Enseco Energy Services Corp. Announces Record Results for the Quarter Ended June 30, 2012

Enseco Energy Services Corp. (TSX VENTURE:ENS) ("Enseco" or the "Company") is
pleased announce its financial results for the quarter ended June 30, 2012.     


HIGHLIGHTS FOR THE QUARTER ENDING JUNE 30, 2012

Enseco has achieved record results and has showed continual quarter over quarter
improvement:




--  Record 1stquarter revenues of $13.9 million. An increase of 31% from the
    same time period last year. 
--  Positive EBITDA for the spring break-up quarter. An improvement of $0.5
    million over the same period last year. 
--  Enseco's Motor Repair Facility located in Leduc Alberta became
    operational in mid- June, allowing the in house repair of our motor
    fleet. We anticipate this will increase service quality for our
    customers, result in quicker turnaround of equipment and lessen the need
    for rental equipment. 
--  Enseco's MWD facility opened in April 2011. The Company's MWD
    technicians have made a number of significant improvements to the MWD
    downhole tools since that time resulting in the creation of the Enseco
    Edge, the Company's proprietary Positive Pulse MWD system.



RESULTS FROM OPERATIONS



                                                Three Months ended June 30, 
In thousands of dollars                                2012            2011 
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Revenue                                      $       13,919  $       10,596 
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Adjusted gross margin(1)                     $        3,996  $        2,856 
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EBITDAS(1)                                   $          154  $         (416)
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Net income (loss) before tax                 $       (2,138) $       (3,149)
  Per common share - basic and diluted       $        (0.11) $        (0.16)
----------------------------------------------------------------------------
Total net income (loss) before tax           $       (2,138) $       (3,149)
  Per common share - basic and diluted       $        (0.11) $        (0.16)
----------------------------------------------------------------------------
                                                                            
Deferred taxes included in cash flow before                                 
 changes in non-cash working capital items   $         (280)              - 
----------------------------------------------------------------------------
                                                                            
Cash flow, before changes in non-cash                                       
 working capital items (1)                   $         (593) $         (416)
----------------------------------------------------------------------------
                                                                            
                                                                            
Cash flow from/(used in), after changes in                                  
 non-cash working capital items              $        6,299  $        6,685 
----------------------------------------------------------------------------



(1)See definition within the Non-IFRS Measures below

OUTLOOK

Management continues to carefully monitor industry activity levels in western
Canada and the Corporation's US operating areas to ensure equipment and manpower
are positioned to provide sustainable equipment utilization rates given the
current volatility in commodity prices.


With the engineering improvements and reductions in rebuild times now available
through Enseco's in-house MWD lab and new Motor Repair Facility, it is expected
that its rental requirements will remain low even as activity continues to grow
throughout the upcoming year. The MWD and Motor facilities have also reduced
Enseco's reliance on third party service providers. The addition of these
facilities and the capital expenditures on additional equipment will allow
Enseco to further increase its operating efficiencies. With continued and
increasing positive cash flow, Enseco is focused on accelerating its expansion
into the US and reducing overall debt level.


Directional and horizontal drilling continues to increase as a percentage of
total wells drilled and now comprises over 80% of total wells drilled. Demand
for the Company's directional drilling services and production testing frac
flowback services are expected to continue to grow. Longer, more complex, flow
back operations are expected to continue to increase the requirements for
production testing services in both Canada and the US.


The Company will continue to search for efficiencies and cost reductions. It is
expected that the pursuit of growth opportunities, accompanied by initiatives to
both improve operating efficiency and reduced debt levels, will continue to
improve the Company's financial performance going forward.


On August 29, 2012 the Board of Directors approved the issuance of 675,000
options to directors, officers and employees of the Company, of which 500,000
have been allocated to directors and officers. The grant will be made on
September 4, 2012 at an exercise price equal to the closing price of the common
shares on the last trading day prior to the grant.


FILINGS

Enseco has filed with Canadian securities regulatory authorities its unaudited
condensed consolidated financial statements for the three months ending June 30,
2012 and the accompanying management's discussion and analysis ("MD&A"). These
filings are available under Enseco's SEDAR profile at www.sedar.com


ABOUT ENSECO ENERGY SERVICES CORP.

Enseco is a premier supplier of directional drilling, production testing and
frac flowback services operating throughout the Western Canadian Sedimentary
Basin and select markets in the United States, Our corporate office is located
in Calgary and sales offices are located in both Calgary and Denver. Enseco is
led by an experienced management team with a focus on continued value creation
through accretive acquisitions and organic growth.


FORWARD LOOKING DISCLAIMER

Certain information and statements contained in this press release constitute
forward-looking information, including, but not limited to: statements
concerning Enseco's future business strategy, marketing and expansion plans;
expectations regarding future revenues, gross margins, cash flow, improved
efficiencies, cost reductions, and other financial results; expectations
regarding resource play drilling activity levels and drilling programs; general
industry and operating conditions, expectations regarding future utilization
rates and demand for the Company's services; future geographical and product
focus; the impact of the Company's MWD lab and motor repair facility;
anticipated future rental requirements; planned capital expenditures and
acquisitions, and plans to continue to reduce debt levels; and the competitive
position of Enseco's business divisions. Although management of the Company
believes that the expectations reflected in such forward looking statements are
reasonable, it can give no assurance that such expectations will prove to have
been correct. Accordingly, readers should not place undue reliance upon any of
the forward-looking information set out in this press release. Readers should
review the cautionary statement respecting forward- looking information that
appears below. All of the forward looking statements of the Company contained in
this press release are expressly qualified, in their entirety, by this
cautionary statement.


The information and statements contained in this press release that are not
historical facts are forward-looking statements. Forward-looking statements
(often, but not always, identified by the use of words such as "seek", "plan",
"continue", "estimate", "project", "predict", "potential", "targeting",
"intend", "could", "might", "should", "believe", "expect", "may", "anticipate"
or "will" and similar expressions) may include plans, expectations, opinions, or
guidance that are not statements of fact. Forward-looking statements are based
upon the opinions, expectations and estimates of management as at the date the
statements are made and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or outcomes to differ materially
from those anticipated or implied by such forward- looking statements. These
factors include, but are not limited to, such things as changes in industry
conditions (including the levels of capital expenditures made by oil and gas
producers and explorers), the credit risk to which the Company is exposed in the
conduct of its business, fluctuations in prevailing commodity prices or currency
and interest rates, the competitive environment to which the various business
divisions are, or may be, exposed in all aspects of their business, the ability
of the Company's various business divisions to access equipment (including
parts) and new technologies and to maintain relationships with key suppliers,
the ability of the Company's various business divisions to attract and maintain
key personnel and other qualified employees, various environmental risks to
which the Company's business divisions are exposed in the conduct of their
operations, inherent risks associated with the conduct of the businesses in
which the Company's business divisions operate, timing and costs associated with
the acquisition of capital equipment, the impact of weather and other seasonal
factors that affect business operations, availability of financial resources or
third-party financing and the impact of new laws or changes in administrative
practices on the part of regulatory authorities.


Forward-looking information concerning the nature and timing of growth within
the various business divisions is based on the current budget of the Company
(which is subject to change), factors that affected the historical growth of
such business divisions, sources of historic growth opportunities, anticipated
capital expenditures, and expectations relating to future economic and operating
conditions. Forward-looking information concerning the future competitive
position of the Company's business divisions is based upon the current
competitive economic and operating conditions, current and announced build
programs and other expansion plans of other organizations that operate in the
energy service business. Forward- looking information concerning the financing
of future business activities is based upon the financing sources on which the
Company has historically relied and expectations relating to future economic and
operating conditions. Forward-looking information concerning future economic and
operating conditions is based upon historical economic and operating conditions,
opinions of third-party analysts respecting anticipated economic and operating
conditions.


With respect to forward-looking statements contained in this press release,
Enseco has made assumptions regarding commodity prices and royalty regimes,
availability of skilled labour, timing and amount of capital expenditures,
future foreign exchange rates, interest rates, the impact of increasing
competition, conditions in general economic and financial markets, effects of
regulation by governmental agencies, and future operating costs.


Management has included the above summary of assumptions and risks related to
forward-looking information provided in this press release in order to provide
shareholders with a more complete perspective on Enseco's future operations and
such information may not be appropriate for other purposes. Enseco's actual
results, performance or achievement could differ materially from those expressed
in, or implied by, these forward-looking statements and, accordingly, no
assurance can be given that any of the events anticipated by the forward-looking
statements will transpire or occur, or if any of them do so, what benefits that
the Enseco will derive there from. Readers are cautioned that the foregoing
lists of factors are not exhaustive. These forward-looking statements are made
as of the date of in this press release and Enseco disclaims any obligation to
update publicly any forward-looking statements, whether as a result of new
information, future events or results or otherwise, other than as required by
applicable securities laws.


NON-IFRS MEASURES

EBITDAS means earnings before interest, taxes, depreciation and amortization,
and stock-based compensation and is equal to earnings before income taxes from
continuing operations plus interest on debt, other charges and interest expense,
depreciation and amortization, stock-based compensation, unrealized foreign
exchange loss, and loss on sale of equipment. Adjusted gross margin equals gross
margin, plus interest on debt, other charges and interest expense, depreciation
and amortization, stock-based compensation, impairment loss/recovery, and loss
on sale of equipment. Cash flow means cash flows provided by continuing
operations before changes in non-cash working capital items.


EBITDAS, adjusted gross margin, and cash flows from continuing operations before
changes in non-cash working capital items are not recognized measures under
International Financial Reporting Standards ("IFRS"). Management believes t hat
in addition to net losses, EBITDAS, adjusted gross margin and cash flows, are
useful supplemental measures as they provide an indication of the results
generated by the Company's primary business activities prior to consideration of
how those activities are financed, amortized or how the results are taxed in
various jurisdictions as well as the cash generated by the Company's primary
business activities. Readers should be cautioned, however, that EBITDAS,
adjusted gross margins and cash flows from continuing operations before changes
in non-cash working capital items should not be construed as an alternative to
net losses determined in accordance with IFRS as an indicator of Enseco's
performance. Enseco's method of calculatin g operating losses, EBITDAS, adjusted
gross margin and cash flows from continuing operations before changes in
non-cash working capital items may differ from other organizations and,
accordingly, such measures may not be comparable to measures used by other
organizations. For reconciliation to the appropriate IFRS measure, see our MD&A.