Mr. Tom Wood reports

XTREME DRILLING AND COIL SERVICES ANNOUNCES FIRST QUARTER OPERATIONS UPDATE, CONFERENCE CALL DETAILS, AND THE DEPARTURE OF PRESIDENT AND CHIEF TECHNOLOGY OFFICER

Xtreme Drilling and Coil Services Corp. is providing a first-quarter operations update along with an announcement of the date for the first-quarter 2014 earnings release and conference call, as well as the departure of president and chief technology officer, Richard Havinga.

First-quarter update

For the first quarter of 2014, Xtreme had total operating days of 2,120, which resulted in a utilization rate of 87 per cent for the fleet of 21 XDR drilling rigs and seven XSR coiled tubing units.

The drilling segment achieved utilization of 90 per cent on 1,731 operating days. This was composed of a 92-per-cent utilization rate for the 18-rig United States XDR fleet and 74 per cent for the three-rig Canadian XDR fleet. During the first quarter, the U.S. XDR drilling division performed a major overhaul on one rig and minor maintenance on two additional rigs. This led to a decrease of 66 operating days in the U.S. from the prior quarter. In addition, two rigs were prepping for mobilization to India. These two rigs are included in operating days as they earn standby revenue during modification and transport. In Canada, the company's three drilling rigs operated for 204 days, which was down four days from the prior quarter.

For the quarter, the coil services segment achieved utilization of 78 per cent on 388 operating days. This was composed of a 97-per-cent utilization rate for the two XSR units in Saudi Arabia and an 84-per-cent utilization rate for the four actively marketed XSR units in the U.S. Included in the overall coil services utilization is one additional unit that is currently idle in the U.S. but which is being marketed internationally. The U.S. XSR units for the quarter averaged 19 operating days per month on each unit. The fourth XSR unit began operations in late January.

Beginning in the fourth quarter of 2013, the company adjusted the methodology for calculating utilization in the U.S. coil service division. Available operating days are now defined as 22 days per month for each unit, as opposed to total calendar days, which were utilized in the past.

At quarter-end, 20 XDR rigs were earning revenue and six XSR rigs were operating, with four in the U.S. and two in Saudi Arabia.

Fourth-quarter results and conference call

The company expects to announce first-quarter 2014 financial and operating results after market close on Wednesday, May 7, 2014, with a follow-up conference call planned for Thursday, May 8, 2014, at 10 a.m. MDT, 11 a.m. CDT. Tom Wood, chief executive officer, will host the conference call with participation from Matt Porter, chief financial officer, and will answer questions from analysts and investors.

To participate in the conference call, please dial in as follows approximately 10 minutes before the start time in your time zone:

North America toll-free:  1-866-226-1798

Alternative:  1-416-340-2220

An audio replay of the call will be available until Thursday, May 15, 2014. To access the replay, call 1-800-408-3053 or 1-905-694-9451 and enter passcode 5131671.

Departure of president and chief technology officer

President and chief technology officer, Richard Havinga, has given notice of his intention to depart the company at the end of May. Xtreme will transition Mr. Havinga's responsibilities internally over the next six weeks. Effective immediately, Charlie Proulx, vice-president of coil services, North America, will take over management of global coil services, which includes the Saudi Arabian operation.

"The board extends sincere appreciation to Richard Havinga for his significant contribution to the growth of the company. Richard has been with the company since inception and was an integral part of Xtreme as it grew from a start-up in 2005 to one of the most technologically advanced energy service providers today," commented chief executive officer Tom Wood. "Xtreme's directors and management wish him the very best in his future endeavours."

We seek Safe Harbor.