Calfrac Well Services Ltd. provide an update on its 2011/2012 capital program. The 2012 capital program has been increased by $94 million to $365 million. The majority of this increase is related to support and logistics equipment for the Company's North American operations that supplements the previously announced 2012 capital program which was largely focused on long lead time items. The increase in capital also includes facilities and infrastructure capital required to support Calfrac's rapidly expanding fracturing, coiled tubing and cementing operations in many of the most active North American unconventional oil and natural gas markets. A portion of this capital is also dedicated to Calfrac's international expansion with a specific focus on an expanding presence in the well service markets in Argentina and Colombia.

In addition, the Company's 2011 capital program has been reduced by $50 million to $332 million. This reduction relates to the cancellation of a fracturing fleet and coiled tubing unit originally planned for the Company's Russian operating division, and also reflects a number of cost savings from the 2011 capital program related to Calfrac's proactive management of its manufacturing program and benefits associated with increasing economies of scale. In addition to the 2012 capital program outlined above, Calfrac expects that the carryover amount of approximately $150 million associated with its 2011 capital program will be completed during the first half of 2012. This carryforward amount onsists primarily of capital related to the construction of a large fracturing spread dedicated to the Bakken shale oil play in North Dakota and the Company's reviously announced ongoing horsepower build focused on North American operations. The carryforward total also includes costs related to the completion of facilities in several new basins which Calfrac has recently entered. The majority of the carryforward capital will be completed in the first quarter of 2012 and relates to 2011 capital which was approved in the latter part of the year.

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