Leader Energy Services Ltd.

Leader Energy Services Ltd.

August 07, 2008 08:00 ET

Leader Energy Services Released From Red Deer Sale Leaseback Commitment

CALGARY, ALBERTA--(Marketwire - Aug. 7, 2008) -


Leader Energy Services Ltd. (TSX VENTURE:LEE)("Leader" or the "Company") today announced that as a result of the sale of its Red Deer, Alberta facility to a third party, Leader has been released from its sale leaseback commitment with respect to this facility. The lease for the Red Deer facility was to run through December 31, 2026 with annual base rent payments of approximately $864,000 escalating to higher base rent levels in years 6, 11 and 16 of the lease, plus additional facility costs for items such as utilities, insurance and taxes. Leader vacated this facility in February 2008 and had no future plans to use the facility.

Savings resulting from the elimination of base and additional rent costs for the Red Deer facility will be used for general working capital purposes. Leader continues to have leased facilities in Grande Prairie, Alberta and Brooks, Alberta. Leader's coil and nitrogen pumping operations are based out of its facility in Grande Prairie.

Leader Energy Services Ltd. provides well stimulation services in western Canada. Further information on Leader can be found under the Company's listing at www.sedar.com and on the Company's website at www.leaderenergy.com.

Certain statements contained in this press release, including statements which may contain words such as "could", "should", "expect", "estimate", "believe", "likely", "will", or estimates of business activity, and similar expressions and statements relating to matters that are not historical facts, are forward looking statements. Such statements involve known and unknown risks and uncertainties that may cause the actual results, performance or achievements of Leader to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Factors include commodity prices, demand for oil and gas related products and service, competition, political and economic conditions, demand and acceptance of new products and ways of doing business, changes in laws and regulations to which Leader is subject, and the ability to attract and retain key personnel.

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

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