SERVICE SECTOR / Bonus Services
BONUS RESOURCE SERVICES CORP. ACQUIRES ALBERTA GOLD ASSETS
CALGARY, May 22 /CNW/ - Bonus Resource Services Corp. (Bonus) is pleased
to announce that it has signed a definitive agreement for the purchase of the
assets of Alberta Gold Well Servicing Corp Ltd. (Alberta Gold), subject to
regulatory approval. The transaction includes 42 service rigs (29 doubles, 13
singles) and associated equipment operating from bases in Red Deer and Grande
Prairie and provides for the retention of substantially all employees by
Bonus. The assets will be paid by cash and the issuance of 1.4 million common
shares of Bonus Resource Services Corp. and is scheduled to close June 8, 1998
with the effective date of June 1, 1998.
Alberta Gold, the second largest privately held and fifth largest service
rig company in western Canada has been in operation since 1978. It is
considered a premier operator of service rigs in the gas prone areas of
Alberta and northeastern British Columbia, having an excellent reputation
within the industry for its quality equipment and personnel. The assets will
add over $40 million in revenues during the next year and significantly
enhance Bonus' scope of operations in northwestern Alberta. With this
transaction Bonus continues to be the leader in the ongoing consolidation
occurring within the service rig industry.
Bonus Resource Services Corp. is Canada's largest service rig company
with 197 service rigs and 7 swab rigs in western Canada and 7 service rigs in
Australia. The Company trades on the Toronto Stock Exchange under the symbol
BOU.
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For further information: Tom Alford, President and COO, (403) 347-3737,
E-mail: talford@bonusgroup.com; Kevin Nugent, V.P. Finance and CFO, (403)
781-1238, E-mail: bonus@bonusgroup.com
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