Press Release

View printer-friendly version

<< Back

Basic Energy Services Reports Selected Operating Data For September 2014

FORT WORTH, Texas, Oct. 10, 2014 /PRNewswire/ -- Basic Energy Services, Inc. (NYSE: BAS) ("Basic") today reported selected operating data for the month of September 2014.  Basic's well servicing rig count remained unchanged at 421. Well servicing rig hours for the month were 71,800 producing a rig utilization rate of 71%, compared to 74% and 69% in August 2014 and September 2013, respectively.

During the month, Basic's fluid service truck count increased by 21 to 1,045. Fluid service truck hours for the month were 215,800 compared to 215,100 and 189,600 in August 2014 and September 2013, respectively.

Drilling rig days for the month were 327 producing a rig utilization of 91%, compared to 83% and 74% in August 2014 and September 2013, respectively.

Roe Patterson, Basic's President and Chief Executive Officer, stated, "Activity levels in September were steady across our footprint. We experienced the normal impact of the Labor Day holiday as well as severe rainy conditions in the Permian Basin and Mid-Continent operating areas which impacted utilization in all segments.  Despite wet conditions in mid-September, our stimulation segment maintained high levels of activity as we were able to work at full pace during the weekends in the latter part of September to overcome most of the weather effect in that segment.  During the month, we received the final components of our previously announced 2014 horsepower additions. Our contract drilling operations were able to perform at higher levels than we achieved in August.  Fluid service truck hours were generally flat and well servicing utilization was lower in September compared to August as these segments were impacted most by the Labor Day holiday and the rainy conditions.

"We now expect our third quarter revenue to be approximately 9% to 10% higher sequentially compared to our previous guidance of 4% to 6%.  Revenue from our completion and remedial segment, particularly from stimulation services, was greater than expected as our horsepower additions were deployed in the field earlier than anticipated. Despite the greater than anticipated revenue growth, pricing remains very competitive, especially in our fluid services and well servicing segments as we continue to experience higher labor and other costs.

"We will discuss our fourth quarter revenue expectations, pricing trends and our preliminary 2015 capital expenditure plans during our third quarter earnings call later this month."

OPERATING DATA






Month ended





September 30,


August 31,





2014

2013


2014









Number of weekdays in period



22

21


21









Number of well servicing rigs: 1







  Weighted average for period 2



421

421


421

  End of period 2



421

421


421

  Rig hours (000s) 2



71.8

67.2


72.4

  Rig utilization rate 2,3



71%

69%


74%









Number of fluid service trucks: 1







  Weighted average for period



1,035

970


1,022

  End of period



1,045

969


1,024

  Truck Hours (000s)



215.8

189.6


215.1









Number of drilling rigs: 1







  Weighted average for period



12

12


12

  End of period



12

12


12

  Drilling rig days



327

267


310

  Drilling rig utilization



91%

74%


83%



(1)   

Includes all rigs and trucks owned during periods presented and excludes rigs and trucks held for sale.

(2)  

Basic sold its four inland barge workover rigs on March 31, 2014.  The weighted average number of rigs, number of rigs at the end of the period, rig hours and rig utilization rate for September 2013 has been recalculated as if these four rigs had been sold for that period.

(3)

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, 2013 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


817-334-4100




Jack Lascar / Stephanie Smith


Dennard – Lascar Associates


713-529-6600

SOURCE Basic Energy Services, Inc.

Basic Energy Services © 2019