CALGARY, Alberta–(BUSINESS WIRE)–STEP Energy Services Ltd. (“STEP”) (TSX: STEP) announces that effective December 19, 2024, STEP, 2659160 Alberta Ltd. and the limited partnerships comprising ARC Energy Fund 8 (a private equity fund advised by ARC Financial Corp.) have entered into a termination agreement that mutually terminates the arrangement agreement originally entered into on November 3, 2024 (the “Agreement”). The termination is without liability or cost to any party.
The decision to terminate the Agreement was made after it became clear that the requisite minority shareholder approval could not be achieved.
“We entered into this Agreement believing that this was in the best interest of STEP and delivered value to our STEP shareholders. STEP has grown from a small upstart company in 2011 to one of the industry’s leading providers of coiled tubing and hydraulic fracturing services today,” commented Steve Glanville, President and CEO. “We are excited about what the future holds for our company. Our Canadian region is closing out its best ever year and despite the challenges in the U.S. market, our coiled tubing service line has grown market share by introducing cutting edge technology to clients.”
“I want to thank our valued professionals, clients and vendors for their patience throughout this process. This outcome does not change our strategy for 2025 and onward,” continued Mr. Glanville. “Our recently announced 2025 capital budget will continue to put STEP at the forefront of the evolving technology in this industry. We see some near term margin pressure, but we have a constructive outlook on 2025, particularly as we see additional LNG capacity coming on stream in the second half of the year.”
ABOUT STEP
STEP is an energy services company that provides coiled tubing, fluid and nitrogen pumping and hydraulic fracturing solutions. Our combination of modern equipment along with our commitment to safety and quality execution has differentiated STEP in plays where wells are deeper, have longer laterals and higher pressures. STEP has a high-performance, safety-focused culture and its experienced technical office and field professionals are committed to providing innovative, reliable and cost-effective solutions to its clients.
Founded in 2011 as a specialized deep capacity coiled tubing company, STEP has grown into a North American service provider delivering completion and stimulation services to exploration and production companies in Canada and the U.S. Our Canadian services are focused in the Western Canadian Sedimentary Basin, while in the U.S., our fracturing services are focused on the Permian basin and our coiled tubing services are focused on the Permian and Eagle Ford in Texas, the Uinta Piceance, and Niobrara-DJ basins in Colorado and the Bakken in North Dakota.
Our four core values; Safety, Trust, Execution and Possibilities inspire our team of professionals to provide differentiated levels of service, with a goal of flawless execution and an unwavering focus on safety.
Forward-Looking Statements:
This news release contains “forward-looking information” or “forward-looking statements” within the meaning of applicable securities laws (collectively, “forward-looking statements”). In some cases, forward-looking statements are identifiable by the terminology used, such as “may,” “expect,” “believe,” “plan,” “anticipate,” “intend,” “could,” “estimate,” “continue,” or similar expressions or the negative of such expressions are intended to identify forward-looking statements. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances are considered forward-looking statements. Forward-looking statements in this news release include any information or statements that relate to future events or circumstances and which do not directly and exclusively relate to historical facts. Forward-looking statements are subject to known and unknown risks and uncertainties and other factors, some beyond the control of STEP, which could cause actual events, results, expectations, achievements or performance to differ materially. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. No forward-looking statement is a guarantee of future results. Accordingly, you should not place undue reliance on forward-looking statements, which speak only as of the date made. The forward-looking statements contained in this news release represents the Company’s expectations as of the date of this news release (or as the date they are otherwise stated to be made) and are subject to change after such date. However, the Company disclaims any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws in Canada. All of the forward-looking information contained in this news release is expressly qualified by the foregoing cautionary statements.
Contacts
For further information, please contact:
Steve Glanville
President & Chief Executive Officer
Telephone: (403) 457-1772
