NISKU, AB, Sept. 12, 2014 /CNW/ - Hyduke Energy Services Inc. (HYD - TSX), announces the signing of a letter of intent that contemplates the share sale of Hyduke Machining Solutions Inc., a company owned 100% by Hyduke Energy Services Inc., to an undisclosed buyer. The transaction is anticipated to generate a gain of approximately $1.5 million with the net proceeds being used to fund working capital and future capital expansions. The transaction, which is subject to standard due diligence by the acquirer, is expected to close in late 2014.
Trading on the TSX under the symbol "HYD," Hyduke Energy Services Inc. is a supplier of equipment and services to the oil and gas drilling and well servicing industry.
Certain information in this press release constitutes forward-looking statements under applicable securities law. In particular, without limiting the generality of the foregoing, this press release contains forward-looking information regarding how the proceeds from the Offering will be used by the Company. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "anticipate", "believe", "estimate", "expect", "plan", "intend", "may", "should", "seek" or similar words suggesting future outcomes or outlooks on, without limitation, estimates of business activity, supply and demand for the Company's products, the estimated amounts and timing of capital expenditures, anticipated future debt levels, or other expectations, beliefs, plans, objectives, assumptions or statements about future events or performance.
Readers are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties both general and specific that may cause actual future results to differ materially from those contemplated and contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur. These factors include, but are not limited to: risks associated with oil and gas exploration customers, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, interest rate risk, environmental risks, competition, inability to retain drilling rigs and other services, failure to realize the anticipated benefits of acquisitions, delays resulting from or inability to obtain required regulatory approvals, changes in legislation including but not limited to income tax, environmental laws and regulatory matters, ability to access sufficient capital from internal and external sources, industry activity levels, market liquidity, customer credit risk, product liability, fixed price contracts, development of new products, uninsured and underinsured losses, access to additional financing, source of supply of raw material and third party components, availability of key personnel, agreements and contracts, international scope of operations and Hyduke's anticipation of and success in managing the risks implied by the foregoing. The Company cautions that the foregoing list of important factors is not exhaustive. The Company believes that the expectations reflected in the forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be. The forward-looking statements in this report speak only as of the date of this report. Hyduke undertakes no obligation to update publicly or otherwise revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required pursuant to applicable securities legislation. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
Additional information on these and other factors that could affect Hyduke's operations or financial results are included in Hyduke's reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com.) or by contacting Hyduke.
The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this News Release.
SOURCE: Hyduke Energy Services Inc.
For further information: Patrick Ross, President & Chief Executive Officer, (780) 955-0355; Veronica Dutchak, CA, Chief Financial Officer, (780) 955-0355