CALGARY, AB, Nov. 9, 2021 /CNW/ - (TSXV: CWC) CWC Energy
Services Corp. ("CWC" or the "Company") is pleased to
announce that its wholly-owned subsidiary, CWC Energy Services
(USA) Corp., has completed the
previously announced acquisition of ten (10) high-spec triple
drilling rigs and all related and ancillary equipment and inventory
from a privately held contract drilling company based in
Casper, Wyoming for total cash
consideration of US$17.3 million
(approximately C$21.4 million) (the
"Acquisition"). The Acquisition further expands CWC's
presence in the U.S. and more than doubles the size of the
Company's active drilling fleet to nineteen (19) drilling rigs
comprised of seven (7) conventional heavy double drilling rigs in
Canada and five (5) AC triple,
five (5) DC triple and two (2) conventional heavy double drilling
rigs in the U.S.
Duncan Au, President and Chief
Executive Officer of CWC, stated, "We look forward to providing
long-term employment to many of the vendor's former employees along
with integrating the acquired assets into CWC's U.S. Contract
Drilling division. The Acquisition creates a meaningful platform
for shareholder value creation and growth opportunities by
servicing our existing and future customers with the most relevant
fleet of environmentally friendly, high-spec drilling equipment
utilizing the highest quality people in the industry and delivering
the highest quality service for our customers."
About CWC Energy Services Corp.
CWC Energy Services Corp. is a premier contract drilling and
well servicing company operating in Canada and the
United States with a complementary suite of oilfield
services including drilling rigs and service rigs. The Company's
corporate office is located in Calgary,
Alberta with operational locations in Nisku, Grande
Prairie, Slave Lake,
Sylvan Lake, Drayton Valley, Lloydminster, Provost and Brooks,
Alberta and U.S. offices in Denver, Colorado and Casper, Wyoming. The Company's shares trade on
the TSX Venture Exchange under the symbol "CWC".
READER ADVISORY - Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Forward-Looking Information and Statements
This news release contains certain forward-looking
information and statements within the meaning of applicable
Canadian securities legislation. Certain statements contained in
this news release may contain such words as "anticipate", "could",
"continue", "should", "seek", "may", "intend", "likely", "plan",
"estimate", "believe", "expect", "will", "objective", "ongoing",
"project" and similar expressions are intended to identify
forward-looking information or statements. In particular, this news
release contains forward-looking statements including the
anticipated benefits of the Acquisition including that the
Acquisition will provide a platform for meaningful shareholder
value creation and growth opportunities, the potential to service
existing and future E&P customers, the qualities and
characteristics of the drilling rigs acquired; the quality of CWC's
employees and customers, the ability of the Acquisition to enhance
the services of CWC and the benefits for its customers, the pro
forma drilling fleet after giving effect to the Acquisition,
management's assessment of future plans and operations,
expectations regarding expanding its customer base, and
expectations regarding the business, operations, financial
condition of the Company in addition to general economic
conditions. Although the Company believes that the expectations and
assumptions on which such forward-looking information and
statements are based are reasonable, undue reliance should not be
placed on the forward-looking information and statements because
the Company can give no assurances that they will prove to be
correct. Since forward-looking information and statements address
future events and conditions, by their very nature they involve
inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of
factors and risks including the implications of the COVID-19 health
pandemic on the Company's business, operations and personnel. These
factors and risks include, but are not limited to, the risks
associated with the Acquisition and the ability to successfully
integrate the acquired drilling rigs into CWC's operations,
COVID-19 health pandemic and their implications on the demand and
supply in the drilling and oilfield services sector (i.e. demand,
pricing and terms for oilfield drilling and services; current and
expected oil and gas prices; exploration and development costs and
delays; reserves discovery and decline rates; pipeline and
transportation capacity; weather, health, safety and environmental
risks), significant expansion measures to stop the spread of
COVID-19 further restricting or prohibiting the operations of the
Company's facilities and operations, actions to ensure social
distancing due to COVID-19, the Company's cash saving initiatives,
integration of acquisitions (including the Acquisition),
competition, and uncertainties resulting from potential delays or
changes in plans with respect to acquisitions, development projects
or capital expenditures and changes in legislation, including but
not limited to tax laws, royalties and environmental regulations,
stock market volatility and the inability to access sufficient
capital from external and internal sources. Accordingly, readers
should not place undue reliance on the forward-looking statements.
Readers are cautioned that the foregoing list of factors is not
exhaustive. Additional information on these and other factors that
could affect the Company's financial results are included in
reports on file with applicable securities regulatory authorities
and may be accessed through SEDAR at www.sedar.com. The
forward-looking information and statements contained in this news
release are made as of the date hereof and the Company undertakes
no obligation to update publicly or revise any forward-looking
information or statements, whether as a result of new information,
future events or otherwise, unless so required by applicable
securities laws. Any forward-looking statements made previously may
be inaccurate now.
SOURCE CWC Energy Services Corp.