Basic Energy Services Inc. (fka BASXQ)

[eastunder]

Basic Energy Services Reports Selected Operating Data for November 2012

Revenue Growth %: -1.6% FORT WORTH, Texas, Dec. 13, 2012 /PRNewswire/ -- Basic Energy Services, Inc. (NYSE: BAS) ("Basic") today reported selected operating data for the month of November 2012. Basic's well servicing rig count remained unchanged at 431. Well servicing rig hours for the month were 64,400 producing a rig utilization rate of 62%, compared to 72% in both October 2012 and November 2011.

During the month, Basic's fluid service truck count increased by 6 to 957 trucks. Fluid service truck hours for the month were 182,400 compared to 194,700 and 188,200 in October 2012 and November 2011, respectively.

Drilling rig days for the month were 272 producing a rig utilization of 76%, compared to 85% and 98% in October 2012 and November 2011, respectively.

Ken Huseman, Basic's President and Chief Executive Officer, stated, "Utilization rates in November for all business lines were reduced by the seasonal impacts of the Thanksgiving holiday and shorter daylight hours. In addition, we saw the continued effects of our customers winding down their spending for 2012 as we approach year end.

"Our utilization trends generally matched expectations cited in our October update with stimulation a bit weaker than expected. Well Servicing utilization dipped to the 60% level with the protracted Thanksgiving holiday week interrupting steady demand for production related activity.

"Reduced drilling activity and the resulting increase in price competition impacted our fluid services business but we were able to maintain good utilization. Average fluid service truck hours per calendar day per truck in November were 6.4 hours compared to 6.6 hours in October due mainly to the Thanksgiving holiday. Our reported Contract Drilling utilization rate in November decreased as two shallow rigs came off of multi-well programs. We were able to use those rigs on internal projects drilling new salt water disposal wells so effective utilization for our drilling rigs was consistent with the October rate of 85%.

"Considering the current pricing environment and more severe than expected activity declines into year end, we now expect fourth quarter revenue to be 12% to 14% lower than the third quarter and weaker than the 5% to 7% previously projected sequential decline. While we are encouraged by recently announced exploration and production capital spending plans for 2013, our first quarter expectations remain subdued as capital spending will not likely increase until the second quarter. As a result, we remain focused on maintaining utilization and our market positions until higher demand allows service providers to be more aggressive on pricing in the middle part of the year."

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