Phx Energy Services Corp. · TSX:PHX

Phx Energy Services — Phoenix Technology Income Fund — Investor Presentation (January 2006)

15 slides from Phx Energy Services's investor presentation, January 2006

  1. Slide 1: Corporate Presentation, January 2006

    Presented by: John Hooks, President & CEO January, 2006 RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Forward-Looking Statements Some matters discussed in this presentation may be considered to be forward- looking statements. Such statements include declarations regarding management’s intent, bel

  2. Slide 2: Corporate Profile

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Corporate Profile Our vision is to be the first-choice provider of innovative drilling technologies and services for oil and natural gas producers in Canada and the United States. Our core values of integrity, teamwork, passion for excellence, custome

  3. Slide 3: Recent History and 2005 Highlights

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Recent History ™ Commenced operations in the USA through the acquisition of Nevis Energy Services Ltd. in November of 2002. ™ Phoenix reorganized into an Income Fund in July of 2004, paying distributions of $0.48 per year. ™ The US Operations expands

  4. Slide 4: Acquisitions and Operating Divisions

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Acquisitions September 2005 Wellco Energy’s Directional Assets March 2004 Radius Directional Services Ltd. November 2002 Nevis Energy Services Ltd. December 1999 Canatech Directional Drilling Systems Ltd. RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETUR

  5. Slide 5: Market Data PHX.UN

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Market Data PHX.UN As of January 12 , 2006 Exchange Toronto Stock Exchange Shares Outstanding 22.1 million Share Price $10.50 unit 52 Week High / Low $10.79 / $4.55 Current Distributions $0.05 month / $0.60 year Market Capitalization $232 million Trad

  6. Slide 6: Monthly Declared Distribution and Indicated Yield

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Monthly Declared Distribution & Indicated Yield 0.7 14.00% 0.6 12.00% 0.5 10.00% Distribution Yield 0.4 8.00% 0.3 6.00% 0.2 4.00% 0.1 2.00% May-05 Nov-04 Jan-05 Mar-05 Jun-05 Nov-05 Jul-04 Aug-04 Jul-05 Aug-05 Feb-05 Sep-04 Oct-04 Dec-04 Apr-05 Sep-05

  7. Slide 7: Fleet MWD Systems and Operating Systems

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Guidance Fleet MWD Systems QDT CLT/EM HV CLT/EM Geolink • Positive pulse • High speed data • 20 volts output • Negative / • Wireline transmission • Developed for positive pulse retrievable • Lower operating underbalanced • Low maintenance • LWD expand

  8. Slide 8: MWD Systems by Territory; Canadian Wells Drilled

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS MWD Operating Systems by Territory Canada 60 USA 50 48 40 30 30 25 20 26 22 20 15 10 9 10 2 0 2001 2002 2003 2004 2005 RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Canadian Horizontal & Directional Wells Drilled 5,000 4,439 4,500 4,000 3,500 3,129

  9. Slide 9: US Rig Count and Phoenix Advantage

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS US Horizontal & Directional Rig Count 20,000 17,708 18,000 16,174 16,000 13,903 14,000 11,771 12,000 9,386 10,000 8,000 6,202 6,000 4,290 4,000 3,132 2,000 0 2002 2003 2004 2005 Directional Wells Drilled Horizontal Wells Drilled Source: Baker Hughes R

  10. Slide 10: Financial Highlights

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Financial Highlights Three Months Ended September 30 (Stated in 000’s of dollars except per share amounts and shares outstanding) Operating Results Q3 2005 Q3 2004 Revenue $ 20,064 $ 10,453 Net earnings 4,687 1,294 Earnings per unit - diluted 0.22 0.0

  11. Slide 11: Revenue and Cash Flow by Quarter

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Revenue (millions) $25.0 estimate $20.0 $15.0 $10.0 $5.0 $0.0 2002 2003 2004 2005 2002 2003 2004 2005 2002 2003 2004 2005 2002 2003 2004 2005 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Cash Flow (millions) $7.0 $6.0 estim

  12. Slide 12: Revenue vs. Wells Drilled; Revenue and Utilization

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Revenue vs. Total Horizontal & Directional Wells Drilled 50,000 43,846 45,000 40,000 35,343 35,000 30,000 25,000 22,295 21,269 20,000 15,089 15,000 10,000 6,847 4,868 4,456 3,867 4,823 4,899 5,000 0 2000 2001 2002 2003 2004 2005 Revenue $000's Total H

  13. Slide 13: Emerging Markets and Additional Upside

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Emerging Markets ™ Underbalanced Market – Currently two suppliers ™ Steam Assisted Gravity Drainage (“SAGD”) – Currently 2-3 Suppliers ™ Coalbed Methane (“CBM”) – Phoenix experience derived from US operations ™ US Operations – Presently deploy 25 MWD

  14. Slide 14: Board of Directors and Key Personnel

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Board of Directors ™ James K. Gray, O.C. ™ J.G. (Jeff) Lawson ™ Randolph M. Charron ™ Elson J. McDougald ™ J. Cameron Bailey ™ John M. Hooks RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Key Personnel ™ John Hooks - President, CEO & Director ™ Came

  15. Slide 15: Locations

    RELIABLE DATA. PRECISE DRILLING. MAXIMUM RETURNS Locations Head Office Suite 630, 435 - 4th Ave SW Calgary, Alberta T2P 3A8 Canadian Operations and R&D 11560 - 42nd Street SE Calgary, Alberta T2Z 4E1 US Operations 1724-B Townhurst Drive Houston, Texas 77043 - and- 2394 North Clover Casper, Wyoming 8

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