CALGARY,
March 2, 2016 /CNW/ - Calfrac
Well Services Ltd. ("Calfrac" or the "Company") (TSX–CFW)
announced today that in connection with the previously announced
retirement of Michael J. (Mick)
McNulty, Michael Olinek will
assume the role of Interim Chief Financial Officer of Calfrac
effective March 4, 2016. Mr.
Olinek joined Calfrac as Corporate Controller in August of 2006,
and has served as Vice President, Finance since April of
2011.
Update on Restructuring Efforts
In response to continuing weak demand in the
North American oilfield services industry, Calfrac has further
reduced its North American workforce by approximately 500 people,
leaving the Company with approximately 1,200 employees across its
Canadian, United States and
Corporate segments. Since the Company began reducing its
workforce to better align itself with anticipated activity levels
in January of 2015 it has decreased its North American headcount by
approximately 2,300 people.
Fernando Aguilar,
President and Chief Executive Officer, commented "The ongoing
weakness in the price for oil and natural gas has led to
unprecedented capital spending reductions by exploration and
production companies, particularly in the North American
market. The employee reductions that we are announcing today
reflect the reduced demand for pressure pumping services and will
help Calfrac to navigate what is shaping up to be the worst
industry downturn in decades."
Calfrac's common shares are publicly traded on
the Toronto Stock Exchange under the trading symbol "CFW".
Calfrac provides specialized oilfield services to exploration and
production companies designed to increase the production of
hydrocarbons from wells drilled throughout western Canada, the United
States, Russia,
Argentina and Mexico.
This press release contains forward-looking
statements and forward-looking information within the meaning of
applicable securities laws. The use of any of the words "expect",
"anticipate", "continue", "estimate", "may", "will", "project",
"should", "believe", "plans", "intends" and similar expressions are
intended to identify forward-looking information or statements.
More particularly and without limitation, this press release
contains forward-looking statements and information relating to the
severity of the present oil and gas industry downturn and Calfrac's
ability to navigate it. These forward-looking statements and
information are based on certain key expectations and assumptions
made by Calfrac. Although Calfrac believes that the expectations
and assumptions on which such forward-looking statements and
information are based are reasonable, undue reliance should not be
placed on the forward-looking statements and information as Calfrac
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, risks associated with
general economic conditions in Canada, the United
States, Russia,
Argentina and Mexico; the demand for fracturing and other
stimulation services during drilling and completion of oil and
natural gas wells; volatility in market prices for oil and natural
gas and the effect of this volatility on the demand for oilfield
services generally; currency exchange rate risk; compliance with
covenants and/or repayment obligations under the Company's credit
facilities and senior notes indenture; regional competition;
liabilities and risks, including environmental liabilities and
risks, inherent in oil and natural gas operations; changes in
legislation, including but not limited to tax laws, royalties and
environmental regulations; sourcing, pricing and availability of
raw materials, components, parts, equipment, suppliers, facilities
and skilled personnel; the ability to integrate technological
advances and match advances by competitors; the availability of
capital on satisfactory terms; intellectual property risks;
uncertainties in weather and temperature affecting the duration of
the service periods and the activities that can be completed;
dependence on, and concentration of, major customers; the
creditworthiness and performance by the Company's counterparties
and customers; liabilities and risks associated with prior
operations; the effect of accounting pronouncements issued
periodically; and failure to realize anticipated benefits of
acquisitions and dispositions.
Readers are cautioned that the foregoing list of
risks and uncertainties is not exhaustive. Additional information
on these and other risk factors that could affect Calfrac's
operations or financial results are included in Calfrac's annual
information form and may be accessed through the SEDAR website
(www.sedar.com). The forward-looking statements and information
contained in this press release are made as of the date hereof and
Calfrac does not undertake any obligation to update publicly or
revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, unless so
required by applicable securities laws.
SOURCE Calfrac Well Services Ltd.