MIDLAND, Texas, Aug. 13, 2012 /PRNewswire/ -- Basic Energy
Services, Inc. (NYSE: BAS) ("Basic") today reported selected
operating data for the month of July 2012. Basic's well
servicing rig count remained unchanged at 431. Well servicing rig
hours for the month were 77,400 producing a rig utilization rate of
74%, compared to 76% and 73% in June
2012 and July 2011,
respectively.
During the month, Basic's fluid service truck count increased by
one truck to 927. Fluid service truck hours for the month
were 184,800, compared to 178,400 and 183,400 in June 2012 and July
2011, respectively.
Drilling rig days for the month were 330 producing a rig
utilization of 89%, compared to 91% and 90% in June 2012 and July
2011, respectively.
Ken Huseman, Basic's President
and Chief Executive Officer, stated, "July activity levels produced
slightly higher well servicing and fluid services truck hours
compared to June despite a mid-week July
4th holiday which tends to depress activity for
the entire week. Demand continued strong in oil markets and
our small Appalachian well servicing fleet saw its activity recover
a bit from the extremely low levels recorded in
June. Our drilling rig fleet continued at essentially
full utilization throughout the month. Service lines in our
Completion and Remedial Services segment, particularly our
stimulation services, experienced slightly lower activity and
pricing levels along the lines we have previously projected.
"Notwithstanding the relatively stable activity generated in
July, we expect activity and pricing to gradually deteriorate in
all service lines through the balance of the year. Equipment
and service companies relocating from extremely slow dry gas
markets and deliveries of equipment ordered earlier in the year are
competing for a flattening level of demand in our oilier markets
and creating downward pressure on pricing and upward pressure on
wages. Protecting our market share, restricting capital
spending and controlling costs remain our priorities in the current
operating environment. With total liquidity of more than
$335 million at the end of July, we
have the ability to take advantage of any fallout this competitive
market may create."
OPERATING DATA
|
|
|
|
|
|
|
Month
ended
|
|
July
31,
|
|
June
30,
|
|
2012
|
2011
|
|
2012
|
|
|
|
|
|
Number of
weekdays in period
|
22
|
21
|
|
21
|
|
|
|
|
|
Number of
well servicing rigs: 1
|
|
|
|
|
Weighted average for period
|
431
|
412
|
|
431
|
End
of period
|
431
|
412
|
|
431
|
Rig hours
(000s)
|
77.4
|
69.0
|
|
76.1
|
Rig
utilization rate2
|
74%
|
73%
|
|
76%
|
|
|
|
|
|
Number of
fluid service trucks:1
|
|
|
|
|
Weighted average for period
|
926
|
863
|
|
923
|
End
of period
|
927
|
871
|
|
926
|
Truck
hours (000s)
|
184.8
|
183.4
|
|
178.4
|
|
|
|
|
|
Number of
drilling rigs:1
|
|
|
|
|
Weighted average for period
|
12
|
10
|
|
12
|
End
of period
|
12
|
10
|
|
12
|
Drilling
rig days
|
330
|
279
|
|
329
|
Drilling
rig utilization
|
89%
|
90%
|
|
91%
|
|
|
|
|
|
|
(1) Includes all rigs and trucks
owned during periods presented and excludes rigs and trucks held
for sale.
|
(2) Rig utilization rate based on the
weighted average number of rigs owned during the periods being
reported, a 55-hour work week per rig and the number of weekdays in
the periods being presented.
|
Basic Energy Services provides well site services essential to
maintaining production from the oil and gas wells within its
operating area. The company employs more than 5,700 employees
in more than 100 service points throughout the major oil and gas
producing regions in Texas,
Louisiana, Oklahoma, New
Mexico, Arkansas,
Kansas and the Rocky Mountain and
Appalachian regions. Additional information on Basic Energy
Services is available on the Company's website at
http://www.basicenergyservices.com.
Safe Harbor Statement
This release includes forward-looking statements and
projections, made in reliance on the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Basic has
made every reasonable effort to ensure that the information and
assumptions on which these statements and projections are based are
current, reasonable, and complete. However, a variety of
factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in
this release, including (i) changes in demand for our services and
any related material impact on our pricing and utilizations rates,
(ii) Basic's ability to execute, manage and integrate acquisitions
successfully and (iii) changes in our expenses, including labor or
fuel costs and financing costs. Additional important risk
factors that could cause actual results to differ materially from
expectations are disclosed in Item 1A of Basic's Form 10-K for the
year ended December 31, 2011 and
subsequent Form 10-Qs filed with the SEC. While Basic makes
these statements and projections in good faith, neither Basic nor
its management can guarantee that anticipated future results will
be achieved. Basic assumes no obligation to publicly update
or revise any forward-looking statements made herein or any other
forward-looking statements made by Basic, whether as a result of
new information, future events, or otherwise.
Contacts:
|
Alan
Krenek, Chief Financial Officer
|
|
Basic
Energy Services, Inc.
|
|
432-620-5516
|
|
|
Jack
Lascar/Sheila Stuewe
|
|
DRG&L / 713-529-6600
|
SOURCE Basic Energy Services, Inc.