Pure Energy Services Ltd.
TSX : PSV

Pure Energy Services Ltd.

July 06, 2007 17:13 ET

Pure Energy Services Ltd.: News Release

CALGARY, ALBERTA--(Marketwire - July 6, 2007) - Pure Energy Services Ltd. (TSX:PSV) ("Pure Energy") announced today that Pure Energy Services (USA), Inc. ("Pure USA"), its wholly-owned subsidiary, has issued notices of default to its supplier of fracturing sand (the "Supplier") in respect of the failure by the Supplier to:

(a) pay to Pure USA the quarterly installment of $500,000 (USD) which was due on June 30, 2007; and

(b) make available for purchase by Pure USA sufficient quantities of fracturing sand necessary to satisfy the purchase commitments provided for under the sand purchase agreement entered into between Pure USA and the supplier.

Pursuant to the terms of the agreements entered into between Pure USA and the Supplier, the Supplier has a period of 30 days from the date of receipt of these notices of default to cure the defaults. Pure USA has received increasing quantities of fracturing sand from the Supplier, but not at the volumes contracted. Pure USA will continue to monitor the situation during this period and take steps to protect its interests and exercise its rights in these matters.

Pure Energy is an oilfield services company that provides completion and drilling related services to oil and gas exploration and development entities in the Western Canadian Sedimentary Basin ("WCSB") and, through Pure USA, in the U.S. Rocky Mountain region.

Pure Energy currently provides logging and perforating, production testing, multiline, drilling, drilling rental and pressure transient analysis services to customers in the WCSB, and also provides production testing, logging and perforating, and fracturing services to customers in the U.S. Rocky Mountain region.

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