Enterprise Oilfield Group, Inc.

Enterprise Oilfield Group, Inc.

March 04, 2010 08:00 ET

Enterprise Oilfield Group, Inc. Finalizes Long Term Contract With Premier Power Supplier

ST. ALBERT, ALBERTA--(Marketwire - March 4, 2010) - Enterprise Oilfield Group, Inc ("Enterprise" or the "Company") (TSX:E) is pleased to announce that its underground utility and infrastructure division has finalized negotiations on a four year contract (plus a one year option) with one of Canada's premier power suppliers. The contract is to provide underground construction and maintenance services over a significant region of Alberta.

The value of the contract could generate revenues in excess of $25 million for the duration of the agreement. The Company expects to add approximately $1.75 million in EBITDA annually to its consolidated results or nearly $9 million over the life of the contract.

This new development secures Enterprise's future growth into the utility and infrastructure business and allows the Company to continue with its expansion across Western Canada. The Company anticipates that capital expenditure requirements to fulfill this new contract will be minimal.

Enterprise Oilfield Group, Inc. is a construction services company operating in the energy, utility and transportation infrastructure industry. The Company's focus is primarily underground construction and maintenance and above ground plants and facilities. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management and human resources to support continued growth.

Forward Looking Statements

Certain statements contained in this release constitute forward-looking information. These statements relate to future events or the Company's future performance. The use of any of the words "could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on current beliefs or assumptions as to the outcome and timing of future events. Actual future results may differ materially. In particular, statements with respect to commodity prices and anticipated demand for the services of the Company contain forward looking information. The Company's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website at www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The Company disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.

Contact Information

  • Enterprise Oilfield Group, Inc
    Leonard D. Jaroszuk
    President & CEO
    (780) 418-4400 or Toll Free: 1-888-303-3361
    (780) 418-1941 (FAX)
    Enterprise Oilfield Group, Inc
    Desmond O'Kell
    Vice President, Corp. Development
    (780) 418-4400 or Toll Free: 1-888-303-3361
    (780) 418-1941 (FAX)
    Contact Financial Corp.
    Keir Reynolds
    Vice President