|By Marketwired .||
|August 15, 2014 09:00 AM EDT||
CALGARY, ALBERTA -- (Marketwired) -- 08/15/14 -- Millennium Stimulation Services Ltd. ("Millennium" or the "Company") would like to provide an update on its current operational and growth activities. Given that the Company has been recently operating at very high rates of utilization and based on its clients' commitments, Millennium is moving forward with a new 18,000 BHP coil frac spread with enhanced capability in cryogenic gas capability to further develop the Company's LNG service strategy. In anticipation of this new build, Millennium has initiated a non-brokered private placement, as described below. For details regarding Millennium's expansion into LNG services, please refer to Millennium's press release regarding the acquisition of ENFRAC Inc.
Industry activities appeared to be strengthening as it approaches 2015. The current utilization of the Millennium fleet speaks to this point.
-- Currently, one of Millennium's coil/frac fleets is under 100 percent 24 hour contract commitment through to mid-2015 and beyond at favourable rate conditions. -- The second coil/frac fleet is currently executing on spot work and/or smaller commitments for a number of clients. It is maintaining roughly 70 percent utilization on a 12 hour schedule for clients looking at Millennium for potentially longer-term commitments. -- The Company's near term efforts are to move both fleets into a 24-hour schedule in order to further meet customer demands. -- As Millennium fleets remain in high demand, the Company will be exploring an increase in sales rates by first quarter 2015.
Millennium New Build Equipment
Millennium is constantly pushing to improve the completion results for our clients. The industry is steadily moving to higher pumping rates to increase well productivity for its clients. As a result, Millennium is taking the initiative to deploy a much larger multipurpose 18,000 BHP fleet for the plains region. A larger fleet will also lead the way to the possibility of expanding Millennium's horsepower and moving operations into areas with much larger requirements as well as foam fracing with either N2 or LNG. This new multipurpose fleet has the benefit of ensuring that the Company does not miss out on any opportunity within its pumping capacity. Of the total capability, 5,000 BHP will be assigned to pre-existing frac spreads. The total capital commitment for this fleet addition will be approximately $38 million. It is expected that the new fleet additions should be operational in early third quarter 2015.
On Monday July 28th, Millennium commenced with a non-brokered financing of up to $12 million to cover the equity portion of the new build equipment. The target price for the financing is $2.25 per common share. The Company has received favourable indications for lead orders for a substantial portion of the total equity financing and may increase the amount of its total financing should the need arise. It is anticipated that Millennium will fund the remainder of the new build through debt and cash flow.
Markets continue to improve and Millennium crews are in greater demand. The combination of the Company's current utilization of its equipment, build outs, and the ENFRAC acquisition should leave Millennium in a strong position to differentiate, and remain ahead of its competition. The new fleet build should have a strong appeal to clients based on its high rate capacity and cryogenic (both N2 and LNG) capability thus advancing Millennium's LNG service strategy. The Company anticipates that this new build will generate solid utilization rates. Given the current client base and successful feedback, commitments may be easier to maintain for all Millennium assets going through 2015, and continuing into 2016.
Forward Looking Statements and Advisories
This investor update contains certain forward-looking information and forward-looking statements (collectively, "forward-looking statements") under the meaning of applicable securities laws. The use of the words "would", "intend", "anticipate", "potential", "will", "expected", "can", "may", "should" and derivations thereof and similar terms identify forward-looking statements. In particular, but without limiting the foregoing, this news release contains forward-looking statements regarding: Millennium's plans and expectations regarding operational and growth activities; the anticipated benefits of the transaction to Millennium and its shareholders; the anticipated terms of the financing; the timing and cost of capital expenditures; and the timing of operations.
The forward-looking statements contained in this investor update reflect several material factors and expectations and assumptions of Millennium including, without limitation, assumptions relating to the ability of Millennium to execute its current business plan and operational plans in the manner currently planned. Millennium believes the material factors, expectations and assumptions reflected in the forward-looking statements are reasonable at this time but no assurance can be given that these factors, expectations and assumptions will prove to be correct.
The forward-looking statements contained in this investor update are subject to risks, uncertainties and other factors that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements, including among others: failure to realize the anticipated benefits of the transaction; the successful exploitation and integration of the technology; customer acceptance and demand for the technology; success in obtaining issued patents; the potential development competing technologies by market competitors; and the availability of products, raw materials and qualified personnel.
Accordingly, readers should not place undue reliance on the forward-looking statements contained herein. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this investor update are made as of the date of this investor update and Millennium disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation.
Millennium Stimulation Services
President and Chief Executive Officer
Millennium Stimulation Services
Vice President, Business and Corporate Development
Mobile messaging has been a popular communication channel for more than 20 years. Finnish engineer Matti Makkonen invented the idea for SMS (Short Message Service) in 1984, making his vision a reality on December 3, 1992 by sending the first message ("Happy Christmas") from a PC to a cell phone. Since then, the technology has evolved immensely, from both a technology standpoint, and in our everyday uses for it. Originally used for person-to-person (P2P) communication, i.e., Sally sends a text...
Oct. 10, 2015 10:15 AM EDT Reads: 331
Redis is not only the fastest database, but it has become the most popular among the new wave of applications running in containers. Redis speeds up just about every data interaction between your users or operational systems. In his session at 17th Cloud Expo, Dave Nielsen, Developer Relations at Redis Labs, will share the functions and data structures used to solve everyday use cases that are driving Redis' popularity
Oct. 10, 2015 10:00 AM EDT Reads: 523
SYS-CON Events announced today that Sandy Carter, IBM General Manager Cloud Ecosystem and Developers, and a Social Business Evangelist, will keynote at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA.
Oct. 10, 2015 10:00 AM EDT Reads: 109
Chris Van Tuin, Chief Technologist for the Western US at Red Hat, has over 20 years of experience in IT and Software. Since joining Red Hat in 2005, he has been architecting solutions for strategic customers and partners with a focus on emerging technologies including IaaS, PaaS, and DevOps. He started his career at Intel in IT and Managed Hosting followed by leadership roles in services and sales engineering at Loudcloud and Linux startups.
Oct. 10, 2015 10:00 AM EDT Reads: 244
Any Ops team trying to support a company in today’s cloud-connected world knows that a new way of thinking is required – one just as dramatic than the shift from Ops to DevOps. The diversity of modern operations requires teams to focus their impact on breadth vs. depth. In his session at DevOps Summit, Adam Serediuk, Director of Operations at xMatters, Inc., will discuss the strategic requirements of evolving from Ops to DevOps, and why modern Operations has begun leveraging the “NoOps” approa...
Oct. 10, 2015 10:00 AM EDT Reads: 169
The IoT market is on track to hit $7.1 trillion in 2020. The reality is that only a handful of companies are ready for this massive demand. There are a lot of barriers, paint points, traps, and hidden roadblocks. How can we deal with these issues and challenges? The paradigm has changed. Old-style ad-hoc trial-and-error ways will certainly lead you to the dead end. What is mandatory is an overarching and adaptive approach to effectively handle the rapid changes and exponential growth.
Oct. 10, 2015 10:00 AM EDT Reads: 251
The IoT is upon us, but today’s databases, built on 30-year-old math, require multiple platforms to create a single solution. Data demands of the IoT require Big Data systems that can handle ingest, transactions and analytics concurrently adapting to varied situations as they occur, with speed at scale. In his session at @ThingsExpo, Chad Jones, chief strategy officer at Deep Information Sciences, will look differently at IoT data so enterprises can fully leverage their IoT potential. He’ll sha...
Oct. 10, 2015 09:00 AM EDT Reads: 631
Today air travel is a minefield of delays, hassles and customer disappointment. Airlines struggle to revitalize the experience. GE and M2Mi will demonstrate practical examples of how IoT solutions are helping airlines bring back personalization, reduce trip time and improve reliability. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Dr. Sarah Cooper, M2Mi's VP Business Development and Engineering, will explore the IoT cloud-based platform technologies driv...
Oct. 10, 2015 09:00 AM EDT Reads: 156
SYS-CON Events announced today that DataClear Inc. will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. The DataClear ‘BlackBox’ is the only solution that moves your PC, browsing and data out of the United States and away from prying (and spying) eyes. Its solution automatically builds you a clean, on-demand, virus free, new virtual cloud based PC outside of the United States, and wipes it clean...
Oct. 10, 2015 09:00 AM EDT Reads: 612
SYS-CON Events announced today that Machkey International Company will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Machkey provides advanced connectivity solutions for just about everyone. Businesses or individuals, Machkey is dedicated to provide high-quality and cost-effective products to meet all your needs.
Oct. 10, 2015 09:00 AM EDT Reads: 407
WebRTC converts the entire network into a ubiquitous communications cloud thereby connecting anytime, anywhere through any point. In his session at WebRTC Summit,, Mark Castleman, EIR at Bell Labs and Head of Future X Labs, will discuss how the transformational nature of communications is achieved through the democratizing force of WebRTC. WebRTC is doing for voice what HTML did for web content.
Oct. 10, 2015 09:00 AM EDT Reads: 1,441
Docker is hot. However, as Docker container use spreads into more mature production pipelines, there can be issues about control of Docker images to ensure they are production-ready. Is a promotion-based model appropriate to control and track the flow of Docker images from development to production? In his session at DevOps Summit, Fred Simon, Co-founder and Chief Architect of JFrog, will demonstrate how to implement a promotion model for Docker images using a binary repository, and then show h...
Oct. 10, 2015 09:00 AM EDT Reads: 221
As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership ability. Many are unable to effectively engage and inspire, creating forward momentum in the direction of desired change. Renowned for its approach to leadership and emphasis on their people, organizations increasingly look to our military for insight into these challenges.
Oct. 10, 2015 09:00 AM EDT Reads: 227
The enterprise is being consumerized, and the consumer is being enterprised. Moore's Law does not matter anymore, the future belongs to business virtualization powered by invisible service architecture, powered by hyperscale and hyperconvergence, and facilitated by vertical streaming and horizontal scaling and consolidation. Both buyers and sellers want instant results, and from paperwork to paperless to mindless is the ultimate goal for any seamless transaction. The sweetest sweet spot in innov...
Oct. 10, 2015 08:00 AM EDT Reads: 246
SYS-CON Events announced today that Key Information Systems, Inc. (KeyInfo), a leading cloud and infrastructure provider offering integrated solutions to enterprises, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Key Information Systems is a leading regional systems integrator with world-class compute, storage and networking solutions and professional services for the most advanced softwa...
Oct. 10, 2015 07:30 AM EDT Reads: 443