Varel International, NOV reach Licensing Agreement 

(CARROLLTON, Texas - 16 March 2009) -- Varel International Energy Services, Inc. announced today that it, including its affiliates, reached a patent cross license agreement with National Oilwell Varco, Inc. and its ReedHycalog unit. The cross license involves, among other things ReedHycalog's patented leached diamond cutter technology and Varel's patented high energy tumbling technology. The cross license agreement was part of a larger settlement of patent infringement litigation that had been pending in Federal Court in Tyler, Texas.

About Varel International 

Founded in 1947, Varel International is the world's largest independent supplier in the global oil & gas drill bit market. Headquartered in Carrollton, Texas, Varel services oil & gas, mining, and industrial markets with its comprehensive suite of roller cone and fixed cutter drill bits. The company employs more than 1,000 people and has manufacturing facilities in Carrollton, Texas; Houston, Texas; Matamoros, Mexico and Tarbes, France, as well as sales offices throughout the world.

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