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RED DEER, AB, May 30 /CNW/ - High Arctic Energy Services Inc. (TSX: HWO) (the "Company" or "High Arctic") today announced that it has signed an agreement to sell one of its RAPAD Rigs for $11.0 million. The RAPAD Rig is located in Canada and was not being actively operated due to the shutdown of the domestic drilling division in 2007. Accordingly, the sale is not expected to impact the operating earnings of the Company. The sale is part of the previously announced plan to sell underutilized assets and use the proceeds to reduce debt.
The sale is conditional on the satisfactory completion of certain modifications to the rig and is expected to close by June 15, 2008.
About High Arctic
The Corporation, through its subsidiaries, is a global provider of specialized oilfield equipment and services, including drilling, completion and workover operations. Based in Red Deer, High Arctic has domestic operations in Alberta, British Columbia and the Northwest Territories. International operations are currently active in Mexico, the Middle East, Northern Africa and Asia.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this news release.
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