Pre-Close Update

Sondex PLC 17 March 2005 Sondex plc ("Sondex" or the "Company") Pre-Close Update Sondex, the oilfield technology company, today provides an update prior to entering into close period for the company's results for the year ended 28 February 2005. Trading Update The last year has seen a generally strong global oil and gas services market. Against this backdrop Sondex is pleased to confirm that, despite a weakening dollar, it expects to report revenues in excess of £31million, up from £17.5million last year together with sustained gross margins. These numbers include a pleasing contribution from Geolink which was acquired in June 2004. Increased investment has been made in research and development and in growing the senior management team. New Facility Sondex has continued its programme of investing for further growth and can today confirm the signing of a lease on an additional facility in Yateley, Hampshire, close to the company's existing operations. The new building will house Sondex's final product assembly, test and inspection operations and will increase production capacity for the wireline business. Technology Agreement In line with its strategy of continuous investment in research and development, Sondex has signed a new agreement with Beta Research & Development, which has pioneered rechargeable high temperature battery technology. Sondex has exclusive rights to this technology for the borehole and downhole sectors of the oil, gas, water and geothermal industries. The Company believes that there is a strong market for this technology, which will complement both its wireline and Geolink product ranges. Martin Perry, Chief Executive, commented: " We are confident of delivering another solid set of results with strong topline growth and a very good second half, despite the impact of the weakening dollar during the period. Geolink, which we acquired in June, has made a good contribution which along with increasing production capacity and further investment in sales, marketing, research and development leaves us well placed to exploit strong market conditions as we enter the new financial year." 17 March 2005 ENQUIRIES: Sondex Tel: 0118 932 6755 Martin Perry (Chief Executive) Chris Wilks (Finance Director) College Hill Tel: 020 7457 2020 Nick Elwes Ben Brewerton This information is provided by RNS The company news service from the London Stock Exchange
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