its only gonna get betterThe CRS expansion is part of our plan to level out activity on a seasonal basis by getting into “non-wellhead” services. HSE can do this because we can use the same equipment and personnel as used in the upstream petroleum industry while most companies can’t. The biggest attraction is being able to build a year-round workforce. In our business there are no entry level positions such as truck drivers or roughnecks. Everyone needs training and experience. So we’re gong to see if we can’t get our personnel requirements more stable on an annual basis.
CRS’s core clients in Sarnia include Imperial and Suncor. We believe that through Suncor in Sarnia, this will help HSE get in with Suncor in the tar sands. The type of work CRS does is identical to the type of work that is done in Fort McMurray which is plants and mining, not drilling, completion and workover. CRS has already been asked to go to Fort McMurray but didn’t have the equipment, capital or manpower. There will be more announcements in this area in the future.
CRS was purchased under attractive terms and will be highly accretive on a per share basis. We wanted to pay cash but the owner insisted on shares and wanted to stay with HSE to help us build the company. So we sawed off with shares quite a bit above market based on recent trading history.
David L. Yager
Chairman and CEO
HSE Integrated Ltd.
Calgary
Tel 403-266-1833 Fax 266-1834 Cel 850-6088