GX Technology Selected for Major Onshore Imaging Project

GX Technology Selected for Major Onshore Imaging Project

July 06, 2006

Largest Integrated Full-wave Processing Project in Company History

    HOUSTON and BEIJING, July 6 /Xinhua-PRNewswire/ -- GX
Technology Corporation (GXT), a leading seismic imaging
services provider and a subsidiary of Input/Output, Inc.
(NYSE: IO), announced today that it has been awarded the
largest full-wave imaging project in the company's history.
 GXT was selected by Southwest Branch Company, an operating
subsidiary of the Chinese energy and petrochemical firm
Sinopec (NYSE: SNP), for a comprehensive interpretive
imaging program at the largest gas field in western Sichuan
Province, China.  GXT was awarded the contract to identify
high-potential, drillable prospects based on seismic data
that was previously acquired using I/O's VectorSeis(R)
digital full-wave sensors.

    Bob Peebler, President and CEO of I/O, commented on the
contract award, "This is an excellent example of our
full-wave solution strategy coming to life.  We were
involved in this project from the beginning, helping to
design the survey and to select the technologies that would
be needed to properly image the numerous fractured gas
reservoirs in the area.  The data was acquired using I/O's
System Four(TM) outfitted with VectorSeis.  At times during
the survey, the contractor had nearly 20,000 live seismic
channels in operation.  This provided the sampling density
needed to properly illuminate the reservoir.  There is
tremendous excitement throughout our company about what
insights we will be able to provide to our client using
this high density, full-wave data set."

    GXT was awarded the processing contract in a
competitive tender against other seismic imaging companies.
 A full suite of processing steps will be applied to resolve
subtle properties within the reservoir zones, including
mapping fracture density which is believed to correlate
with well productivity.  In addition to applying its
advanced noise attenuation algorithms to extract broadband,
high-resolution P-wave data, GXT will image the converted
(shear) waves, map sub-surface anisotropy using AZIM(TM),
and analyze shear wave splitting in the reservoirs to
determine fracture orientation and intensity.  

    Xu Xiangrong, President of Southwest Branch Company at
Sinopec, added, "We are convinced of the benefits of
full-wave imaging in this area.  Several years ago, we
conducted a pilot test which showed multicomponent seismic
data would be useful in characterizing fractured gas
reservoirs in Sichuan.  This gave us the confidence to
undertake a full-scale acquisition program.  The raw data
looks promising.  GX Technology demonstrated that they had
the necessary capabilities to deliver against the imaging
objectives we had set.  In order to meet its increasing
energy needs, China is committed to deploying
state-of-the-art technology.  The I/O family of companies
has the type of cutting-edge toolkit, the experienced
personnel, and the collaborative approach we require.  I
look forward to our ongoing cooperation on this imaging
program and on other opportunities that may emerge in the
future."

    As part of this project, GXT has also been requested to
undertake advanced geophysical and reservoir analyses that
build upon the acquired seismic data, such as determining
reservoir porosity and permeability, evaluating gas
saturation, and mapping sedimentary facies and sequence
stratigraphy.  The integrated seismic data sets will
ultimately be used to select new well locations and to
identify other exploitable targets throughout the basin. 
Initial imaging work will begin immediately, with final
results of this processing and reservoir characterization
project expected to be delivered in the first half of
2007.
  
    About GX Technology    

    GX Technology (GXT), a subsidiary of I/O, is a leading
provider of Image-Driven(TM) seismic solutions.  Oil &
gas companies engage GXT to produce high fidelity
sub-surface images that reduce the risk and cost of finding
and developing hydrocarbons both onshore and offshore.  GXT
solutions include start-to-finish seismic imaging programs,
seismic data conditioning, time processing, PreSTM and
PreSDM, full-wave imaging, and geophysical and reservoir
analysis services.  GXT also provides software and services
for seismic acquisition planning, survey design, and
modeling.  GXT is a Houston-based company that operates
regional imaging centers in Denver, London, Calgary,
Aberdeen, Caracas, Port-of-Spain, Luanda, and Port
Harcourt.

    About I/O    

    I/O is a leading, technology-focused seismic solutions
provider.  The company provides cutting-edge seismic
acquisition equipment, software, and planning and seismic
processing services to the global oil and gas industry. 
I/O's technologies are applied in both land and marine
environments, in traditional 2D and 3D surveys, and in
rapidly growing areas like time-lapse (4D) reservoir
monitoring and full-wave imaging.  Headquartered in
Houston, Texas, I/O has regional offices in Canada, Latin
America, Europe, China, Russia, Africa and the Middle East.
 Additional information is available at http://www.i-o.com .


    The information included herein contains
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.  Actual results may vary
fundamentally from those described in these forward-looking
statements.  All forward-looking statements reflect numerous
assumptions and involve a number of risks and uncertainties.
 These risks and uncertainties include risk factors that are
disclosed by I/O from time to time in its filings with the
Securities and Exchange Commission.

    For more information, please contact:

     Kelly Kline, Director
     Corporate Marketing Communications 
     Tel:   [phone]
     Email: [e-mail]

SOURCE  Input/Output, Inc.