Service & Supply | Oilfield Services | Capital Markets | Capital Expenditure

Ensign Energy Services Announces 2015 Budget

Share Print Bookmark    |    Friday,December 05,2014

Ensign Energy Services Inc.has announced the declaration by its Board of Directors of a 2.1% increase in its regular quarterly dividend, to $0.12 (twelve cents) per Common Share.

The Board of Directors of Ensign declared the dividend of $0.12 (twelve cents) per Common Share to be payable on January 5, 2015 to all Common Shareholders of record as of December 22, 2014. The dividend payment is pursuant to the quarterly dividend policy adopted by the Company. Pursuant to subsection 89(1) of the Canadian Income Tax Act (ITA), the dividend being paid is designated as an "eligible dividend", as defined in subsection 89(1) of the ITA.

The total dividends declared by Ensign for its 2014 fiscal year amount to $0.4725 per Common Share, a 5.6% increase over the total dividends of $0.4475 per Common Share declared for the 2013 fiscal year. Ensign has increased the cumulative amount of dividends declared in each fiscal year since the Company began paying a dividend in September, 1995.

Ensign's capital budget for 2015 has been set at $340 million. The capital budget reflects a realignment of planned expenditures associated with the Company's newbuild program. Ensign will deliver 17 new ADR® drilling rigs in 2015 pursuant to its previously announced newbuild program, of which all 17 ADR® drilling rigs have been contracted for or committed to work upon their completion. In addition, Ensign is pausing construction on its remaining 17 ADR® drilling rigs in its current newbuild program in response to current market conditions. The Board of Directors of Ensign may make further adjustments to the 2015 capital budget as market conditions evolve.