Xtreme Announces Fourth Quarter 2017 Operations Update, Director Resignation and Conference Call Information
February 06 2018 - 6:39AM
Xtreme Drilling Corp. (TSX:XDC) (“Xtreme”, the “Company”) is
pleased to announce the fourth quarter 2017 operations update,
along with the dates for the quarterly earnings release and
conference call.
Fourth Quarter Operating
Update
For the fourth quarter of 2017 Xtreme had total
operating days of 707 from drilling operations as compared to the
prior quarter of 851.
In the fourth quarter, Xtreme had two XDR 500
rigs release earlier than expected from well to well contracts.
This resulted in approximately 90 fewer days than anticipated for
the quarter. After the release of these two rigs in November the
Company was able to secure 12 month term contracts for each
rig. Both rigs re-started operations around January 1, 2018
with a new customer. In addition, the Company had
approximately 62 operating days in the third quarter of 2017 from
the XDR 200 rigs. As previously announced Xtreme closed on the sale
of the XDR 200 rigs at the end of the third quarter and did not
record any operating days in the fourth quarter from these
rigs.
2018 Utilization
The first Evolution Series 850XE rig (rig 801)
commenced operation on January 19, 2018 on a two year term
contract. It is anticipated that rig 802 will commence
operation around March 1 and rig 803 around April 1, 2018.
Both of these rigs are on 18 month term contracts in the Utica play
of Ohio.
The Company had nine XDR 500 rigs operating and
commenced operations with the first 850XE for the month of January.
It is anticipated that the Company will average 8.5 XDR 500 rigs
working in the first quarter of 2018 and one 850 XE operating in
the quarter. For the remainder of the year Xtreme anticipates
on average 8.7 of 9 available XDR 500 rigs operating and three of
three available 850XE rigs operating. Currently, the Company
has in excess of 3,900 days contracted under term, with 3,100 of
the contracted days in 2018.
Resignation of Director
The Company also announces the resignation of
Mr. Colin Burnett from the Board of Directors with immediate
effect. The Board would like to thank Mr. Burnett for his dedicated
service to the Company since his appointment in 2016. The Company
anticipates that it will put forward seven nominees for election by
the shareholders at the 2018 annual meeting.
Fourth Quarter Results and Conference
Call
The Company expects to announce financial and
operating results as of December 31, 2017, and for the three months
then ended after market close on Thursday, March 8, 2018 with a
follow‐up conference call planned for Friday, March 9, 2019
at 10:00 am MT, 11:00 am CT. Matt Porter, President and Chief
Executive Officer, and Martin Ramirez, Vice President – Finance and
Corporate Development, will host the conference call and will
answer questions from analysts and investors.
To participate in the conference call, please
dial in as follows approximately ten minutes before the start time
in your time zone.
+1 844-889-6858 (North America Toll‐Free) or +1
661-378-9711 (International)Webcast link:
https://edge.media-server.com/m6/p/38vw9vuo Conference
ID: 1087317
An audio replay of the call will be available
until 4:00 pm Wednesday, March 14, 2018. To access the
replay, call +1 855-859-2056 or +1 404-537-3406 and enter Passcode
1087317.
Reader Advisory
This press release contains forward-looking
statements. More particularly, this press release contains
statements concerning commencement of operations. Although the
Company believes that the expectations reflected in these
forward-looking statements are reasonable, undue reliance should
not be placed on them because the Company can give no assurance
that they will prove to be correct. Since forward looking
statements address future events and conditions, by their very
nature they involve inherent risks and uncertainties. The
forward-looking statements contained in this press release are made
as of the date hereof and the Company undertakes no obligations to
update publicly or revise any forward- looking statements or
information, whether as a result of new information, future events
or otherwise, unless so required by applicable securities laws.
About Xtreme
Xtreme Drilling Corp. (“XDC” on the Toronto
Stock Exchange) designs, builds, and operates a fleet of high
specification drilling rigs under contracts with oil and natural
gas exploration and production companies and integrated oilfield
service providers in Canada and the United States. For more
information about the Company, please visit www.xdccorp.com.
For further information, please contact:
Xtreme Drilling Corp.Matt PorterPresident and Chief Executive
Officer+1 281 994 4600ir@xdccorp.comwww.xdccorp.com