/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY
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RED DEER, AB, July 31 /CNW/ - High Arctic Energy Services Inc. (TSX: HWO)
(the "Company" or "High Arctic") today announced that it has sold a second
RAPAD Rig. The RAPAD Rig was located in Tunisia and has been exported from
that country at the buyer's expense. The Company recently completed a contract
in Tunisia. The buyer previously purchased a Canadian based RAPAD Rig from the
Company. The closing conditions have now been satisfied and closing will occur
on payment of the purchase price due on August 1, 2008.
The sale is part of the previously announced plan to sell underutilized
assets and use the proceeds to reduce debt and exiting Tunisia is consistent
with the objective of focusing on the core business areas. The proceeds will
be applied against the revolving credit facility which will bring the total
debt repayments from asset sales to $24 million since June 6, 2008. As a
result, High Arctic is well on its way to meeting the mandatory asset sales
requirement of $25 million by September 30, 2008.
Mr. Jed Wood, President & CEO of High Arctic said, "We are very pleased
with completing this sale and as a result we remain ahead of expectations with
respect to debt retirement. Overall, our restructuring plan is on track and
the future remains positive."
About High Arctic
The Corporation, through its subsidiaries, is a global provider of
specialized oilfield equipment and services, including drilling, completion
and workover operations. Based in Red Deer, High Arctic has domestic
operations in Alberta, British Columbia and the Northwest Territories.
International operations are currently active in Mexico, the Middle East and
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this news release.
For further information:
For further information: Dennis Sykora, General Counsel, High Arctic
Energy Services Inc., Tel: (403) 340-9825, email@example.com