Enseco Energy Services Corp.

Enseco Energy Services Corp.

October 18, 2010 07:33 ET

Enseco Energy Services Corp. Announces the Restructuring of Its Banking Facilities

CALGARY, ALBERTA--(Marketwire - Oct. 18, 2010) - Enseco Energy Services Corp. (TSX VENTURE:ENS) ("Enseco" or the "Company") is pleased to announce it has restructured its banking facilities with its existing lender.

As a result of Enseco's recent growth, its demand revolving operating loan has been increased from $8.5 million to $15.0 million effective September 30, 2010 to finance working capital requirements. Enseco has also consolidated its loans at $17.5 million with a term of 48 months and Enseco anticipates that it will be in compliance with its credit facility covenants for the close of its fiscal second quarter September 30, 2010.

Despite the wet weather affecting western Canadian activity this summer, Enseco has continued to grow its business in both Canada and the USA and the Company expects to realize a record quarter of net income.

Enseco is a growing supplier of energy related services operating throughout United States and Canada providing directional drilling and production testing services to the industry. 


Certain information and statements contained in this press release constitute forward-looking information, including, without limitation, expectations second quarter net income and compliance with credit facility covenants, which are provided by management to enable investors to better understand our business, and such information may not be appropriate for other purposes. These forward-looking statements are based upon the opinions, expectations and estimates of management as at the date the statements are made including the Company's current budget (which is subject to change), expectations regarding the Company's ability to continue its operations, the continued support of the Company's lender, expectations relating to future economic and operating conditions and statements relating to Enseco's marketing, operational and business plans, the competitive environment and opinions of third-party analysts respecting anticipated economic and operating conditions. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. Such factors include, but are not limited to, fluctuations in the market for oil and gas and related products and services, political and economic conditions, the demand for services provided by Enseco, industry competition and Enseco's ability to attract and retain both customers and key personnel and the continued support of the Company's lender. Enseco has made assumptions regarding, but not limited to, commodity prices, foreign exchange rates, interest rates, the availability of skilled labour, and the timing and amount of capital expenditures. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Enseco's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements, or if any of them do so, what benefits that Enseco will derive therefrom. Enseco disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Service 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

  • Enseco Energy Services Corp.
    Lane Roberts
    President and CEO
    (403) 806-0088
    Enseco Energy Services Corp.
    Blair Layton
    (403) 806-0088