|By Marketwired .||
|August 20, 2013 04:31 PM EDT||
CALGARY, ALBERTA -- (Marketwired) -- 08/20/13 -- Xtreme Drilling and Coil Services ("Xtreme" or the "Company") (TSX:XDC) has entered into a 1095 day contract in The Kingdom of Saudi Arabia. The effective commencement date of the contract was July 28, 2013 and will run through July 27, 2016 with a one year extension option. This contract replaces one of the short term extensions that were previously announced on the two rigs operating in Saudi Arabia. The second rig is still working under its short term extension and the Company anticipates that new terms will be finalized within the next 45 days.
Chief Executive Officer, Tom Wood, commented, "We are very pleased with the terms and conditions of our new contract. Over the past three years we have significantly increased performance for our client. In addition, the success from this project has led to inquiries from other producers in the region that recognize the value proposition of Xtreme's patented coiled tubing drilling systems."
Xtreme has had coiled tubing drilling rigs operating in Saudi Arabia since 2010. The original contracts were two year terms with a one year option that was exercised. Currently, Xtreme offers coiled tubing services in both Saudi Arabia and North America. Xtreme has pioneered the deep reach coiled tubing market with 2 5/8 inch diameter coiled tubing, AC electric injectors and proprietary software control. Xtreme holds all depth records with this large coil size. This has allowed Xtreme's customers to drill and complete longer reach horizontal wells in the United States and the Middle East.
About Xtreme Drilling and Coil Services
Xtreme Drilling and Coil Services Corp. ("XDC" on the Toronto Stock Exchange) designs, builds, and operates a fleet of high specification drilling rigs and coiled tubing well service units featuring leading-edge proprietary technology including AC high capacity coil injectors, deep re-entry drilling capability, modular transportation systems and continuous integration of in-house advances in methodologies.
Currently Xtreme operates two service lines: Drilling Services and Coil Services under contracts with oil and natural gas exploration and production companies and integrated oilfield service providers in Canada, the United States and Saudi Arabia. For more information about the Company, please visit www.xtremecoil.com.