- Baker Hughes Incorporated and CGG announced today the signing of a Letter of Intent to realign the firms’ VSFusion JV, to focus on microseismic monitoring, processing, visualization and interpretation, as well as microseismic permanent monitoring. The JV is now called Magnitude.
The two firms initially formed the VSFusion JV in 2003 to provide borehole seismic services. The growth in unconventionals, and evidence that reservoir characterization is paramount to maximizing recovery from fractured zones, indicates a greater need to include microseismic for a more integrated approach. In addition to borehole microseismic monitoring, Magnitude will work more closely with CGG and their microseismic team to provide a more complete reservoir monitoring solution for its customers. VSP Services, now structured under the Baker Hughes Reservoir Development Services group, will continue to provide their customers with superior borehole seismic data processing results. The realignment of the JV further strengthens the business partnership between Baker Hughes and CGG. Last year, the firms announced the formation of a collaborative relationship to improve shale reservoir exploration.
This shale science alliance uses reservoir models that integrate log-derived, near-wellbore geomechanical and petrophysical properties from Baker Hughes, with calibrated seismic data from CGG to help operators optimize well placement and completion design earlier in the asset lifecycle, for more efficient well construction and more productive wells.