Deepwell Energy Services Trust
TSX : DWL.UN

Deepwell Energy Services Trust

June 15, 2010 01:13 ET

Deepwell Energy Services Ltd. Announces Completion by Deepwell Energy Services Trust of Conversion

CALGARY, ALBERTA--(Marketwire - June 15, 2010) -

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Deepwell Energy Services Ltd., on behalf of Deepwell Energy Services Trust ("Deepwell") (TSX:DWL.UN) is pleased to announce that Deepwell has completed its proposed conversion to a corporation ("Conversion").

The Conversion was approved at an Annual and Special Meeting (the "Meeting") of unitholders held June 4, 2010, with 99.99% of votes cast being in favour of the Conversion. On June 8, 2010, the Alberta Court of Queen's Bench granted the Final Order required with respect to the Conversion. As part of the Conversion, Deepwell has been named Palko Environmental Ltd. ("Palko Environmental"). It is anticipated that Palko Environmental will begin trading on the Toronto Stock Exchange on Wednesday, June 16, 2010 under the trading symbol "PLK".

Two previously announced transactions, a business combination (the "Business Combination") with Palko Energy Ltd. ("Former Palko"), and a $3 million private placement financing (the "Financing") by Gibson Energy ULC ("Gibson") were also approved by unitholders at the Meeting and are anticipated to close on or about June 24, 2010.

Mr. Steven Peterson, president of Former Palko, will serve as President of Palko Environmental and Mr. Jay B. Simmons will serve as Chairman and CEO.

CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

Certain statements in this press release constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Palko Environmental or Deepwell Energy Services LP, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. When used in this document, such statements use such words as "may", "will", "intend", "should", "expect", "believe", "plan", "anticipate", "estimate", "predict", "potential", "continue", or the negative of these terms or other similar terminology. These statements reflect current expectations regarding future events and operating performance and speak only as of the date of this document. Such statements include the completion of the Business Combination and the Financing.

The Forward looking statements are based on the assumption that the Business Combination, Financing and Conversion will be completed, that all regulatory and unitholder approvals will be received and all conditions to the foregoing will be satisfied. 

Although Palko Environmental believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that these expectations will prove to be correct. There are risks which could effect Palko Environmental's future results and could cause the results to differ materially from those expressed in these forward looking statements including that the conditions of closing the Business Combination and the Financing will not be met, the expected benefits and results of the Business Combination, Financing and Conversion will not be attained; the impact of general economic conditions in Canada; industry conditions, including fluctuations in the price of oil and natural gas; the impact of governmental regulation, including environmental regulation; stock market volatility; the need to obtain required approvals from regulatory authorities and the uncertainty inherent in attracting capital. Statements of past performance should not be construed as an indication of future performance. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors, including those discussed above, could cause actual results to differ materially from the results discussed in the forward-looking statements. Any such forward-looking statements are expressly qualified in their entirety by this cautionary statement. Moreover, Palko Environmental does not assume responsibility for the accuracy or completeness of such forward-looking statements. The forward-looking statements included in this Press Release are made as of the date of this Press Release and Palko Environmental undertakes no obligation to publicly update or revise forward-looking statements other than as required by applicable laws. You should not place undue reliance on forward-looking statements.

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