- Cathedral Energy Services Ltd. (CET) has signed a $5 million agreement to acquire the operating assets of Ensign Energy Services Inc. (ESI)
- Cathedral partners with energy companies requiring high-performance directional drilling services, and Ensign produces enhanced drilling with its automated technology
- The purchase price will be met by Cathedral issuing 7.01 million of its common shares
- Cathedral and Ensign have also signed a marketing and technology alliance
- Cathedral Energy Services Ltd. (CET) is up 3.49 per cent, trading at $0.89 per share as of 3:05 p.m. ET
- Ensign Energy Services Inc. (ESI) is up 3.76 per cent, trading at $3.31 per share as of 3:05 p.m. ET
Cathedral Energy Services Ltd. (CET) has signed a $5 million agreement to acquire the operating assets of Ensign Energy Services (ESI).
Cathedral is based in Calgary and is a partner to North American energy companies requiring high-performance directional drilling services. Ensign produces enhanced drilling with the help of its proprietary automated drilling rigs.
Ensign’s President and COO, Robert Geddes, commented,
“The combination of Cathedral’s [measurement while drilling] platform and high-performance mud motor technology along with Ensign’s Edge digital DRC automation platform and operational footprint in Canada will help accelerate the evolution of automation-assisted drilling for Ensign and the industry.”
The purchase price will be met by Cathedral issuing approximately 7.01 million of its common shares, about 3.15 per cent of its total shares, to Ensign.
As part of the deal, Cathedral and Ensign have also signed a marketing and technology alliance to support and expand the customer base of both companies in the Canadian market.
Tom Connors, Cathedral’s President and CEO, stated,
“The addition of a marketing alliance with Ensign further cements our position as a leader in the directional drilling space and allows for further differentiation of our business model as we drive value for our customers through a combined technology offering that will continue to push efficiency benchmarks within the industry”
Cathedral Energy Services Ltd. (CET) is up 3.49 per cent, trading at $0.89 per share as of 3:05 p.m. ET.
Ensign Energy Services Inc. (ESI) is up 3.76 per cent, trading at $3.31 per share as of 3:05 p.m. ET.
