Bonnett's Energy Services Trust (TSX:BT.UN) ("Bonnett's", or the "Trust") has
released its Q1 2010 results

TSX SYMBOL: BT.UN

GRANDE PRAIRIE, AB, May 6 /CNW/ - Bonnett's Energy Services Trust had earnings before interest, taxes, depreciation, amortization and unit based compensation and certain other items ("EBITDAC") of $6.0 million and net income of $3.0 million for the three months ended March 31, 2010.

The Trust generated revenues from operations of $22.8 million for the quarter ended March 31, 2010, $2.1 million more than generated in the comparable period of 2009. Demand for the Trust's services increased over the same period last year, and unlike Q1 2009, many customers continued to request services through the end of March despite the warmer weather which typically brings a slowdown in activity. Drilling activity is a key indicator of demand for the Trust's services, and is forecast by PSAC to be 35% higher in 2010 than 2009, which may bring added revenue to the Trust. Revenues were up 10% over the same period of the prior year, and the expectation is that this trend will continue.

Operating costs for the quarter ended March 31, 2010 were 9% less as a percentage of total revenue than the comparable period of the prior year, reflecting the significant efforts by management to operate more efficiently. Management intends to continue to focus on cost containment as activity levels begin to increase.

    
    FINANCIAL HIGHLIGHTS
    -------------------------------------------------------------------------
                            Three Months Ending March 31,
    -------------------------------------------------------------------------
                                              (unaudited)
    ($000's except per unit amounts)                       2010         2009
    -------------------------------------------------------------------------
    Revenue from operations                          $   22,770   $   20,712
    EBITDAC from operations(1)                            6,009        3,694
    Funds flow from operations(2)                         5,401        3,101
    Funds flow from operations
      per unit - basic and diluted                         0.38         0.22
    Net income (loss)                                     2,974          615
    Net income (loss)
      per unit - basic                                     0.21         0.04
    Net income (loss)
      per unit - diluted                                   0.21         0.04
    Weighted average units
      - basic                                            14,305       14,305
      - diluted                                          14,322       14,305
    -------------------------------------------------------------------------

    Non-GAAP Measures:
    ------------------

    (1) Earnings before interest, taxes, depreciation, amortization and unit
        based compensation and certain other items ("EBITDAC") is not a
        recognized measure under Canadian Generally Accepted Accounting
        Principles (GAAP). Management believes that in addition to net
        earnings, EBITDAC is a useful supplemental measure as it provides an
        indication of the results generated by the Trust's principal business
        activities prior to consideration of how those activities are
        financed or how the results are taxed. These measures are identified
        and presented, where appropriate, together with reconciliations to
        the equivalent GAAP measure (see "Summary of consolidated statements
        of loss" on page 5). However, they should not be used as an
        alternative to GAAP, because they may not be consistent with
        calculations of other companies or trusts.

    (2) Funds flow or funds flow from operations and funds flow per unit
        refers to cash flow from operations before changes in non-cash
        working capital. The Trust views cash flow from operating activities
        before changes in non-cash working capital balances, hereafter
        referred to as Funds Flow, as a measure of liquidity, and believes
        that Funds Flow is a metric used by many investors to assess the
        financial performance of the Trust. As the Trust may distribute a
        portion of its cash on an ongoing basis, the Trust believes that
        Funds Flow is an appropriate consideration in determining funds
        available for distribution to Unitholders. Although changes in non-
        cash working capital balances will impact cash available to finance
        distributions, these changes will be a source of cash in one period
        and a use of cash in another depending on changes in the level of
        activity in a particular period due to seasonality and other factors.
        Absent a sustained period of growth in the Trust's business, changes
        in non-cash working capital will generally not be a use of cash by
        the Trust over a longer period of time, although that may be the case
        from one quarter to the next. Given that these changes are not
        predictable and tend to even out over time, management does not
        believe it is appropriate to include such changes in determining cash
        flow from operating activities being a measure used to indicate
        capacity of the Trust to generate cash flow for paying distributions
        in the future. Any use of cash from an increase in working capital in
        a particular period will be financed by the Trust's credit facilities
        and repaid when non cash working capital decreases and cash is
        generated.
    

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION AND STATEMENTS

This press release contains forward-looking information within the meaning of applicable Canadian securities law. This information is subject to certain risks and uncertainties that could cause actual results to differ materially from those included in the forward-looking information. When used in this document, the words "plan", "anticipate", "believe", "seek", "propose", "estimate", "intend" and similar expressions, as well as future or conditional verbs such as "may", "would", "could", and "will", as they relate to the Trust, are intended to identify forward-looking information. Such information reflects the Trust's current views with respect to future events and are subject to certain risks, uncertainties and assumptions, including, without limitation, those described in the Trust's MD&A for the three months ended March 31,2009, under the heading "Risks and uncertainties", and "Outlook". Forward-looking information concerning expected operating and economic conditions are based upon past operating and economic conditions. Forward-looking information concerning the availability of funding for future operations is based upon sources of funding which the Trust has relied upon in the past and expectations concerning future economic and operating conditions. Forward-looking information concerning the relative future competitive position of the Trust is based upon expectations relating to future economic and operating conditions, the current business environment, present and anticipated programs and expansion plans of other organizations operating in the energy service industry. Forward-looking information concerning the nature and timing of growth is based on past factors affecting the growth of the Trust, past sources of growth and expectations relating to future economic and operating conditions. Forward-looking information in respect of the costs anticipated to be associated with the acquisition and maintenance of equipment are based upon past acquisition and maintenance costs for such equipment and expectations relating to the future acquisition and maintenance cost increases concerning such equipment. Although management of the Trust believes that the expectations reflected in such forward-looking information are reasonable, there can be no assurance that such expectations will prove to have been correct because, should one or more of the enumerated risks or uncertainties materialize, or should the assumptions underlying forward-looking information prove incorrect, actual results may vary materially from those described in the Trust's MD&A for the three months ended March 31, 2010 MD&A as intended, planned, anticipated, believed, estimated or expected. Except where required by law, the Trust does not assume any obligation to update forward-looking information if conditions or opinions should change. Readers should not place undue reliance on forward-looking information. All of the forward-looking information of the Trust contained in this press release is expressly qualified, in their entirety, by this cautionary statement.

%SEDAR: 00022595E

For further information: Additional information can be obtained by contacting the Trust at Bonnett's Energy Services Ltd., R.R. 2, Site 33, Box 1, Grande Prairie, Alberta, T8V 2Z9. Information is also available at the Trust's website at www.bonnettsenergy.com; Murray Toews, Chief Executive Officer at [phone]; or David Ross, Chief Financial Officer at [phone], Fax: [phone], E-mail: [email protected]