GUIDELINE ANNOUNCES COLLABORATION WITH TESCO CORPORATION TO BRING NEW SEISMIC DRILL BIT LOCATION TECHNOLOGY TO THE DIRECTIONAL DRILLING MARKET

STOCKHOLM, SWEDEN, June 14, Swedish software company Guideline today announced that they will collaborate US-Canadian oil field technology company Tesco Corporation to bring new seismic drill bit location technology to market. This technology has been developed and tested by Guideline in the field of hard rock drilling and mining. Tesco Corporation has negotiated a technology license from Guideline and the parties will start tests and adaptation of the technology for use in directional oil and gas well drilling. When this work has been completed the objective is to launch the technology for commercial use both in conventional oil and gas well drilling and in Tesco Corporation’s proprietary CASING DRILLING®.

Tesco Corporation is a global leader in the design, manufacture and service of technology-based solutions for the upstream energy. With more than 1,800 employees in 23 countries, Tesco Corporation has been the leader in research, development and commercialization of innovative products and services to reduce drilling costs, improve safety and efficiency, and improve bottom line of customers. An example is the company’s revolutionary casing drilling process which makes it possible to speed up drilling by 20 to 30 percent, or more, by eliminating drill-string tripping and the problems associated with it.

Guideline is a Swedish software company with a patented method for seismic drill bit location. The method has initially been developed and tested for use in hard rock drilling and mining, but is also applicable for the rapidly growing market for directional oil and gas well drilling, a market segment estimated to turnover more than USD 7 billion in 2007. In the Guideline method an array of sensors placed on the ground collect data from the drill bit and this data is used to calculate the position of the drill bit in real time. In cases where directional drilling is required, the method saves time and cost.

“Guideline’s technology has the potential to enable directional drilling without down hole tools which would mean reduced overall cost such as “lost in hole” insurance and time to change failed down hole components. When fully developed for use in commercial oil drilling, the technology should have great market potential by substantially lowering the cost and risk of directional drilling” says Bob Tessari, CTO and Vice Chairman of Tesco Corporation.

“Tesco Corporation has a long history of successfully bringing new innovative technology to the market and is a perfect partner for us during testing and in commercialization of the method,” says Peter Hjorth, CEO of Guideline.

For more information, please contact:

Peter Hjorth, CEO, Guideline Oil Drilling Technology, +46 733 25 75 03

Guideline Oil Drilling Technology AB is a Swedish software company with a unique patented method for drill bit location in real time. The method enables time and cost savings when directional drilling is required. Guideline is listed on NGM Equity Exchange in Stockholm under the symbol GODT.