Ensign Energy Services Inc
OTC:ESVIF
Ensign Energy Services Inc
Ensign Energy Services, Inc. engages in the provision oilfield services to the crude oil and natural gas industries. The company is headquartered in Calgary, Alberta and currently employs 1,165 full-time employees. The company offers land-based services to geothermal energy. The company provides a range of services, which includes contract drilling, directional drilling, underbalanced and managed pressure drilling, rental equipment, well servicing and production services. The company has operations in Canada and the United States to Latin America, the Middle East and Australia. The firm uses hybrid technology, which includes drilling rigs in its fleet which use natural gas and biofuel generators, as well as electric grid-tied power. The company provides automated drill rig and automated service rig technology suite. The automated drill rig is an agile rig to drill long lateral sections in horizontal wells. The automated service rig is an automated service rig for tubulars from the pipe rack to connection.
Ensign Energy Services, Inc. engages in the provision oilfield services to the crude oil and natural gas industries. The company is headquartered in Calgary, Alberta and currently employs 1,165 full-time employees. The company offers land-based services to geothermal energy. The company provides a range of services, which includes contract drilling, directional drilling, underbalanced and managed pressure drilling, rental equipment, well servicing and production services. The company has operations in Canada and the United States to Latin America, the Middle East and Australia. The firm uses hybrid technology, which includes drilling rigs in its fleet which use natural gas and biofuel generators, as well as electric grid-tied power. The company provides automated drill rig and automated service rig technology suite. The automated drill rig is an agile rig to drill long lateral sections in horizontal wells. The automated service rig is an automated service rig for tubulars from the pipe rack to connection.
Revenue Decline: Third quarter revenue was $411.2 million, down 5% year-over-year due to lower operating days and base revenue rates.
EBITDA Drop: Adjusted EBITDA fell 17% to $98.6 million, mainly from lower rates and one-time rig-related expenses.
Debt Reduction Target: The company expects to achieve its $600 million debt reduction target by the first half of 2026, a slight delay from the original timeline.
Strong Contract Book: Forward contract revenue rose to $1.1 billion, with $300 million of long-term contract margin forecast.
Operational Strength: High-spec rig categories in Canada and the US drove market share gains; EDGE drilling technology adoption continues.
CapEx Discipline: Maintenance CapEx for 2025 is set at $154 million, with selective upgrades, some funded by customers.
Market Outlook: Management sees signs of a trough in US rig demand and increased customer interest for long-term contracts, especially for high-spec rigs.
