Hyduke Renegotiates Senior Credit Facility, Renews API Certification and Releases AGM Voting Results

NISKU, AB, July 6, 2016 /CNW/ - Hyduke Energy Services Inc. ("Hyduke" or the "Company") (TSX: HYD) reports that on June 29, 2016, the Company amended the terms of its term loan with its current term loan lender.  The amendments include the removal of the Consolidated Fixed Charge Coverage Ratio, the addition of a minimum EBITDAS (as defined as earnings before interest, taxes, depreciation, amortization and stock based compensation) tested cumulatively and on a quarterly basis commencing June 30, 2016 and a revision to the interest rate charged.  Furthermore, the term lender has postponed all principal payments for a period of thirteen months commencing July 15, 2016.  The Company anticipates it will be in compliance with the revised covenants at June 30, 2016. 

The Company also reports that it has received the American Petroleum Institute's authorization to use the official API Monogram on API Specification 4F products at Hyduke's manufacturing facility, Hyduke Drilling Solutions Inc.  The API Monogram Program has been the oil and natural gas industry's benchmark for oilfield equipment and product service, safety and quality since 1924 and few companies in Canada have achieved its certification.  The API 4F specification covers drilling and well servicing structures, fabrication of structural steel and pipe supports and fuel tanks and allows the Company to use the official API monogram on manufactured products including Derricks, Masts, Crown Block Assemblies and Substructures at the highest Product Specification Level available.   API has also reviewed Hyduke's quality assurance program and has determined that it meets API Spec Q1 standards.  Hyduke is very proud to have met the strict quality standards of the API Monogram Program and is confident this will increase our competitive position in the marketplace.   

The Company held its Annual General Meeting of Shareholders on June 14, 2016 and there were a total of 95 shareholders voting in person and by proxy holding 9,452,075 common shares, being 30.69% of the total number of Hyduke's issued and outstanding common shares.

The results of the vote for the election of directors are as follows:

Name of
Directors

Number of
Shares Voted
For

Percentage of
Shares
Voted For

Number of
Shares Withheld
from Voting

Percentage of
Shares Withheld
from Voting

 






David Yager

8,735,201

93.51%

606,100

6.49%

John Pinsent

8,621,301

92.29%

720,000

7.71%

Patrick F. Ross

8,630,801

92.39%

710,500

7.61%

Walter Chayka

8,662,801

92.74%

678,500

7.26%

Jane Halford

8,620,801

92.29%

720,500

7.71%

Willi Hamm

8,703,201

93.17%

638,100

6.83%

                                                

Each of the directors listed as nominees in the management proxy circular dated May 10, 2016 were elected directors of the Company until the next Annual Meeting.

In a directors' meeting held subsequent to this shareholders' meeting, Mr. David Yager was appointed as Chair of the Board of Directors of Hyduke.

The results for the vote for the appointment of auditors are 9,225,597 or 97.60% voted in favour.  Grant Thornton LLP was appointed as auditors of Hyduke to hold office until the next annual meeting of the shareholders.

The results for the approval of amendment and reconfirmation of the Shareholders Rights Plan are 8,730,347 or 93.46% in favour. 

About Hyduke

Trading on the TSX under the symbol "HYD," Hyduke Energy Services Inc. is an engineering-driven fabricator, assembler and supplier of equipment and services to the oil and gas industry as well as the construction and transportation sectors. 

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 & CEO, (403) 528-1095; Veronica Dutchak, Chief Financial Officer, (780) 955-0355

RELATED LINKS
http://www.hyduke.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