CALGARY, ALBERTA–(Marketwired – April 18, 2016) – NEW WEST ENERGY SERVICES INC. (TSX VENTURE:NWE) today announced the closing of its previously announced non-brokered private placement financing through the issuance of 20,777,112 common shares at $0.03 per share for gross proceeds of $623,313.36.
NWE President and Chief Executive Officer, Gerry E. Kerkhoff, commented: “With the closing of our financing, we are very pleased with the vote of confidence shown by our participating shareholders and new investors. We have strengthened our balance sheet and believe that through execution of our strategic plan we will be well positioned to create significant shareholder value when oil and gas prices rebound and field activity levels improve.”
NWE intends to use the proceeds from the financing to repay certain bank indebtedness ($200,000), for equipment purchases and financing (up to $85,000) and for general operational purposes (up to $340,000). Such use of proceeds is an estimation based upon information currently known to NWE and management’s actual use of proceeds may vary materially from those noted here depending upon changing circumstances and/or any corporate mergers or acquisitions or other strategic transactions that the company may undertake.
The financing is subject to customary conditions, including final acceptance by the TSX Venture Exchange. All common shares issued pursuant to the financing are subject to a hold period expiring August 16, 2016.
ABOUT NEW WEST ENERGY SERVICES
NWE management and operations personnel have over 20 years of experience in oil and gas services throughout western Canada. The company uses advanced technology and processes in drilling waste and water management, including transport and disposal. Through its subsidiaries, NWE services the drilling, completions and production sectors and operates a fleet of modern straight, combo and hydro vac trucks as well as end dumps, water and tank trucks with bulk transport trailers. NWE is also a recognized leader in comprehensive environmental services. NWE’s main service centres are located in Beaverlodge and Medicine Hat, Alberta, and its head office is in Calgary, Alberta.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements and Information
Except for the statements of historical fact contained herein, certain information presented herein constitutes forward-looking statements and/or information. The forward-looking statements and information contained in this press release are solely opinions and forecasts which are uncertain and subject to risks. Forward-looking statements and information include, but are not limited to, uncertainties and other factors which may cause the actual results, performance or achievements of NWE to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such forward-looking statements and information are not guarantees of future performance and are subject to a number of known and unknown risks and uncertainties. Accordingly, readers are cautioned that the assumption used in the preparation of the forward-looking statements, although considered reasonable at the time of preparation may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements and information.
The forward-looking statements and information contained in this press release are made as of the date of this press release. Except as required by law, NWE disclaims any intention and assumes no obligation to update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise. Additionally, NWE undertakes no obligation to comment on the expectations of, or statements made, by third parties in respect of the matters disclosed in this press release.
New West Energy Services Inc.
Gerry E. Kerkhoff
President and Chief Executive Officer
403.984.9798 or 1.888.977.2327 (BEAR)