UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO SECTION 13a-16 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
For the month of December 2002
Commission File Number: 001-14534
PRECISION DRILLING CORPORATION
(Exact name of registrant as specified in its charter)
4200, 150 - 6TH AVENUE S.W.
CALGARY, ALBERTA
CANADA T2P 3Y7
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F [_] Form 40-F [X]
Indicate by check mark if the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule 101(b)(1). [_]
Note: Regulation S-T Rule 101(b)(1) only permits the submission in
paper of a Form 6-K if submitted solely to provide an attached annual report to
security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule 101(b)(7):[_]
Note: Regulation S-T Rule 101(b)(7) only permits the submission in
paper of a Form 6-K if submitted to furnish a report or other document that the
registrant foreign private issuer must furnish and make public under the laws of
the jurisdiction in which the registrant is incorporated, domiciled or legally
organized (the registrant's "home country"), or under the rules of the home
country exchange on which the registrant's securities are traded, as long as the
report or other document is not a press release, is not required to be and has
not been distributed to the registrant's security holders, and, if discussing a
material event, has already been the subject of a Form 6-K submission or other
Commission filing on EDGAR.
Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes [_] No [X]
If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82-N/A
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
PRECISION DRILLING CORPORATION
Per: /s/ Jan M. Campbell
---------------------------------------
Jan M. Campbell
Corporate Secretary
Date: December 18, 2002
[GRAPHIC OMITTED]
[LOGO - PRECISION DRILLING CORPORATION]
CALGARY, ALBERTA, CANADA - DECEMBER 18, 2002
PRECISION DRILLING CORPORATION'S FOURTH QUARTER
EARNINGS EXPECTED TO BE CDN $0.14 TO CDN $0.18 PER SHARE
Precision Drilling Corporation ("Precision" or the "Corporation") today
announces that it expects diluted earnings per share for the fourth quarter of
2002 to be in the range of $0.14 to $0.18. This is significantly below the
anticipated range of $0.45 to $0.55 indicated in our October 4, 2002 press
release.
Results for the Contract Drilling Group are being revised downward by 10% from
previous expectations. This reduction is primarily related to lower than
anticipated Canadian drilling activity levels. Pricing levels have remained as
anticipated.
The Rental and Production Group will generate results in line with expectations.
The Technology Services Group, which accounts for the majority of the shortfall,
has experienced a number of negative influences on its global operations. New
product launch teams and service delivery infrastructures established to support
the group's long term growth strategy have been under utilized due to the
delayed roll out of new wireline and logging-while-drilling technologies. This
is having the greatest effect in the US, Latin America and Asia Pacific regions.
In addition, political instability, project delays and adverse weather
conditions in a number of regions have further impacted activity levels.
On a more positive note, with the strengthening in domestic natural gas prices
and the continued stability in world oil prices, the Corporation believes it is
well positioned to take advantage of the strong Canadian market expected in the
first quarter of 2003. We are optimistic that the US market will soon react to
these same strong fundamentals and alleviate some of the negative pressure that
currently exists in this market. We expect that increased activity levels
globally, combined with a heightened focus on operational efficiencies,
particularly in the Technology Services Group, should enhance future
profitability.
Certain statements contained in this press release, including statements which
may contain words such as "could", "should", "anticipate", "expect", "believe",
"will" and similar expressions and statements relating to future profitability
or anticipated results and statements relating to matters that are not
historical facts including anticipated earnings per share are forward-looking
statements. Such forward-looking statements involve known and unknown risks and
uncertainties which may cause the actual results, performances or achievements
of Precision to be materially different from any future
results, performances or achievements expressed or implied by such
forward-looking statements. Such factors include oil and natural gas price
fluctuations in the market for oil and gas and related products and services;
competition; political and economic conditions in countries in which Precision
does business; the demand for services provided by Precision; implementation and
utilization of new technologies; changes in laws and regulations, including
environmental, to which Precision is subject and other factors, which are
described in further detail in Precision's filings with the Securities and
Exchange Commission.
Precision Drilling Corporation is listed on the Toronto Stock Exchange under the
trading symbol PD and on the New York Stock Exchange under the trading symbol
PDS.
FOR FURTHER INFORMATION, PLEASE CONTACT DALE E. TREMBLAY, SENIOR VICE PRESIDENT
FINANCE AND CHIEF FINANCIAL OFFICER, 4200, 150 - 6TH AVENUE S.W., CALGARY,
ALBERTA, T2P 3Y7; TELEPHONE: (403) 716-4500; FAX: (403) 264-0251; WEBSITE:
WWW.PRECISIONDRILLING.COM.