Press Release

View printer-friendly version

<< Back

Basic Energy Services Reports Selected Operating Data for May 2011

MIDLAND, Texas, June 13, 2011 /PRNewswire via COMTEX/ -- Basic Energy Services, Inc. (NYSE: BAS) ("Basic") today reported selected operating data for the month of May 2011. Basic's well servicing rig count remained constant at 412 as of May 31, 2011. Well servicing rig hours for the month of May 2011 were 68,100 producing a rig utilization rate of 68%, an increase from 67% and 53% in April 2011 and May 2010, respectively.

Basic's fluid service truck count as of May 31, 2011 remained the same at 838 with the average fluid service truck count increasing by four during the month. Fluid service truck hours for the month of May 2011 were 175,700, an increase from 171,700 and 155,800 in April 2011 and May 2010, respectively.

Drilling rig days for the month of May 2011 were 252 producing a rig utilization of 81%, an increase from 69% in April 2011 and a decrease from 98% in May 2010.

Ken Huseman, Basic's President and Chief Executive Officer, stated, "We continue to experience favorable demand in oil and gas liquids producing markets with slight improvement in our dry gas markets. We estimate that utilization in our well servicing segment was restrained by a percentage point or two due to persistent strong and unseasonal wind in our Permian Basin market and flooding issues in the Williston Basin, which delayed equipment movement. Our other segments were not similarly affected.

"In addition to modest growth in our average fluid service truck fleet, we pushed utilization slightly higher. We expect similar growth in the fleet and utilization over the next several months as frac related activity continues to expand in most of our markets.

"In May we deployed three of the four drilling rigs we acquired in April, with the remaining rig scheduled to be on location in mid-June. All but one of our rigs have a steady program of work scheduled through year-end with several projects extending into 2012.

"Our completion and remedial services segment, dominated by our pumping services, continues its strong performance. Most pumping assets are scheduled well into next year with firm pricing.

"With three weeks left in the quarter and barring a significant weather event, our second quarter revenue should be 18% to 20% higher than first quarter results. Margins are expected to be modestly higher due to positive operating leverage and rate increases sufficient to offset cost increases."


Month ended

May 31,

April 30,




Number of weekdays in period




Number of well servicing rigs (1,3)

Weighted average for period




End of period




Rig hours (000s)




Rig utilization rate (2,3)




Number of fluid service trucks (1)

Weighted average for period




End of period




Truck hours (000s)




Number of drilling rigs (1,3)

Weighted average for period




End of period




Drilling rig days




Drilling utilization (3)




(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.

(3) Basic transferred three of its contract drilling rigs to the well servicing fleet at the end of December 2010. The weighted average number of rigs, number of rigs at the end of period and the rig utilization rate for May 2010 has been recalculated as if these three rigs had been reclassified for May 2010.

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 4,900 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

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, 2010 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.


Alan Krenek, Chief Financial Officer

Basic Energy Services, Inc.


Jack Lascar/Sheila Stuewe

DRG&L / 713-529-6600

SOURCE Basic Energy Services, Inc.

Basic Energy Services © 2020