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Trinidad Drilling Announces Closing of Senior Note Redemption

CALGARY, ALBERTA--(Marketwired - March 13, 2017) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Trinidad Drilling Ltd. (TSX:TDG) ("Trinidad" and the "Company") announced that it completed the previously announced redemption of its 7.875% senior notes due 2019 (the "2019 Notes") on Friday, March 10, 2017.

The redemption of the 2019 Notes was the last step in Trinidad's previously announced debt refinancing transactions. These transactions included a private placement of US$350 million 6.625% senior notes due in 2025, the tender and redemption of the 2019 Notes which totaled US$450 million and an equity offering with gross proceeds of approximately C$150 million. The impact of these transactions is expected to improve Trinidad's debt to EBITDA ratio, extend its long-term debt maturities to 2025 and lower the interest rate on its senior notes from 7.875% to 6.625%. These changes are expected to provide the Company with improved financial flexibility to benefit from increasing customer demand and growing activity in the drilling sector.

Trinidad is a corporation focused on sustainable growth that trades on the Toronto Stock Exchange under the symbol TDG. Trinidad's divisions currently operate in the drilling sector of the oil and natural gas industry, with operations in Canada, the United States and internationally. In addition, through joint venture arrangements, Trinidad operates drilling rigs in Saudi Arabia and Mexico, and is currently assessing operations in other international markets. Trinidad is focused on providing modern, reliable, expertly designed equipment operated by well-trained and experienced personnel. Trinidad's drilling fleet is one of the most adaptable, technologically advanced and competitive in the industry.

Forward-looking Information Advisory

This document contains certain forward-looking information and statements ("forward-looking statements") within the meaning of applicable Canadian securities laws, relating to Trinidad's plans, strategies, objectives, expectations and intentions for the future. The use of any of the words "expect", "anticipate", "continue", "will", "plans" and similar expressions are intended to identify forward-looking statements. In particular, this document contains forward-looking statements pertaining to, among other things: the intended use of proceeds of the Notes private placement; the effect of the Notes private placement, the Tender Offer, redemption of the 2019 Notes and the recent equity offering on Trinidad's financial position; Trinidad's ability to improve its debt to EBITDA ratio, extend its debt maturity, lower its interest rate on its senior notes and to improve financial flexibility; and the improvement of industry conditions.

Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this document. While Trinidad believes that the expectations and material factors and assumptions reflected in its forward-looking statements are reasonable as at the date hereof, there can be no assurance that any of these expectations, factors or assumptions will prove to be correct. In particular, in presenting its forward-looking statements, Trinidad has made assumptions respecting, among other things: the relative stability of general North American economic conditions; the continued improvement of industry conditions; oil and gas supply and demand conditions in 2017; internal capital expenditure programs and other expenditures by oil and gas exploration and production companies; areas of industry activity and rig demand in such areas; regulatory and legislative conditions; commodity prices, in particular oil and natural gas; future expected cash flows and potential distributions from joint venture partners including Trinidad Drilling International Ltd.; foreign currency exchange rates and interest rates; and future performance and operations of joint ventures and partnership arrangements.

The forward-looking statements included in this document are not guarantees of future performance and should not be unduly relied upon. Readers are cautioned that forward-looking statements are based on current expectations, estimates and projections that, by their nature, involve a number of known and unknown risks and uncertainties, which could cause actual results to differ materially from those anticipated and described in the forward-looking statements. These known and unknown risks and uncertainties include, but are not limited to: potential changes in the regulatory and legislative environment; political uncertainty and instability in North America and internationally and changes in political leadership in North America and elsewhere; volatility in commodity prices and foreign currency exchange, interest and tax rates; the ability of Trinidad to attract and retain qualified personnel, in particular, field staff to crew the Company's rigs; the existence of competitors, technological changes and developments in the oilfield services industry; further negative downturns in industry conditions; operating risks inherent in the oilfield services industry; variations in internal capital expenditure programs and other expenditures by oil and gas exploration and production companies; volatility in supply and demand for commodities, in particular oil and natural gas; and changes in general economic conditions including the capital and credit markets.

Trinidad cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. Additional information on risks and other factors that could affect Trinidad's business, strategy, operations or financial results are described in reports filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com) including but not limited to Trinidad's annual and quarterly MD&A and financial statements, its most recently filed Annual Information Form and Management Information Circular. The forward-looking statements contained in this document speak only as of the date of this document and Trinidad assumes no obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable securities laws.



Brent Conway
President and Chief Executive Officer

Lesley Bolster
Chief Financial Officer

Lisa Ottmann
Vice President, Investor Relations
403-294-4401
investors@trinidaddrilling.com