Essential Energy Services Announces Acquisition of Coil Tubing and Pumping Assets and Disposition of Service Rig Division

CALGARY, ALBERTA–(Marketwired – Dec. 12, 2016) – Essential Energy Services Ltd. (“Essential”) (TSX:ESN) announces it has entered into a definitive agreement with Precision Drilling Corporation (“Precision”) to sell and purchase certain assets (the “Transaction”). Under the Transaction, Essential will sell its service rig business (the “Service Rig Business”) to Precision in a transaction valued at approximately $28 million. Precision will pay for the Service Rig Business with the transfer of its coil tubing and pumping assets (the “Coil Well Service Assets”) and cash proceeds of $12 million. The Transaction is subject to customary terms and conditions, including due diligence, and is scheduled to close on December 16, 2016.

Source: http://www.marketwired.com/mw/release.do?id=2182625&sourceType=3