Kodiak Energy Services Ltd.

Kodiak Energy Services Ltd.

March 14, 2005 14:17 ET

Kodiak Energy Services Seeks CCAA Protection and Provides Corporate Update


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: KODIAK ENERGY SERVICES LTD.

TSX VENTURE SYMBOL: KES

MARCH 14, 2005 - 14:17 ET

Kodiak Energy Services Seeks CCAA Protection and
Provides Corporate Update

CALGARY, ALBERTA--(CCNMatthews - March 14, 2005) - Kodiak Energy
Services Ltd. (TSX VENTURE:KES), an oilfield and environmental services
company with operations in Alberta and British Columbia, announces that
it has today filed for protection from its creditors under the Companies
Creditors Arrangement Act ("CCAA") effective 10:00 a.m., March 11, 2005.
The company is under CCAA protection while it completes its
restructuring efforts. More information will be available as the process
continues.

For more information, please contact the Monitor, RSM Richter Inc. at
(403) 233-8462.

The company also announces that Gregory Gallelli has resigned as
President and CEO. Mr. Gallelli will remain a director of Kodiak. The
Board of Directors of Kodiak is pleased to announce the appointment of
Dean Eastman as President and CEO. Mr. Eastman was Operations Manager of
OnTrac Project Solutions Inc., has been Kodiak's Site Remediation and
Waste Transportation Manager and its Chief Operations Officer.

The company has currently has been awarded $2.4 million of site
remediation, waste transportation and lease construction work which it
hopes to complete before spring break-up. If the work cannot be executed
before spring break-up, it will be completed by June 30, 2005. In
recognition of the current workload, Kodiak's budgeted revenue for the
six months ended June 30, 2005 has been revised significantly upward
over its previous revenue estimates.

Kodiak was formed in November 2003 by the amalgamation of Kodiak
Construction Ltd., a private company involved in oilfield services for
over 25 years, and Driver Energy Services Inc., a public company listed
on the TSX Venture Exchange. Kodiak Energy Services' operations include
seismic line clearing, lease construction, reclamation, remediation and
waste transportation. Operations headquarters are located in Edmonton,
Alberta, with offices in Fort St. John, B.C. and Sexsmith, Alberta.
Corporate headquarters are in Calgary.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Kodiak Energy Services Ltd.
    Dean Eastman
    President
    (780) 432-5365
    or
    Kodiak Energy Services Ltd.
    Terry Lauder
    Investor Relations
    (403) 232-6251
    Email: terry@hedlinlauder.com
    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.