EcoStim announces plan to operate “super fleet” to drive increased efficiencies in its U.S. operations
HOUSTON, TEXAS, May 29, 2018 (GLOBE NEWSWIRE) -- Eco-Stim Energy Solutions, Inc. (NASDAQ: ESES) (“EcoStim” or the “Company”) announced today that it has agreed to provide its primary customer in the STACK with additional dedicated horsepower and equipment, including its natural gas powered pumping units, to create what the Company refers to as a “super fleet” in support of a collaborative plan to improve efficiency as its customer moves forward with a heavier concentration of multi well pads and zipper fracs. This approach is expected to increase Ecostim’s monthly stage counts from Q1 2018 levels, while reducing the Company’s overall operating costs and increasing profitability.
J. Chris Boswell EcoStim’s CEO stated, “In reviewing the “super fleet” concept, we believe the plan will allow the Company to deliver more efficiencies, better margins and stronger near-term cash flow. We completed 166 stages with Fleet #1 and Fleet #2 during the first 50 days of the second quarter and believe the “super fleet” concept will allow the Company to increase its average monthly stage counts going forward. The addition of certain of Fleet #1’s pumping units to Fleet #2 will mean that Fleet #1 will be removed from the spot market with the remaining Fleet #1 pumping units being deployed in the pump down market. We expect the first pump down jobs to begin in early June. We believe this plan should allow the Company to deliver leading edge performance to our primary customer and increased utilization to drive higher profits.”
About the Company
EcoStim 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 U.S. and international unconventional shale markets. In addition to conventional pumping equipment, EcoStim offers its customers completion techniques that can dramatically reduce horsepower requirements, emissions and surface footprint.
Certain statements and information in this press release constitute “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,” “will,” “could” “offer to” 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 is preparing for, plans, expects, believes or anticipates will or may occur in the future are forward-looking statements. Examples of forward-looking statements include, but are not limited to, the Company’s statements made relating to: (i) revenue, earnings, profitability, gross margin, and other financial results for future periods, (ii) future pricing and other conditions in the markets served by the Company, (iii) the future utilization and efficiency of the Company’s frac fleets, and (iv) the Company’s strategic plan to operate one “super fleet” in its U.S. operations while also pursuing work in the market for pump down services, and the anticipated timing, efficiency and profitability of the Company’s operations under that plan. 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. Our forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections.
For additional information regarding known material factors that could cause our actual results to differ materially from our projected results, please see our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Investors should carefully consider the risk factors included in our filings, and should keep in mind the cautionary statements in this press release and in our filings.
Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. 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.
Contact: Jeffrey Freedman, Investor Relations email@example.com 281-531-7200
Released May 29, 2018