Mr. Daniel Halyk reports

TOTAL ENERGY SERVICES INC. TO ACQUIRE SAXON ENERGY SERVICES AUSTRALIA PTY. LTD.

Total Energy Services Inc.'s wholly owned subsidiary, Savanna Energy Services Australia Pty. Ltd., has entered into an agreement with SLB to acquire all of the shares of Saxon Energy Services Australia Pty. Ltd. for $37-million (U.S.) in cash. The acquisition is expected to be completed during the first quarter of 2024, subject to the satisfaction of certain conditions, including the receipt of regulatory approvals.

Headquartered in Brisbane, Australia, Saxon owns and operates a fleet of 11 land drilling rigs, 10 of which are currently marketed. Saxon's marketed fleet includes four 600-horsepower rigs with hook load capacities ranging from 150,000 to 200,000 pounds, and six 1,200-horsepower rigs with hook load capacities ranging from 320,000 pounds to 400,000 pounds.

Savanna Australia currently owns and operates five hybrid coil tubing drilling rigs in Australia. These rigs have hook load capacities ranging from 100,000 to 150,000 pounds. A sixth rig, an AC electric rig with a hook load capacity of 150,000 pounds, is currently under construction and is scheduled to commence operations in Australia in mid-2024 under a long-term contract.

When completed, the acquisition will increase the depth capacity of Savanna Australia's drilling rig fleet, add experienced local personnel and expand Savanna Australia's customer base.

Total Energy intends to finance the acquisition utilizing cash on hand and existing credit facilities.

Canaccord Genuity is acting as financial adviser to SLB on the acquisition.

About Total Energy Services Inc.

Headquartered in Calgary, Alta., Total Energy provides contract drilling services, rental and transportation services, well servicing, and compression and process equipment and services to the energy and other resource industries from operation centres in North America and Australia.

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