New West Energy Services Inc.
TSX VENTURE : NWE

March 31, 2011 11:10 ET

New West Energy Services Inc. Announces Its Third Quarter Results

CALGARY, ALBERTA--(Marketwire - March 31, 2011) - Mr. Gerry E. Kerkhoff, President and Chief Executive Officer of New West Energy Services Inc. (TSX VENTURE:NWE) (the "Corporation") is pleased to announce the results for the three and nine month period ended January 31, 2011.

Revenue for the three month period totaled $4,364,953 and for the nine month period totaled $9,440,097. Net income for the three month period totaled $312,496 and for the nine month period totaled $530,753.

The Corporation has two operating entities: New West Drilling Fluids Inc. ("NWDF"), which sells chemicals and provides field engineering services, and BearStone Environmental Solutions Inc. ("BearStone"), established on June 9, 2010, which provides environmental services and operates a fleet of specialized vacuum and water trucks to the upstream oil and gas industry throughout Western Canada.

NWDF has one of the best SAGD drilling fluid systems on the market. This patented system, named BITUDRIL, has proven to be very effective and has been a product of choice for four major oil companies in the development of their SAGD oilsands projects. One of the primary benefits of the BITUDRIL system is the conservation of water. The encapsulating nature of the fluid on waste drill cuttings allows for continued re-use of the water in drilling well after well. NWDF is currently working on two large SAGD contracts with two major oilsands operators, providing drilling fluid products and field service. These projects are expected to extend over a period of 12 to 24 months. These projects did not commence until mid November 2010 and January 2011 and as a result, NWDF has not yet experienced a full quarter of revenues from these sources.

BearStone started operations last June with the purchase of several vacuum and water trucks and other assets which included taking over several active contracts and the hiring of key management and field personnel. BearStone has a solid customer base of over 50 clients made up of various oil and gas companies and is currently looking at expanding from its current equipment base in Medicine Hat, Alberta to other areas of the Province. During the 2010/2011 winter drilling season, BearStone operated its equipment at near full capacity and had over 30 environmental supervisors working in the field in Northeast British Columbia, Alberta and South Saskatchewan.

The Corporation's financial statements and its Management Discussion and Analysis can be found on www.sedar.com.

About New West Energy Services Inc.

The Corporation operates in the oil field service industry in Canada through its wholly-owned subsidiaries New West Drilling Fluids Inc. and BearStone Environmental Solutions Inc. New West Drilling Fluids Inc. sells chemicals and provides field engineering services to oil and gas exploration and production companies. BearStone Environmental Solutions Inc. provides environmental services to the upstream oil and gas industry and operates a fleet of vacuum and water trucks.

Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • New West Energy Services Inc.
    Gerry E. Kerkhoff
    President & Chief Executive Officer
    403.984.9798 or 1.888.977.2327 (BEAR)
    403.984.9799 (FAX)
    gkerkhoff@bearstoneenviro.com