This news release contains “forward-looking information and
statements” within the meaning of applicable securities laws. For a
full disclosure of the forward-looking information and statements
and the risks to which they are subject, see the “Cautionary
Statement Regarding Forward-Looking Information and Statements”
later in this news release. This news release contains references
to certain Financial Measures and Ratios, including Adjusted EBITDA
(earnings before income taxes, gain (loss) on investments and other
assets, loss on repurchase of unsecured senior notes, finance
charges, foreign exchange, gain on asset disposals and depreciation
and amortization), Funds Provided by (Used in) Operations, Net
Capital Spending and Working Capital. These terms do not have
standardized meanings prescribed under International Financial
Reporting Standards (
IFRS) and may not be
comparable to similar measures used by other companies, see
“Financial Measures and Ratios” later in this news release.
Precision Drilling announces 2022 third quarter
financial results and highlights:
- Realized $429 million of revenue
during the quarter, an increase of 69% over the same period last
year and 32% compared to the previous quarter.
- Increased North American drilling
activity by 27% compared to the third quarter of 2021 and achieved
average day rates of US$27,847 in the U.S. and $26,927 in
Canada.
- Achieved Adjusted EBITDA (see
“FINANCIAL MEASURES AND RATIOS”) of $120 million, a 163% increase
from $45 million in the prior year quarter as we continue to
maximize our operating leverage in a growing activity environment.
Adjusted EBITDA included $6 million of share-based compensation
charges and $4 million of non-recurring costs associated with the
High Arctic Energy Services Inc. (High Arctic)
transaction, severance costs and mobilization of a drilling rig
from the U.S. to Canada.
- Generated net earnings of $31
million or $2.26 per share compared with a net loss of $38 million
or $2.86 per share in third quarter of 2021.
- Continued to scale our Alpha™
technologies across our Super Triple rig fleet, increasing our
Alpha™ revenue over 50% compared to the same period last year.
- Strengthened our contract book with
23 additions, bringing our year-to-date total to 61 term
contracts.
- Successfully integrated the
acquired well servicing business and associated rental assets of
High Arctic. During the quarter, the Completion and Production
Services segment generated revenue of $57 million and Adjusted
EBITDA of $15 million, representing increases of 101% and 170%,
respectively, from the prior year’s third quarter.
- Generated cash and funds from
operations (see “FINANCIAL MEASURES AND RATIOS”) of $8 million and
$81 million, respectively, as compared with $22 million and $34
million in the third quarter of 2021.
- Repurchased and cancelled 69,599
common shares for $5 million under our Normal Course Issuer Bid
(NCIB).
- Ended the quarter with $40 million
of cash, US$141 million drawn on our Senior Credit Facility and
more than $540 million of available liquidity. We remain on track
to reduce our debt by $75 million in 2022.
- Increased our capital spending plan
from $149 million to $165 million in response to higher drilling
and service activity and expected customer contracted upgrades on
over 30 drilling rigs in 2022.
- Subsequent to September 30, 2022,
we were awarded four five-year drilling contracts in the Middle
East that will increase our active rig count in the region to eight
rigs by the middle of 2023.
Precision’s President and CEO, Kevin Neveu,
stated:
“I am very pleased to see Precision’s financial
performance return to profitability as the recovery in customer
demand continues to gain momentum and now spans all geographies and
services we provide. During the quarter, we delivered net earnings
of $2.26 per share, which were positive for the first time since
2019. Revenue and Adjusted EBITDA increased an impressive 32% and
87%, respectively, from the second quarter and 69% and 163%
compared to the third quarter of last year. Our improved financial
performance demonstrates our operational leverage and is a function
of improved utilization, record drilling day rates, Alpha™ and
EverGreen™ growth, and a continued intense focus on cost
control. With strong demand for our services, tight rig supply and
pricing momentum on leading-edge day rates, we expect fleet average
day rates and operating margins to continue trending upward well
into 2023.
“Precision’s drilling activity continues to
increase in North America as our customers remain committed to
their drilling plans, despite volatility in oil and natural gas
prices. In the U.S., we averaged 57 active drilling rigs during the
third quarter and are currently operating 61 rigs, a 20% increase
from the beginning of the year. Demand for our Super Triple rigs
continues to grow as customers recognize our fleet’s performance
and efficiency and want to ensure their preferred rigs are
available for 2023 capital budget deployments.
“In Canada, we averaged 59 active rigs during
the third quarter, which represents a 16% increase over the same
period last year. We currently have 73 active rigs, our highest
activity level for 2022. During the quarter, we mobilized an
additional Super Triple rig from Colorado to Alberta that will be
working under a long-term contract for a customer with multiple
Precision rigs drilling LNG Canada-related projects. We are
currently sold out of our Super Triple rigs and expect our pad
Super Single rig fleet to be fully utilized as recently upgraded
rigs return to the field.
“Internationally, the drilling activity outlook
is improving as well. We currently have six rigs active and expect
this to increase to at least eight by the middle of 2023 following
a recent successful tender process in Kuwait where Precision was
awarded four five-year contracts, increasing our active rig count
from three rigs to five. Combined with the three recent contract
extensions in Saudi Arabia, Precision will have eight Middle East
rigs under long-term contracts, representing approximately $820
million (US$600 million) of contracted revenue going forward that
will stretch into 2028.
“We completed our well servicing acquisition in
late July and integration efforts have exceeded expectations, as we
aligned key operational processes and generated significant
synergies. In the third quarter, our well servicing hours increased
62% from the prior year quarter, with only a two-month contribution
from the acquired assets. The combined operations helped drive the
highest quarterly Adjusted EBITDA for our Completion and Production
Services segment since the fourth quarter of 2018. During the third
quarter, we realized annual run-rate cost synergies of over $3
million and expect to substantially achieve our $5 million target
by early next year. In addition, we fully expect to realize
significant revenue synergies from the combined operations of the
business.
"We remain focused on debt reduction and
shareholder returns and are on track to meet our 2022 debt
reduction goal of $75 million, while allocating 10% to 20% of free
cash flow toward share repurchases. With no senior note maturities
until 2026 and over $540 million of available liquidity, our
balance sheet remains in excellent shape to support our business
activities and allow for further deleveraging through cash flow
over the coming quarters.
“We are proving our ability to differentiate
Precision's Super Series rigs from our competitors with our Alpha™
digital technologies and EverGreen™ suite of environmental
solutions. Over 90% of our 60 Alpha™ rigs are earning incremental
revenue, which helped drive day rate and margin performance in the
quarter. We expect these contributions to increase as customer
demand is high for consistent, predictable, and optimized drilling
and we continue to equip more of our Super Triple rig fleet with
Alpha™. We plan to have a total of 70 Alpha™ Super Triple rigs by
year end with the remaining rigs in our Super Triple fleet to be
converted early in 2024, nearly one year ahead of our long-term
plan.
“Our EverGreen™ suite of environmental solutions
offers customers products and applications to measure and reduce
their greenhouse gas (GHG) emissions during drilling operations. To
date, we have successfully deployed five hybrid battery storage,
natural gas and low emission power generating systems, which reduce
emissions and fuel costs, helping our customers achieve their GHG
reduction targets while improving well economics.
“Since mid 2020, Precision’s financial results
have been gaining momentum and while we are mindful of a possible
economic recession, we expect this momentum to continue as industry
fundamentals provide a promising backdrop for our business. Low oil
and natural gas inventories, elevated commodity prices and a tight
rig market all support day rates and margins moving higher. I would
like to thank our shareholders for their continued support and the
team at Precision for their hard work and dedication,” concluded
Mr. Neveu.
SELECT FINANCIAL AND OPERATING
INFORMATION
Financial Highlights
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars, except per share amounts) |
|
2022 |
|
|
|
2021 |
|
|
% Change |
|
|
|
2022 |
|
|
|
2021 |
|
|
% Change |
|
Revenue |
|
429,335 |
|
|
|
253,813 |
|
|
|
69.2 |
|
|
|
1,106,690 |
|
|
|
691,645 |
|
|
|
60.0 |
|
Adjusted EBITDA(1) |
|
119,561 |
|
|
|
45,408 |
|
|
|
163.3 |
|
|
|
220,515 |
|
|
|
128,891 |
|
|
|
71.1 |
|
Net earnings (loss) |
|
30,679 |
|
|
|
(38,032 |
) |
|
|
(180.7 |
) |
|
|
(37,776 |
) |
|
|
(150,050 |
) |
|
|
(74.8 |
) |
Cash provided by (used in)
operations |
|
8,142 |
|
|
|
21,871 |
|
|
|
(62.8 |
) |
|
|
78,022 |
|
|
|
79,512 |
|
|
|
(1.9 |
) |
Funds provided by
operations(1) |
|
81,327 |
|
|
|
33,525 |
|
|
|
142.6 |
|
|
|
171,655 |
|
|
|
89,562 |
|
|
|
91.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash used in investing
activities |
|
31,711 |
|
|
|
17,524 |
|
|
|
81.0 |
|
|
|
98,836 |
|
|
|
37,588 |
|
|
|
162.9 |
|
Capital spending by spend
category(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expansion and upgrade |
|
25,461 |
|
|
|
5,998 |
|
|
|
324.5 |
|
|
|
50,606 |
|
|
|
15,881 |
|
|
|
218.7 |
|
Maintenance and infrastructure |
|
25,642 |
|
|
|
13,502 |
|
|
|
89.9 |
|
|
|
76,335 |
|
|
|
32,310 |
|
|
|
136.3 |
|
Proceeds on sale |
|
(22,337 |
) |
|
|
(4,476 |
) |
|
|
399.0 |
|
|
|
(32,033 |
) |
|
|
(10,390 |
) |
|
|
208.3 |
|
Net capital spending(1) |
|
28,766 |
|
|
|
15,024 |
|
|
|
91.5 |
|
|
|
94,908 |
|
|
|
37,801 |
|
|
|
151.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (loss) per
share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
2.26 |
|
|
|
(2.86 |
) |
|
|
(179.0 |
) |
|
|
(2.79 |
) |
|
|
(11.27 |
) |
|
|
(75.2 |
) |
Diluted |
|
2.03 |
|
|
|
(2.86 |
) |
|
|
(171.0 |
) |
|
|
(2.79 |
) |
|
|
(11.27 |
) |
|
|
(75.2 |
) |
(1) See “FINANCIAL MEASURES AND RATIOS.”
Operating Highlights
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
|
2022 |
|
|
2021 |
|
|
% Change |
|
|
2022 |
|
|
2021 |
|
|
% Change |
|
Contract drilling rig fleet |
|
225 |
|
|
|
227 |
|
|
|
(0.9 |
) |
|
|
225 |
|
|
|
227 |
|
|
|
(0.9 |
) |
Drilling rig utilization
days: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
5,287 |
|
|
|
3,785 |
|
|
|
39.7 |
|
|
|
14,914 |
|
|
|
10,315 |
|
|
|
44.6 |
|
Canada |
|
5,432 |
|
|
|
4,648 |
|
|
|
16.9 |
|
|
|
14,461 |
|
|
|
10,963 |
|
|
|
31.9 |
|
International |
|
552 |
|
|
|
552 |
|
|
|
- |
|
|
|
1,638 |
|
|
|
1,638 |
|
|
|
- |
|
Revenue per utilization
day: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. (US$) |
|
27,847 |
|
|
|
20,331 |
|
|
|
37.0 |
|
|
|
25,864 |
|
|
|
20,904 |
|
|
|
23.7 |
|
Canada (Cdn$) |
|
26,927 |
|
|
|
19,427 |
|
|
|
38.6 |
|
|
|
25,843 |
|
|
|
20,295 |
|
|
|
27.3 |
|
International (US$) |
|
50,216 |
|
|
|
52,277 |
|
|
|
(3.9 |
) |
|
|
51,687 |
|
|
|
53,095 |
|
|
|
(2.7 |
) |
Operating cost per utilization
day: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. (US$) |
|
18,220 |
|
|
|
15,120 |
|
|
|
20.5 |
|
|
|
18,484 |
|
|
|
14,639 |
|
|
|
26.3 |
|
Canada (Cdn$) |
|
16,893 |
|
|
|
13,189 |
|
|
|
28.1 |
|
|
|
16,803 |
|
|
|
13,204 |
|
|
|
27.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service rig fleet |
|
135 |
|
|
|
123 |
|
|
|
9.8 |
|
|
|
135 |
|
|
|
123 |
|
|
|
9.8 |
|
Service
rig operating hours |
|
52,340 |
|
|
|
32,244 |
|
|
|
62.3 |
|
|
|
120,994 |
|
|
|
93,777 |
|
|
|
29.0 |
|
Financial Position
(Stated in thousands of Canadian dollars, except ratios) |
September 30, 2022 |
|
|
December 31, 2021 |
|
Working capital(1) |
|
152,289 |
|
|
|
81,637 |
|
Cash |
|
40,048 |
|
|
|
40,588 |
|
Long-term debt |
|
1,241,099 |
|
|
|
1,106,794 |
|
Total long-term financial
liabilities |
|
1,335,754 |
|
|
|
1,185,858 |
|
Total assets |
|
2,927,384 |
|
|
|
2,661,752 |
|
Long-term debt to long-term debt plus equity ratio (1) |
|
0.50 |
|
|
|
0.47 |
|
(1) See “FINANCIAL MEASURES AND RATIOS.”
Summary for the three months ended September 30,
2022:
- Revenue for the quarter was $429
million, 69% higher than in 2021, due to increased North American
drilling and service activity and day rates.
- Adjusted EBITDA for the quarter was
$120 million, $74 million higher than 2021. Our Adjusted EBITDA for
the quarter included $6 million of share-based compensation charges
and approximately $4 million of non-recurring costs associated with
the High Arctic transaction, severance costs, and mobilization of a
drilling rig from the U.S. to Canada. Please refer to “Other Items”
later in this news release for additional information on our
share-based compensation charges.
- Adjusted EBITDA as a percentage of
revenue (see “FINANCIAL MEASURES AND RATIOS”) was 28% as compared
with 18% in 2021, demonstrating our ability to maximize our
operating leverage in a growing activity environment.
- General and administrative expenses
this quarter were $25 million, $1 million higher than in 2021 due
to increased labor and personnel costs, non-recurring well
servicing acquisition costs and lower CEWS program assistance,
offset by lower share-based compensation charges.
- Net finance charges for the quarter
were $23 million, an increase of $2 million from 2021 due to higher
variable interest rates on our Senior Credit Facility and the
impact of higher foreign exchange rates on our U.S. denominated
long-term debt.
- In the U.S., revenue per
utilization day was US$27,847 compared with US$20,331 in 2021, an
increase of 37% and was primarily the result of higher contracted
day rates, impact of Alpha™ and EverGreen™ revenue and
improved operating cost recoveries. During the third quarter, we
recognized revenue from idle but contracted rigs and turnkey
projects of US$1 million and nil, respectively, as compared with
nil in 2021. Revenue per utilization day in the quarter excluding
the impact of idle but contracted rig revenue was US$27,682,
compared to US$20,331 in the prior year, an increase of US$7,351.
On a sequential basis, revenue per utilization day, excluding idle
but contract rigs and turnkey revenue, increased approximately
US$4,092.
- Our U.S. operating costs on a per
day basis increased to US$18,220, compared with US$15,120 in 2021,
due to increased rig operating expenses, repairs and maintenance
and higher costs that pass through to our customers. Our U.S.
operating costs included rig reactivations charges totaling US$2
million. Sequentially, excluding the impact of turnkey activity,
our operating costs per day increased approximately US$1,522.
- In Canada, average revenue per
utilization day for contract drilling for the quarter was $26,927
compared with $19,427 in 2021, an increase of 39% and was the
result of higher day rates and increased labor and cost
recoveries.
- Our Canadian operating costs on a
per day basis increased to $16,893, compared with $13,189 in 2021
due to industry-wide wage increases, higher repairs and maintenance
expense and lower CEWS program assistance. During the third quarter
of 2021, we recognized $5 million of CEWS program assistance.
- Completion and Production Services
third quarter revenue and Adjusted EBITDA was $57 million and $15
million, respectively, compared with $28 million and $5 million in
2021. Our improved results were supported by higher service rates
and operating hours, the impact of the High Arctic asset
acquisition, partially offset by lower CEWS program assistance as
we recognized $1 million of assistance in 2021.
- We realized third quarter revenue
from international contract drilling of US$28 million, largely
consistent with 2021, as activity and day rates remained
constant.
- Third quarter cash provided by
operations was $8 million as compared with $22 million in 2021. Our
lower cash generation during the quarter was primarily due to the
timing of long-term debt interest payments resulting from our
unsecured senior notes issuance in 2021. We generated $81 million
of funds from operations as compared with $34 million in 2021. Our
increased activity and day rates, operational leverage and lower
share-based compensation charges, partially offset by the timing of
long-term debt interest payments, contributed to our higher funds
from operations for the quarter.
- Capital expenditures were $51
million as compared with $20 million in 2021. Capital spending by
spend category (see “FINANCIAL MEASURES AND RATIOS”) included $25
million for expansion and upgrades and $26 million for the
maintenance of existing assets and infrastructure.
- Generated $22 million of proceeds
from the sale of non-core assets; including certain real estate and
facilities located in Alberta and Texas and the receipt of
insurance proceeds from our second quarter well control event.
- We ended the quarter with $40
million of cash and more than $540 million of available
liquidity.
- We repurchased and cancelled 69,599
common shares for $5 million under our NCIB.
- We successfully integrated the well
servicing business and associated rental assets acquired from High
Arctic, adding 80 service rigs to our fleet along with related
rental assets, ancillary support equipment, inventories, spares and
six additional operating facilities in key operating basins.
Summary for the nine months ended September 30,
2022:
- Revenue for the first nine months
of 2022 was $1,107 million, an increase of 60% from 2021.
- Adjusted EBITDA for the period was
$221 million as compared with $129 million in 2021. Our higher
Adjusted EBITDA was attributable to higher activity and day rates,
partially offset by higher share-based compensation charges, the
impact of the second quarter well control event and lower CEWS
program assistance. Our 2021 Adjusted EBITDA was positively
impacted by $24 million of CEWS program assistance.
- General and administrative costs
were $102 million, an increase of $25 million from 2021 primarily
due to increased personnel costs, higher share-based compensation
charges and lower CEWS program assistance.
- Net finance charges were $64
million, a decrease of $6 million from 2021 due to lower debt issue
costs. In 2021, we accelerated the amortization of issue costs
associated with fully redeemed unsecured senior notes.
- Cash provided by operations was $78
million as compared with $80 million in 2021. Funds provided by
operations in 2022 were $172 million, an increase of $82 million
from the comparative period.
- Capital expenditures were $127
million in 2022, an increase of $79 million from 2021. Capital
spending by spend category included $51 million for expansion and
upgrades and $76 million for the maintenance of existing assets and
infrastructure.
- Year-to-date, we have borrowed
US$23 million on our Senior Credit Facility and repurchased and
cancelled 130,395 common shares for $10 million under our
NCIB.
STRATEGY
Precision’s strategic priorities for 2022 are as
follows:
- Grow revenue through
scaling Alpha™ technologies and EverGreen™ suite of
environmental solutions across Precision's Super Series rig fleet
and further competitive differentiation through ESG
initiatives – Utilization of our Alpha™ technologies
continues to grow and generate incremental revenue. During the
quarter, revenue from our Alpha™ technologies grew 56%
compared with the third quarter of 2021 as our total paid days for
AlphaAutomation™ increased by 56%, consistent with our
year-to-date increase of 55%. We currently have 60 AC Super Triple
rigs equipped with Alpha™ and over 90% are generating
incremental revenue as customers see the value in our technology.
Our plan is to have a total of 70 rigs converted by year end, and
the entire fleet of Super Triple rigs converted by early 2024. We
continue to scale our EverGreen™ suite of environmental
solutions, which will further differentiate us from our competitors
and drive additional revenue growth. As of October 26, 2022, we had
five commercial, field-deployed, EverGreen™ Battery Energy
Storage Systems with two additional systems scheduled for
installation by year end. In addition, we had 13
EverGreen™ Integrated Power & Emissions Monitoring Systems
deployed and anticipate ending the year with 15 systems
installed.
- Grow free cash flow by
maximizing operating leverage as demand for our High Performance,
High Value services continues to rebound – During the
third quarter of 2022, we generated cash and funds from operations
of $8 million and $81 million, respectively. Our third quarter
active rig count was up 39% in the U.S. and 16% in Canada compared
to the same period last year, while our daily operating margins
(average revenue less operating costs per utilization day) also
improved despite continued industry-wide inflationary pressure.
With the tightening of available Super Series rigs, we expect to
realize further pricing increases in the U.S. and Canada as
expiring contracts are renewed or extended. On July 27, 2022, we
acquired High Arctic’s well servicing business and associated
rental assets, increasing our well servicing hours 62% from the
prior year’s third quarter and driving the highest quarterly
Adjusted EBITDA from our Completion and Production Services segment
since the fourth quarter of 2018.
- Utilize free cash flow to
continue strengthening our balance sheet while investing in our
people, equipment and returning capital to shareholders –
We continue to target $75 million of long-term debt reduction for
2022 and our longer-term debt reduction goals of $400 million
between 2022 and 2025 and Net Debt to Adjusted EBITDA (see
“FINANCIAL MEASURES AND RATIOS”) of less than 1.5 times by 2025.
During the quarter, our reinvestment into our drilling fleet
included $51 million of capital expenditures and we generated $22
million of cash proceeds from the divestiture of non-core assets.
In 2022, we have drawn approximately US$23 million on our Senior
Credit Facility to fund our increased cash demands as our
respective drilling and service activity increased 26% and 72% from
the second quarter of 2022. Through share repurchases under our
NCIB, we have returned $10 million of capital to shareholders this
year.
OUTLOOK
The rebound of global energy demand and the
impact of a multi-year period of underinvestment in upstream oil
and natural gas has resulted in reduced inventories of oil and
natural gas and higher commodity prices, providing a supportive
outlook for the oilfield services industry. The war in Ukraine and
sanctions on Russian hydrocarbons have exacerbated the challenged
supply situation and many importing countries are looking toward
North America and the Middle East to fill the supply gap from
exports of crude oil and natural gas through the global Liquified
Natural Gas (LNG) market. Constrained natural gas
production levels and low natural gas storage volumes have resulted
in North American natural gas prices strengthening in the last
year. With U.S. LNG exports growing as countries look to displace
Russian natural gas and various Canadian LNG projects to come
online in 2025, we anticipate a sustained period of elevated
natural gas drilling activity.
At current commodity price levels, we anticipate
higher demand for our services and improved fleet utilization as
customers seek to maintain production levels and replenish
inventories, as drilled but uncompleted wells have been depleted
over the past several years. However, broad economic concerns exist
with respect to recession risk, rising interest rates and
geopolitical instability. These concerns may negatively impact
customer spending plans.
With North American industry activity expected
to further increase into 2023, we anticipate near full utilization
in the high specification rig market with customers seeking term
contracts to secure rigs and ensure fulfilment of their development
programs. Accordingly, the tightening of available high
specification rigs is expected to drive higher day rates and
necessitate customer funded rig upgrades.
Interest in our EverGreen™ suite of
environmental solutions continues to gain momentum as customers
seek meaningful solutions to achieve their emission reduction
targets and improve their well economics. We expect our growing
suite of Alpha™ technologies paired with our
EverGreen™ suite of environmental solutions to be key
competitive differentiators as our predictable and repeatable
drilling results deliver exceptional value to our customers by
reducing risks, well construction costs and carbon footprint.
The outlook for our Precision Well Servicing
business remains positive with strong commodity prices supporting
maintenance and completion activity. We successfully acquired and
integrated the High Arctic well servicing assets and associated
rental business early in the third quarter. By leveraging our
existing platform and continuing our strict focus on cost control,
we have realized annual run-rate cost synergies of over $3 million
and expect to achieve the vast majority of our $5 million target by
early next year. Additionally, support from both federal and
provincial governments has increased well abandonment and
rehabilitation projects.
In October, we announced the addition of Lori A.
Lancaster to our Board of Directors. With over 25 years of
experience as a strategic and financial advisor to the global
natural resources sector and having served as a board member of
publicly traded companies within the energy sector, we believe Ms.
Lancaster's extensive knowledge and experience will enhance our
existing Board of Directors.
Contracts
Year-to-date in 2022, we have entered into 61
term contracts and 23 new contracts since the end of the second
quarter of 2022. The following chart outlines the average number of
drilling rigs under contract by quarter as of October 26, 2022. For
those quarters ending after September 30, 2022, this chart
represents the minimum number of long-term contracts from which we
will earn revenue. We expect the actual number of contracted rigs
to vary in future periods as we sign additional contracts.
|
|
Average for the quarter ended 2021 |
|
|
Average for the quarter ended 2022 |
|
|
|
Mar. 31 |
|
|
June 30 |
|
|
Sept. 30 |
|
|
Dec. 31 |
|
|
Mar. 31 |
|
|
June 30 |
|
|
Sept. 30 |
|
|
Dec. 31 |
|
Average rigs under term
contractas of October 26, 2022: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
|
21 |
|
|
|
24 |
|
|
|
22 |
|
|
|
24 |
|
|
|
27 |
|
|
|
29 |
|
|
|
31 |
|
|
|
36 |
|
Canada |
|
|
6 |
|
|
|
6 |
|
|
|
7 |
|
|
|
7 |
|
|
|
6 |
|
|
|
8 |
|
|
|
10 |
|
|
|
15 |
|
International |
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
4 |
|
Total |
|
|
33 |
|
|
|
36 |
|
|
|
35 |
|
|
|
37 |
|
|
|
39 |
|
|
|
43 |
|
|
|
47 |
|
|
|
55 |
|
The following chart outlines the average number
of drilling rigs that we had under contract for 2021 and the
average number of rigs we have under contract as of October 26,
2022.
|
|
Average for the year ended |
|
|
|
2021 |
|
|
2022 |
|
|
2023 |
|
Average rigs under term
contract asof October 26, 2022: |
|
|
|
|
|
|
|
|
|
U.S. |
|
|
23 |
|
|
|
31 |
|
|
|
18 |
|
Canada |
|
|
7 |
|
|
|
10 |
|
|
|
14 |
|
International1 |
|
|
6 |
|
|
|
5 |
|
|
|
3 |
|
Total |
|
|
36 |
|
|
|
46 |
|
|
|
35 |
|
(1) Does not include Kuwait contracts awarded
subsequent to September 30, 2022.
In Canada, term contracted rigs normally
generate 250 utilization days per year because of the seasonal
nature of well site access. In most regions in the U.S. and
internationally, term contracts normally generate 365 utilization
days per year.
Drilling Activity
The following chart outlines the average number
of drilling rigs that we had working or moving by quarter for the
periods noted.
|
Average for the quarter ended 2021 |
|
Average for the quarter ended 2022 |
|
|
Mar. 31 |
|
|
June 30 |
|
|
Sept. 30 |
|
|
Dec. 31 |
|
|
Mar. 31 |
|
|
June 30 |
|
|
Sept. 30 |
|
Average Precision active rig
count: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. |
|
33 |
|
|
|
39 |
|
|
|
41 |
|
|
|
45 |
|
|
|
51 |
|
|
|
55 |
|
|
|
57 |
|
Canada |
|
42 |
|
|
|
27 |
|
|
|
51 |
|
|
|
52 |
|
|
|
63 |
|
|
|
37 |
|
|
|
59 |
|
International |
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
|
|
6 |
|
Total |
|
81 |
|
|
|
72 |
|
|
|
98 |
|
|
|
103 |
|
|
|
120 |
|
|
|
98 |
|
|
|
122 |
|
According to industry sources, as at October 26,
2022, the U.S. active land drilling rig count has increased 43%
from the same point last year while the Canadian active land
drilling rig count has increased by 28%. To date in 2022,
approximately 79% of the U.S. industry’s active rigs and 63% of the
Canadian industry’s active rigs were drilling for oil targets,
compared with 80% for the U.S. and 54% for Canada at the same time
last year.
Capital Spending and Free Cash Flow
Allocation
We increased our capital spending plan to
reflect higher maintenance capital from our increasing activity,
strategic purchase of drill pipe and customer funded rig upgrades.
Capital spending in 2022 is expected to be $165 million and by
spend category includes $96 million for sustaining, infrastructure
and intangibles and $69 million for expansion and upgrades. We
expect the $165 million will be split $157 million in the Contract
Drilling Services segment, $5 million in the Completion and
Production Services segment and $3 million to the Corporate
segment. At September 30, 2022, Precision had capital commitments
of $163 million with payments expected through 2024.
Our debt reduction plans continue with the goal
of repaying $75 million in 2022 and over $400 million of debt over
the next four years and reaching a sustained Net Debt to Adjusted
EBITDA ratio of below 1.5 times. At the end of 2025, we expect to
have reduced debt by well over $1 billion since 2018. In addition
to our debt reduction target through 2025, we plan to allocate 10%
to 20% of free cash flow before debt principal repayments toward
the return of capital to shareholders.
SEGMENTED FINANCIAL RESULTS
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars) |
|
2022 |
|
|
2021 |
|
|
% Change |
|
|
|
2022 |
|
|
2021 |
|
|
% Change |
|
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract Drilling Services |
|
374,465 |
|
|
|
226,957 |
|
|
|
65.0 |
|
|
|
982,909 |
|
|
|
613,032 |
|
|
|
60.3 |
|
Completion and Production Services |
|
56,642 |
|
|
|
28,143 |
|
|
|
101.3 |
|
|
|
127,921 |
|
|
|
81,354 |
|
|
|
57.2 |
|
Inter-segment eliminations |
|
(1,772 |
) |
|
|
(1,287 |
) |
|
|
37.7 |
|
|
|
(4,140 |
) |
|
|
(2,741 |
) |
|
|
51.0 |
|
|
|
429,335 |
|
|
|
253,813 |
|
|
|
69.2 |
|
|
|
1,106,690 |
|
|
|
691,645 |
|
|
|
60.0 |
|
Adjusted EBITDA:(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract Drilling Services |
|
118,599 |
|
|
|
55,384 |
|
|
|
114.1 |
|
|
|
260,202 |
|
|
|
163,118 |
|
|
|
59.5 |
|
Completion and Production Services |
|
14,788 |
|
|
|
5,479 |
|
|
|
169.9 |
|
|
|
26,166 |
|
|
|
17,533 |
|
|
|
49.2 |
|
Corporate and Other |
|
(13,826 |
) |
|
|
(15,455 |
) |
|
|
(10.5 |
) |
|
|
(65,853 |
) |
|
|
(51,760 |
) |
|
|
27.2 |
|
|
|
119,561 |
|
|
|
45,408 |
|
|
|
163.3 |
|
|
|
220,515 |
|
|
|
128,891 |
|
|
|
71.1 |
|
(1) See “FINANCIAL MEASURES AND RATIOS.”
SEGMENT REVIEW OF CONTRACT DRILLING
SERVICES
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars, except where noted) |
|
2022 |
|
|
|
2021 |
|
|
% Change |
|
|
|
2022 |
|
|
|
2021 |
|
|
% Change |
|
Revenue |
|
374,465 |
|
|
|
226,957 |
|
|
|
65.0 |
|
|
|
982,909 |
|
|
|
613,032 |
|
|
|
60.3 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating |
|
246,442 |
|
|
|
164,521 |
|
|
|
49.8 |
|
|
|
692,169 |
|
|
|
429,036 |
|
|
|
61.3 |
|
General and administrative |
|
9,424 |
|
|
|
7,052 |
|
|
|
33.6 |
|
|
|
30,538 |
|
|
|
20,878 |
|
|
|
46.3 |
|
Adjusted EBITDA(1) |
|
118,599 |
|
|
|
55,384 |
|
|
|
114.1 |
|
|
|
260,202 |
|
|
|
163,118 |
|
|
|
59.5 |
|
Adjusted EBITDA as a percentage of revenue(1) |
|
31.7 |
% |
|
|
24.4 |
% |
|
|
|
|
|
26.5 |
% |
|
|
26.6 |
% |
|
|
|
(1) See “FINANCIAL MEASURES AND RATIOS.”
United
States onshore drilling statistics:(1) |
2022 |
|
|
2021 |
|
|
Precision |
|
|
Industry(2) |
|
|
Precision |
|
|
Industry(2) |
|
Average number of active land
rigs for quarters ended: |
|
|
|
|
|
|
|
|
|
|
|
March 31 |
|
51 |
|
|
|
603 |
|
|
|
33 |
|
|
|
378 |
|
June 30 |
|
55 |
|
|
|
687 |
|
|
|
39 |
|
|
|
437 |
|
September 30 |
|
57 |
|
|
|
746 |
|
|
|
41 |
|
|
|
485 |
|
Year to date average |
|
54 |
|
|
|
679 |
|
|
|
38 |
|
|
|
433 |
|
(1) United States lower 48 operations only.(2) Baker Hughes rig
counts.
Canadian onshore drilling statistics:(1) |
2022 |
|
|
2021 |
|
|
Precision |
|
|
Industry(2) |
|
|
Precision |
|
|
Industry(2) |
|
Average number of active land
rigs for quarters ended: |
|
|
|
|
|
|
|
|
|
|
|
March 31 |
|
63 |
|
|
|
205 |
|
|
|
42 |
|
|
|
145 |
|
June 30 |
|
37 |
|
|
|
113 |
|
|
|
27 |
|
|
|
72 |
|
September 30 |
|
59 |
|
|
|
199 |
|
|
|
51 |
|
|
|
151 |
|
Year to date average |
|
53 |
|
|
|
172 |
|
|
|
40 |
|
|
|
123 |
|
(1) Canadian operations only.(2) Baker Hughes rig counts.
SEGMENT REVIEW OF COMPLETION AND
PRODUCTION SERVICES
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars, except where noted) |
|
2022 |
|
|
|
2021 |
|
|
% Change |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
|
Revenue |
|
56,642 |
|
|
|
28,143 |
|
|
|
101.3 |
|
|
|
127,921 |
|
|
|
81,354 |
|
|
|
57.2 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating |
|
40,198 |
|
|
|
21,188 |
|
|
|
89.7 |
|
|
|
96,365 |
|
|
|
59,703 |
|
|
|
61.4 |
|
General and administrative |
|
1,656 |
|
|
|
1,476 |
|
|
|
12.2 |
|
|
|
5,390 |
|
|
|
4,118 |
|
|
|
30.9 |
|
Adjusted EBITDA(1) |
|
14,788 |
|
|
|
5,479 |
|
|
|
169.9 |
|
|
|
26,166 |
|
|
|
17,533 |
|
|
|
49.2 |
|
Adjusted EBITDA as a percentage of revenue(1) |
|
26.1 |
% |
|
|
19.5 |
% |
|
|
|
|
|
20.5 |
% |
|
|
21.6 |
% |
|
|
|
Well servicing
statistics: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of service rigs (end of period) |
|
135 |
|
|
|
123 |
|
|
|
9.8 |
|
|
|
135 |
|
|
|
123 |
|
|
|
9.8 |
|
Service rig operating hours |
|
52,340 |
|
|
|
32,244 |
|
|
|
62.3 |
|
|
|
120,994 |
|
|
|
93,777 |
|
|
|
29.0 |
|
Service rig operating hour utilization |
|
47 |
% |
|
|
28 |
% |
|
|
|
|
|
43 |
% |
|
|
28 |
% |
|
|
|
(1) See “FINANCIAL MEASURES AND RATIOS.”
SEGMENT REVIEW OF CORPORATE AND
OTHER
Our Corporate and Other segment provides support
functions to our operating segments. The Corporate and Other
segment had negative Adjusted EBITDA of $14 million as compared
with $15 million in the third quarter of 2021. Our Adjusted EBITDA
was positively impacted by decreased share-based compensation
costs, partially offset by lower CEWS program assistance.
OTHER ITEMS
Share-based Incentive Compensation
Plans
We have several cash and equity-settled
share-based incentive plans for non-management directors, officers,
and other eligible employees. Our accounting policies for each
share-based incentive plan can be found in our 2021 Annual
Report.
A summary of amounts expensed under these plans
during the reporting periods are as follows:
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars) |
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
Cash settled share-based incentive plans |
|
5,543 |
|
|
|
11,839 |
|
|
|
57,802 |
|
|
|
46,537 |
|
Equity settled share-based
incentive plans: |
|
|
|
|
|
|
|
|
|
|
|
Executive PSU |
|
— |
|
|
|
1,468 |
|
|
|
407 |
|
|
|
3,639 |
|
Share option plan |
|
— |
|
|
|
34 |
|
|
|
20 |
|
|
|
199 |
|
Total
share-based incentive compensation plan expense |
|
5,543 |
|
|
|
13,341 |
|
|
|
58,229 |
|
|
|
50,375 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Allocated: |
|
|
|
|
|
|
|
|
|
|
|
Operating |
|
1,922 |
|
|
|
3,272 |
|
|
|
14,694 |
|
|
|
11,437 |
|
General and Administrative |
|
3,621 |
|
|
|
10,069 |
|
|
|
43,535 |
|
|
|
38,938 |
|
|
|
5,543 |
|
|
|
13,341 |
|
|
|
58,229 |
|
|
|
50,375 |
|
Cash settled share-based compensation expense
for the quarter was $6 million as compared with $12 million in
2021. The decreased expense in 2022 was primarily due to our lower
sequential quarter share price. Our equity settled share-based
compensation expense for the third quarter of 2022 was nil as our
Executive PSUs and share options fully vested in the first quarter
of 2022.
As at September 30, 2022, the majority of our
share-based compensation plans were classified as cash-settled and
will be impacted by changes in our share price. Although accounted
for as cash-settled, Precision retains the ability to settle
certain vested units in common shares at its discretion.
Finance Charges
Third quarter net finance charges were $23
million as compared with $21 million in 2021. The increased finance
charges were primarily due to higher variable interest rates on our
Senior and Real Estate Credit Facilities and the impact of higher
foreign exchange rates on our U.S. denominated long-term debt.
Interest charges on our U.S. denominated long-term debt in the
third quarter were US$16 million ($20 million) as compared with
US$15 million ($19 million) in 2021.
Income Tax
Income tax expense for the quarter was $6
million as compared with a $4 million recovery in 2021. The higher
income tax expense for the quarter was the result of our positive
earnings. During the third quarter, we did not recognize deferred
tax assets on certain Canadian and international operating
losses.
LIQUIDITY AND CAPITAL
RESOURCES
Liquidity
Amount |
|
Availability |
|
Used for |
|
Maturity |
Senior credit facility (secured) |
|
|
|
|
|
|
US$500 million(1) (extendible, revolving term credit facility
with US$300 million accordion feature) |
|
US$141 million drawn and US$32 million in outstanding letters of
credit |
|
General corporate purposes |
|
June 18, 2025(1) |
Real estate credit facilities (secured) |
|
|
|
|
|
|
US$9 million |
|
Fully drawn |
|
General corporate purposes |
|
November 19, 2025 |
$18 million |
|
Fully drawn |
|
General corporate purposes |
|
March 16, 2026 |
Operating facilities (secured) |
|
|
|
|
|
|
$40 million |
|
Undrawn, except $8 million in outstanding letters of
credit |
|
Letters of credit and general corporate purposes |
|
|
US$15 million |
|
Undrawn |
|
Short-term working capital requirements |
|
|
Demand letter of credit facility (secured) |
|
|
|
|
|
|
US$30 million |
|
Undrawn, except US$18 million in outstanding letters of
credit |
|
Letters of credit |
|
|
Unsecured senior notes (unsecured) |
|
|
|
|
|
|
US$348 million – 7.125% |
|
Fully drawn |
|
Debt redemption and repurchases |
|
January 15, 2026 |
US$400 million – 6.875% |
|
Fully drawn |
|
Debt redemption and repurchases |
|
January 15, 2029 |
(1) US$53 million expires on November 21,
2023.
At September 30, 2022, we had $1,259 million
outstanding under our Senior Credit Facility, Real Estate Credit
Facilities and unsecured senior notes as compared with $1,126
million at December 31, 2021. The weakening of the Canadian dollar
resulted in $106 million of additional stated debt at September 30,
2022.
The current blended cash interest cost of our
debt is approximately 6.9%.
Covenants
At September 30, 2022, we were in compliance
with the covenants of our Senior Credit Facility and Real Estate
Credit Facilities.
|
Covenant |
|
At September 30, 2022 |
|
Senior Credit
Facility |
|
|
|
|
Consolidated senior debt to consolidated covenant EBITDA(1) |
< 2.50 |
|
|
0.72 |
|
Consolidated covenant EBITDA to consolidated interest expense |
> 2.25 |
|
|
3.76 |
|
Real Estate Credit
Facilities |
|
|
|
|
Consolidated covenant EBITDA to consolidated interest expense |
> 2.25 |
|
|
3.76 |
|
(1) For purposes of calculating the leverage ratio consolidated
senior debt only includes secured indebtedness.
Average shares outstanding
The following tables reconcile the net earnings
(loss) and weighted average shares outstanding used in computing
basic and diluted net earnings (loss) per share:
|
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands of Canadian dollars, except where noted) |
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
Net earnings (loss) – basic |
|
|
30,679 |
|
|
|
(38,032 |
) |
|
|
(37,776 |
) |
|
|
(150,050 |
) |
Expense
adjustment to equity compensation plans, net of tax |
|
|
(94 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net
earnings (loss) – diluted |
|
|
30,585 |
|
|
|
(38,032 |
) |
|
|
(37,776 |
) |
|
|
(150,050 |
) |
|
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated
in thousands) |
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
Weighted average shares outstanding – basic |
|
|
13,580 |
|
|
|
13,304 |
|
|
|
13,549 |
|
|
|
13,319 |
|
Effect
of stock options and other equity compensation plans |
|
|
1,464 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Weighted average shares outstanding – diluted |
|
|
15,044 |
|
|
|
13,304 |
|
|
|
13,549 |
|
|
|
13,319 |
|
QUARTERLY FINANCIAL SUMMARY
(Stated in thousands of Canadian dollars, except per share
amounts) |
|
2021 |
|
|
2022 |
|
Quarters ended |
|
December 31 |
|
|
March 31 |
|
|
June 30 |
|
|
September 30 |
|
Revenue |
|
|
295,202 |
|
|
|
351,339 |
|
|
|
326,016 |
|
|
|
429,335 |
|
Adjusted EBITDA(1) |
|
|
63,881 |
|
|
|
36,855 |
|
|
|
64,099 |
|
|
|
119,561 |
|
Net earnings (loss) |
|
|
(27,336 |
) |
|
|
(43,844 |
) |
|
|
(24,611 |
) |
|
|
30,679 |
|
Net earnings (loss) per basic
share |
|
|
(2.05 |
) |
|
|
(3.25 |
) |
|
|
(1.81 |
) |
|
|
2.26 |
|
Net earnings (loss) per
diluted share |
|
|
(2.05 |
) |
|
|
(3.25 |
) |
|
|
(1.81 |
) |
|
|
2.03 |
|
Funds provided by
operations(1) |
|
|
62,681 |
|
|
|
29,955 |
|
|
|
60,373 |
|
|
|
81,327 |
|
Cash
provided by (used in) operations |
|
|
59,713 |
|
|
|
(65,294 |
) |
|
|
135,174 |
|
|
|
8,142 |
|
(Stated in thousands of Canadian dollars, except per share
amounts) |
|
2020 |
|
|
2021 |
|
Quarters ended |
|
December 31 |
|
|
March 31 |
|
|
June 30 |
|
|
September 30 |
|
Revenue |
|
|
201,688 |
|
|
|
236,473 |
|
|
|
201,359 |
|
|
|
253,813 |
|
Adjusted EBITDA(1) |
|
|
55,263 |
|
|
|
54,539 |
|
|
|
28,944 |
|
|
|
45,408 |
|
Net loss |
|
|
(37,518 |
) |
|
|
(36,106 |
) |
|
|
(75,912 |
) |
|
|
(38,032 |
) |
Net loss per basic and diluted
share |
|
|
(2.74 |
) |
|
|
(2.70 |
) |
|
|
(5.71 |
) |
|
|
(2.86 |
) |
Funds provided by
operations(1) |
|
|
35,282 |
|
|
|
43,430 |
|
|
|
12,607 |
|
|
|
33,525 |
|
Cash
provided by operations |
|
|
4,737 |
|
|
|
15,422 |
|
|
|
42,219 |
|
|
|
21,871 |
|
(1) See “FINANCIAL MEASURES AND RATIOS.”
FINANCIAL MEASURES AND
RATIOS
Non-GAAP Financial Measures |
We reference certain additional Non-Generally Accepted Accounting
Principles (Non-GAAP) measures that are not
defined terms under IFRS to assess performance because we believe
they provide useful supplemental information to investors. |
Adjusted EBITDA |
|
We believe Adjusted EBITDA (earnings before income taxes, gain
(loss) on investments and other assets, loss on repurchase of
unsecured senior notes, finance charges, foreign exchange, gain on
asset disposals and depreciation and amortization), as reported in
our Condensed Interim Consolidated Statements of Net Earnings
(Loss) and our reportable operating segment disclosures, is a
useful measure, because it gives an indication of the results from
our principal business activities prior to consideration of how our
activities are financed and the impact of foreign exchange,
taxation and depreciation and amortization charges. The most
directly comparable financial measure is net earnings (loss). |
Funds Provided by (Used in) Operations |
|
We believe funds provided by (used in) operations, as reported in
our Condensed Interim Consolidated Statements of Cash Flows, is a
useful measure because it provides an indication of the funds our
principal business activities generate prior to consideration of
working capital changes, which is primarily made up of highly
liquid balances. The most directly comparable financial measure is
cash provided by (used in) operations. |
Net Capital Spending |
|
We believe net capital spending is a useful measure as it provides
an indication of our primary investment activities. The most
directly comparable financial measure is cash provided by (used in)
investing activities. Net capital spending is calculated as
follows: |
|
|
For the three months ended September 30, |
|
|
For the nine months ended September 30, |
|
(Stated in thousands of Canadian dollars) |
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Capital spending by spend
category |
|
|
|
|
|
|
|
|
|
|
|
|
Expansion and upgrade |
|
|
25,461 |
|
|
|
5,998 |
|
|
|
50,606 |
|
|
|
15,881 |
|
Maintenance and infrastructure |
|
|
25,642 |
|
|
|
13,502 |
|
|
|
76,335 |
|
|
|
32,310 |
|
|
|
|
51,103 |
|
|
|
19,500 |
|
|
|
126,941 |
|
|
|
48,191 |
|
Proceeds on sale of property, plant and equipment |
|
|
(22,337 |
) |
|
|
(4,476 |
) |
|
|
(32,033 |
) |
|
|
(10,390 |
) |
Net capital spending |
|
|
28,766 |
|
|
|
15,024 |
|
|
|
94,908 |
|
|
|
37,801 |
|
Business acquisitions |
|
|
10,200 |
|
|
|
— |
|
|
|
10,200 |
|
|
|
— |
|
Purchase of investments and
other assets |
|
|
73 |
|
|
|
3,000 |
|
|
|
609 |
|
|
|
3,000 |
|
Changes
in non-cash working capital balances |
|
|
(7,328 |
) |
|
|
(500 |
) |
|
|
(6,881 |
) |
|
|
(3,213 |
) |
Cash
used in investing activities |
|
|
31,711 |
|
|
|
17,524 |
|
|
|
98,836 |
|
|
|
37,588 |
|
Working Capital |
|
We define working capital as current assets less current
liabilities, as reported in our Condensed Interim Consolidated
Statements of Financial Position. Working capital is calculated as
follows: |
|
At September 30, |
|
|
At December 31, |
|
(Stated in thousands of Canadian dollars) |
|
2022 |
|
|
|
2021 |
|
Current assets |
|
489,584 |
|
|
|
319,757 |
|
Current
liabilities |
|
337,295 |
|
|
|
238,120 |
|
Working
capital |
|
152,289 |
|
|
|
81,637 |
|
Non-GAAP Ratios |
We reference certain additional Non-GAAP ratios that are not
defined terms under IFRS to assess performance because we believe
they provide useful supplemental information to investors. |
Adjusted EBITDA % of Revenue |
|
We believe Adjusted EBITDA as a percentage of consolidated revenue,
as reported in our Condensed Interim Consolidated Statements of Net
Earnings (Loss), provides an indication of our profitability from
our principal business activities prior to consideration of how our
activities are financed and the impact of foreign exchange,
taxation and depreciation and amortization charges. |
Long-term debt to long-term debt plus equity |
|
We believe that long-term debt (as reported in our Condensed
Interim Consolidated Statements of Financial Position) to long-term
debt plus equity (total shareholders’ equity as reported in our
Condensed Interim Consolidated Statements of Financial Position)
provides an indication to our debt leverage. |
Net Debt to Adjusted EBITDA |
|
We believe that the Net Debt (long-term debt less cash, as reported
in our Condensed Interim Consolidated Statements of Financial
Position) to Adjusted EBITDA ratio provides an indication to the
number of years it would take for us to repay our debt
obligations. |
Supplementary Financial Measures |
We reference certain supplementary financial measures that are not
defined terms under IFRS to assess performance because we believe
they provide useful supplemental information to investors. |
Capital Spending by Spend Category |
|
We provide additional disclosure to better depict the nature of our
capital spending. Our capital spending is categorized as expansion
and upgrade, maintenance and infrastructure, or intangibles. |
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION AND STATEMENTS
Certain statements contained in this release,
including statements that contain words such as "could", "should",
"can", "anticipate", "estimate", "intend", "plan", "expect",
"believe", "will", "may", "continue", "project", "potential" and
similar expressions and statements relating to matters that are not
historical facts constitute "forward-looking information" within
the meaning of applicable Canadian securities legislation and
"forward-looking statements" within the meaning of the "safe
harbor" provisions of the United States Private Securities
Litigation Reform Act of 1995 (collectively, "forward-looking
information and statements").
In particular, forward looking information and
statements include, but are not limited to, the following:
- our strategic priorities for
2022;
- our capital expenditures, free cash
flow allocation and debt reduction plan for 2022;
- anticipated activity levels, demand
for our drilling rigs, day rates and margins in 2022;
- the average number of term
contracts in place for 2022;
- customer adoption of
Alpha™ technologies and EverGreen™ suite of environmental
solutions;
- anticipated timing and amount of
costs savings from acquired well servicing and rental assets;
- potential commercial opportunities
and rig contract renewals;
- our future debt reduction plans
beyond 2022; and
- anticipated timing and amounts of
insurance recoveries.
These forward-looking information and statements
are based on certain assumptions and analysis made by Precision in
light of our experience and our perception of historical trends,
current conditions, expected future developments and other factors
we believe are appropriate under the circumstances. These include,
among other things:
- the fluctuation in oil prices may
pressure customers into reducing or limiting their drilling
budgets;
- the success of our response to the
COVID-19 global pandemic;
- the status of current negotiations
with our customers and vendors;
- customer focus on safety
performance;
- existing term contracts are neither
renewed nor terminated prematurely;
- our ability to deliver rigs to
customers on a timely basis; and
- the general stability of the
economic and political environments in the jurisdictions where we
operate.
Undue reliance should not be placed on
forward-looking information and statements. Whether actual results,
performance or achievements will conform to our expectations and
predictions is subject to a number of known and unknown risks and
uncertainties which could cause actual results to differ materially
from our expectations. Such risks and uncertainties include, but
are not limited to:
- volatility in the price and demand
for oil and natural gas;
- fluctuations in the level of oil
and natural gas exploration and development activities;
- fluctuations in the demand for
contract drilling, well servicing and ancillary oilfield
services;
- our customers’ inability to obtain
adequate credit or financing to support their drilling and
production activity;
- the success of vaccinations for
COVID-19 worldwide;
- changes in drilling and well
servicing technology, which could reduce demand for certain rigs or
put us at a competitive advantage;
- shortages, delays and interruptions
in the delivery of equipment supplies and other key inputs;
- liquidity of the capital markets to
fund customer drilling programs;
- availability of cash flow, debt and
equity sources to fund our capital and operating requirements, as
needed;
- the impact of weather and seasonal
conditions on operations and facilities;
- competitive operating risks
inherent in contract drilling, well servicing and ancillary
oilfield services;
- ability to improve our rig
technology to improve drilling efficiency;
- general economic, market or
business conditions;
- the availability of qualified
personnel and management;
- a decline in our safety performance
which could result in lower demand for our services;
- changes in laws or regulations,
including changes in environmental laws and regulations such as
increased regulation of hydraulic fracturing or restrictions on the
burning of fossil fuels and greenhouse gas emissions, which could
have an adverse impact on the demand for oil and natural gas;
- terrorism, social, civil and
political unrest in the foreign jurisdictions where we
operate;
- fluctuations in foreign exchange,
interest rates and tax rates; and
- other unforeseen conditions which could impact the use of
services supplied by Precision and Precision’s ability to respond
to such conditions.
Readers are cautioned that the forgoing list of
risk factors is not exhaustive. Additional information on these and
other factors that could affect our business, operations or
financial results are included in reports on file with applicable
securities regulatory authorities, including but not limited to
Precision’s Annual Information Form for the year ended December 31,
2021, which may be accessed on Precision’s SEDAR profile at
www.sedar.com or under Precision’s EDGAR profile at www.sec.gov.
The forward-looking information and statements contained in this
release are made as of the date hereof and Precision undertakes no
obligation to update publicly or revise any forward-looking
statements or information, whether as a result of new information,
future events or otherwise, except as required by law.
CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL
POSITION (UNAUDITED)
(Stated in thousands of Canadian dollars) |
|
September 30, 2022 |
|
|
December 31, 2021 |
|
ASSETS |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash |
|
$ |
40,048 |
|
|
$ |
40,588 |
|
Accounts receivable |
|
|
419,217 |
|
|
|
255,740 |
|
Inventory |
|
|
30,319 |
|
|
|
23,429 |
|
Total current assets |
|
|
489,584 |
|
|
|
319,757 |
|
Non-current assets: |
|
|
|
|
|
|
Income tax recoverable |
|
|
1,633 |
|
|
|
— |
|
Deferred tax assets |
|
|
786 |
|
|
|
867 |
|
Right-of-use assets |
|
|
59,517 |
|
|
|
51,440 |
|
Property, plant and equipment |
|
|
2,343,526 |
|
|
|
2,258,391 |
|
Intangibles |
|
|
20,609 |
|
|
|
23,915 |
|
Investments and other assets |
|
|
11,729 |
|
|
|
7,382 |
|
Total
non-current assets |
|
|
2,437,800 |
|
|
|
2,341,995 |
|
Total
assets |
|
$ |
2,927,384 |
|
|
$ |
2,661,752 |
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Accounts payable and accrued liabilities |
|
$ |
320,349 |
|
|
$ |
224,123 |
|
Income taxes payable |
|
|
1,407 |
|
|
|
839 |
|
Current portion of lease obligations |
|
|
13,233 |
|
|
|
10,935 |
|
Current portion of long-term debt |
|
|
2,306 |
|
|
|
2,223 |
|
Total current liabilities |
|
|
337,295 |
|
|
|
238,120 |
|
|
|
|
|
|
|
|
Non-current liabilities: |
|
|
|
|
|
|
Share-based compensation |
|
|
34,886 |
|
|
|
26,728 |
|
Provisions and other |
|
|
7,410 |
|
|
|
6,513 |
|
Lease obligations |
|
|
52,359 |
|
|
|
45,823 |
|
Long-term debt |
|
|
1,241,099 |
|
|
|
1,106,794 |
|
Deferred tax liabilities |
|
|
21,539 |
|
|
|
12,219 |
|
Total non-current
liabilities |
|
|
1,357,293 |
|
|
|
1,198,077 |
|
Shareholders’ equity: |
|
|
|
|
|
|
Shareholders’ capital |
|
|
2,294,360 |
|
|
|
2,281,444 |
|
Contributed surplus |
|
|
74,057 |
|
|
|
76,311 |
|
Deficit |
|
|
(1,304,756 |
) |
|
|
(1,266,980 |
) |
Accumulated other comprehensive income |
|
|
169,135 |
|
|
|
134,780 |
|
Total
shareholders’ equity |
|
|
1,232,796 |
|
|
|
1,225,555 |
|
Total
liabilities and shareholders’ equity |
|
$ |
2,927,384 |
|
|
$ |
2,661,752 |
|
CONDENSED INTERIM CONSOLIDATED
STATEMENTS OF NET LOSS (UNAUDITED)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
(Stated
in thousands of Canadian dollars, except per share amounts) |
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue |
|
$ |
429,335 |
|
|
$ |
253,813 |
|
|
$ |
1,106,690 |
|
|
$ |
691,645 |
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
Operating |
|
|
284,868 |
|
|
|
184,422 |
|
|
|
784,394 |
|
|
|
485,998 |
|
General and administrative |
|
|
24,906 |
|
|
|
23,983 |
|
|
|
101,781 |
|
|
|
76,756 |
|
Earnings before income taxes,
gain on investments and other assets, loss on
repurchase of unsecured senior notes, finance charges,
foreign exchange, gain on asset disposals and
depreciation and amortization |
|
|
119,561 |
|
|
|
45,408 |
|
|
|
220,515 |
|
|
|
128,891 |
|
Depreciation and
amortization |
|
|
69,448 |
|
|
|
69,431 |
|
|
|
207,662 |
|
|
|
211,148 |
|
Gain on asset disposals |
|
|
(8,238 |
) |
|
|
(3,261 |
) |
|
|
(22,152 |
) |
|
|
(6,224 |
) |
Foreign exchange |
|
|
1,344 |
|
|
|
464 |
|
|
|
1,362 |
|
|
|
104 |
|
Finance charges |
|
|
22,521 |
|
|
|
20,639 |
|
|
|
64,294 |
|
|
|
70,783 |
|
Loss on repurchase of
unsecured senior notes |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
9,520 |
|
Gain on
investments and other assets |
|
|
(2,515 |
) |
|
|
(327 |
) |
|
|
(3,738 |
) |
|
|
(327 |
) |
Earnings (loss) before income
taxes |
|
|
37,001 |
|
|
|
(41,538 |
) |
|
|
(26,913 |
) |
|
|
(156,113 |
) |
Income taxes: |
|
|
|
|
|
|
|
|
|
|
|
|
Current |
|
|
958 |
|
|
|
890 |
|
|
|
2,563 |
|
|
|
2,462 |
|
Deferred |
|
|
5,364 |
|
|
|
(4,396 |
) |
|
|
8,300 |
|
|
|
(8,525 |
) |
|
|
|
6,322 |
|
|
|
(3,506 |
) |
|
|
10,863 |
|
|
|
(6,063 |
) |
Net
earnings (loss) |
|
$ |
30,679 |
|
|
$ |
(38,032 |
) |
|
$ |
(37,776 |
) |
|
$ |
(150,050 |
) |
Net earnings (loss) per
share: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
2.26 |
|
|
$ |
(2.86 |
) |
|
$ |
(2.79 |
) |
|
$ |
(11.27 |
) |
Diluted |
|
$ |
2.03 |
|
|
$ |
(2.86 |
) |
|
$ |
(2.79 |
) |
|
$ |
(11.27 |
) |
CONDENSED INTERIM CONSOLIDATED
STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
(Stated
in thousands of Canadian dollars) |
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
Net earnings (loss) |
|
$ |
30,679 |
|
|
$ |
(38,032 |
) |
|
$ |
(37,776 |
) |
|
$ |
(150,050 |
) |
Unrealized gain
(loss) on translation of assets and
liabilities of operations denominated in foreign
currency |
|
|
111,811 |
|
|
|
33,364 |
|
|
|
139,478 |
|
|
|
(9,182 |
) |
Foreign exchange gain
(loss) on net investment hedge
with U.S. denominated debt |
|
|
(84,060 |
) |
|
|
(24,544 |
) |
|
|
(105,123 |
) |
|
|
6,995 |
|
Comprehensive income (loss) |
|
$ |
58,430 |
|
|
$ |
(29,212 |
) |
|
$ |
(3,421 |
) |
|
$ |
(152,237 |
) |
CONDENSED INTERIM CONSOLIDATED
STATEMENTS OF CASH FLOWS (UNAUDITED)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
(Stated
in thousands of Canadian dollars) |
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
Cash provided by (used
in): |
|
|
|
|
|
|
|
|
|
|
|
|
Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (loss) |
|
$ |
30,679 |
|
|
$ |
(38,032 |
) |
|
$ |
(37,776 |
) |
|
$ |
(150,050 |
) |
Adjustments for: |
|
|
|
|
|
|
|
|
|
|
|
|
Long-term compensation plans |
|
|
411 |
|
|
|
7,887 |
|
|
|
34,847 |
|
|
|
28,688 |
|
Depreciation and amortization |
|
|
69,448 |
|
|
|
69,431 |
|
|
|
207,662 |
|
|
|
211,148 |
|
Gain on asset disposals |
|
|
(8,238 |
) |
|
|
(3,261 |
) |
|
|
(22,152 |
) |
|
|
(6,224 |
) |
Foreign exchange |
|
|
773 |
|
|
|
415 |
|
|
|
924 |
|
|
|
1,437 |
|
Finance charges |
|
|
22,521 |
|
|
|
20,639 |
|
|
|
64,294 |
|
|
|
70,783 |
|
Income taxes |
|
|
6,322 |
|
|
|
(3,506 |
) |
|
|
10,863 |
|
|
|
(6,063 |
) |
Other |
|
|
(2 |
) |
|
|
2 |
|
|
|
273 |
|
|
|
(562 |
) |
Gain on investments and other assets |
|
|
(2,515 |
) |
|
|
(327 |
) |
|
|
(3,738 |
) |
|
|
(327 |
) |
Loss on repurchase of unsecured senior notes |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
9,520 |
|
Income taxes paid |
|
|
(220 |
) |
|
|
(1,134 |
) |
|
|
(3,023 |
) |
|
|
(5,200 |
) |
Income taxes recovered |
|
|
10 |
|
|
|
44 |
|
|
|
10 |
|
|
|
47 |
|
Interest paid |
|
|
(38,005 |
) |
|
|
(18,804 |
) |
|
|
(80,706 |
) |
|
|
(63,982 |
) |
Interest received |
|
|
143 |
|
|
|
171 |
|
|
|
177 |
|
|
|
347 |
|
Funds provided by
operations |
|
|
81,327 |
|
|
|
33,525 |
|
|
|
171,655 |
|
|
|
89,562 |
|
Changes
in non-cash working capital balances |
|
|
(73,185 |
) |
|
|
(11,654 |
) |
|
|
(93,633 |
) |
|
|
(10,050 |
) |
|
|
|
8,142 |
|
|
|
21,871 |
|
|
|
78,022 |
|
|
|
79,512 |
|
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property, plant
and equipment |
|
|
(51,103 |
) |
|
|
(19,500 |
) |
|
|
(126,941 |
) |
|
|
(48,191 |
) |
Proceeds on sale of property,
plant and equipment |
|
|
22,337 |
|
|
|
4,476 |
|
|
|
32,033 |
|
|
|
10,390 |
|
Business acquisitions |
|
|
(10,200 |
) |
|
|
— |
|
|
|
(10,200 |
) |
|
|
— |
|
Purchase of investments and
other assets |
|
|
(73 |
) |
|
|
(3,000 |
) |
|
|
(609 |
) |
|
|
(3,000 |
) |
Changes
in non-cash working capital balances |
|
|
7,328 |
|
|
|
500 |
|
|
|
6,881 |
|
|
|
3,213 |
|
|
|
|
(31,711 |
) |
|
|
(17,524 |
) |
|
|
(98,836 |
) |
|
|
(37,588 |
) |
Financing: |
|
|
|
|
|
|
|
|
|
|
|
|
Issuance of long-term
debt |
|
|
50,360 |
|
|
|
— |
|
|
|
144,889 |
|
|
|
696,341 |
|
Repayments of long-term
debt |
|
|
(34,475 |
) |
|
|
(8,209 |
) |
|
|
(118,586 |
) |
|
|
(769,668 |
) |
Repurchase of share
capital |
|
|
(5,010 |
) |
|
|
— |
|
|
|
(10,010 |
) |
|
|
(4,294 |
) |
Issuance of common shares on
the exercise of options |
|
|
— |
|
|
|
— |
|
|
|
6,162 |
|
|
|
— |
|
Debt issuance costs |
|
|
— |
|
|
|
344 |
|
|
|
— |
|
|
|
(9,450 |
) |
Debt amendment fees |
|
|
— |
|
|
|
(3 |
) |
|
|
— |
|
|
|
(913 |
) |
Lease payments |
|
|
(1,777 |
) |
|
|
(1,633 |
) |
|
|
(5,186 |
) |
|
|
(4,963 |
) |
Changes
in non-cash working capital balances |
|
|
— |
|
|
|
(1,829 |
) |
|
|
— |
|
|
|
— |
|
|
|
|
9,098 |
|
|
|
(11,330 |
) |
|
|
17,269 |
|
|
|
(92,947 |
) |
Effect
of exchange rate changes on cash |
|
|
2,878 |
|
|
|
642 |
|
|
|
3,005 |
|
|
|
(653 |
) |
Decrease in cash |
|
|
(11,593 |
) |
|
|
(6,341 |
) |
|
|
(540 |
) |
|
|
(51,676 |
) |
Cash,
beginning of period |
|
|
51,641 |
|
|
|
63,437 |
|
|
|
40,588 |
|
|
|
108,772 |
|
Cash,
end of period |
|
$ |
40,048 |
|
|
$ |
57,096 |
|
|
$ |
40,048 |
|
|
$ |
57,096 |
|
CONDENSED INTERIM CONSOLIDATED
STATEMENTS OF CHANGES IN EQUITY (UNAUDITED)
(Stated
in thousands of Canadian dollars) |
|
Shareholders’ Capital |
|
|
Contributed Surplus |
|
|
Accumulated Other Comprehensive Income |
|
|
Deficit |
|
|
Total Equity |
|
Balance at January 1, 2022 |
|
$ |
2,281,444 |
|
|
$ |
76,311 |
|
|
$ |
134,780 |
|
|
$ |
(1,266,980 |
) |
|
$ |
1,225,555 |
|
Net loss for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(37,776 |
) |
|
|
(37,776 |
) |
Other comprehensive income for
the period |
|
|
— |
|
|
|
— |
|
|
|
34,355 |
|
|
|
— |
|
|
|
34,355 |
|
Share options exercised |
|
|
8,843 |
|
|
|
(2,681 |
) |
|
|
— |
|
|
|
— |
|
|
|
6,162 |
|
Share repurchases |
|
|
(10,010 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(10,010 |
) |
Share-based
compensation reclassification |
|
|
14,083 |
|
|
|
(219 |
) |
|
|
— |
|
|
|
— |
|
|
|
13,864 |
|
Share-based compensation expense |
|
|
— |
|
|
|
646 |
|
|
|
— |
|
|
|
— |
|
|
|
646 |
|
Balance at September 30, 2022 |
|
$ |
2,294,360 |
|
|
$ |
74,057 |
|
|
$ |
169,135 |
|
|
$ |
(1,304,756 |
) |
|
$ |
1,232,796 |
|
(Stated
in thousands of Canadian dollars) |
|
Shareholders’ Capital |
|
|
Contributed Surplus |
|
|
Accumulated Other Comprehensive Income |
|
|
Deficit |
|
|
Total Equity |
|
Balance at January 1, 2021 |
|
$ |
2,285,738 |
|
|
$ |
72,915 |
|
|
$ |
137,581 |
|
|
$ |
(1,089,594 |
) |
|
$ |
1,406,640 |
|
Net loss for the period |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(150,050 |
) |
|
|
(150,050 |
) |
Other comprehensive loss for
the period |
|
|
— |
|
|
|
— |
|
|
|
(2,187 |
) |
|
|
— |
|
|
|
(2,187 |
) |
Share repurchases |
|
|
(4,294 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(4,294 |
) |
Share-based
compensation reclassification |
|
|
— |
|
|
|
(2,349 |
) |
|
|
— |
|
|
|
— |
|
|
|
(2,349 |
) |
Share-based compensation expense |
|
|
— |
|
|
|
6,187 |
|
|
|
— |
|
|
|
— |
|
|
|
6,187 |
|
Balance
at September 30, 2021 |
|
$ |
2,281,444 |
|
|
$ |
76,753 |
|
|
$ |
135,394 |
|
|
$ |
(1,239,644 |
) |
|
$ |
1,253,947 |
|
THIRD QUARTER RESULTS CONFERENCE CALL AND
WEBCAST
Precision Drilling Corporation has scheduled a
conference call and webcast to begin promptly at 12:00 noon MT
(2:00 p.m. ET) on Thursday, October 27, 2022. To participate in the
live call please register at the URL link below:
https://register.vevent.com/register/BI5a6a8b62910a4946a1aa06b35a57db87
This link replaces the dial-in details that were
included in past releases. Once registered, you will receive a
dial-in number and a unique PIN, which will allow you to ask
questions.
An archived version of the webcast will be
available through the webcast on-demand for 12 months.
About Precision
Precision is a leading provider of safe and
environmentally responsible High Performance, High Value services
to the energy industry, offering customers access to an extensive
fleet of Super Series drilling rigs. Precision has commercialized
an industry-leading digital technology portfolio known as “Alpha™”
that utilizes advanced automation software and analytics to
generate efficient, predictable, and repeatable results for energy
customers. Additionally, Precision offers well service rigs, camps
and rental equipment all backed by a comprehensive mix of technical
support services and skilled, experienced personnel.
Precision is headquartered in Calgary, Alberta,
Canada and is listed on the Toronto Stock Exchange under the
trading symbol “PD” and on the New York Stock Exchange under the
trading symbol “PDS.”
For further information, please contact:
Lavonne Zdunich, CPA, CADirector, Investor
Relations403.716.4500
800, 525 - 8th Avenue S.W.Calgary, Alberta,
Canada T2P 1G1Website: www.precisiondrilling.com
Precision Drilling (TSX:PD)
Historical Stock Chart
From Sep 2024 to Oct 2024
Precision Drilling (TSX:PD)
Historical Stock Chart
From Oct 2023 to Oct 2024