GASFRAC Energy Services Inc. GSFVF

Raymond James Chimes In ...

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Raymond James Canada report comments on yesterday incident:

GasFrac had equipment and personnel on a Husky Energy lease yesterday when a massive unplanned discharge of gas from the wellhead exploded, injuring 11 people, 2 seriously. ...
We have high conviction that ... no culpability for GasFrac in this event....we view GasFrac and its employees as injured bystanders. GasFrac was on the Husky site preparing to fracture one of the
zones of the well. It had fractured a lower zone the day earlier. As we
understand it, this was a very high pressure, liquids-rich gas well – a
commercially attractive feature for producers. However, for reasons that aren’t
yet clear, the wellhead was caused to be opened, allowing the well to flow
uncontrolled at a very high rate. There are any number of potential ignition
points on an active well lease, and given the massive volumes of gas, we expect the ignition was almost instantaneous.
GasFrac does not own, manage, or work on wellhead equipment. .... confident that GasFrac will be shown to have had no
culpability. Further, as to whether or not the situation was exacerbated by
GasFrac’s procedures, set-up, the fact that it had fractured the lower zone the
day before (or just its mere presence on the lease); our view is that there can
be no reasonable connection drawn between GasFrac, or the use of propane,
and yesterday’s explosion. ... it is worth noting that there would have beena large volume of propane on-site, none of which was involved in the fire