BlackWatch Energy Services Trust
TSX : BWT.UN

BlackWatch Energy Services Trust

January 22, 2007 07:00 ET

BlackWatch Energy Services Trust Announces Its January 2007 Distribution

CALGARY, ALBERTA--(CCNMatthews - Jan. 22, 2007) - BlackWatch Energy Services Trust (TSX:BWT.UN) (the "Trust") announces that the distribution for the month of January 2007 will be $0.065 per trust unit. Distributions will be paid on February 15, 2007 to unit holders of record on January 31, 2007. The distribution reflects a 29% decrease from the prior month.

The Company's decision to reduce distributions is in response to softening demand for oilfield services driven by a cyclical downward trend in oil and natural gas prices. Energy prices impact the availability of funds for capital programs undertaken by BlackWatch's customers, affecting the demand for our services.

BlackWatch is a growth-focused oil and gas services business. Despite the current cyclical weakness in energy prices and near term uncertainty, management continues to believe in the long term outlook for the western Canadian oil and gas industry. Management also expects that current market conditions may produce attractive opportunities to create long term growth for BlackWatch and its unitholders.

ABOUT BLACKWATCH ENERGY SERVICES TRUST

BlackWatch Energy Services Trust is a growth-oriented energy services trust that provides a range of services to its customers operating in the Western Canadian Sedimentary Basin including drilling, wireline services, rig transportation and hauling, coil tubing well servicing, oilfield equipment leasing and rental services and production services. The units of BlackWatch trade on the Toronto Stock Exchange under the symbol "BWT.UN".

This press release may contain forward-looking statements subject to various risk factors and uncertainties, which may cause the actual results, performance or achievements of BlackWatch to be materially different from results, performance or achievements expressed or implied by forward-looking statements. Such factors include, but are not limited to fluctuations in the market for oil and gas and related products and services, political and economic conditions, the demand for BlackWatch's services, competition and BlackWatch's ability to attract and retain customers and employees.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Blackwatch Energy Services Trust
    Earl Connors
    President and Chief Executive Officer
    (403) 225-3879
    or
    Blackwatch Energy Services Trust
    Paul Partlo
    Vice President and Chief Financial Officer
    (403) 225-3879
    or
    Blackwatch Energy Services Trust
    #300, 855 8th Avenue SW
    Calgary, AB T2P 3P1
    (403) 225-3879
    (403) 366-2067 (FAX)
    Website: www.blackwatchenergy.ca