New West Energy Services Inc.
TSX VENTURE : NWE

New West Energy Services Inc.

August 21, 2013 21:19 ET

New West Energy Services Inc. Announces Its Year End Results

CALGARY, ALBERTA--(Marketwired - Aug. 21, 2013) - New West Energy Services Inc. (TSX VENTURE:NWE) (the "Corporation") is pleased to announce the financial results for the Corporation for its fiscal year ended April 30, 2013.

HIGHLIGHTS

Operational and Financial Results for fiscal years ended April 30, 2013 and 2012:

  • Revenue of $19.34 million ($15.34 million for 2012)
  • Gross margin of $5.60 million ($4.70 million for 2012)
  • Net Income from continuing operations after income tax of $1.60 million ($1.22 million for 2012)
  • Earnings per share (basic & diluted) from continuing operations of $0.017 ($0.014 for 2012).

Company Developments:

  • Acquisition of operating assets from Porterco Welding Ltd. such as trucks, trailers, field equipment and inventory for a consideration of $1.4 million in August 2012
  • Capital expenditures during the year amounted to $2.3 million for trucks and equipment
  • Secured line of credit agreements with Canadian Western Bank for both subsidiaries in the amount of $2.2 million (undrawn at year end)
  • Appointed Timothy A. Young and Ralph T. Strother as Directors of the Corporation.

OVERVIEW

The Corporation is a publicly-traded company that is listed on the TSX Venture Exchange under the trading symbol "NWE.V". The Corporation's business activities are carried out through two wholly owned Calgary, Alberta subsidiaries - BearStone Environmental Solutions Inc. ("BearStone") and Porterco Oilfield Services Inc. ("Porterco").

BearStone is an environmental oilfield services company that provides environmental services and operates a fleet of specialized vacuum and water trucks to the upstream oil and gas industry throughout western Canada.

Porterco is a newly formed subsidiary resulting from the acquisition of the operating assets of Porterco Welding Ltd. which acquisition was completed on August 24, 2012. Porterco is based in Slave Lake, Alberta and operates a fleet of trucks and trailers for hauling contaminated drill cuttings. Other services offered by Porterco include equipment rental, custom fabrication and general oilfield hauling.

OUTLOOK AND STRATEGY

The Corporation is actively pursuing new acquisitions which will compliment and diversify its existing services. Certain companies have been targeted based on their services offered and geographic coverage area.

Subsequent to the year end, the Corporation has been successful in obtaining a contract for a trial of a new technology to recover oil, water and solids from contaminated drill cuttings. The technology uses thermal desorption to separate oil, water and solids with all phases being recovered for re-use or disposal.

The Corporation is in the process of creating an exclusive business with the owner of the technology to treat drilling waste in Canada. The trial phase will be carried out through BearStone and will involve operational support from both subsidiaries, BearStone and Porterco.

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