Business
Western Energy Services Corp. releases second quarter 2011 financial and operating results
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED S...
About this update from Western Energy Services Corp.
[{"type":"text","content":"\n\n\n\n\n\nNOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR\n DISSEMINATION IN THE UNITED STATES\n\n\nCALGARY, Aug. 11, 2011 /CNW/ - Western Energy Services Corp. (\"Western\"\n or the \"Company\") (TSX Venture: WRG) is pleased to release its second\n quarter 2011 financial and operating results prepared under\n International Financial Reporting Standards (\"IFRS\").  Effective\n January 1, 2011, Western began reporting its financial results under\n IFRS. Prior year comparative amounts have been changed to reflect\n results as if Western had always prepared its financial results using\n IFRS. Additional information relating to the Company, including the\n Company's financial statements and management's discussion and analysis\n as at and for the three and six months ended June 30, 2011 will be\n available on SEDAR at www.sedar.com.\n\n\nHighlights:\n\n\nRevenue in the second quarter of 2011 totalled $32.4 million, a $19.0\n million increase (142%) over the prior year;\n\n\nEBITDA totalled $8.0 million (25% of revenue) in the second quarter of\n 2011, a $5.0 million increase (162%) over the prior year as a result of\n our consolidation efforts in the contract drilling segment where our\n average rig count increased to 28 rigs in the quarter from 11 in the\n prior year;\n\n\nUtilization in the contract drilling segment averaged 40% in the second\n quarter of 2011 as compared to an industry average of 24%;\n\n\nThe number of jobs completed in the production services segment in the\n second quarter 2011 decreased by 49% to 277 as compared to the same\n period in the prior year, reflecting wet weather and forest fire\n conditions in certain parts of the western Canadian sedimentary basin;\n\n\nOn June 8, 2011, Western increased its syndicated revolving credit\n facility to a $150 million committed three year extendible revolving\n credit facility;\n\n\nOn June 10, 2011, Western acquired all of the issued and outstanding\n units of Stoneham Drilling Trust (\"Stoneham\") in exchange for a\n combination of cash and common shares of Western. The total transaction\n value is approximately $225.8 million, including the assumption of\n approximately $34.3 million in debt.  A portion of the consideration\n included the issuance of approximately 196.1 million shares of Western\n (9.8 million common shares post 20:1 sh...