Peak Energy Services Trust
TSX : PES.UN

Peak Energy Services Trust

August 13, 2007 18:31 ET

Peak Energy Services Trust Confirms Cash Distribution for September 14, 2007

CALGARY, ALBERTA--(Marketwire - Aug. 13, 2007) - Peak Energy Services Trust ("Peak") (TSX:PES.UN) confirms its cash distribution for the month of August 2007 will be Cdn. $0.04 per trust unit. This cash distribution will be paid on or about September 14, 2007 to unitholders of record on August 31, 2007. The ex-distribution date will be August 29, 2007.

This 33% decrease from the prior monthly cash distribution reflects management's reduced outlook on industry activity levels given the near-term weakness in natural gas prices driven primarily by the larger than historical norm of natural gas inventory in North America at this time. Peak is currently realizing utilization rates consistent with rig activity during the third quarter of 2007; however, management's view for the balance of the year is that industry activity levels will remain relatively flat due to the overhang of natural gas inventory.

Despite all of the short term weakness currently being experienced, management believes that the outlook for the oil and gas industry in North America remains very positive in the longer term and expects higher natural gas pricing in the future to be a catalyst for a return to higher levels of activity in western Canada sometime in the mid to latter stages of 2008. Peak remains very well positioned to take advantage of this anticipated return to higher levels of activity given the significant amount of capital committed to the growth of its business over the past two years, the age and condition of its assets and its reduced cost structure.

About Peak Energy Services Trust

Peak Energy Services Trust is a diversified energy services organization providing oilfield equipment and related services to the energy industry in western Canada and the mid-western United States of America. Peak's trust units are listed on the Toronto Stock Exchange under the symbol "PES.UN".

Certain information set forth in this news release, including management's assessment of Peak's future plans and operations, contains forward-looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond these parties' control, including the impact of general economic conditions, industry conditions, competition from other industry participants, volatility of commodity prices, currency fluctuations, environmental risks, the lack of availability of qualified personnel or management, stock market volatility and ability to access sufficient capital from internal and external sources. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Peak's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Peak will derive there from. Peak disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

The TSX have neither approved nor disapproved the information contained herein.

Contact Information

  • Peak Energy Services Trust
    Mr. Curtis W. Whitteron
    President and Chief Operating Officer
    (403) 543-7325
    (403) 543-7335 (FAX)
    or
    Peak Energy Services Trust
    Mr. Matthew J. Huber
    Chief Financial Officer
    (403) 543-7325
    (403) 543-7335 (FAX)
    or
    Peak Energy Services Trust
    Suite 1800, 530 - 8th Avenue S.W.
    Calgary, Alberta, T2P 3S8