Press release from CNW Group
CATHEDRAL ENERGY SERVICES ANNOUNCES LAUNCH OF ITS FUSION MWD SYSTEM
Thursday, May 26, 2011
/NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA/
CALGARY, May 26, 2011 /CNW/ - Cathedral Energy Services Ltd.'s (the "Company"/"Cathedral") - (TSX: CET) focus on providing leading edge technology to the drilling industry allows us to introduce our "Fusion MWD System". The Fusion Measurement-While-Drilling ("MWD") System is based on a customizable modular platform which provides operators with enhanced performance, reliability and accuracy in drilling environments that are challenging and of greater depth.
The Fusion MWD System is designed to be fully customizable by the operator with the choice of electro-magnetic ("EM") transmission, positive mud pulse transmission or dual telemetry transmission. The operator has the option of telemetry type that best suits their drilling requirements and offers the most economic alternative. In the EM transmission mode the Fusion MWD System provides for increased power capabilities and enhanced filtering over previous designs, resulting in a more efficient signal and thereby allowing for successful data transmission at greater drilling depths.
The modular design not only allows for standard and focal gamma logging capabilities but now offers "resistivity" logging as an add on. Thus Cathedral can now offer what is considered as a complete "LWD" (logging-while-drilling) package.
Of the 27 MWD systems expected to be added in 2011, Cathedral anticipates that 24 will be Fusion MWD Systems. To date, six Fusion MWD Systems have been added to the overall MWD fleet.
Cathedral is extremely excited to present this type of leading edge technology to the market as it sets Cathedral apart from its competitors. Cathedral designs, manufactures, operates and repairs its own technology in-house, thus allowing the Company to control its cost structure and supply chain management rather than relying on third-party manufacturers for its MWD equipment.
Cathedral's research and development team continues to focus on bringing leading edge technologies forward to the market. It is this continuous process of improvement that will keep Cathedral a leader in its field well into the future.
FORWARD LOOKING STATEMENTS
This news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words suggesting future outcomes. In particular, this news release contains forward-looking statements relating to the expected number of MWD systems to be added. The Company believes the expectations reflected in such forward-looking statement is reasonable as of the date hereof but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon.
Various material factors and assumptions are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking statements. Those material factors and assumptions are based on information currently available to the Company, including information obtained from third party industry analysts and other third party sources. In some instances, material assumptions and material factors are presented elsewhere in this news release in connection with the forward-looking statements. You are cautioned that the following list of material factors and assumptions is not exhaustive. Specific material factors and assumptions include, but are not limited to:
● the performance of the Company's businesses, including current
business and economic trends;
● oil and natural gas commodity prices and production levels;
● capital expenditure programs and other expenditures by the Company and its customers;
● the ability of the Company to retain and hire qualified personnel;
● the ability of the Company to obtain parts, consumables, equipment, technology, and supplies in a timely manner to carry out its activities;
● the ability of the Company to maintain good working relationships with key suppliers;
● the ability of the Company to market its services successfully to existing and new customers;
● the ability of the Company to obtain timely financing on acceptable terms;
● currency exchange and interest rates;
● risks associated with foreign operations including Venezuela;
● the ability of the Company to realize the benefit of its conversion from an income trust to a corporation;
● risks associated with the formation of Cathedral's joint venture company in Venezuela which is required prior to commencement of Venezuela operations, some of which are out of the control of Cathedral;
● risks associated with Venezuela joint venture company being awarded work by the Venezuela state run oil and natural gas corporation;
● changes under governmental regulatory regimes and tax, environmental and other laws in Canada, United States ("U.S.") and Venezuela; and
● a stable competitive environment.
Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties some of which are described herein. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause the Company's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, the risks identified in this news release and in the Company's Annual Information Form under the heading "Risk Factors". Any forward-looking statements are made as of the date hereof and, except as required by law, the Company assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise.
All forward-looking statements contained in this news release are expressly qualified by this cautionary statement. Further information about the factors affecting forward-looking statements is available in the Company's current Annual Information Form and Annual Report which have been filed with Canadian provincial securities commissions and are available on www.sedar.com.
Cathedral Energy Services Ltd. (the "Company"/"Cathedral") and its wholly owned subsidiary, Cathedral Energy Services Inc., are engaged in the business of providing selected oilfield services to oil and natural gas companies in western Canada and selected oil and natural gas basins in the United States. The Company is in the process of establishing operations in Venezuela for providing directional drilling services through its wholly owned subsidiaries Directional Plus International Ltd. and Directional Plus de Venezuela, C.A. The Company's operating activities are divided into directional drilling and production testing business units. The Company's shares trade on the TSX under the symbol: CET. For more information, visit www.cathedralenergyservices.com.
For further information:
Requests for further information should be directed to:
Mark L. Bentsen, President and Chief Executive Officer or P. Scott MacFarlane, Chief Financial Officer
Cathedral Energy Services Ltd., 1700, 715 - 5th Avenue S.W., Calgary, Alberta T2P 2X6
Telephone: 403.265.2560 Fax: 403.262.4682 www.cathedralenergyservices.com