Eco-Stim Energy Solutions Signs Second Contract To Expand Operations in Oklahoma -- Dedicated Crew For New Customer
HOUSTON, TX and NEUQUEN CITY, ARGENTINA -- (Marketwired) -- 07/20/17 -- Eco-Stim Energy Solutions, Inc. (NASDAQ: ESES) ("EcoStim" or the "Company") announced today that the Company has executed a one-year agreement with a US oil and gas exploration and production company to expand its pressure pumping operations in the north central region of Oklahoma. The Company expects that the work to be performed under this contract should support a second well stimulation crew allowing the company to further expand its footprint in this region. The contract has an option, exercisable by the Company's customer, for a second year.
While the contract does not require the customer to award any specific volume of work to the Company, the contract provides ESES with the exclusive right to complete all of the customer's wells so long as ESES meets the operational standards required. Currently, the customer expects to complete 2-3 wells per month and is operating two drilling rigs in this region. Each well is expected to be completed with approximately 25 stages and will require approximately 40,000 HHP.
J. Chris Boswell, EcoStim's President and Chief Executive Officer, commented, "After starting our U.S. based operations in late May 2017, we have been in discussions with several other operators working in the Scoop/Stack Merge plays and these discussions have now led to the signing of a commercial contract. We believe that this agreement will be a foundational contract that should enable the Company to participate in the expanding activity levels indicated by the recent rig count increase within the Scoop/Stack/Merge formations being developed in the region. We continue to believe that this area is poised for growth and this contract will position the Company with a second significant customer in the area."
About the Company
Eco-Stim Energy Solutions is an environmentally focused oilfield service and technology Company providing well stimulation and completion services and field management technologies to oil and gas producers drilling in the international unconventional shale market. EcoStim's methodology and technology offers the potential in high cost regions to decrease the number of stages stimulated in shale plays through a process that predicts high probability production zones while confirming those production zones using the latest generation down-hole diagnostic tools. In addition, EcoStim offers its clients completion techniques that can dramatically reduce horsepower requirements, emissions and surface footprint. EcoStim seeks to deliver well completion services with better technology, better ecology and significantly improved economics for unconventional oil and gas producers worldwide.
The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "anticipate," "plan," "intend," "foresee," "should," "would," "could" or other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on certain assumptions made by the Company based on management's experience, expectations and perception of historical trends, current conditions, anticipated future developments and other factors believed to be appropriate.
Forward-looking statements are not guarantees of performance. Although the Company believes the expectations reflected in its forward-looking statements are reasonable and are based on reasonable assumptions, no assurance can be given that these assumptions are accurate or that any of these expectations will be achieved (in full or at all) or will prove to have been correct. For additional information regarding known material factors that could cause our actual results to differ from our projected results, please see our filings with the SEC, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
Any forward-looking statement speaks only as of the date on which such statement is made, and the Company undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.
Source: Eco-Stim Energy Solutions, Inc.
Released July 20, 2017