Business
Cathedral Energy Services announces the closing of sale of its U.S. based electric wireline business and expansion of production testing business into northeast U.S.
Cathedral Energy Services announces the closing of sale of its U.S. based electric wireline busin...
About this update from Act Energy Technologies Ltd.
[{"type":"text","content":"\n\n\n\nCALGARY, Apr. 20, 2010 (Canada NewsWire Group) -- /CNW/ -- Cathedral Energy Services Ltd. (the \"Company\" or \"Cathedral\"; TSX: CET) announces that it has closed the previously announced sale transaction respecting the assets of its U.S. wireline business. The net sale proceeds of approximately $2.1 million will be used to reduce bank indebtedness.The Company also announces the commitment to add 3 high pressure production testing units into the Marcellus shale play in northeast U.S. for a major oil and natural gas producer. Delivery of these units is expected prior to the end of 2010 Q2 at a cost of $2.2 million. This is the first production testing equipment moved into this area for Cathedral. As customer demand grows, the Company expects to build new high pressure equipment for this region. Cathedral's updated capital budget for 2010 is $22.9 million.FORWARD LOOKING STATEMENTSThis news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as \"forward-looking statements\") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as \"anticipate\", \"achieve\", \"believe\", \"plan\", \"intend\", \"objective\", \"continuous\", \"ongoing\", \"estimate\", \"outlook\", \"expect\", \"may\", \"will\", \"project\", \"should\" or similar words suggesting future outcomes. In particular, this news release contains forward-looking statements relating to the expected delivery date of equipment. The Company believes the expectations reflected in such forward-looking statement is reasonable as of the date hereof but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon.Various material factors and assumptions are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking statements. Those material factors and assumptions are based on information currently available to the Company, including information obtained from third party industry analysts and other third party sources. In some instances, material assumptions and material factors are present...