CALGARY, AB, Aug. 27, 2021 /CNW/ - (TSXV: CWC) CWC Energy
Services Corp. ("CWC" or the "Company") is pleased to announce that
it has divested of its swabbing rig assets and business. The cash
proceeds from the sale will be used to pay down debt and for
general corporate purposes.
The sale of the swabbing rig business is consistent with the
Company's stated objectives of focusing growth on its drilling rig
and service rig businesses. "This transaction allows CWC to
redeploy capital to the contract drilling and well servicing
equipment that are currently in higher demand from our customers
and should result in higher equipment utilization and cash flow,
with the intent to generate a higher return on investment for CWC's
shareholders," said Duncan Au,
President and CEO of CWC. Mr. Au further commented, "We thank all
of our swabbing rig employees for their contributions over the last
four years and wish them continued success with their new
employer."
About CWC Energy Services Corp.
CWC Energy Services Corp. is a premier contract drilling and
well servicing company operating in Canada and the
United States with a complementary suite of oilfield
services including drilling rigs and service rigs. The Company's
corporate office is located in Calgary,
Alberta, with a U.S. office in Denver, Colorado and operational locations in
Nisku, Grande Prairie, Slave Lake, Sylvan
Lake, Drayton Valley,
Lloydminster, Provost, and Brooks, Alberta. The Company's shares
trade on the TSX Venture Exchange under the symbol "CWC".
READER ADVISORY - Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
Certain statements contained in this press release, including
statements which may contain such words as "could", "should",
"believe", "expect", "will", and similar expressions and statements
relating to matters that are not historical facts are
forward-looking statements, including, but not limited to,
statements as to: the Company's present stated business objectives
of becoming a contract drilling and well servicing company in
Western Canada and the anticipated
use of the cash proceeds received from the sale. Management has
made certain assumptions and analyses which reflect their
experiences and knowledge in the industry, including, without
limitations, assumptions pertaining to drilling and well servicing
demand as a result of commodity prices. These assumptions and
analyses are believed to be accurate and truthful at the time, but
the Company cannot assure readers that actual results will be
consistent with these forward-looking statements. However, whether
actual results, performance or achievements will conform to the
Company's expectations and predictions is subject to known and
unknown risks and uncertainties which could cause actual results to
differ materially from the Company's expectations. All
forward-looking statements made in the press release are qualified
by these cautionary statements and there can be no assurance that
the actual results or developments anticipated by the Company will
be realized or, even if substantially realized, that they will have
the expected outcomes to, or effects on, the Company or its
business operations. The Company does not intend and does not
assume any obligation to update these forward-looking statements,
except as expressly required to do so pursuant to applicable
securities laws. Any forward-looking statements made previously may
be inaccurate now.
SOURCE CWC Energy Services Corp.