Basic Energy Services Reports Selected Operating Data For December 2013

PR Newswire

FORT WORTH, Texas, Jan. 14, 2014 /PRNewswire/ -- Basic Energy Services, Inc. (BAS) ("Basic") today reported selected operating data for the month of December 2013.  Basic's well servicing rig count remained unchanged at 425. Well servicing rig hours for the month were 62,400 producing a rig utilization rate of 61%, compared to 62% and 61% in November 2013 and December 2012, respectively.

During the month, Basic's fluid service truck count increased by 14 to 1,003. Fluid service truck hours for the month were 192,400 compared to 185,100 and 178,100 in November 2013 and December 2012, respectively.

Drilling rig days for the month were 267 producing a rig utilization rate of 72%, compared to the same rate in November 2013 and 82% in December 2012.

Roe Patterson, Basic's President and Chief Executive Officer, stated, "Despite the adverse winter weather impact throughout most of our footprint in early December, activity levels in all of our business segments were very consistent with what we experienced in November.  Some customers attempted to catch up from the delays they experienced earlier in December, creating an uptick in activity through the year-end holiday period.

"The steady activity level we saw in the second half of December was better than we had originally anticipated. Therefore, we now expect fourth quarter revenues to be down 5%-6% sequentially compared to our previous guidance of a 7%-8% decline. We expect this healthier pace of activity to continue this year as many of our customers have announced increases in their spending for 2014.

"In late December, we acquired another high-capacity salt water disposal well in South Texas.  With this latest addition, we ended the year with 81 salt water disposal facilities, an increase of ten from 2013. We plan to continue to focus on growing our fully-integrated fluid service business in 2014 by expanding our saltwater disposal facility network and fluid service truck fleet."

 

OPERATING DATA






Month ended





December 31,


November 30,





2013

2012


2013









Number of weekdays in period



22

21


21









Number of well servicing rigs: 1







  Weighted average for period



425

425


425

  End of period



425

425


425

  Rig hours (000s)



62.4

60.0


60.5

  Rig utilization rate 2



61%

61%


62%









Number of fluid service trucks: 1







  Weighted average for period



996

956


986

  End of period



1,003

955


989

  Truck Hours (000s)



192.4

178.1


185.1









Number of drilling rigs: 1







  Weighted average for period



12

12


12

  End of period



12

12


12

  Drilling rig days



267

305


259

  Drilling rig utilization



72%

82%


72%

 

(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. 

 

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 5,400 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 States.

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, 2012 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.


817-334-4100




Jack Lascar/Sheila Stuewe


Dennard – Lascar Associates


713-529-6600

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