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Western Energy Services Corp. Announces 2023 Capital Budget

Press Release

January 12, 2023

CALGARY, ALBERTA – Western Energy Services Corp. (“Western” or the “Company”) (TSX: WRG) is pleased to announce its 2023 capital expenditure budget of approximately $30 million, including approximately $7 million of committed expenditures from 2022 that will carry forward into 2023, which is expected to be comprised of approximately $21 million of maintenance capital and $9 million of expansion capital.

Maintenance capital of $21 million includes $17 million in the contract drilling segment and $4 million in the production services segment. Expansion capital of $9 million mainly relates to the contract drilling segment to upgrade the Company’s rig fleet.

Western’s capital expenditure budget is underpinned by an expectation of improved activity in 2023 as compared to 2022. Western will continuously monitor the utilization of its fleet and will adjust the 2023 capital expenditures accordingly.

About Western

Western is a progressive energy service company which provides contract drilling services through its division, Horizon Drilling in Canada, and its wholly owned subsidiary, Stoneham Drilling Corporation in the United States. Additionally, Western provides production services in Canada through its division, Eagle Well Servicing which provides well servicing and its division Aero Rental Services which provides oilfield rental services.

For more information, please contact: Alex R.N. MacAusland, President and CEO, or Jeffrey K. Bowers, Senior VP Finance and CFO at 403.984.5916

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