Precision Drilling provides capital allocation framework update

The company stated, “Over the past two years, we have reduced our debt by $258 million and lowered our Net Debt to Adjusted EBITDA leverage ratio, which we expect to be below 1.5 times as at December 31, 2023. Precision is well on track to exceed its long-term debt reduction target of repaying $500 million between 2022 and 2025 and reaching a sustained Net Debt to Adjusted EBITDA leverage ratio of below 1.0 times by the end of 2025. During 2023, Precision returned $30 million to shareholders through share repurchases under our Normal Course Issuer Bid and as at December 31, 2023, had 14,336,539 shares outstanding. With a robust free cash flow outlook, we plan to improve our capital returns to shareholders in 2024 by increasing our debt reduction and share buyback allocations. In early February, we will provide specific capital allocation plans and targets for 2024.”