Trican Well Service Ltd.

Trican Well Service Ltd.

July 11, 2011 18:33 ET

Trican Enters Australia Through the Acquisition of Viking Energy

CALGARY, ALBERTA--(Marketwire - July 11, 2011) - Trican Well Service Ltd. ("Trican" or "the Company") (TSX:TCW) is pleased to announce that it has purchased Viking Energy Pty Ltd. and its subsidiaries (collectively "Viking Energy"). Viking Energy is a privately-owned enterprise based in Brisbane, Queensland and provides cementing and environmental services in Eastern Australia.

Under the terms of the purchase, Trican acquired 100% of the shares and units of Viking Energy through its wholly-owned Australian subsidiary. With an operating base in Roma, Queensland, Viking Energy operates 4 cement pumpers, along with associated ancillary equipment and fluid logistics equipment.

The acquisition of Viking Energy provides Trican with a strategic entry-point into the growing Australian market. Management believes the acquisition provides a solid partnership with the existing Viking management team and allows Trican to quickly introduce its high technology cementing, coiled tubing and well stimulation products to the Australian and surrounding market. Trican and Viking ultimately intend to provide specialized pressure pumping solutions that assist the Australian customer with increasing production from their wells and/or lowering the total cost of the well.

Significant growth is expected in the Australian Coal Seam and Shale Gas plays in both the near and long term and management believes Trican's technical expertise and focus on operational excellence combined with Viking's extensive knowledge of this market should provide the Company with compelling growth prospects in the future.

Forward-Looking Statements

This document contains statements that constitute forward-looking statements within the meaning of applicable securities legislation. These forward-looking statements are identified by the use of terms and phrases such as "believes," "expect," "intend", and other similar terms and phrases. These statements speak only as of the date of this document and we do not undertake to publicly update these forward-looking statements except in accordance with applicable securities laws. These forward-looking statements include, among others:

  • expectation that existing Viking management will continue its business relationship with Trican to explore opportunities in the market;
  • expectation that the Australian market activity will continue to grow;
  • expectation that Trican's specialized products, solutions, technology and equipment will assist Australian customer's increase production and/or lower cost;
  • expectation of significant growth in the Australian Coal Seam and Shale Gas plays; and
  • expectation that Trican's technical expertise, operational excellence and market knowledge will provide growth opportunities.

Forward-looking statements are based on current expectations, estimates, projections and assumptions, which we believe are reasonable but which may prove to be incorrect and therefore such forward-looking statements should not be unduly relied upon. In addition to other factors and assumptions which may be identified in this document, assumptions have been made regarding, among other things: industry activity; the general stability of the economic and political environment; effect of market conditions on demand for the Company's products and services; the ability to obtain qualified staff, equipment and services in a timely and cost efficient manner; the ability to operate its business in a safe, efficient and effective manner; the performance and characteristics of various business segments; the effect of current plans; the timing and costs of capital expenditures; future oil and natural gas prices; currency, exchange and interest rates; the regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which the Company operates; and the ability of the Company to successfully market its products and services.

Forward-looking statements are subject to a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks and uncertainties include: fluctuating prices for crude oil and natural gas; changes in drilling activity; general global economic, political and business conditions; weather conditions; regulatory changes; the successful exploitation and integration of technology; customer acceptance of technology; success in obtaining issued patents; the potential development of competing technologies by market competitors; and availability of products, qualified personnel, manufacturing capacity and raw materials. In addition, actual results could differ materially from those anticipated in these forward-looking statements as a result of the risk factors set forth under the section entitled "Business Risks" in this document.

Headquartered in Calgary, Alberta, Trican has operations in Canada, Russia, the US, Saudi Arabia, and North Africa. Trican provides a comprehensive array of specialized products, equipment and services that are used during the exploration and development of oil and gas reserves.

Requests for shareholder information should be directed to Dale Dusterhoft or Michael Baldwin.

Contact Information

  • Trican Well Service Ltd.
    Dale Dusterhoft
    Chief Executive Officer
    (403) 266-0202

    Trican Well Service Ltd.
    Michael Baldwin
    Vice President, Finance and Chief Financial Officer
    (403) 266-0202
    (403) 237-7716 (FAX)

    Trican Well Service Ltd.
    2900, 645 - 7th Avenue S.W.
    Calgary, Alberta T2P 4G8