Business
Western Energy Services Corp. releases fourth quarter and year end 2013 financial and operating results, increases 2014 capital budget and declares quarterly dividend
CALGARY , Feb. 27, 2014 /CNW/ - Western Energy Services Corp. ("Western" or the "Company...
About this update from Western Energy Services Corp.
[{"type":"text","content":"\n\n\nCALGARY, Feb. 27, 2014 /CNW/ - Western Energy Services Corp. (\"Western\"\n or the \"Company\") (TSX: WRG) is pleased to release its fourth quarter\n and year end 2013 financial and operating results.  Additional\n information relating to the Company, including the Company's financial\n statements and management's discussion and analysis as at and for the\n years ended December 31, 2013 and 2012 will be available on SEDAR at www.sedar.com.  All amounts are denominated in Canadian dollars (CDN$) unless\n otherwise identified.\n\n\nFourth Quarter 2013 Highlights:\n\n\n\nOperating Revenue totalled $119.8 million, a $43.4 million increase (or\n 57%) over the same period in the prior year due to the increased size\n and scale of Western's production services segment following the\n acquisition of IROC Energy Services Corp. (\"IROC\") on April 22, 2013,\n as well as higher utilization in the contract drilling segment in both\n Canada and the United States, coupled with a larger average drilling\n rig fleet in Canada.  These increases were partially offset by\n decreased day rates in the United States, while day rates in Canada\n recovered in the fourth quarter of 2013 to remain unchanged, averaging\n approximately $28,900 in both the fourth quarters of 2013 and 2012;\n\n\nUtilization in the Canadian contract drilling segment improved to 65% as\n compared to 55% in the same period of 2012 and the CAODC industry\n average of 43%.  In the United States, contract drilling utilization\n increased to 87% as compared to 62% in the same period of the prior\n year due to increased marketing efforts, the addition of the Company's\n first 1,500 hp AC ELR triple pad rig conversion to the United States\n fleet, and strong operational performance;\n\n\nTotal well servicing hours in Western's production services segment\n increased significantly following the acquisition of IROC in the second\n quarter, increasing by 1,093% as compared to the same period in the\n prior year.  Likewise, well servicing utilization improved to 53% as\n compared to 45% in the same period of the prior year;\n\n\nEBITDA totalled $43.5 million, a $12.1 million increase (or 39%) over\n the same period in the prior year.  Included in EBITDA in the fourth\n quarter of 2013 is approximately $2 million in one-time personnel\n costs, which wer...