Type Public Industry Oilfield Services Revenue 460 million USD (2007) CEO Fernando Aguilar Founded 1999 | Traded as TSX: CFW Products Oil field services Number of employees 1,500 | |
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Key people Chairman: Ronald P. MathisonJames S. BlairGregory S. FletcherMartin LambertPaul F. LittleDouglas R. RamsayR. Timothy Swinton Stock price CFW (TSE) CA$ 4.00 +0.26 (+6.95%)3 Mar, 4:00 PM GMT-5 - Disclaimer | ||
Calfrac Well Services Ltd. is an oilfield services corporation operating in Western Canada, Colorado, North Dakota, Arkansas, Pennsylvania, Western Siberia, and South America, and Texas with more than 4000 employees. Calfrac supplies a wide range of products and services from hydraulic fracturing, coiled tubing, well cementing and other well stimulation services.
Contents
Business
Operating revenue in 2005 was CDN$314MM with a market capitalization of CDN$1.4bn. Since then, Calfrac has become one of the largest frac service companies in Canada, and is growing internationally through strategic acquisitions.
History
Calfrac Well Servicing Ltd. (CWS) was founded in June 1999 as a private corporation by Ronald P. Mathison, Douglas Ramsay, Gordon Dibb, and Robert (Robbie) Roberts. At that time, Calfrac had a single coiled tubing unit and was based in Medicine Hat, Alberta. In December 2000, Calfrac acquired Dynafrac Well Services Ltd. and with it a two-pumper fracturing spread, a shallow coiled tubing unit, a high rate nitrogen pumper and four acid pumpers. By the spring of 2001, Calfrac had acquired and constructed seven fracturing spreads plus other well stimulation equipment.
Early in 2002, CWS expanded to the U.S. Rocky Mountain region by setting up a field office in Platteville, Colorado, and began providing fracturing services in the U.S., mostly to EnCana. Calfrac continued to construct more fracturing spreads in 2002 and 2003, and had nine complete spreads by the start of 2004. In addition to building fracturing spreads in 2003, CWS also purchased four shallow coiled tubing units from private companies to increase its fleet of coiled tubing units to eight.
In March 2004 Denison Energy Inc. reorganized and transferred all material assets to Denison Mines and Denison Oil Corporation (parent of Denison Resources), leaving income tax attributes and the purchase option agreement among Calfrac, Matco Investments (on behalf of itself and the other shareholders of Calfrac) and Denison Energy Inc. granting an irrevocable option to Denison Energy Inc. to purchase all of the issued and outstanding shares of Calfrac for an aggregate purchase price of approximately CDN$227.5 million less the net debt of Calfrac of approximately CDN$83.6 million. Denison Energy Inc. then de-incorporated from Ontario, and incorporated within Alberta. Following this, Matco Investments acquired class A common shares from the treasury (representing 45% of the total number of issued and outstanding class A common shares). Denison Energy Inc. then amalgamated with Calfrac and changed its name to Calfrac Well Services Ltd. The original founders of CWS remained with Calfrac, and form part of the current Board of Directors.