/THIS PRESS RELEASE IS NOT FOR DISSEMINATION IN UNITED STATES OR TO ANY
UNITED STATES NEWS SERVICES/
CALGARY, Feb. 26 /CNW/ - IROC Energy Services Corp. ("IROC" or the
"Corporation") (TSX: "ISC") announces that it has entered into a definitive
agreement with Winalta Construction Inc., a subsidiary of Winalta Inc., to
dispose of IROC's Envirocore division assets for $4.8 million. The assets
include all lease construction associated equipment and inventories currently
operated by IROC's Envirocore division in NE British Columbia. On closing IROC
will receive $3.3 million with the $1.5 million balance to be paid over the
next two years. The transaction will close on February 27, 2009.
All Envirocore employees have been offered employment by Winalta
Construction Inc. as they look to build upon the Envirocore assets and
business to expand their operations in NE British Columbia.
This transaction allows IROC to further reduce its outstanding
indebtedness and will provide IROC increased financial flexibility in its
Tom Alford, President and CEO, commented that "this transaction
represents a further effort on our part to focus our efforts on our core
business operations to provide the greatest potential return for the benefit
of all stakeholders in IROC." Mr. Alford further commented that "while
Envirocore has become a consistent contributor to IROC's bottom line through
its efficient operations, the capital requirements to further grow this
relatively small division within IROC did not align with IROC's overall goals.
We firmly believe that Winalta will take Envirocore's business to the next
level for the benefit of its employees and customers."
About IROC Energy Services Corp.
IROC Energy Services Corp. is an Alberta oilfield services company that,
through the IROC Energy Services Partnership, provides a comprehensive and
diverse range of products, services and equipment to the oil and gas industry.
IROC combines cutting-edge technology with depth of experience to deliver a
product and services offering in the following areas: Well Servicing &
Equipment, Downhole Temperature & Pressure Monitoring Tools, Rental Services,
and Lease Building. For more information on IROC Energy Services Corp. visit
our website at www.iroccorp.com.
Certain statements contained in this press release may constitute forward
looking statements concerning, among other things, expected revenues, expected
expenses, profits, developments and strategies for IROC's operations all of
which are subject to certain risks, uncertainties and assumptions. These
forward looking statements are identified by their use of terms and phrases
such as "anticipate", "continue", "estimate", "expect", "may", "will",
"projected", "should", "believe" and other similar terms and phrases. By its
nature, such forward looking information involves known and unknown risks,
uncertainties and other factors that may cause actual results or events to
differ materially from those anticipated in such forward looking statements.
These risks include, but are not limited, to the risks associated with the oil
and gas industry generally, fluctuating prices in crude oil and natural gas,
changes in drilling activity, general global economic, political and business
conditions, weather conditions, regulatory changes and availability of
products, qualified personnel and manufacturing capacity and raw materials. If
any of these uncertainties materialize, or if assumptions are incorrect actual
results may vary materially from those expected. IROC relies on litigation
protection for any forward looking statements.
This press release is not for dissemination in United States or to any
United States news services. The Common Shares of IROC have not and will not
be registered on the United States Securities Act of 1933, as amended (the
"United States Securities Act") or any state securities laws and are not
offered or sold in the United States or to any US person except in certain
transactions exempt from the registration requirements of the United States
Securities Act and applicable state securities laws.
For further information:
For further information: IROC Energy Services Corp., Mr. Thomas M.
Alford, President and CEO, Telephone: (403) 263-1110, email: