High Arctic Energy Services Inc.

High Arctic Energy Services Inc.

October 26, 2005 13:42 ET

High Arctic Announces Monthly Distribution for October and First Distributions to Class B Units

RED DEER, ALBERTA--(CCNMatthews - Oct. 26, 2005) - High Arctic Energy Services Trust (TSX:HWO.UN) (the "Trust") today announced the monthly cash distribution for October 2005 has been set at $0.0875 per unit. The distribution will be paid on November 15, 2005, to unitholders of record as at October 31, 2005. This payment is consistent with the Trust's distribution policy, as stated in its initial public offering prospectus dated July 11, 2005.

The Trust also announced it began cash distributions to holders of its Class B units, effective September 16, 2005. Class B units will receive the same monthly cash distribution as Class A units, which is currently $0.0875 per unit. Approximately 11.46 million Class B units are currently outstanding. Class B units will remain subordinated as set out in the Trust's initial public offering prospectus dated July 11, 2005.

"We are pleased that business and market conditions have enabled us to begin distributions to Class B unitholders sooner than was projected at the time of our IPO process in the summer of 2005," said Jed Wood, President and CEO of the Trust.

About High Arctic

The Trust, through its subsidiaries, is a global provider of underbalanced well construction services, including drilling, completion, workover operations and integrated project management. High Arctic's new underbalanced drilling technology and equipment is recognized for its ability to improve oil and gas production capabilities and is expected to develop greater acceptance in international markets. Based in Red Deer, High Arctic has domestic operations in Alberta, British Columbia and the Northwest Territories. International operations are currently active in the Middle East and former Soviet Republics.

Contact Information

  • High Arctic Energy Services Trust
    Shaun Peesker
    Chief Financial Officer
    (403) 309-5657