FORT WORTH, Texas, June 12, 2015 /PRNewswire/ -- Basic Energy
Services, Inc. (NYSE: BAS) ("Basic") today reported selected
operating data for the month of May 2015. Basic's well
servicing rig count remained unchanged at 421. Well servicing rig
hours for the month were 48,200 producing a rig utilization rate of
50%, compared to 50% and 70% in April
2015 and May 2014,
respectively.
During the month, Basic's fluid service truck count decreased by
two to 1,006. Fluid service truck hours for the month were 189,900
compared to 190,600 and 213,400 in April
2015 and May 2014,
respectively.
Drilling rig days for the month were 96 producing a rig
utilization of 26%, compared to 34% and 89% in April 2015 and May
2014, respectively.
Roe Patterson, Basic's President and Chief Executive Officer,
stated, "Our May activity levels, excluding weather interruptions,
were generally consistent with what we experienced in April. A
record amount of rain-fall across our primary operating footprints
substantially hampered each of our primary service lines during
May. We estimate heavy rains reduced well servicing utilization by
500 basis points and fluid service truck hours by five percent, and
also significantly impacted both our stimulation and rental tool
service lines. The Memorial Day
holiday reduced our well servicing utilization and fluid service
truck hours by 200 basis points and two percent, respectively.
"Completion-oriented business lines, such as stimulation
services, continue to experience fierce competition given the
declining drilling rig count. However, price concessions are
starting to stabilize in most of our operating markets. Well
servicing and fluid services utilization appears to have reached
steady levels with potential for slight improvement as we
experience longer daylight hours and anticipate better weather
through the summer months. The first part of June has reflected
this initial stabilization.
"In our first quarter earnings call on April 24, we had projected that our second
quarter revenues were going to be 10% to 15% lower sequentially.
With drilling rig count decreases and pricing competition being
greater than anticipated, combined with unprecedented adverse
weather conditions, we now expect our second quarter revenue to be
approximately 22% to 24% lower sequentially. We estimate that
approximately 40% of this change in revenue projection is due to
weather impact that occurred subsequent to our first quarter
earnings call.
"Our cost cutting measures and right-sizing efforts in each of
our geographic footprints have been successful and remain ongoing.
I would like to commend our employees at all levels of the company
for their quick and effective actions to protect our market share
and control costs."
OPERATING
DATA
|
|
|
|
|
Month
ended
|
|
|
|
May
31,
|
|
April
30,
|
|
|
|
2015
|
2014
|
|
2015
|
|
|
|
|
|
|
|
Number of weekdays in
period
|
|
21
|
22
|
|
22
|
|
|
|
|
|
|
|
Number of well
servicing rigs: 1
|
|
|
|
|
|
Weighted
average for period
|
|
421
|
421
|
|
421
|
End of
period
|
|
421
|
421
|
|
421
|
Rig hours
(000s)
|
|
48.2
|
71.3
|
|
50.7
|
Rig
utilization rate 2
|
|
50%
|
70%
|
|
50%
|
|
|
|
|
|
|
|
Number of fluid
service trucks: 1
|
|
|
|
|
|
Weighted
average for period
|
|
1,007
|
1,016
|
|
1,017
|
End of
period
|
|
1,006
|
1,017
|
|
1,008
|
Truck Hours
(000s)
|
|
189.9
|
213.4
|
|
190.6
|
|
|
|
|
|
|
|
Number of drilling
rigs: 1
|
|
|
|
|
|
Weighted
average for period
|
|
12
|
12
|
|
12
|
End of
period
|
|
12
|
12
|
|
12
|
Drilling rig
days
|
|
96
|
332
|
|
124
|
Drilling rig
utilization
|
|
26%
|
89%
|
|
34%
|
|
|
(1)
|
Includes all rigs and
trucks owned during periods presented and excludes rigs and trucks
held for sale.
|
(2)
|
Rig utilization rate
based on the weighted average number of rigs owned during the
periods being reported, a 55-hour work week per rig and the number
of weekdays in the periods being presented.
|
Basic Energy Services provides well site services essential to
maintaining production from the oil and gas wells within its
operating area. The company employs more than 4,500 employees
in more than 100 service points throughout the major oil and gas
producing regions in Texas,
Louisiana, Oklahoma, New
Mexico, Arkansas,
Kansas, and the Rocky Mountain and
Appalachian regions.
Additional information on Basic Energy Services is available on
the Company's website at http://www.basicenergyservices.com.
Safe Harbor Statement
This release includes forward-looking statements and
projections, made in reliance on the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Basic has
made every reasonable effort to ensure that the information and
assumptions on which these statements and projections are based are
current, reasonable, and complete. However, a variety of
factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in
this release, including (i) changes in demand for our services and
any related material impact on our pricing and utilizations rates,
(ii) Basic's ability to execute, manage and integrate acquisitions
successfully and (iii) changes in our expenses, including labor or
fuel costs and financing costs. Additional important risk
factors that could cause actual results to differ materially from
expectations are disclosed in Item 1A of Basic's Form 10-K for the
year ended December 31, 2014 and
subsequent Form 10-Qs filed with the SEC. While Basic makes
these statements and projections in good faith, neither Basic nor
its management can guarantee that anticipated future results will
be achieved. Basic assumes no obligation to publicly update
or revise any forward-looking statements made herein or any other
forward-looking statements made by Basic, whether as a result of
new information, future events, or otherwise.
Contacts:
|
Alan Krenek, Chief
Financial Officer
|
|
Basic Energy
Services, Inc.
|
|
817-334-4100
|
|
|
|
Jack
Lascar
|
|
Dennard – Lascar
Associates
|
|
713-529-6600
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/basic-energy-services-reports-selected-operating-data-for-may-2015-300098263.html
SOURCE Basic Energy Services, Inc.