Enseco Energy Services Corp.

Enseco Energy Services Corp.
Nexia Biotechnologies Ltd.

Nexia Biotechnologies Ltd.

October 24, 2006 19:10 ET

Enseco Energy Services Corp. and Nexia Biotechnologies Ltd. 'formerly, 6539718 Canada Inc.' Announce Completion of Plan of Arrangement

CALGARY, ALBERTA--(CCNMatthews - Oct. 24, 2006) - Enseco Energy Services Corp. ("Enseco") and Nexia Biotechnologies Ltd. (formerly, 6539718 Canada Inc.) ("New Nexia") are pleased to announce the successful completion of the previously announced arrangement involving Nexia Biotechnologies Inc. ("Nexia"), Enseco Energy Services Corp. ("Private Enseco"), New Nexia and Enseco Management Corp. ("ManagementCo").

The Arrangement resulted in the amalgamation of Nexia, Private Enseco and ManagementCo to form "Enseco Energy Services Corp", a new oil and gas service industry company and the creation of New Nexia which will continue to pursue Nexia's biotechnology opportunities. Pursuant to the Arrangement, former holders of common shares of Nexia received 0.08842 of a common share of Enseco and 1.0 common share of New Nexia for each Nexia common share held. Former holders of common shares of Private Enseco received 1.0 common share of Enseco for each Private Enseco common share held. Holders of common shares of ManagementCo received 0.450 of an Enseco common share and 0.550 of an Enseco non-voting share for each common share of ManagementCo.

The common shares of Enseco have been conditionally approved for listing on the TSX Venture Exchange. However, Enseco is currently pursuing one or more potential acquisitions which may be financed through the issuance of additional shares, bank debt and/or an equity offering. These transactions are expected to be completed on or before the end of November, 2006 and it is currently anticipated that the Enseco common shares will remain halted until the completion of these transactions.

FORWARD LOOKING STATEMENT AND OTHER IMPORTANT INFORMATION

Except for the historical information presented herein, matters discussed herein may constitute forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Statements that are not historical facts, including statements preceded by, followed by, or that include the words "believes"; "anticipates"; "intends"; "plans"; "expects"; "estimates"; or similar statements are forward-looking statements. Such statements reflect management's current views and are based on certain assumptions. Actual results could differ materially from those currently anticipated as a result of a number of factors. Enseco and New Nexia specifically disclaim any obligation to update these forward-looking statements. Enseco and New Nexia assume no responsibility with respect to any information contained herein relating to any entity other than itself. Website addresses referred to herein are provided for convenience purposes only and information contained therein is not incorporated herein by reference, nor does Enseco and New Nexia assume any responsibility in connection therewith. For more information, please visit www.sedar.com.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • Enseco Energy Services Corp.
    Kelly M. Nichol
    President and CEO
    (403) 514-8115-ext. 225
    Email: knichol@Enseco.ca
    or
    Nexia Biotechnologies Ltd.
    David L. Tonken
    President and CEO
    (780) 486-2317
    Email: tonken@icrossroads.com