Western Lakota Energy Services Inc.
TSX : WLE

Western Lakota Energy Services Inc.

April 13, 2005 13:19 ET

Western Lakota Signs Letter of Intent to Acquire Six Drilling Rigs

CALGARY, ALBERTA--(CCNMatthews - April 13, 2005) - Western Lakota Energy
Services Inc. (WLE - TSX Venture), announces the signing of a letter of
intent to purchase the assets and operations of Hemsing Drilling Ltd. The
assets include six telescoping double drilling rigs and all related spare
equipment. These new generation rigs, which are currently operating
throughout Alberta, were built between 1996 and 2003 and range in depth
capacity from 2,500 to 3,200 metres. The completion of the proposed
transaction is subject to a number of conditions, including completing
satisfactory due diligence and obtaining satisfactory financing. Closing
is targeted for May 17, 2005 or sooner.

The addition of these six rigs would bring Western Lakota's current
ownership from 8.5 net rigs to 14.5 net rigs after the proposed
transaction.

One of Canada's fastest-growing drilling contractors, Western Lakota
currently operates 16 rigs and plans to grow its fleet to 30 rigs by the
end of 2005, increasing the Company's net ownership to 22.5 rigs. The
additional 14 rigs would include the eight new builds previously
announced, as well as the proposed six from this transaction. Western
Lakota continues to provide one of the newest fleets of safe and efficient
drilling rigs in Canada while striving to deliver strong results for
shareholders, customers and partners.

The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.

Contact Information

  • Western Lakota Energy Services Inc.
    Elson McDougald
    President and C.E.O.
    (403) 214-5953
    Email: elson@westernlakota.com
    Website: www.westernlakota.com
    or
    Western Lakota Energy Services Inc.
    1050, 400 - 5th Avenue SW,
    Calgary, Alberta T2P 0L6
    (403) 214-5970
    (403) 214-5955 (FAX)