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CALGARY, Alberta, July 26, 2021 (GLOBE NEWSWIRE) — High Arctic Energy Services Inc. (TSX: HWO) (“High Arctic” or the “Corporation”) announces the execution of an agreement to acquire 17 modern hydraulic catwalks from a vendor in the Cold Lake area of Alberta for $1.1M.
A total of 14 of the units are currently deployed with an existing High Arctic customer in Cold Lake and the remaining units are in ready working condition. As part of the transaction, High Arctic and the vendor will equally share revenue from July to December 2021, while High Arctic incrementally takes possession of each machine, assumes title of the units and upgrades each one to the latest specification, safety controls and mobility expected by our customers. All upgraded units will be deployed by the end of the year and High Arctic will assume full control of all of the assets and all revenues from January 1, 2022.
CEO Mike Maguire stated: “This transaction represents a low-risk investment in the provision of highly mobile and efficient automated tubular handling machines. The assets are acquired from a company with a great reputation for reliability. In addition, the assets are deployed in a location where we have established long term operations with top-tier customers. I am excited to be growing our successful HAES Rentals brand and expect that hydraulic catwalks will become a key Canadian service offering within it.”
About High Arctic
High Arctic’s principal focus is to provide drilling and specialized well completion services, equipment rentals and other services to the oil and gas industry. High Arctic is a market leader providing drilling and specialized well completion services and supplies rig matting, camps and drilling support equipment on a rental basis in Papua New Guinea. The western Canadian operation provides well servicing, well abandonment, snubbing and nitrogen services and equipment on a rental basis to a large number of exploration and production companies.
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