CALGARY, Alberta, Aug. 13, 2018 (GLOBE NEWSWIRE) -- Strad Energy Services Ltd. (“Strad” or the “Company”) (TSX: “SDY”) today announced that it has agreed with its syndicate of lenders to extend the maturity of its credit facilities (the “Credit Facilities”) by one year to September 29, 2021.
The extension of the maturity of the Credit Facilities will provide Strad with credit stability and access to capital to fund our current and future capital programs focused on growing our industrial matting division which offers a strong return profile. A positive final investment decision on the LNG Canada project and/or commencement of the Trans Mountain expansion project are two major pipeline projects that would provide significant opportunities for matting rental and related services. This is on top of the growing list of industry pipeline projects relating to mainline, distribution and integrity work which are opportunities Strad is currently pursuing.
In addition, given Strad has $6.2 million of debt outstanding at June 30, 2018, the Company maintains the maximum amount of the Credit Facilities at $41.5 million plus $7 million USD. Strad continues to allocate capital to the opportunities with the highest rates of return while remaining focused on cost discipline and balance sheet strength.
Defined terms used herein with reference to the Company’s Credit Facilities have the meanings set forth in the Company’s Management Discussion and Analysis which can be found under the Company profile on SEDAR.
ABOUT STRAD ENERGY SERVICES LTD.
Strad is a North American energy services company that provides rental equipment and matting solutions to the oil and gas and energy infrastructure sectors. Strad focuses on providing complete customer solutions in Canada and the United States.
Strad is headquartered in Calgary, Alberta, Canada. Strad is listed on the Toronto Stock Exchange under the trading symbol “SDY