Xtreme Announces Second Quarter 2018 Operations Update
August 07 2018 - 5:26PM
Xtreme Drilling Corp. (TSX:XDC) (“Xtreme” or “Company”) is pleased
to announce the second quarter 2018 operations update, along with
the dates for the quarterly earnings release.
Second Quarter Update
For the second quarter of 2018 Xtreme had total
operating days of 916 as compared to the prior quarter of 845
days. This represented the highest level of activity for the
Company since the fourth quarter of 2015. Utilization on the nine
marketed XDR 500 and three available 850XE rigs was 86% for the
second quarter. In late April the third newbuild 850XE rig
commenced operations in the Utica play of Ohio. During the second
quarter Xtreme had 10.1 rigs in operation on average.
Xtreme generated operating revenue of $23.4
million CAD in the second quarter as compared to $21.3 million CAD
in the prior quarter. In addition, the Company achieved an
operating margin (operating revenue less operating expenses) of
$5.4 million CAD in the second quarter. This compares to an
operating margin of $3.9 million CAD in the prior quarter.
It is anticipated that the Company will average
approximately eight XDR 500 rigs and three 850XE rigs operating in
the third quarter of 2018. At quarter end the Company had
approximately 4,350 days of expected operating backlog with leading
operators in the Williston, DJ, Anadarko and Appalachian Basins of
the United States.
Second Quarter Financial
Results
The Company expects to announce financial
results as of June 30, 2018, after market close on Tuesday, August
14, 2018. The Company will not hold a follow up earnings call due
to the pending transaction with Akita Drilling Ltd. which is
expected to close in the third quarter of 2018.
Reader Advisory
This press release contains forward-looking
statements. More particularly, this press release contains
statements concerning commencement of operations, future revenue
and the closing of the transaction with Akita Drilling Ltd.
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 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