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Basic Energy Services Reports Selected Operating Data for November 2011

MIDLAND, Texas, Dec. 5, 2011 /PRNewswire via COMTEX/ --

Basic Energy Services, Inc. (NYSE: BAS) ("Basic") today reported selected operating data for the month of November 2011. Basic's well servicing rig count remained unchanged at 417. Well servicing rig hours for the month were 72,400 producing a rig utilization rate of 72%, compared to 78% and 54% in October 2011 and November 2010, respectively.

During the month, Basic's fluid service truck count decreased by two to 872. Fluid service truck hours for the month were 188,200, compared to 193,500 and 157,400 in October 2011 and November 2010, respectively.

Drilling rig days for the month were 295 producing a rig utilization of 98%, compared to 90% and 98% in October 2011 and November 2010, respectively.

Ken Huseman, Basic's President and Chief Executive Officer, stated, "November well servicing and drilling rig utilization reflects continued robust demand in our oil and liquids driven markets across our segments. In particular, in the Permian Basin, demand for our well services remained strong during November, partially offsetting the usual seasonal factors associated with fewer daylight hours and the two full weekdays lost during the Thanksgiving holiday week. We also enjoyed generally favorable weather throughout most markets in our footprint, which allowed work to progress uninterrupted through this point in the fourth quarter. Overall, strong demand and continued wage pressure for qualified personnel in our busiest markets are supporting rate increases and firm margins.

"Although only a few corporate budgets have been announced for 2012, discussions with our customers' field management indicate capital spending programs sufficient to drive increased drilling programs. In addition, expectations for oil prices above $85 should promote aggressive well maintenance and workover plans to optimize production from existing wells. We are monitoring the demand growth in each of our markets and will expand capacity to take advantage of those opportunities. Acquisitions will likely play a significant role in our future growth and we continue to evaluate a full pipeline of acquisition candidates."

OPERATING DATA










Month ended





November 30,


October 31,





2011

2010


2011










Number of weekdays in period


22

22


21









Number of well servicing rigs: 1,3






Weighted average for period


417

406


417

End of period



417

406


417

Rig hours (000s)



72.4

52.8


75.3

Rig utilization rate 2



72%

54%


78%









Number of fluid service trucks: 1






Weighted average for period


873

782


873

End of period



872

779


874

Truck hours (000s)



188.2

157.4


193.5









Number of drilling rigs: 1,3






Weighted average for period


10

6


10

End of period



12

6


10

Drilling rig days



295

177


279

Drilling rig utilization



98%

98%


90%









(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 November 2010 has been recalculated as if these three rigs had been reclassified for November 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 5,600 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, 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.

Contacts:

Alan Krenek, Chief Financial Officer


Basic Energy Services, Inc.


432-620-5510




Jack Lascar/Sheila Stuewe


DRG&L / 713-529-6600

SOURCE Basic Energy Services, Inc.

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