CWC Well Services Corp.
TSX VENTURE : CWC

CWC Well Services Corp.

March 01, 2012 08:00 ET

CWC Well Services Corp. Releases Record Year End and Fourth Quarter 2011 Financial Results

CALGARY, ALBERTA--(Marketwire - March 1, 2012) - (TSX VENTURE:CWC) CWC Well Services Corp. ("CWC" or the "Company") is pleased to release its operational and financial results for the year ended December 31, 2011. The annual audited Financial Statements and Management's Discussion and Analysis ("MD&A") for the fiscal year ended December 31, 20 11 are filed on SEDAR at www.sedar.com.

Effective January 1, 2011, CWC began reporting its financial results in accordance with International Financial Reporting Standards ("IFRS"). Prior year comparative amounts have been changed to reflect results as if CWC had always prepared its financial results using IFRS. Please see additional discussion regarding IFRS later in this news release.

Overview and Highlights for the Year Ended December 31, 2011


--  Revenue in 2011 totaled $109.5 million, a $40.6 million increase (or
    59%) over the prior year; 
--  EBITDAS totaled $28.5 million (26% of revenue) in 2011, a $15.5 million
    increase (or 119%) over the prior year. The increase reflects the growth
    of the well servicing segment where the service rig count increased to
    63 service rigs from 41 service rigs in the prior year; 
--  Net income increased by $15.5 million (or 554%) to $12.7 million ($0.08
    per share) in 2011 as compared to a net loss of ($2.8) million ($0.02
    loss per share) in the prior year; 
--  On June 15, 2011, CWC acquired 22 service rigs and related equipment for
    cash consideration of $38 million (average of $1.7 million per rig). The
    acquisition increased CWC's service rig fleet by 54% making CWC the
    6thlargest service rig provider in the WCSB; 
--  Secured new credit facilities of $69 million consisting of a non-
    extendible committed revolving facility of $40 million and $29 million
    non-extendable committed non-revolving facility with a term maturity
    date of April 30, 2014. The new credit facility was used in part to
    finance the acquisition of the service rigs noted above, utilizing $28
    million of the new revolving credit facility and $10 million of cash on
    hand; 
--  On December 9, 2011 CWC completed the sale of its nitrogen assets for
    gross proceeds of $7.6 million in cash, which were used to reduce CWC's
    bank indebtedness. The transaction resulted in a gain of $1.4 million. 
--  TSX Venture Exchange recently announced that CWC made its list of 2012
    TSX Venture Top 50 Companies placing fifth in the Diversified Industries
    category. Out of approximately 2,250 TSX Venture Exchange listed
    companies, CWC was recognized for its strong performance in areas of
    market capitalization growth, share price appreciation, trading volume
    and analyst coverage. 

Financial Highlights                                                        
----------------------------------------------------------------------------

----------------------------------------------------------------------------
                                                      YEAR ENDED            
                                               2011       2010         2009 
$ thousands, except per share amounts,                            (Previous 
 margins and ratios                                                  CGAAP) 
----------------------------------------------------------------------------
FINANCIAL RESULTS                                                           
Revenue                                                                     
  Well servicing                          $  89,025  $  53,104  $    35,610 
  Other oilfield services                    20,477     15,754       13,747 
                                         -----------------------------------
                                            109,502     68,858       49,357 

  EBITDAS (1)                                28,481     12,994        2,465 
  EBITDAS margin (%) (1)                         26%        19%           5%

  Funds from operations (2)                  28,476     12,973       (1,726)

  Net income (loss)                          12,690     (2,774)     (15,516)
  Net income (loss) margin (%)                   12%        -4%         -31%

Per share information                                                       
  Weighted average number of shares                                         
   outstanding - basic                      157,021    158,959       35,871 
  Weighted average number of shares                                         
   outstanding - diluted                    159,422    158,959       35,871 

  EBITDAS (1) per share - basic and                                         
   diluted                                     0.18       0.08         0.07 
  Funds from operations per share - basic                                   
   and diluted                                 0.18       0.08        (0.05)
  Net income (loss) per share - basic and                                   
   diluted                                     0.08      (0.02)       (0.43)
----------------------------------------------------------------------------

                                               2011       2010         2009 
                                                                  (Previous 
                                                                      CGAAP)
                                         -----------------------------------
FINANCIAL POSITION AND LIQUIDITY                                            
  Working capital (excluding debt) (3)       22,414     15,790        7,711 
  Working capital (excluding debt) ratio      3.4:1      3.2:1        2.3:1 
  Total assets                              159,774    127,098      134,481 
  Total long-term debt                       47,941     29,860       31,729 
  Shareholders' equity                      102,624     89,986       96,774 
----------------------------------------------------------------------------
Notes 1 to 4 - Please refer to the Notes to Financial Highlights at the end 
of this release.                                                            

Operating Highlights                                                        
----------------------------------------------------------------------------

----------------------------------------------------------------------------
                          2011                            2010              
OPERATING    Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter
 HIGHLIGHTS        4       3       2       1       4       3       2       1
----------------------------------------------------------------------------
WELL                                                                        
 SERVICING                                                                  
Service Rigs                                                                
 Number of                                                                  
  service                                                                   
  rigs, end                                                                 
  of period       63      63      63      41      41      41      41      41
 Hours worked 34,047  33,595  15,333  26,630  22,613  17,583   9,931  19,987
 Utilization                                                                
  %              59%     58%     38%     72%     60%     47%     27%     54%

Coil Tubing                                                                 
 Units                                                                      
 Number of                                                                  
  units, end                                                                
  of period                                                                 
  (1)              8       8       8       8       8       8       8       8
 Hours worked  2,404   1,448     567   2,960   1,720   1,619     809   3,238
 Utilization                                                                
  %              37%     26%     10%     55%     23%     22%     11%     45%
----------------------------------------------------------------------------
OTHER                                                                       
 OILFIELD                                                                   
 SERVICES                                                                   
Snubbing                                                                    
 Units                                                                      
 Number of                                                                  
  units, end                                                                
  of period                                                                 
  (2)              8       8       8       8       8       8       8       8
 Hours worked  2,421   1,692     293   1,950   2,040   1,534     848   1,800
 Utilization                                                                
  %              36%      6%     37%     53%     32%     24%     13%     25%

Well Testing                                                                
 Units                                                                      
 Number of                                                                  
  units, end                                                                
  of period       12      12      12      12      12      12      12      12
 Number of                                                                  
  tickets                                                                   
  billed         429     421     178     467     457     320     187     269
----------------------------------------------------------------------------
 Notes 1 - For the purposes of calculating utilization 2 units were omitted 
           from the calculation from Q1 to Q3 2011 and one unit was omitted 
           from the calculation for the fourth quarter of 2011 as they were 
           undergoing retrofit to be converted to Class III 2" coil;        
       2 - For the purposes of calculating utilization units requiring      
           recertification before being available for use and units         
           undergoing conversion from 3K to 5K were omitted from the        
           calculation. For the first three quarters of 2011 this resulted  
           in two units being omitted; for the fourth quarter this resulted 
           in 3 units being omitted from the calculation                    

Fourth Quarter Overview                                                     
----------------------------------------------------------------------------


$ thousands, except                                                         
 per share amounts                          2011                            
----------------------------------------------------------------------------

                          December     September          June         March
THREE MONTHS ENDING            31,           30,           30,           31,

Revenue                $    35,988  $     31,224  $     12,987   $    29,303

EBITDAS (1)                 10,630  $      8,142         1,270         8,439

Net earnings (loss)          8,187         3,174        (2,956)        4,285
Net earnings (loss)                                                         
 per share: Basic and                                                       
 diluted                      0.05          0.02         (0.02)         0.03

Total assets               159,774       162,933       153,382       131,271
Total long-term debt        47,941        56,827        56,331        29,863
Shareholders' equity       102,624        94,389        91,178        94,002

----------------------------------------------------------------------------


Fourth Quarter Overview                                                     
----------------------------------------------------------------------------


$ thousands, except                                                         
 per share amounts                         2010                             
----------------------------------------------------------------------------

                          December    September          June         March 
THREE MONTHS ENDING            31,          30,           30,           31, 

Revenue                $    23,069  $    16,413   $     9,254   $    20,122 

EBITDAS (1)                  5,611        3,277           255         3,851 

Net earnings (loss)          1,460         (528)       (3,229)         (477)
Net earnings (loss)                                                         
 per share: Basic and                                                       
 diluted                      0.01        (0.01)        (0.02)        (0.00)

Total assets               127,098      124,712       122,507       133,189 
Total long-term debt        29,860       29,857        29,899        32,155 
Shareholders' equity        89,986       88,546        88,918        92,019 

----------------------------------------------------------------------------
Notes 1 - Please refer to the Notes to Financial Highlights at the end of   
this release.                                                               

Revenue for the fourth quarter of 2011 was $36.0 million; an increase of $12.9 million (56% increase) from Q4 2010 and an increase of $4.8 million (15% increase) from Q3 2011. The increase from the third quarter of 2011 is expected due to the seasonality of the industry, resulting in Q4 and Q1 representing the peak periods for activity. During the fourth quarter of 2011 CWC was able to further increase rates to its customers in response to the increased activity level. Overall, 2010 saw the start of a recovery with year-over-year increases in activity through all the quarters to date.

EBITDAS

EBITDAS for the Q4 2011 was $10.6 million; an increase of $5.0 million (89% increase) from Q4 2010 and an increase of $2.5 million (31% increase) from Q3 2011. In addition to the positive impact of the TWS acquisition, the year-over-year increase in EBITDAS is a result of increased activity levels sufficient to absorb facility and other fixed costs of the Company as well as cost control measures that were implemented during the second half of 2010. Higher gross margin percentages quarter-over-quarter is evidence of improved utilization and rates which continue to strengthen as customer demand remains robust.

Net Earnings (Loss)

The higher activity in the fourth quarter of 2011 resulted in net income of $8.2 million, mainly as a result of improved activity levels and the TWS acquisition related activity. The fourth quarter net income also includes the added depreciation expense on the TWS assets and the future income tax recovery of $1.1 million. Overall, management expects a continuation of the improvement in results over 2011 where CWC recorded positive earnings. Improvements are also as a result of effective management of discretionary expenditures, and partially offset by increased depreciation on service rigs subject to a unit of production methodology.

Outlook

Oilfield service activity levels in Western Canada in 2011 were substantially higher as compared to the last number of years. The Petroleum Service Association of Canada ("PSAC") updated its 2012 forecast on January 27, 2012 and is now forecasting 13,350 new wells drilled in 2012; a 4% increase compared to 2011 but a decrease of 11% from its original 2012 forecast. These forecasts are predicated on WTI oil price of US$90/bbl and Cdn$3.25/mcf for natural gas. PSAC revised their forecast due to skilled labour shortages, warm weather hampering the use of heavy equipment, weak natural gas prices related to oversupply and the ongoing uncertainty created by the European economic debt crisis, which are all contributing factors restricting capacity.

Business fundamentals remain positive and we continue to see strong demand from customers in all of our operations. Crude oil prices, which remain the primary driver of oilfield service activity levels, have experienced significant volatility due to some of the factors noted above. Although this volatility may limit spending in smaller companies, the large capitalization exploration and production ("E&P") companies, which have strong balance sheets and base their capital spending levels on longer time horizons, will continue to account for the largest share of total WCSB well activity levels. These larger E&P operators will continue to focus capital spending towards oil and liquids-rich natural gas plays. We believe that oil prices would need to drop below US$75/bbl for a sustained period of time before the larger E&P companies would scale back on activities. Further, E&P companies average decline rates on new wells continues to rise requiring them to spend more to maintain or grow production levels. The increase in oil focused activity has shifted the number of producing wells to greater than 80% of all producing wells in 2011 and approaching 90% by the end of 2012. We expect that as a result of the increased oil focused activities that our equipment utilization levels, particularly service rigs and coil tubing service rigs, will be robust in 2012.

CWC is focusing its Well Servicing fleet on oil-related and liquids-rich natural gas activities and has strategically positioned its equipment in the Horn River, Montney, Deep Basin, Pekisko, Beaverhill Lake, Cardium, Viking, Lloydminster heavy oil and Saskatchewan Bakken plays. We expect to see this trend continue through 2012.

As a result of the increased demand for oilfield services from our customers and rising operating costs, primarily from labour and fuel, hourly rates for our services charged to customers were increased in Q4 2011. CWC strives to maintain acceptable profit margins for our shareholders while providing high quality equipment and experienced field crews for our customers.

Over 80% of CWC's revenue and EBITDAS is derived from its core business segment of Well Servicing. We remain focused on what we do well and draw upon these strengths to provide best-in-class services to our customers. We continue to evaluate opportunities to grow the Well Servicing division through a disciplined approach, requiring that any potential acquisition target meet our strict financial and operational criteria. Supporting this core business is our Other Oilfield Service offerings of snubbing and well testing.


Financial Measures Reconciliations                                          
----------------------------------------------------------------------------

----------------------------------------------------------------------------
                                                      YEAR ENDED            
                                                 2011       2010       2009 
                                                                  (Previous 
$ thousands                                                          CGAAP) 
----------------------------------------------------------------------------
NON-IFRS MEASURES                                                           

(1) EBITDAS:                                                                
  Net income (loss) before taxes               11,618     (2,774)   (16,028)
Add:                                                                        
  Depreciation                                 13,871     12,006     11,010 
  Finance costs                                 3,514      3,089      6,419 
  Stock based compensation                        801        501      1,033 
  (Gain) loss on sale of equipment             (1,346)       222         22 
  Unrealized loss (gain) on marketable                                      
   securities                                      23        (50)         9 
                                           ---------------------------------

EBITDAS                                        28,481     12,994      2,465 
----------------------------------------------------------------------------

(2) Funds from (used in) operations:                                        
  Cash flows from (used in) operating                                       
   activities                                  21,116      6,607     (2,636)
Less:                                                                       
  Change in non-cash working capital            7,360      6,366        910 
                                           ---------------------------------

Funds from (used in) operations:               28,476     12,973     (1,726)
----------------------------------------------------------------------------

(3) Gross margin:                                                           
Revenue                                       109,502     68,858     49,357 
Less:                                                                       
  Operating expenses                          (67,669)   (43,568)   (35,122)
                                           ---------------------------------

Gross margin                                   41,833     25,290     14,235 
----------------------------------------------------------------------------

                                                 2011       2010       2009 
                                                                  (Previous 
                                                                      CGAAP)
                                           ---------------------------------
(4) Working capital (excluding debt):                                       
Current Assets                                 31,623     23,042     13,689 

Less: Current Liabilities                     (17,586)   (11,861)    (7,683)

Add: Current portion of long-term debt          8,377      4,609      1,705 
                                           ---------------------------------

Working capital (excluding debt)               22,414     15,790      7,711 
----------------------------------------------------------------------------
Notes 1 to 4 - Please refer to the Notes to Financial Highlights at the end 
of this release.                                                            

Transition to International Financial Reporting Standards ("IFRS")

CWC is reporting its financial results in accordance with IFRS from January 1, 2011, the changeover date set by the Canadian Accounting Standards Board (AcSB). IFRS compliant comparative financial information for one year prior to the effective date is required. Certain first time adoption elections were made which impact the opening balance sheet amounts and those key first time elections are discussed in the 2010 annual Management's Discussion and Analysis. CWC is required to prepare reconciliations from Canadian Generally Accepted Principles that existed up to December 31, 2010 to IFRS balances and to provide a greater amount of financial statement disclosures. Please refer to the annual audited financial statements for the year ended December 31, 2011 filed on SEDAR.

About CWC Well Services Corp.

CWC Well Services Corp. is a premier well servicing company operating in the Western Canadian Sedimentary Basin with a complementary suite of oilfield services including service rigs, coil tubing, snubbing and well testing. The Company's corporate office is located in Calgary, Alberta, with operational locations in Red Deer, Provost, Lloydminster, Brooks, and Grande Prairie, Alberta and Weyburn, Saskatchewan.

Notes to Financial Highlights


1.  EBITDAS (Earnings before interest, taxes, depreciation, amortization,
    gain/loss on disposal of asset, unrealized gain/loss on marketable
    securities, finance costs and stock based compensation) is not
    recognized measures under IFRS. Management believes that in addition to
    net earnings, EBITDAS is a useful supplemental measure as it provides an
    indication of the Company's ability to generate cash flow in order to
    fund working capital, service debt, pay current income taxes, and fund
    capital programs. Investors should be cautioned, however, that EBITDAS
    should not be construed as an alternative to net income (loss) and
    comprehensive income (loss) determined in accordance with IFRS as an
    indicator of the Company's performance. CWC's method of calculating
    EBITDAS may differ from other entities and accordingly, EBITDAS may not
    be comparable to measures used by other entities. For a reconciliation
    of EBITDAS to net income (loss) and comprehensive income (loss). 

2.  Funds from operations and funds from operations per share are not
    recognized measures under IFRS. Management believes that in addition to
    cash flow from operations, funds from operations is a useful
    supplemental measure as it provides an indication of the cash flow
    generated by the Company's principal business activities prior to
    consideration of changes in working capital. Investors should be
    cautioned, however, that funds from operations should not be construed
    as an alternative to cash flow from operations determined in accordance
    with IFRS as an indicator of the Company's performance. CWC's method of
    calculating funds from operations may differ from other entities and
    accordingly, funds from operations may not be comparable to measures
    used by other entities. Funds from operations is equal to cash flow from
    operations before changes in non-cash working capital items related to
    operations, interest and income taxes paid, financing costs, and income
    tax expense. 

3.  Gross margin is calculated from the statement of income (loss) as
    Revenue less direct operating costs and is used to assist management and
    investors in assessing the Company's financial results from operations
    excluding fixed overhead costs. Gross margin is a non-IFRS measure and
    does not have any standardized meaning prescribed by IFRS and may not be
    comparable to similar measures provided by other companies. 

4.  Working capital (excluding debt) is calculated based on current assets
    less current liabilities excluding the current portion of long-term
    debt. Working capital is used to assist management and investors in
    assessing the Company's liquidity and its' ability to generated funds.
    Working capital (excluding debt) does not have any meaning prescribed
    under IFRS and may not be comparable to similar measures provided by
    other companies. 

READER ADVISORY -

Certain statements contained in this press release, including statements which may contain such words as "could", "should", "believe", "expect", "will", and similar expressions and statements relating to matters that are not historical facts are forward-looking statements, including, but not limited to, statements as to: future capital expenditures, including the amount and nature thereof; revenue growth; equipment additions; business strategy; expansion and growth of the Company's business and operations; service rig utilization rates, outlook for oil and natural gas prices and general market conditions and other matters. Management has made certain assumptions and analyses which reflect their experiences and knowledge in the industry, including, without limitations, assumptions pertaining to well services demand as a result of commodity prices. These assumptions and analyses are believed to be accurate and truthful at the time, but the Company cannot assure readers that actual results will be consistent with these forward-looking statements. However, whether actual results, performance or achievements will conform to the Company's expectations and predictions is subject to known and unknown risks and uncertainties which could cause actual results to differ materially from the Company's expectations. All forward-looking statements made in the press release are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by the Company will be realized or, even if substantially realized, that they will have the expected outcomes to, or effects on, the Company or its business operations. The Company does not intend and does not assume any obligation to update these forward-looking statements, except as expressly required to do so pursuant to applicable securities laws. Any forward-looking statements made previously may be inaccurate now.


                       STATEMENT OF FINANCIAL POSITION                      
                           CWC Well Services Corp.                          
              As at December 31, 2011, 2010 and January 1, 2010             

                                         December 31,         January 1,    
in thousands of Canadian dollars         2011        2010            2010   
----------------------------------------------------------------------------

ASSETS                                                                      
Current assets                                                              
  Marketable securities             $      43   $      67               2   
  Accounts receivable                  28,850      19,579          10,239   
  Loans to employees                        -         573             189   
  Inventory                             2,441       2,638           2,996   
  Prepaid expenses and deposits           289         185             263   
                                  ------------------------------------------
                                       31,623      23,042          13,689   


Property and equipment                126,919     103,773         115,661   
Loans to employees                        160         283             986   
Deferred tax asset                      1,072           -               -   
                                  ------------------------------------------
                                    $ 159,774   $ 127,098   $     130,336   
                                  ------------------------------------------


LIABILITIES AND SHAREHOLDERS' EQUITY                                        
Current liabilities                                                         
  Bank indebtedness                 $   1,810   $   1,379   $         586   
  Accounts payable and accrued                                              
   liabilities                          7,399       5,873           4,180   
  Warrants                                  -           -           1,212   
  Current portion of long-term                                              
   debt                                 8,377       4,609          31,822   
                                  ------------------------------------------
                                       17,586      11,861          37,800   


Long-term debt                         39,564      25,251             167   
                                  ------------------------------------------
                                       57,150      37,112          37,967   
                                  ------------------------------------------


SHAREHOLDERS' EQUITY                                                        
Share capital                         109,143     110,774         111,080   
Contributed surplus                     5,236       3,657           2,960   
Deficit                               (11,755)    (24,445)        (21,671)  
                                  ------------------------------------------
                                      102,624      89,986          92,369   
                                  ------------------------------------------



                                    $ 159,774   $ 127,098   $     130,336   
----------------------------------------------------------------------------
----------------------------------------------------------------------------

                  STATEMENT OF COMPREHENSIVE INCOME (LOSS)                  
                          CWC Well Services Corp.                           
               For the years ended December 31, 2011 and 2010               



in thousands of Canadian dollars                           2011        2010 
----------------------------------------------------------------------------

REVENUE                                              $  109,502  $   68,858 

EXPENSES                                                                    
  Direct operating expenses                              67,669      43,568 
  Selling and administrative expenses                    13,352      12,296 
  Stock based compensation                                  801         501 
  Finance costs                                           3,514       3,089 
  Depreciation                                           13,871      12,006 
  (Gain) loss on disposal of equipment                   (1,346)        222 
  Unrealized loss (gain) on marketable securities            23         (50)
                                                    ------------------------
                                                         97,884      71,632 
                                                    ------------------------

NET INCOME (LOSS) BEFORE TAXES                           11,618      (2,774)

DEFERRED INCOME TAX RECOVERY                              1,072           - 
                                                    ------------------------

NET INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS)        12,690      (2,774)
                                                    ------------------------

NET INCOME (LOSS) PER SHARE                                                 
  Basic and diluted earnings (loss) per share        $     0.08  $    (0.02)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

                       STATEMENT OF CHANGES IN EQUITY                       
                          CWC Well Services Corp.                           
               For the years ended December 31, 2011 and 2010               


in thousands of              Share    Contributed                     Total 
 Canadian dollars          Capital        surplus      Deficit       Equity 
----------------------------------------------------------------------------
Balance at January                                                          
 1, 2010             $     111,080   $      2,960  $   (21,671) $    92,369 

Net loss and                                                                
 comprehensive loss                                                         
 for the year                    -              -       (2,774)      (2,774)

Transactions with                                                           
 owners, recorded                                                           
 directly in equity                                                         
  Stock based                                                               
   compensation                  -            501            -          501 
  Shares redeemed             (306)           196            -         (110)
                    --------------------------------------------------------

Balance at December                                                         
 31, 2010            $     110,774   $      3,657  $   (24,445) $    89,986 
----------------------------------------------------------------------------



----------------------------------------------------------------------------
Balance at January                                                          
 1, 2011             $     110,774   $      3,657  $   (24,445) $    89,986 

Net income and                                                              
 comprehensive                                                              
 income for the year             -              -       12,690       12,690 

Transactions with                                                           
 owners, recorded                                                           
 directly in equity                                                         
  Stock based                                                               
   compensation                  -            801            -          801 
  Shares issued                 72            (29)           -           43 
  Shares redeemed           (1,703)           807            -         (896)
                    --------------------------------------------------------

Balance at December                                                         
 31, 2011            $     109,143   $      5,236  $   (11,755) $   102,624 
----------------------------------------------------------------------------
----------------------------------------------------------------------------

                          STATEMENT OF CASH FLOWS                           
                          CWC Well Services Corp.                           
               For the years ended December 31, 2011 and 2010               


in thousands of Canadian dollars                         2011          2010 
----------------------------------------------------------------------------

CASH PROVIDED BY (USED IN):                                                 

OPERATING:                                                                  
  Net income (loss)                               $    12,690   $    (2,774)
  Adjustments for:                                                          
    Stock based compensation                              801           501 
    Interest on employee loans                             (5)          (21)
    Finance costs                                       3,514         3,089 
    (Gain) loss on disposal of equipment               (1,346)          222 
    Unrealized loss (gain) on marketable                                    
     securities                                            23           (50)
    Deferred income tax recovery                       (1,072)            - 
    Depreciation                                       13,871        12,006 
                                                ----------------------------
                                                       28,476        12,973 
  Change in non-cash working capital                   (7,360)       (6,366)
                                                ----------------------------
                                                       21,116         6,607 
                                                ----------------------------

INVESTING:                                                                  
  Acquisitions                                        (38,000)            - 
  Purchase of equipment                                (4,436)       (1,225)
  Proceeds on sale of equipment                         7,044           265 
                                                ----------------------------
                                                      (35,392)         (960)
                                                ----------------------------

FINANCING:                                                                  
  Issue of long-term debt                              60,000             - 
  Repayment of long-term debt                         (41,975)       (1,900)
  Increase in bank indebtedness                           431           794 
  Warrants                                                  -        (1,212)
  Finance costs paid                                     (489)         (430)
  Interest paid                                        (3,114)       (2,783)
  Finance lease repayments                               (143)         (116)
  Common shares repurchased and options                                     
   exercised                                             (434)            - 
                                                ----------------------------
                                                       14,276        (5,647)
                                                ----------------------------

CHANGE IN CASH                                              -             - 
CASH, BEGINNING OF YEAR                                     -             - 
                                                ----------------------------
CASH, END OF YEAR                                 $         -   $         - 
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • CWC Well Services Corp.
    Duncan T. Au, CA, CFA
    President & Chief Executive Officer
    (403) 264-2177

    CWC Well Services Corp.
    Kevin Howell, CA
    Chief Financial Officer
    (403) 264-2177

    CWC Well Services Corp.
    755, 255 - 5 Avenue SW
    Calgary, Alberta T2P 3G6
    (403) 264-2177
    info@cwcwellservices.com