CALGARY, ALBERTA--(Marketwire - Aug. 22, 2012) - Cdn Oilfield Technologies & Solutions Corp. (COTS) (TSX VENTURE:OTS) today reported the results of its second quarter ended June 30 2012.
The company reported 6 months sales to June 30, 2012 of (USD)$14,479,880 up from (USD)$3,119,896 for the same 6 month period in 2011 (an increase of 365% over 2011). Comprehensive income rose to $1,143,242 for the 6 months reflecting an increase of $1,311,053 over the same period in 2011 where a loss of $168,811 was reported.
Funds flow from operations totaled $1,200,935 for the 6 months ended June 2012 versus a deficit of $473,952 reflected for the same period in 2011 (a difference of $1,674,887). Copies of the June 30, 2012 Condensed Consolidated Interim Financial Statements and MD&A can be viewed at www.sedar.com. (all funds are in united states dollars unless otherwise noted).
|For the six months ended June 30, 2012, COTS:
- Showed positive sales growth in Mexico. Both pipe and infrastructure projects have contributed immensely to the growth in the Mexican market.
- Completed Terra 114 project and started three additional smaller projects; two completed to June 30, 2012 and one ongoing.
- Flexible steel pipe sales for the six months totalled 16.7Km and additional sales of 17.8Km where delivered in July with sales opportunities continuing to grow.
- Completed the placement of (CAD)$2,515,000 of Debentures on April 20, 2012. The terms of the debentures include annual interest at 12%, plus 1 warrant for each dollar of debenture. In addition, a short term loan for (CAD)$700,000 at 12% interest per annum was attained to assist in the expanded scope and size for project Terra 114 and other projects moving forward.
- Effective July 18, 2012, CBM Pumps and Service has been rebranded to Extreme Pump Solutions Inc. The rebranding is in line with the Companies restructuring of its pump business in the United States. Over the past year, Extreme showed a drop in sales in the pump business, primarily attributable to reduced drilling activity by oil and gas companies in the Unites States predicated by the commodity price of natural gas dropping. New management has implemented changes in focus, supply, inventory, product quality and control areas in operations and is now expanding its sales and marketing opportunities.
- Continues to assess opportunities for expanded business in the US and Mexico.
Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. In particular, forward-looking information in this press release includes, but is not limited to, anticipated sales of the company and completion of installation projects. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: general economic conditions in Canada and Mexico and globally; industry conditions, governmental regulation, including environmental regulation; unanticipated operating events or performance; failure to obtain industry partner and other third party consents and approvals, if and when required; the availability of capital on acceptable terms; the need to obtain required approvals from regulatory authorities; stock market volatility; competition for, among other things, capital, skilled personnel and supplies; changes in tax laws; and the other industry and geographic specific risk factors. Investors are cautioned that this list of risk factors should not be construed as exhaustive.
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