Parkland Energy Services Inc.
TSX VENTURE : PKE

Parkland Energy Services Inc.

August 15, 2012 12:32 ET

Parkland Announces Restructuring of Operations

CALGARY, ALBERTA--(Marketwire - Aug. 15, 2012) - Parkland (TSX VENTURE:PKE) announces that as of August 15, 2012, the Corporation will restructure its operations to cease the construction, supplies and pipeline segments of its operations as well as significantly decrease the level of fabrication services. Parkland is planning to focus resources on its U.S. petroleum and natural gas properties (the "US well sites") which are at this time the profitable segment of its operations.

Due to the industry's negative reaction to the poor performance on the 2011 and 2010 annual audited financial statements as well as the Demand Notice filed against the Company disclosed in the April 4, 2012 press release, the level of activity in the fabrication, construction, supplies and pipeline segment have slowed considerably. Parkland's management have determined that the cost of maintaining operations for this segment with little or no income is detrimental to Parkland overall performance. The Company will still retain the fabrication services through contracts which will be outsourced and thereby allowing the company to retain revenues but dispose of unnecessary equipment. The resources of the Company will then be concentrated on operating and growing the US well sites in the future.

Parkland is a company based in Red Deer, Alberta which holds non-operational working interests in foreign oil wells. The company's common shares are listed on the TSX Venture Exchange and trade under the symbol "PKE".

The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

This document may contain "forward-looking statements" within the meaning of Canadian securities legislation. These forward-looking statements are made as of the date of this document and the Company does not intend, and does not assume any obligation, to update these forward-looking statements.

Forward-looking statements relate to future events or future performance and reflect management of the Company's expectations or beliefs regarding future events and include, but are not limited to, statements with respect to the estimation of hydrocarbon reserves and resources, the realization of reserve and resource estimates, the timing and amount of estimated future production, costs of production, capital expenditures, success of drilling and development operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative of these terms or comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of hydrocarbon resources; production or recovery rates; accidents, Labor disputes and other risks of the oil and gas industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; as well as those factors detailed from time to time in the Company's interim and annual financial statements and management's discussion and analysis of those statements, all of which are filed and available for review on SEDAR at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.

Accordingly, readers should not place undue reliance on forward looking statements.

TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Parkland Energy Services Inc.
    Sandra Woitas
    President & CEO
    (403) 346-8119