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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) October 3, 2000
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PATTERSON ENERGY, INC.
(Exact name of registrant as specified in its charter)
Delaware 0-22664 75-2504748
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
4510 LAMESA HIGHWAY, SNYDER, TEXAS 79549
(Address of principal executive offices) Zip Code
915-573-1104
(Registrant's telephone number, including area code)
No Change
(Former name or former address, if changed since last report.)
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ITEM 5. OTHER EVENTS.
On October 3, 2000 the Company reported the following:
PATTERSON ENERGY, INC. ACQUIRES DRILLING AND
COMPLETION FLUIDS BUSINESS
Snyder, Texas, October 3, 2000 --- PATTERSON ENERGY, INC. (NASDAQ: PTEN)
announces that it has acquired, through a wholly-owned subsidiary, the drilling
and completion fluid operations of AMBAR, Inc., a non-affiliated entity with its
principal operations in the Louisiana and Texas Gulf coasts and the Gulf of
Mexico. Pursuant to the transaction, Patterson acquired working capital of
approximately $7.8 million (current assets acquired $18.2 million and current
liabilities assumed $10.4 million), fixed assets with an approximate fair market
value of $15.7 million and other trademarks and intellectual property which are
specific to the division's operations. Consideration included cash proceeds of
$11.56 million after a $4.1 million credit attributable to a working capital
adjustment.
The drilling and completion fluid operations are supported by ten separate field
facilities, including seven dock facilities and one barite grinding plant,
variously located in southern Louisiana and Texas, a sales office in Houston,
Texas and an administrative office in Lafayette, Louisiana.
Cloyce A. Talbott, Patterson's Chairman and CEO, commented "we expect the
acquisition of AMBAR to compliment our existing operations expanding our
drilling and completion fluids services into the offshore markets of the Gulf of
Mexico and further strengthening our presence in South Texas."
Patterson Energy, Inc. a Snyder, Texas based energy company, is one of the
leading providers of domestic land-based drilling services to major independent
oil and natural gas companies. Patterson currently owns 131 drilling rigs (120
of which are currently operable) with operations in Texas, New Mexico, Utah,
Oklahoma and Louisiana.
Statements made in this press release that state the Company or management's
intentions, beliefs, expectations or predictions for the future are
forward-looking statements. It is important to note that the Company's actual
results could differ materially from those projected in such forward-looking
statements. In addition to the factors set forth above, other important factors
that could cause actual results to differ materially include, but are not
limited to, the impact of declines in prices of oil and natural gas on the
demand for the Company's services and the associated effect on day rates and rig
utilization, industry conditions, integration of acquisitions, demand for oil
and natural gas, and the ability to retain management and field personnel.
Additional information concerning factors that could cause actual results to
differ materially from those in the forward-looking statements is contained from
time to time in the Company's SEC filings, including but not limited to, the
Company's report on Form 10-K for the year ended December 31, 1999. Copies of
these filings may be obtained by contacting the Company or the SEC.
For further information, contact:
Patterson Energy, Inc.
Cloyce A. Talbott, Chairman and Chief Executive Officer
Jonathan D. (Jody) Nelson, Vice President-Finance, Chief Financial Officer
(915) 573-1104
[email protected]
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ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) EXHIBITS.
2.1 Asset Purchase Agreement between Ambar
Drilling Fluids LP, LLLP an indirect
wholly-owned subsidiary of Patterson Energy
Inc. and Ambar Inc. dated September 30 2000.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PATTERSON ENERGY, INC.
Date: November 6, 2000 By: /s/ Cloyce A. Talbott
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Cloyce A. Talbott
Chairman and Chief Executive Officer
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INDEX TO EXHIBITS
<TABLE>
<CAPTION>
EXHIBIT
NUMBER DESCRIPTION
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<S> <C>
2.1 Asset Purchase Agreement between Ambar Drilling Fluids LP,
LLLP an indirect wholly-owned subsidiary of Patterson Energy
Inc. and Ambar Inc. dated September 30 2000.
</TABLE>
