The contract will see Easternwell supply, manage and maintain 2 well servicing rigs on a full time basis, with the initial contract period being for five years with a two year option. Total expected contract revenue is $50 million.

CEO Troy Campbell said, ‘This contract represents a significant milestone for both Easternwell and the new group. By combining Easternwell’s pre eminent positions in the Australia well service market with the growth capabilities and national footprint of the combined group, we were able to provide a unique service offering to Chevron.

The contract should commence operations on site in June/July of this year and will leverage the synergies provided by the Easternwell/ADS merger by utilizing existing infrastructure provided by the ADS Western Australian operations. This includes access to the group’s purpose built Perth rig maintenance facilities and offices.

Mr Campbell said, ‘The Chevron contract provides the first tangible opportunity to show how we can enhance our service offering as part of a larger organization. We will be deploying key operational and safety personnel out of the ADS WA facilities and we expect that this will provide seamless service delivery, enhanced responsiveness as well as significant development opportunities for our team. Establishing a greater presence in WA is consistent with the overall growth strategy of the energy division of the newly merged group.’

About Easternwell / ADS

The recently announced merger between Easternwell Group and ADS creates a leading, diversified energy, minerals and infrastructure service provider. Troy Campbell said ‘importantly for Easternwell and its customers this merger provides access to the capital required to meet expected growth. With 70 rigs and 1,000 employees, the new group will be a business of significant scale with a truly unique diversified customer service offering.’

Easternwell Group, formed in 1976, has 560 employees and is a market leader in the energy sector, in particular the rapidly growing coal seam gas (‘CSG’) segment of the market, providing a fully integrated service offering which includes well servicing, drilling and remote site camp management. Easternwell has built its reputation based on safety and quality client service and operates long term service contracts and partnerships with Australia’s leading energy providers.

For further information please contact:
Shelley Grofski, Easternwell Group (07) 4659 1586 / sgrofski@easternwell.com.au