TGS 2011 Financial Accounts Approved, Proposal to Pay Dividend Confirmed

ASKER, NORWAY (23 March 2012) - On 22 March 2012, the Board of Directors of TGS approved the audited financial statements of the TGS Group for the year 2011.

In association with the Q4 2011 earnings release issued on 9 February 2012, the Board decided in their meeting to propose to the shareholders at the June 2012 Annual General Meeting a dividend of NOK 6 per share of outstanding common stock.

The Board further decided to propose 6 June 2012 as the ex-dividend date and 20 June 2012 as the dividend payment date and the Company's dividend policy remains as follows:

Dividend Policy

Because of the highly cyclical nature of the oil services industry, TGS' Board of Directors remains convinced that the TGS Group's unique business model, strong balance sheet and strong cash position are essential to its financial health, risk management and future growth. With this in mind, the Board will continue to carefully evaluate investment opportunities for growth.

It is the ambition of TGS to pay an annual cash dividend that is in line with its long-term underlying cash flow. When deciding the annual dividend amount, the TGS Board of Directors will consider expected cash flow, investment plans, financing requirements and a level of financial flexibility that is appropriate for the TGS business model. In addition to paying a cash dividend, TGS may also buy back its own shares as part of its plan to distribute capital to shareholders.