Deepwell releases 2007 tax information



    /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
    THE UNITED STATES/

    CALGARY, Feb. 28 /CNW/ - Deepwell Energy Services Trust ("Deepwell")
(TSX:DWL.UN) is pleased to announce the 2007 tax treatment of distributions
for unitholders who are resident in Canada for Canadian income tax purposes.
    Deepwell is a mutual fund trust as defined in the Income Tax Act (Canada)
("Tax Act"). The following information is intended to assist Canadian resident
individual holders of Deepwell trust units ("Units") in the preparation of a
2007 T1 Income Tax Return. The Units are qualified investments for registered
retirement savings plans ("RRSP"), registered retirement income funds
("RRIF"), deferred profit sharing plans ("DPSP") and registered education
savings plans ("RESP") as defined in the Tax Act.
    The following information is based on Deepwell's understanding of the
Tax Act and is provided as general information only. This information is not
exhaustive of all possible income tax considerations under the Tax Act and is
not intended to be legal or tax advice to any particular holder of Units.
Unitholders or potential unitholders should consult their own legal, business
and/or tax advisors as to the tax implications of holding Units in their
particular circumstances.
    Registered unitholders should receive a "T3 - Statement of Trust Income
Allocations and Designations" ("T3 slip") from the transfer agent, CIBC Mellon
Trust Company. Unitholders who hold their Units through brokers or investment
dealers should receive T3 slips directly from their broker or investment
dealer. The deadline for mailing T3 slips is March 30, 2008.
    Distributions paid by Deepwell can be both a return of capital (i.e. tax
deferred) and a return on capital (i.e. income). For the 2007 taxation year,
the distributions to unitholders are solely comprised of a return on capital
(taxable income).

    Units held outside of an RRSP, RRIF, DPSP or RESP
    -------------------------------------------------
    If a unitholder holds his or her Units outside an RRSP, RRIF, DPSP or
RESP, the unitholder must report taxable income allocated by Deepwell to the
unitholder (that is, "Other income" - Box 26 on the T3 slip) in the
unitholder's 2007 T1 Income Tax Return.

    Units held inside of an RRSP, RRIF, DPSP or RESP
    ------------------------------------------------
    If a unitholder holds his or her Units in an RRSP, RRIF, DPSP or RESP, no
amounts are required to be reported by the unitholder in the unitholder's 2007
T1 Income Tax Return.
    The following table sets out the tax treatment of the Canadian 2007
monthly distributions:

    
                                Taxable Amount  Tax Deferred           Total
    Record Date   Payment Date         (Income)       Amount   Distributions
    -------------------------------------------------------------------------
    31-Jan-07        15-Feb-07         $0.0958         $0.00         $0.0958
    28-Feb-07        15-Mar-07         $0.0958         $0.00         $0.0958
    30-Mar-07        13-Apr-07         $0.0600         $0.00         $0.0600
    30-Apr-07        15-May-07         $0.0600         $0.00         $0.0600
    31-May-07        15-Jun-07         $0.0600         $0.00         $0.0600
    29-Jun-07        13-Jul-07         $0.0600         $0.00         $0.0600
    31-Jul-07        15-Aug-07         $0.0600         $0.00         $0.0600
    31-Aug-07        14-Sep-07         $0.0600         $0.00         $0.0600
    28-Sep-07        15-Oct-07         $0.0600         $0.00         $0.0600
    31-Oct-07        15-Nov-07         $0.0600         $0.00         $0.0600
    30-Nov-07        14-Dec-07         $0.0600         $0.00         $0.0600
    31-Dec-07        15-Jan-08         $0.0600         $0.00         $0.0600
                               ----------------------------------------------
    Total                              $0.7916         $0.00         $0.7916
                               ----------------------------------------------
                               ----------------------------------------------
    

    NON-RESIDENT UNITHOLDERS

    This summary does not contain information regarding the non-Canadian
income tax consequences of holding Units for unitholders who are subject to
tax outside of Canada. All non-resident unitholders should consult their tax
advisors with respect to the tax implications of holding Units, including any
associated filing requirements, in jurisdictions outside of Canada.

    Deepwell is a growth-oriented income trust that provides oilfield waste
management services to the upstream petroleum and natural gas industry and a
current monthly distribution to its investors of $0.06 per unit. Deepwell now
operates from four locations across Alberta and currently employs 44 persons.
The units of Deepwell trade on the Toronto Stock Exchange under "DWL.UN".

    Additional information about the Trust is available at www.sedar.com and
on the Trust's website at www.deepwellenergy.com.

    Certain statements in this press release constitute "forward looking"
statements that involve known and unknown risks, uncertainties and other
factors that may cause the actual results, performance or achievements of the
Trust or its subsidiaries, or industry results, to be materially different
from any future results, performance or achievements expressed or implied by
such forward looking statements. Forward looking statements involve
significant risks and uncertainties, should not be read as guarantees of
future performance or results, and will not necessarily be accurate
indications of whether or not such results will be achieved. A number of
factors could cause actual results to differ materially from the results
discussed in the forward looking statements.





For further information:

For further information: Deepwell Energy Services Trust, Email:
investing@deepwellenergy.com, Scott Gerecke, Vice-President Finance and CFO,
(403) 508-6005

Organization Profile

DEEPWELL ENERGY SERVICES TRUST

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890