Wellco Energy Services Trust

Wellco Energy Services Trust

January 28, 2008 09:00 ET

Wellco Announces Agreement to Sell Production Testing Division

CALGARY, ALBERTA--(Marketwire - Jan. 28, 2008) - Wellco Energy Services Trust (TSX:WLL.UN) ("Wellco" or the "Trust") and 1374676 Alberta Ltd. (a private Alberta company) have entered into an agreement for the purchase and sale of the assets of Wellco's Production Testing Division (excluding frac blow back tanks) for total cash consideration of $6.5 million. Lonkar Well Testing Ltd., will be operator of the production testing assets commencing at close, with no disruption in service to our customers. The transaction is expected to close today or January 29, 2008, with net proceeds being applied to the reduction of long-term debt. Results for this group of assets have been reported under the Production Services segment.

This disposition concludes Wellco's ongoing assessment and review of its product lines with the objective of improving unitholder value and enhancing opportunities in the Trust's core businesses. The Trust's business is now focused on remote accommodations including waste water treatment rentals and water and waste water treatment design and assembly.

This transaction will in no way delay or otherwise affect the previously announced merger involving Wellco and Peak Energy Services Trust.

Wellco Energy Services Trust provides the following products and services:

- Accommodations (both camps and wellsite trailers)

- Full service catering

- Wastewater treatment rentals

- Surface equipment rentals

- Water and Wastewater treatment design and assembly

This press release may contain forward-looking statements based on the interpretation of industry indicators, reliance upon which involves substantial and unknown risk and uncertainty. These risks and uncertainties are beyond the control of Wellco Energy Services Trust, and no assurance can be given that any of these events or outcomes anticipated by these statements will transpire, or that Wellco Energy Services Trust will benefit therefrom.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

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