Eco-Stim Energy Solutions Provides Operational Update

HOUSTON, TX and NEUQUEN CITY, ARGENTINA--(Marketwired - Jun 26, 2017) - Eco-Stim Energy Solutions, Inc. (NASDAQ: ESES) ("EcoStim" or the "Company") announced today that it has now completed four wells under its contract in Oklahoma and nearly completed its first full quarter under a two-year contract in Argentina. As a result of the Company's increased utilization in both geographic markets, EcoStim expects its revenue in the second quarter of 2017 to be within a range from $8.4 million to $9.6 million, compared to $2.6 million for first quarter of 2017. Further, management believes that its revenues for June, 2017, the first full month with activity in both of its geographic markets, should exceed $4 million. The Company's well stimulation crew in Argentina is expected to execute over 55 well stimulation stages during the second quarter of 2017, compared to 17 stages in the first quarter of 2017. The Company's well stimulation crew in Oklahoma is expected to execute more than 90 well stimulation stages in the second quarter of 2017, following the start-up of operations in late May, 2017, compared to zero stages in the first quarter of 2017. The Company's turbine powered pumping system has been performing consistent with the Company's operational expectations while being fueled with compressed natural gas. 

The Company's revenues in any fiscal quarter are significantly impacted by its customers' drilling and completion activities, which in turn are significantly dependent on commodity prices. If the Company's customers in Argentina and Oklahoma continue their current drilling and completion activities and the Company's operational performance remains in line with the criteria set forth in its contracts, the Company believes that revenues in the third quarter of 2017 will increase over the second quarter. In Argentina, the Company's expected revenue is supported by a two-year contract that commenced on April 1, 2017 while the expected revenue in Oklahoma is supported by a one-year contract that commenced on May 23, 2017. As previously disclosed, our contract in Argentina has certain take or pay features, while our contract in Oklahoma is an exclusivity contract that provides the Company with the opportunity to service the customer's completion activities in a defined region, but does not restrict the customer from curtailing its drilling plans.