Foraco International enters Canadian oil sands drilling market with acquisition of Northwest Sequoia Drilling



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

    TORONTO and MARSEILLES, France, Sept. 26 /CNW/ - Foraco International SA
(TSX: FAR) ("Foraco"), a leading global provider of diversified drilling
services, today announced it has acquired Northwest Sequoia Drilling Ltd.
("NWS"), based in Picture Butte, Alberta, for total consideration of
C$9.5 million in cash and 1,150,000 common shares of Foraco. The common shares
included in the purchase consideration were acquired by Foraco during the
second quarter of 2008. NWS specializes in rotary drilling services for
exploration, bulk sampling, and coring services to the mining and oil sands
industry.
    "The acquisition of Northwest Sequoia Drilling marks our entry into this
strong, energy related regional market and further enhances the development of
our large diameter and rotary drilling service offering throughout North
America. With a wider spectrum of services offered coupled with a broader
range of specialized drilling techniques, we intend to more aggressively
pursue energy related projects including uranium and coal. In addition to our
mineral and water drilling activities, we believe energy related projects
represent a significant growth opportunity for our company." said Daniel
Simoncini, Chairman and Chief Executive Officer of Foraco.
    "We expect this transaction to be accretive to our earnings per share
going forward and believe it further strengthens our platform for future
growth in North America," said Jean-Pierre Charmensat, Vice-CEO and Chief
Financial Officer. "We welcome the team from Northwest Sequoia to Foraco. They
fully support our vision of establishing Foraco as a world leading drilling
services company, offering a unique combination of global experience, local
expertise, and constant customer focus."
    NWS is currently involved in large diameter bulk sampling for diamonds in
Canada as well as oil sands evaluation core drilling in Alberta. The company
also has expertise in large diameter water and dewatering drilling. NWS is
expected to generate approximately $12 million in revenue for its fiscal year
ended October 31, 2008.
    Through the acquisition, Foraco has acquired three specialized heavy
drills rigs, plus ancillary equipment and access to highly trained and
competent management and crews. NWS' founders and senior management team have
retained interests in Foraco and will remain with Foraco supporting the
leadership of North American operations. Subsequent to the acquisition, Foraco
will have a total of 117 drill rigs.

    About Foraco

    Foraco (TSX: FAR) is a worldwide drilling service provider headquartered
in Marseille, France. The Company provides a diverse range of drilling
services to the minerals, energy, water, environmental and infrastructure
sectors. The Company currently operates 117 drilling rigs, with a presence in
18 countries across five continents. For more information about Foraco, visit
www.foraco.com.

    Caution concerning forward-looking statements

    This document may contain "forward-looking statements" and
"forward-looking information" within the meaning of applicable securities
laws. These statements and information include estimates, forecasts,
information and statements as to management's expectations with respect to,
among other things, the future financial or operating performance of the
Company and capital and operating expenditures. Often, but not always,
forward-looking statements and information can be identified by the use of
words such as "may", "will", "should", "plans", "expects", "intends",
"anticipates", "believes", "budget", and "scheduled" or the negative thereof
or variations thereon or similar terminology. Forward-looking statements and
information are necessarily based upon a number of estimates and assumptions
that, while considered reasonable by management, are inherently subject to
significant business, economic and competitive uncertainties and
contingencies. Readers are cautioned that any such forward-looking statements
and information are not guarantees and there can be no assurance that such
statements and information will prove to be accurate and actual results and
future events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed under the heading
"Risk Factors" in the Company's Annual Information Form dated March 31, 2008,
which is filed with Canadian regulators on SEDAR (www.sedar.com). The Company
expressly disclaims any intention or obligation to update or revise any
forward-looking statements and information whether as a result of new
information, future events or otherwise. All written and oral forward-looking
statements and information attributable to Foraco or persons acting on our
behalf are expressly qualified in their entirety by the foregoing cautionary
statements.

    %SEDAR: 00025480E




For further information:

For further information: Bruce Wigle, Investor Relations, The Equicom
Group, T: (416) 815-0700 or 1-800-385-5451, ext. 228, F: (416) 815-0080, E:
bwigle@equicomgroup.com


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