CALGARY, AB, April 26, 2021 /CNW Telbec/ - Western Energy
Services Corp. ("Western" or the "Company") (TSX: WRG) announces
the release of its first quarter 2021 financial and operating
results. Additional information relating to the Company,
including the Company's financial statements and management's
discussion and analysis ("MD&A") as at and for the three months
ended March 31, 2021 and 2020 will be
available on SEDAR at www.sedar.com. Non-International
Financial Reporting Standards ("Non-IFRS") measures, such as
Adjusted EBITDA, and abbreviations and definitions for standard
industry terms are defined later in this press release. All
amounts are denominated in Canadian dollars (CDN$) unless otherwise
identified.
First Quarter 2021 Operating Results:
- First quarter revenue decreased by $14.8
million (or 29%) to $37.0
million in 2021 as compared to $51.8
million in the first quarter of 2020. In the contract
drilling segment, revenue totalled $20.3
million in the first quarter of 2021, a decrease of
$13.9 million (or 41%) as compared to
$34.2 million in the first quarter of
2020. In the production services segment, revenue totalled
$16.9 million for the three months
ended March 31, 2021, as compared to
$17.7 million in the same period of
the prior year, a decrease of $0.8
million (or 5%). The ongoing COVID-19 pandemic
significantly impacted revenue in the contract drilling and
production services segments as described below:
-
- The COVID-19 pandemic had a significant impact on customer
demand and drilling rig utilization – Operating Days ("Drilling Rig
Utilization") in Canada averaged
22% in the first quarter of 2021, compared to a Drilling Rig
Utilization average of 27% in the same period of the prior
year. The decrease in activity in the first quarter of 2021
was mainly attributable to the decrease in demand, as a result of
the COVID-19 pandemic, which resulted in heightened market
uncertainty and customers reducing their 2021 drilling
programs. The Canadian Association of Oilwell Drilling
Contractors ("CAODC") industry average of
27%[1] for the first quarter of 2021
represented a decrease of 800 basis points ("bps") compared to the
CAODC industry average of 35% in the first quarter of 2020, mainly
due to lower demand as a result of the COVID-19 pandemic.
However, Western's market share, represented by the Company's
Operating Days as a percentage of the CAODC's total Operating Days
in the Western Canadian Sedimentary Basin ("WCSB"), improved to
8.2% for the first quarter of 2021, as compared to 7.2% in the same
period of 2020. Revenue per Billable Day decreased by 16% in
the first quarter of 2021, as compared to the same period of the
prior year, as current market rates weakened in the period;
- In the United States ("US"),
the demand destruction as a result of the COVID-19 pandemic had a
significant impact on Drilling Rig Utilization which totalled 5%,
as one rig worked in the first quarter of 2021, compared to 20%
Drilling Rig Utilization in the first quarter of 2020, reflecting a
75% decrease in Operating Days. Revenue per Billable Day for
the first quarter of 2021 decreased by 39% to US$12,142, as compared to the same period of the
prior year, as current spot market rates weakened in the period;
and
- In Canada, service rig
utilization of 37% in the first quarter of 2021 was consistent with
the same period of the prior year. Lower production and
completion activity was offset by increased abandonment work as a
result of government incentives. Revenue per Service Hour of
$727 in the first quarter of 2021 was
also consistent with the first quarter of 2020. Lower
utilization led to well servicing revenue totalling $15.0 million in the first quarter of 2021, a
decrease of $0.6 million (or 4%), as
compared to the same period in the prior year.
- Administrative expenses decreased by $0.6 million (or 17%) to $3.2 million in the first quarter of 2021, as
compared to $3.8 million in the first
quarter of 2020, mainly due to lower employee related costs as a
result of headcount reductions in 2020, a focus on cost management,
as well as the Canada Emergency
Wage Subsidy ("CEWS") from the Government of Canada due to the COVID-19 pandemic.
- The Company incurred a net loss of $6.4
million in the first quarter of 2021 ($0.07 per basic common share) as compared to a
net loss of $15.3 million in the same
period in 2020 ($0.17 per basic
common share). The change can mainly be attributed to the
2020 impairment of $11.5 million and
a $2.1 million decrease in
depreciation expense due to certain assets being fully depreciated
in the period, as well as the impact to depreciation of asset
impairments in previous quarters, offset partially by a
$3.1 million decrease in income tax
recovery and the $1.5 million
decrease in Adjusted EBITDA.
- First quarter Adjusted EBITDA in 2021 was lower than the same
period of the prior year and totalled $6.9
million, compared to $8.4
million in the first quarter of 2020. Adjusted EBITDA
was lower due to reduced contract drilling activity in Canada and the
United States, which was offset partially by improved well
servicing and oilfield rental equipment margins in Canada, the CEWS of $3.2 million and headcount reductions in
2020.
1 Source:
CAODC, monthly Contractor Summary.
|
- First quarter 2021 additions to property and equipment of
$0.9 million compared to $0.6 million incurred in the first quarter of
2020 and consist of maintenance capital.
Selected Financial
Information
|
|
|
|
(stated in
thousands, Except share and per share amounts)
|
|
|
|
|
Three months ended
March 31
|
Financial
Highlights
|
2021
|
2020
|
Change
|
Revenue
|
36,969
|
51,765
|
(29%)
|
Adjusted
EBITDA(1)
|
6,891
|
8,361
|
(18%)
|
Adjusted EBITDA as a
percentage of revenue
|
19%
|
16%
|
19%
|
Cash flow from
operating activities
|
1,521
|
1,539
|
(1%)
|
Additions to property
and equipment
|
873
|
575
|
52%
|
Net loss
|
(6,454)
|
(15,331)
|
(58%)
|
– basic net loss per
share
|
(0.07)
|
(0.17)
|
(59%)
|
– diluted net loss per
share
|
(0.07)
|
(0.17)
|
(59%)
|
Weighted average
number of shares
|
|
|
|
– basic
|
91,184,713
|
91,892,784
|
(1%)
|
– diluted
|
91,184,713
|
91,892,784
|
(1%)
|
Outstanding common
shares as at period end
|
91,200,072
|
90,918,814
|
-
|
(1) See
"Non-IFRS measures" included in this press release.
|
|
|
|
|
|
|
Three months ended
March 31
|
Operating
Highlights(2)
|
2021
|
2020
|
Change
|
Contract
Drilling
|
|
|
|
Canadian
Operations:
|
|
|
|
Contract drilling rig
fleet:
|
|
|
|
– Average
active rig count
|
11.7
|
14.7
|
(20%)
|
– End of
period
|
49
|
49
|
-
|
Revenue per Billable
Day
|
18,553
|
22,091
|
(16%)
|
Revenue per Operating
Day
|
20,561
|
25,050
|
(18%)
|
Operating
Days
|
953
|
1,179
|
(19%)
|
Drilling rig
utilization – Billable Days
|
24%
|
30%
|
(20%)
|
Drilling rig
utilization – Operating Days
|
22%
|
27%
|
(19%)
|
CAODC industry
average utilization – Operating Days(3)
|
27%
|
35%
|
(23%)
|
United States
Operations:
|
|
|
|
Contract drilling rig
fleet:
|
|
|
|
– Average active rig
count
|
0.5
|
1.8
|
(72%)
|
– End of
period
|
8
|
8
|
-
|
Revenue per Billable
Day (US$)
|
12,142
|
20,056(4)
|
(39%)
|
Revenue per Operating
Day (US$)
|
14,574
|
22,945(4)
|
(36%)
|
Operating
Days
|
38
|
142
|
(73%)
|
Drilling rig
utilization – Billable Days
|
6%
|
22%
|
(73%)
|
Drilling rig
utilization – Operating Days
|
5%
|
20%
|
(75%)
|
Production
Services
|
|
|
|
Canadian
Operations:
Well servicing rig
fleet:
|
|
|
|
– Average active rig
count
|
23.0
|
23.6
|
(3%)
|
– End of
period
|
63
|
63
|
-
|
Revenue per Service
Hour
|
727
|
727
|
-
|
Service
Hours
|
20,702
|
21,491
|
(4%)
|
Service rig
utilization
|
37%
|
38%
|
(3%)
|
(2) See "Defined
Terms" included in this press release.
|
|
|
|
(3) Source: The
Canadian Association of Oilwell Drilling Contractors ("CAODC")
monthly Contractor Summary. The CAODC industry average is
based on Operating Days divided by total available drilling
days.
|
|
|
|
(4) Excludes
shortfall commitment revenue from take or pay contracts of US$0.2
million for the three months ended March 31, 2020.
|
|
|
|
|
|
|
|
Financial Position
at (stated in thousands)
|
March 31,
2021
|
December 31,
2020
|
March 31,
2020
|
Working
capital
|
13,427
|
15,997
|
20,918
|
Property and
equipment
|
440,836
|
452,040
|
496,974
|
Total
assets
|
478,527
|
495,625
|
542,131
|
Long term
debt
|
233,418
|
237,633
|
239,118
|
Western is an oilfield service company focused on three core
business lines: contract drilling, well servicing and oilfield
rental equipment services. Western provides contract drilling
services through its division, Horizon Drilling ("Horizon") in
Canada, and its wholly owned
subsidiary, Stoneham Drilling Corporation ("Stoneham") in the
US. Western provides well servicing and oilfield rental
equipment services in Canada
through its wholly owned subsidiary Western Production Services
Corp. ("Western Production Services"). Western Production
Services' division, Eagle Well Servicing ("Eagle") provides well
servicing, while its division, Aero Rental Services ("Aero")
provides oilfield rental equipment services. Stoneham's division, Western Oilfield
Services, provides well servicing operations in the US.
Financial and operating results for Horizon and Stoneham are included in Western's contract
drilling segment, while financial and operating results for Eagle,
Aero, and Western Oilfield Services are included in Western's
production services segment.
Western has a drilling rig fleet of 57 rigs specifically suited
for drilling complex horizontal wells. Western is currently
the fourth largest drilling contractor in Canada, based on the CAODC registered
rigs[2], with a fleet of 49 rigs operating
through Horizon. Of the Canadian fleet, 23 are classified as
Cardium class rigs, 19 as Montney
class rigs and seven as Duvernay
class rigs. As compared to the Cardium class rigs, the
Montney class rigs have a larger
hookload, while the Duvernay class
rigs have the largest hookload allowing the rig to support more
drill pipe downhole. Additionally, Western has eight drilling
rigs operating through Stoneham in
the US, including six Duvernay
class rigs. Western is also the third largest well servicing
company in Canada, based on the
CAODC registered rigs[3], with a fleet
of 63 rigs operating through Eagle. Additionally, Western
Oilfield Services operates three well servicing rigs in the
Bakersfield area of California in the US. Western's oilfield
rental equipment division, which operates through Aero, provides
oilfield rental equipment for hydraulic fracturing services, well
completions and production work, abandonment work, coil tubing and
drilling services.
Crude oil and natural gas prices impact the cash flow of
Western's customers, which in turn impacts the demand for Western's
services. The following table summarizes average crude oil
and natural gas prices, as well as average foreign exchange rates,
for the three months ended March 31,
2021 and 2020.
|
|
|
Three months ended
March 31
|
|
2021
|
2020
|
Change
|
Average crude oil
and natural gas prices(1)(2)
|
|
|
|
|
|
|
|
Crude
Oil
|
|
|
|
West Texas
Intermediate (US$/bbl)
|
57.84
|
46.17
|
25%
|
Western Canadian
Select (CDN$/bbl)
|
57.43
|
34.10
|
68%
|
|
|
|
|
Natural
Gas
|
|
|
|
30 day Spot AECO
(CDN$/mcf)
|
3.05
|
1.98
|
54%
|
|
|
|
|
Average foreign
exchange rates(2)
|
|
|
|
US dollar to Canadian
dollar
|
1.27
|
1.34
|
(5%)
|
(1) See
"Abbreviations" included in this press release.
(2) Source:
Sproule March 31, 2021 Price Forecast, Historical
Prices.
|
West Texas Intermediate ("WTI") on average improved by 25% for
the three months ended March 31, 2021
compared to the same period in the prior year. Similarly,
pricing on Western Canadian Select ("WCS") crude oil increased by
68% for the three months ended March 31,
2021, compared to the same period in the prior year.
While crude oil prices in 2021 for both Canada and the US continued to be impacted by
the ongoing COVID-19 pandemic, pricing has improved as demand for
crude oil begins to recover as vaccine rollouts continue worldwide
and OPEC continued to maintain production cuts. Natural gas
prices in Canada also strengthened
in 2021, as the 30 day spot AECO price improved by 54% for the
three months ended March 31, 2021
compared to the same period of the prior year. Offsetting
this increase in pricing, the US dollar to the Canadian dollar
foreign exchange rate weakened in the first quarter of 2021
compared to the same period of the prior year, which impacted the
cash flows of Western's Canadian customers, when selling US dollar
denominated commodities.
2 Source: CAODC Contractor Summary as
at April 26, 2021.
3 Source: CAODC Fleet List as at April 26,
2021.
|
In the United States, industry
activity continued to be low in 2021. As reported by Baker
Hughes Company4, the number of active
drilling rigs in the United States
decreased by approximately 35% to 430 rigs at March 31, 2021, as compared to the same period in
the prior year. Low demand as a result of the ongoing
COVID-19 pandemic continues to have an impact on industry activity
in both the US and in Canada in
2021. Prior to the COVID-19 pandemic, there were also
continued industry concerns over market access, increased
regulation, and the prevailing customer preference to return cash
to shareholders, or pay down debt, rather than grow production
through the drill bit in Canada
and the US. The number of active rigs in the WCSB improved to
79 active rigs at March 31, 2021,
compared to 49 active rigs at March
31, 2020. The CAODC5 reported that for
drilling in Canada, the total
number of Operating Days in the WCSB decreased by approximately 29%
in the first quarter of 2021 as compared to the first quarter of
2020.
Outlook
Currently, 5 of Western's drilling rigs and 13
of Western's well servicing rigs are operating. One of Western's 57
drilling rigs is under a term take or pay contract, which is
expected to expire in 2021. These contracts each typically
generate between 250 and 350 Billable Days per year.
Due to decreased activity levels as a result of the demand
destruction in 2020 which continued into 2021 associated with the
COVID-19 pandemic, Western's capital budget for 2021 is
approximately $6 million, which is
expected to be comprised of maintenance capital, of which
$4 million is for the contract
drilling segment and $2 million is
for the production services segment. Western believes the
2021 capital budget provides a prudent use of cash resources to
manage its balance sheet. Western will continue to manage its
operations in a disciplined manner and make required adjustments to
its capital program as customer demand changes.
While crude oil prices reached historical lows in 2020 due to
the demand destruction caused by the COVID-19 pandemic, in the
first quarter of 2021, crude oil prices began to recover.
However, uncertainty now exists concerning the timing of COVID-19
vaccine distribution and the potential impact of COVID-19 variants
on possible future government restrictions, both of which have an
impact on demand in the near term. The precise duration and
extent of the adverse impacts of the current macroeconomic
environment and the COVID-19 pandemic on Western's customers,
operations, business and global economic activity remains highly
uncertain at this time. Additionally, the January 2021 executive order by the President of
the United States cancelling the
permit that had allowed construction of the Keystone XL pipeline,
the uncertain timing of completion of construction on the Trans
Mountain pipeline expansion, as well as uncertainty regarding the
in service date of the Enbridge Line 3 pipeline replacement and the
threatened shutdown of Enbridge Line 5 in May 2021, have all resulted in continued
uncertainty regarding takeaway capacity. However, activity
levels in Canada and the United States in 2021 are expected to be
marginally higher than 2020 levels. Controlling fixed costs,
maintaining balance sheet flexibility and managing through the
unprecedented market downturn are priorities for the Company, as
prices and demand for Western's services remain below historical
levels. Western continues to identify further opportunities
to streamline its support structure and implement additional cost
control measures. Going forward, Western expects that its
variable cost structure, and prudent capital budget, will aid in
preserving its balance sheet.
As at March 31, 2021, Western had
$8.0 million drawn on its
$60.0 million credit facilities,
consisting of its $50.0 million
syndicated first lien credit facility (the "Revolving Facility")
and its $10.0 million committed
operating facility (the "Operating Facility" and together the
"Credit Facilities"), which mature on July
1, 2022 and $12.5 million
drawn on its HSBC Bank Canada ("HSBC") six-year committed term
non-revolving facility with the participation of Business
Development Canada ("BDC" and together the "HSBC Facility"), which
matures December 31, 2026.
Western currently has $208.6 million
outstanding on its Second Lien Facility, which matures on
January 31,
2023.
Oilfield service activity in Canada will be affected by the development of
resource plays in Alberta and
northeast British Columbia which
will be impacted by pipeline construction, environmental
regulations, and the level of investment in Canada. In the
short term, the largest challenges facing the oilfield service
industry are ongoing liquidity concerns due to reduced customer
spending caused by the demand destruction from the COVID-19
pandemic and limited take away capacity. In the medium term,
Western's rig fleet is well positioned to benefit from the LNG
Canada liquefied natural gas project now under construction in
British Columbia. It remains Western's view that its modern
drilling and well servicing rig fleets, reputation, and disciplined
cash management provide a competitive advantage which will enable
the Company to manage through the current challenging oilfield
service environment.
4 Source: Baker Hughes Company, 2021
Rig Count monthly press releases.
5 Source: CAODC, monthly Contractor
Summary
|
Non-IFRS Measures
Western uses certain measures in this press release which do not
have any standardized meaning as prescribed by International
Financial Reporting Standards ("IFRS"). These measures, which
are derived from information reported in the condensed consolidated
financial statements, may not be comparable to similar measures
presented by other reporting issuers. These measures have
been described and presented in this press release in order to
provide shareholders and potential investors with additional
information regarding the Company. The Non-IFRS measure used
in this press release is identified and defined as follows:
Adjusted EBITDA
Earnings before interest and finance costs, taxes, depreciation
and amortization, other non-cash items and one-time gains and
losses ("Adjusted EBITDA") is a useful supplemental measure as it
is used by management and other stakeholders, including current and
potential investors, to analyze the Company's principal business
activities. Adjusted EBITDA provides an indication of the
results generated by the Company's principal operating segments,
which assists management in monitoring current and forecasting
future operations, as certain non-core items such as interest and
finance costs, taxes, depreciation and amortization, and other
non-cash items and one-time gains and losses are removed. The
closest IFRS measure would be net loss for consolidated
results.
The following table provides a reconciliation of net loss, as
disclosed in the condensed consolidated statements of operations
and comprehensive income, to Adjusted EBITDA:
|
Three months ended
March 31
|
(stated in
thousands)
|
2021
|
2020
|
Net
loss
|
(6,454)
|
(15,331)
|
Income tax
recovery
|
(2,062)
|
(5,139)
|
Loss before income
taxes
|
(8,516)
|
(20,470)
|
Add
(deduct):
|
|
|
Depreciation
|
10,806
|
12,898
|
Stock based
compensation
|
68
|
100
|
Finance
costs
|
4,568
|
4,678
|
Other items
|
(35)
|
(345)
|
Impairment of property
and equipment
|
-
|
11,500
|
Adjusted
EBITDA
|
6,891
|
8,361
|
Defined Terms:
Average active rig count (contract drilling): Calculated
as drilling rig utilization – Billable Days multiplied by the
average number of drilling rigs in the Company's fleet for the
period.
Average active rig count (production services): Calculated
as service rig utilization multiplied by the average number of
service rigs in the Company's fleet for the period.
Billable Days: Defined as Operating Days plus rig
mobilization days.
Drilling rig utilization – Operating Days (or "Drilling
Rig Utilization"): Calculated based on Operating Days
divided by total available days.
Drilling rig utilization – Billable Days:
Calculated based on Billable Days divided by total available
days.
Operating Days: Defined as contract drilling days,
calculated on a spud to rig release basis.
Service Hours: Defined as well servicing hours
completed.
Service rig utilization: Calculated based on Service
Hours divided by available hours, being 10 hours per day, per well
servicing rig, 365 days per year.
Contract Drilling Rig Classifications:
Cardium class rig: Defined as any contract drilling rig
which has a total hookload less than or equal to 399,999 lbs (or
177,999 daN).
Montney class rig: Defined
as any contract drilling rig which has a total hookload between
400,000 lbs (or 178,000 daN) and 499,999 lbs (or 221,999 daN).
Duvernay class rig: Defined
as any contract drilling rig which has a total hookload equal to or
greater than 500,000 lbs (or 222,000 daN).
Abbreviations:
- Barrel ("bbl");
- Basis point ("bps"): A 1% change equals 100 basis points
and a 0.01% change is equal to one basis point;
- Canadian Association of Oilwell Drilling Contractors
("CAODC");
- DecaNewton ("daN");
- International Financial Reporting Standards ("IFRS");
- Pounds ("lbs");
- Thousand cubic feet ("mcf");
- Western Canadian Sedimentary Basin ("WCSB");
- Western Canadian Select ("WCS"); and
- West Texas Intermediate ("WTI").
Forward-Looking Statements and Information
This press release contains certain statements or disclosures
relating to Western that are based on the expectations of Western
as well as assumptions made by and information currently available
to Western which may constitute forward-looking information under
applicable securities laws. All information and statements
contained herein that are not clearly historical in nature
constitute forward-looking information, and words and phrases such
as "may", "will", "should", "could", "expect", "intend",
"anticipate", "believe", "estimate", "plan", "potential",
"continue", "looking to", or the negative of these terms or
other comparable terminology are generally intended to identify
forward-looking information. Such information represents the
Company's internal projections, estimates or beliefs concerning,
among other things, an outlook on the estimated amounts and timing
of additions to property and equipment, anticipated future debt
levels and revenues or other expectations, beliefs, plans,
objectives, assumptions, intentions or statements about future
events or performance. This information involves known and
unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those
anticipated in such forward-looking information.
In particular, forward-looking information in this press release
includes, but is not limited to, statements relating to commodity
pricing; the future demand for the Company's services and
equipment, in particular, in light of the low commodity price
environment associated with the COVID-19 pandemic and the related
economic environment; the potential impact of the ongoing COVID-19
pandemic on the oil and gas industry in Canada and the
United States; the pricing for the Company's services and
equipment; the terms of existing and future drilling contracts
in Canada and the US and the
revenue resulting therefrom (including the number of Billable Days
typically generated from such contracts and expected expiration
dates of such contracts); the Company's maintenance capital plans
for 2021 and its ability to make changes thereto in response to
customer demands; the Company's liquidity needs including the
ability of current capital resources to cover Western's financial
obligations, working capital requirements and the 2021 capital
budget; expectations as to the changes in crude oil transportation
capacity through pipeline developments and uncertainties relating
thereto; expectations as to the benefits of the LNG Canada natural
gas project in British Columbia on
the Company and its rig fleet; the future deployment or retirement
of rigs and other existing assets; the potential impact of changes
to laws, governmental and environmental regulations; the
expectation of continued investment in the Canadian crude oil and
natural gas industry; the development of Alberta and British
Columbia resource plays; expectations relating to producer
spending and activity levels for oilfield services; the Company's
approach to management of its budget and operations; the Company's
ability to maintain a competitive advantage to enable it to manage
the current oilfield service environment; and the Company's ability
to find and maintain enough field crew members.
The material assumptions in making the forward-looking
statements in this press release include, but are not limited to:
demand levels and pricing for oilfield services; demand for crude
oil and natural gas and the price and volatility of crude oil and
natural gas; pressures on commodity pricing; the continued business
relationships between the Company and its significant customers;
the Company's competitive advantage; crude oil transport, pipeline
and LNG export facility approval and development; the Company's
ability to finance its operations; the effectiveness of the
Company's cost structure and capital budget; the effects of
seasonal and weather conditions on operations and facilities; the
competitive environment to which the various business segments are,
or may be, exposed in all aspects of their business and the
Company's competitive position therein; the ability of the
Company's various business segments to access equipment (including
spare parts and new technologies); assumptions with respect to
global economic conditions and the accuracy of the Company's market
outlook expectations for 2021 and in the future; the Company's
expectations regarding the impacts, direct and indirect, of the
COVID-19 pandemic on our business, customers, business partners,
employees, supply chain, other stakeholders and the overall
economy; changes in laws or regulations; currency exchange
fluctuations; the ability of the Company to attract and retain
skilled labour and qualified management; the ability to retain and
attract significant customers; the ability to maintain a
satisfactory safety record; and general business, economic and
market conditions.
Although Western believes that the expectations and assumptions
on which such forward-looking statements and information are based
on are reasonable, undue reliance should not be placed on the
forward-looking statements and information as Western cannot give
any assurance that they will prove to be correct. Since
forward-looking statements and information address future events
and conditions, by their very nature they involve inherent risks
and uncertainties. Actual results could differ materially
from those currently anticipated due to a number of factors and
risks. These include, but are not limited to, the risk that
the low commodity price environment will be sustained for an
indefinite period, the impact of the COVID-19 pandemic and the
resulting effects on economic conditions, restrictions imposed by
public health authorities or governments, fiscal and monetary
responses by governments and financial institutions and disruptions
to global supply chains and other general industry, economic,
market and business conditions. Readers are cautioned that
the foregoing list of risks, uncertainties and assumptions are not
exhaustive. Additional information on these and other risk
factors that could affect Western's operations and financial
results are discussed under the heading "Risk Factors" in Western's
annual information form for the year ended December 31, 2020 which may be accessed through
the SEDAR website at www.sedar.com. The forward-looking
statements and information contained in this press release are made
as of the date hereof and Western does not undertake any obligation
to update publicly or revise any forward-looking statements and
information, whether as a result of new information, future events
or otherwise, unless so required by applicable securities
laws.
SOURCE Western Energy Services Corp.