Builders Energy Services Trust
TSX : BET.UN

Builders Energy Services Trust

March 17, 2008 14:16 ET

Builders Energy Services Trust Announces March 2008 Distribution

CALGARY, ALBERTA--(Marketwire - March 17, 2008) - Builders Energy Services Trust ("Builders" or the "Trust") (TSX:BET.UN) announced today the cash distribution for the period March 1, 2008 to March 31, 2008 has been set at $0.06 per trust unit.

The cash distribution will be paid on April 15, 2008 to unitholders of record on March 31, 2008.

Suspension of the Distribution Reinvestment Plan

On January 31, 2008, Builders and Essential Energy Services Trust ("Essential") announced that they had entered into an agreement (the "Agreement") whereby Essential agreed to acquire all of the issued and outstanding trust units of Builders in exchange for 1.25 trust units of Essential for each outstanding trust unit of Builders. Under the terms of the Agreement, the combination will be accomplished through a Plan of Arrangement (the "Arrangement") under the Business Corporations Act (Alberta). The proposed Arrangement is subject to customary stock exchange, court and regulatory approval as well as approval by 66 2/3% of Builders' unitholders voting in person or by proxy at the Builders' unitholders meeting, currently scheduled to be held on April 3, 2008. Subject to all requisite approvals being received, the transaction is expected to close on April 4, 2008.

If the transaction is approved, Builders trust units will be exchanged for trust units of Essential on the effective date of completion of the Arrangement, currently expected to be April 4, 2008. It is a condition of the Agreement that the Distribution Reinvestment Plan be suspended or terminated prior to the effective date of the Arrangement. As a result, Builders is announcing the suspension of the Distribution Reinvestment Plan effective immediately. If all of the requisite approvals to the Arrangement are received and the Arrangement closes, the Distribution Reinvestment Plan will be terminated immediately following closing.

Based in Calgary, Builders Energy Services Trust is an open-end, unincorporated investment trust providing oilfield services in western Canada through skilled staff and specialized equipment. Builders provides services to the oil and gas industry related to the ongoing servicing of producing wells and new drilling activity.

This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this press release contains forward looking statements and information concerning completion of the combination. Although the Trust believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward looking statements and information because the Trust can give no assurance that they will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risks associated with the oilfield services sector (e.g. demand, pricing and terms for oilfield services; current and expected oil and gas prices; exploration and development costs and delays; reserves discovery rates; pipeline and transportation capacity; weather, health, safety and environmental risks), integration of acquisitions, competition, and uncertainties resulting from potential delays or changes in plans with respect to acquisitions, development projects or capital expenditures, failure to obtain required regulatory and other approvals, and changes in legislation, including but not limited to tax laws, royalties and environmental regulations. There are also risks inherent in the nature of the proposed combination, including failure to realize anticipated synergies or cost savings, risks regarding the integration of the two entities, incorrect assessments of the values of the other entity, and failure to obtain the required securityholder, court, regulatory and other third party approvals.

This news release also contains forward-looking statements and information concerning the anticipated completion of the proposed Arrangement and the anticipated timing for completion of the Arrangement. The Trust has provided these anticipated times in reliance on certain assumptions that they believe are reasonable at this time, including assumptions as to the timing of receipt of the necessary regulatory and court approvals and the time necessary to satisfy the conditions to the closing of the Arrangement. These dates may change for a number of reasons, including the inability to secure necessary regulatory or court approvals in the time assumed or the need for additional time to satisfy the conditions to the completion of the Arrangement. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this press release concerning these times. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the Trust's or the combined trust's operations or financial results are included in reports on file with applicable securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). The forward-looking statements and information contained in this press release are made as of the date hereof and the Trust undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

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

Contact Information

  • Builders Energy Services Trust
    Garnet K. Amundson
    President and Chief Executive Officer
    (403) 296-0344
    Email: IR-BEST@BuildersEnergy.com
    or
    Builders Energy Services Trust
    John W. Nearing
    Vice President, Finance and Chief Financial Officer
    (403) 296-0344
    Email: IR-BEST@BuildersEnergy.com
    or
    Builders Energy Services Trust
    Karen Perasalo
    Director, Finance and Investor Relations
    (403) 296-0344
    Email: IR-BEST@BuildersEnergy.com