Secure Energy Services Inc. ("Secure" or the "Corporation") (TSX:SES) today announced financial and operational results for the three and nine months ended September 30, 2012. The following should be read in conjunction with the management's discussion and analysis ("MD&A"), the condensed consolidated interim financial statements and notes of Secure which are available on SEDAR at www.sedar.com.


THIRD QUARTER AND YEAR-TO-DATE 2012                                         
 HIGHLIGHTS                                                                 
                                                                            
                 Three Months Ended Sept 30,     Nine Months Ended Sept 30, 
($000's except                                                              
 share and per                                                              
 share data)                                                                
 (unaudited)(1                             %                              % 
 )                    2012       2011 Change         2012       2011 Change 
----------------------------------------------------------------------------
                                                                            
Revenue                                                                     
 (excludes oil                                                              
 purchase and                                                               
 resale)            99,503     84,088     18      283,836    129,052    120 
Oil purchase                                                                
 and resale        149,705     74,108    102      466,747    190,886    145 
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Total revenue      249,208    158,196     58      750,583    319,938    135 
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EBITDA (2)          24,915     20,653     21       71,264     37,179     92 
 Per share                                                                  
  ($), basic          0.25       0.23      9         0.76       0.50     52 
 Per share                                                                  
  ($), diluted        0.25       0.22     14         0.74       0.47     57 
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Profit for the                                                              
 period              6,354      7,853    (19)      22,418     12,095     85 
 Per share                                                                  
  ($), basic          0.06       0.09    (33)        0.24       0.16     50 
 Per share                                                                  
  ($), diluted        0.06       0.08    (25)        0.23       0.15     53 
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Capital                                                                     
 Expenditures       50,245     34,791     44      133,983    154,724    (13)
Total assets       699,982    535,448     31      699,982    535,448     31 
Long term                                                                   
 borrowings         89,187     73,979     21       89,187     73,979     21 
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Common Shares                                                               
 - end of                                                                   
 period        104,492,885 89,274,291     17  104,492,885 89,274,291     17 
Weighted                                                                    
 average                                                                    
 common shares                                                              
 basic          98,724,604 89,242,506     11   93,655,304 74,853,149     25 
 diluted       101,492,349 93,949,868      8   96,645,131 79,314,465     22 
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(1)Certain amounts were reclassified                                        
 to conform with current period                                             
 presentation                                                               
(2)Refer to "Non GAAP measures and                                          
 operational definitions"                                                   

--  Earnings before interest, taxes, depreciation and amortization
    ("EBITDA") increased 21% in the third quarter of 2012 to $24.9 million
    as compared to the third quarter of 2011, a record for the third
    quarter. EBITDA for the nine months ended September 30, 2012 increased
    92% to $71.3 million as compared to the same period in 2011. EBITDA per
    share (diluted) of $0.25 and $0.74 for the three and nine months of 2012
    increased 14% and 57% respectively as compared to the same periods in
    2011. EBITDA improved through the addition of new facilities,
    acquisitions, higher demand for processing, recovery and disposal
    division ("PRD") products and servic es and increased operating margins;
    
--  Revenue (excluding oil purchase and resale) of $99.5 million and $283.8
    million for the three and nine months ended September 30, 2012 improved
    18% and 120% respectively compared to the same periods in 2011. PRD
    division third quarter disposal volumes and processing volumes increased
    28% and 127% respectively over the third quarter of 2011. Contributions
    from new facilities started in late 2011 and in 2012 increased revenues.
    In particular, the Drayton Valley full service terminal ("FST"),
    Silverdale FST, Wild River stand-alone w ater disposal ("SWD") and the
    two U.S. SWD facilities al l added to processing and disposal volumes in
    the third quarter. Third quarter 2012 revenue for the Drilling Services
    ("DS") division increased 3% to $65.3 million from the third quarter of
    2011, despite lower drilling activity in the third quarter of 2012
    compared to the third quarter of 2011. U.S. based revenue increased
    quarter-over-quarter due to the Corporation establishing the U.S.
    business in the third quarter of 2011 and the acquisition of a U.S.
    based drilling fluids company in the third quarter of 2012. The average
    rig count in Canada was 339 rigs in the third quarter of 2012 down 25%
    from the same period last year. The DS division's Canadian drilling
    fluid market share remained constant at approximately 30% in the third
    quarter of 2012 compared to the third quarter of 2011; 
    
--  Oil purchase and resale revenue of $149.7 million and $466.7 million for
    the three and nine months ended September 30, 2012 increased compared to
    revenue of $74.1 million and $190.9 million in the comparable periods of
    2011. Revenue increases are a result of higher throughput at all
    pipeline connected facilities and the Drayton Valley FST, La Glace FST
    and Dawson FST becoming single shipper facilities within the past year; 
    
--  Profit for the period per share (diluted) decreased to $0.06 for the
    three months ended September 30, 2012 compared to $0.08 for the three
    months ended September 30, 2011 as a result of an increased number of
    shares issued in conjunction with the bought deal financing in August
    2012 and lower profit for the period mainly due to higher interest and
    taxes in the third quarter of 2012; 
    
--  The Corporation received board of director approval in the third quarter
    to increase the 2012 organic capital budget by $50.0 million to a total
    of $166.0 million. The increased capital is allocated to the PRD
    division with $30.0 million targeted for additional growth initiatives
    and $20.0 million for expansion projects. Capital expenditures from
    growth and expansion (excludes acquisitions and sustaining capital) for
    the three and nine months ended September 30, 2012 was $42.7 million and
    $101.4 million, respectively and is summarized as follows: 
    
    --  Wild River SWD (permanent facility); 
        
    --  Phase III (oil treating and terminalling) at Dawson FST; 
        
    --  Oil based mud ("OBM") blending plant at the Drayton Valley FST; 
        
    --  Judy Creek FST (joint venture with Pembina Pipelines Corporation); 
        
    --  Rocky Mountain House ("Rocky") FST; 
        
    --  Obed, Dawson and Fox Creek FST expansions; 
        
    --  Fox Creek landfill; 
        
    --  Crosby SWD (North Dakota); and 
        
    --  Rental equipment & long lead equipment (centrifuges, tanks,
        treaters, frac ponds); 
        
--  In July, the Corporation successfully completed an asset purchase
    agreement with DRD Saltwater Disposal LLC ("DRD") for total cash and
    share consideration of U .S. $29.9 million. The operating assets
    acquired include two recently constructed fully operational SWD
    facilities servicing the Bakken oil play in North Dakota, which aligns
    with the Corporation's strategy of expanding operations into
    underserviced markets. Results for the acquisition are recorded in the
    PRD division; 
    
--  In August, the Corporation successfully acquired the operating assets of
    Imperial Drilling Fluids Engineering Inc. ("IDF"), a Colorado based
    drilling fluids company that services the Niobrara and Cordell Shale
    plays for U.S. $7.0 million and a series of future earn out payments
    that in aggregate range from U.S. $2.7 million to U.S. $8.0 million for
    total maximum consideration of U.S. $15.0 million; 
    
--  In August, Secure closed a bought deal financing (the "Offering")
    raising total proceeds of $86.3 million. The net proceeds from the
    Offering were initially used to repay the Corporation's credit facility.
    It is management's intent to redraw on the credit facility to fund a
    portion of the increased 2012 capital expenditure program and for
    working capital and general corporate purposes; and 
    
--  Subsequent to the third quarter, the Corporation increased the
    syndicated credit facility from $200.0 million to $300.0 million through
    an amended and restated extendible credit facility agreement. The credit
    agreement also includes an accordion provision allowing the Corporation
    to increase the credit facility by $50.0 million to $350.0 million. The
    increase in the credit facility will be used to fund the 2013 and 2014
    capital expenditure program, and for working capital and general
    corporate purposes. 
    

PRD DIVISION                                                                
 OPERATING                                                                  
 HIGHLIGHTS                                                                 
                                                                            
                    Three Months Ended Sept 30,   Nine Months Ended Sept 30,
($000's)                                                                    
 (unaudited)(1)        2012      2011  % Change     2012      2011  % Change
----------------------------------------------------------------------------
                                                                            
Revenue                                                                     
  Processing,                                                               
   recovery and                                                             
   disposal                                                                 
   services (a)      34,252    20,562        67   93,335    56,021        67
  Oil purchase and                                                          
   resale service   149,705    74,108       102  466,746   190,886       145
                  ----------------------------------------------------------
  Total PRD                                                                 
   division                                                                 
   revenue          183,957    94,670        94  560,081   246,907       127
                  ----------------------------------------------------------
                                                                            
                                                                            
Operating Expenses                                                          
  Processing,                                                               
   recovery and                                                             
   disposal                                                                 
   services (b)      13,211     8,484        56   36,342    23,825        53
  Oil purchase and                                                          
   resale service   149,705    74,108       102  466,746   190,886       145
  Depreciation,                                                             
   depletion, and                                                           
   amortization       7,408     4,951        50   20,299    12,960        57
                  ----------------------------------------------------------
  Total operating                                                           
   expenses         170,324    87,543        95  523,387   227,671       130
General and                                                                 
 administrative       3,955     2,704        46    9,798     6,736        45
                  ----------------------------------------------------------
Total PRD division                                                          
 expenses           174,279    90,247        93  533,185   234,407       127
                                                                            
Operating Margin                                                            
 (2) (a-b)           21,041    12,078        74   56,993    32,196        77
Operating Margin                                                            
 (2)as a % of                                                               
 revenue (a)             61%       59%        3       61%       57%        7
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(1)Certain amounts were reclassified to conform                             
 with current period presentation (see note                                 
 below)                                                                     
(2)Refer to "Non GAAP measures and operational                              
 definitions"                                                               

Note: In the prior year, the Corporation completed the acquisition of Marquis Alliance Energy Group Inc. and its wholly owned subsidiaries ("Marquis Alliance") and XL Fluids Systems Inc. ("XL Fluids"), creating the DS division. In 2012, Secure has reclassified certain costs previously included in the PRD division, including segregating out costs associated with Corporate overhead. Accordingly, any reclassifications in 2012 were adjusted in the prior year to conform to current period presentation.

Highlights for the PRD division included:


--  For the three and nine months ended September 30, 2012, revenue from
    processing, recovery and disposal increased to $34.3 million and $93.3
    million from $20.6 million and $56.0 million in the comparable periods
    of 2011. Processing volumes increased 127% and 158% for the three and
    nine months ended September 30, 2012 compared to the same periods of
    2011. Added facilities and expansions in 2011 and 2012 plus increased
    demand contributed to the improvement in revenue. The following new
    facilities and services were added after the third quarter of 2011;
    Drayton Valley FST and Silverdale FST both operational in the fourth
    quarter of 2011; Secure's frac pond rental service starting in October
    of 2011; the completion of construction of the Wild River SWD permanent
    facility in April of 2012; the addition of Dawson FST crude oil treating
    in June of 2012; and the acquisition of DRD in June of 2012 (the "new
    facilities and services"). Secure's disposal volumes increased by 28%
    and 31% for the three and nine months ended September 30, 2012 compared
    to the same periods of 2011; 
    
--  Operating expenses from processing, recovery and disposal services for
    the three and nine months ended September 30, 2012 increased to $13.2
    million and $36.3 million from $8.5 million and $23.8 million in the
    comparative periods of 2011. Operating expenses to a large degree are
    variable and will correspond to changes in revenue. Variable expenses
    include items such as trucking, utilities, facility repairs and
    maintenance. Revenue for both the three and nine months ending September
    30, 2012 increased 67% which corresponds to the 56% and 53% increase in
    operating expenses over the comparable prior year periods. Operating
    expenses are also higher as a result of Secure's new facilities and
    services completed in 2011 and 2012 as mentioned above; and 
    
--  Operating margin as a percentage of revenue from processing, recovery
    and disposal services for the three and nine months ended September 30,
    2012 was consistent at 61% for both periods, an increase from 59% and
    57% for the three and nine months ended September 30, 2011,
    respectively. Operating margins increased by two percentage points over
    the third quarter of 2011. Third quarter 2011 operating costs and
    margins were negatively impacted by heavy rains in July which increased
    road maintenance, site and equipment, and leachate disposal expenses.
    These expenses decreased $0.8 million in the third quarter of 2012 as
    compared to the third quarter of 2011. Operating margins are in line
    with management expectations. 
    

DS DIVISION                                                                 
 OPERATING                                                                  
 HIGHLIGHTS                                                                 
                                                                            
                  Three Months Ended Sept 30,    Nine Months Ended Sept 30, 
($000's)                                                                    
 (unaudited) (1)     2012      2011  % Change      2012      2011  % Change 
----------------------------------------------------------------------------
                                                                            
Revenue                                                                     
 Drilling                                                                   
  services (a)     65,251    63,526         3   190,502    73,031       161 
                                                                            
Operating                                                                   
 expenses                                                                   
 Drilling                                                                   
  services (b)     50,259    46,240         9   145,371    52,832       175 
 Depreciation                                                               
  and                                                                       
  amortization      3,709     2,284        62     9,417     3,134       200 
                ------------------------------------------------------------
 Total DS                                                                   
  division                                                                  
  operating                                                                 
  expenses         53,968    48,524        11   154,788    55,966       177 
 General and                                                                
  administrative    6,830     5,273        30    19,668     6,416       207 
                ------------------------------------------------------------
Total DS                                                                    
 division                                                                   
 expenses          60,798    53,797        13   174,456    62,382       180 
                ------------------------------------------------------------
                                                                            
Operating Margin                                                            
 (2) (a-b)         14,992    17,286       (13)   45,131    20,199       123 
Operating Margin                                                            
 % (2)                 23%       27%      (15)       24%       28%      (14)
----------------------------------------------------------------------------
(1)Includes DS division from its acquisition on June 1, 2011.               
(2)Refer to "Non GAAP measures and operational definitions"                 

Highlights for the DS division included:


--  Revenue from the DS division for the three and nine months ended
    September 30, 2012 was $65.3 million and $190.5 million. This compares
    to $63.5 million and $73.0 million in the same periods of 2011. Results
    for the nine months ended September 30, 2011 are not comparable to 2012
    as the DS division was acquired on June 1, 2011. The 3% increase in DS
    division revenue in the third quarter of 2012 compared to the third
    quarter of 2011 is due to increased sales volumes of low margin oil
    based drilling fluids as well as revenue from the U.S. segment. Oil
    based drilling fluids are preferred for use in horizontal and
    directional drilling applications; 
    
--  The drilling fluids service line estimated Canadian market share over
    the third quarter of 2012 was approximately 30% consistent to the third
    quarter of 2011. The market share percentage was based on the Canadian
    Association of Oilwell Drilling Contractors ("CAODC")- average monthly
    rig count for Western Canada of 339 rigs for the third quarter of 2012,
    compared to 453 rigs through the first quarter (refer to "Non-GAAP
    measures and Operational Definitions"); 
--  Third quarter operating days for the Canadian drilling fluids service
    line were 9,113 operating days compared to 12,512 operating days in the
    third quarter of 2011. The 27% decrease in operating days is a result of
    the slowdown in drilling activity reflected by weakened customer demand.
    Revenue per operating day for the third quarter of 2012 was $5,267
    compared to $4,334 in the third quarter of 2011. Revenue per operating
    day improved as a result of higher sales volumes of low margin oil based
    fluids in 2012 versus; and 
    
--  For the three months ended September 30, 2012 operating margins were
    $15.0 million or 23% of revenue compared to $17.3 million or 27% of
    revenue for the third quarter of 2011, a 13% quarter-over-quarter
    decline. The decline in both absolute dollars and margin percentage are
    due to slower industry conditions as demonstrated by the 25% drop in
    Western Canadian Sedimentary Basin ("WCSB") industry rig count, a higher
    proportion of sales volume relating to the purchase and sale of low
    margin oil based stock used in oil based drilling, an increase in U.S.
    lower margin drilling fluid revenue, and a decrease in high margin
    Canadian rental revenue. In periods of rising oil based stock prices or
    increased activity in oil based drilling fluids, revenue and product
    costs increase accordingly resulting in decreased margins on a
    percentage basis. On an absolute basis, operating margins remain in line
    with management expectations. 

OUTLOOK

WCSB industry conditions in the third quarter of 2012 were lower than those experienced in the prior year's quarter. Activity in the WCSB was slower than expected due to wet weather continuing into July as well as spending restraint exhibited by Secure's customers. The quarter over quarter active rig count in the WCSB where focus continues to be on oil and natural gas liquid plays was down 25%. Low dry natural gas prices make exploration and production of the commodity uneconomical therefore dampening overall industry activity. The WCSB industry trend is consistent in the United States where the active land rig count softened for a fourth consecutive quarter and decreased 3% quarter over quarter. Oil drilling accounted for 75% of active rigs as rigs were redirected from the Marcellus and Haynesville shale gas resource plays. In Canada, the average rig count declined year-over-year to the end of September, consistent to the total metres drilled decline to 16.8 million metres for the nine months ended September 2012 from 20.4 million metres the previous year. Metres drilled has become a more relevant statistic as more complex drilling, shifts to horizontal wells and greater well depths drive overall industry activity. Secure's customers remain cautious given macro-economic factors, low natural gas prices and the desire to maintain reasonable debt levels.

Given the mixed industry conditions, Secure's strategy of focusing on underserviced geographic areas has proven to be effective. The addition of the Wild River SWD, crude oil treating and terminalling at the Dawson facility, the Drayton Valley FST and U.S. acquisitions contributed to improved operating and financial performance in the third quarter. Secure exploits the industry value chain from "crad le to grave" and focuses on environmental and midst ream services. By doing so, the Corporation lessens its dependence on drilling related revenue streams in favour of production related services.

The Corporation is exploring a number of strategic growth opportunities through acquisition and organic expansion in order to provide additional service lines in key market areas in Canada and the United States. In the quarter, Secure expanded its PRD business into North Dakota through the acquisition of the operating assets of DRD. DRD's assets included two recently constructed operating SWD facilities serving the Bakken oil play. The DRD acquisition provides the foundation for Secure to expand its PRD services at the two existing locations. Secure anticipates the opening of its first constructed SWD at Crosby, North Dakota, by the end of the fourth quarter. The DS division added to its drilling fluids presence in Colorado by acquiring a drilling fluids company that focuses on the Niobrara and Cordell Shale plays. Both of these acquisitions provide the Corporation a platform to capitalize on the potential in the active Bakken and Niorbrara areas.

Secure announced a $50.0 million increase in its organic capital expenditure program in the third quarter. The total capital program for 2012 is forecast to be $166.0 million, with a portion being carried into 2013 for long lead items and the completion of both the Judy Creek and Rocky FST's in the first quarter of 2013. The construction of the Saddle Hills landfill will be started in the spring of 2013 as the approvals for the facility were not received in time to complete construction in the fourth quarter. The new oil based mud blending facility at the Drayton Valley FST became fully operational in September; the new facility reduces costs associated with logistics, develops recycling opportunities, and provides support to the ongoing activities in the DS division. The DS division also added $3.6 million of rental equipment to its fleet in Canada and the United States. Management believes the capital growth projects undertaken in 2012 and into 2013 provide a basis for improved results on a go forward basis.

To ensure growth is executed in a disciplined manner the Corporation completed a bought deal financing raising $86.3 million in the quarter. The financing ensures a strong balance sheet is maintained allowing the Corporation to manage the cycles of the oil and gas industry. Subsequent to the third quarter, the Corporation executed an amending agreement to its credit facility increasing the available amount from $200.0 million to $300.0 million. The bought deal financing and increased credit facility permits the Corporation to seize growth initiatives while maintaining optimum debt and equity levels on the balance sheet.

Management believes the added facilities, new products and new services, combined with future opportunities, will provide continued growth over the long term.

The positive operational and financial results for the year are due to the commitment of Secure's employees, consultants and industry partners. Secure's focus remains on providing integrated innovative solutions for its customers.

INTERIM FINANCIAL STATEMENTS AND MD&A

The condensed consolidated interim financial statements and MD&A of Secure for the three and nine months ended September 30, 2012 are available immediately on Secure's website at www.secure-energy.ca. The condensed consolidated interim financial statements and MD&A will be available tomorrow on SEDAR at www.sedar.com.

FORWARD-LOOKING STATEMENTS

Certain statements contained in this document constitute "forward-looking statements" and/or "forward- looking information" within the meaning of applicable securities laws (collectively referred to as forward-looking statements). When used in this document, the words "may", "would ", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect", and similar expressions, as they relate to Secure, or its management, are intended to identify forward-looking statements. Such statements reflect the current views of Secure with respect to future events and operating performance and speak only as of the date of this document. In particular, this document contains forward- looking statements pertaining to: general market conditions; the oil and natural gas industry; activity levels in the oil and gas sector, including drilling levels; demand for the Corporation's services and the factors contributing thereto; expansion strategy; the expanded 2012 capital budget, the allocation between the PRD and DS divisions and the intended use thereof; debt service; capital expenditures; completion of facilities; future capital needs; access to capital; acquisition strategy; the Corporation's capital spending on the Rocky Mountain House and Judy Creek, Alberta full service terminals and the timing of completion thereof; oil purchase and resale revenue; the construction of a landfill at Fox Creek, Alberta and the timing for completion thereof and the amount of the Corporation's asset retirement obligations and the timing thereof; the construction of a standalone water disposal at Crosby, North Dakota and the timing for completion thereof.

Forward-looking statements concerning expected operating and economic conditions are based upon prior year results as well as the assumption that increases in market activity and growth will be consistent with industry activity in Canada, United States, and internationally and growth levels in similar phases of previous economic cycles. Forward-looking statements concerning the availability of funding for future operations are based upon the assumption that the sources of funding which the Corporation has relied upon in the past will continue to be available to the Corporation on terms favorable to the Corporation and that future economic and operating conditions will not limit the Corporation's access to debt and equity markets. Forward-looking statements concerning the relative future competitive position of the Corporation are based upon the assumption that economic and operating conditions, including commodity prices, crude oil and natural gas storage levels, interest rates, the regulatory framework regarding oil and natural gas royalties, environmental regulatory matters, the ability of the Corporation and its subsidiary to successfully market their services and drilling and production activity in North America will lead to sufficient demand for the Corporation's services and its subsidiary's services including demand for oilfield services for drilling and completion of oil and natural gas wells, that the current business environment will remain substantially unchanged, and that present and anticipated programs and expansion plans of other organizations operating in the energy service industry will result in increased demand for the Corporation's services and its subsidiary's services. Forward-looking statements concerning the nature and timing of growth are based on past factors affecting the growth of the Corporation, past sources of growth and expectations relating to future economic and operating conditions. Forward-looking statements in respect of the costs anticipated to be associated with the acquisition and maintenance of equipment and property are based upon assumptions that future acquisition and maintenance costs will not significantly increase from past acquisition and maintenance costs.

Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether such results will be achieved. Readers are cautioned not to place undue reliance on these statements as a number of factors could cause actual results to differ materially from the results discussed in these forward-looking statements, including but not limited to those factors referred to and under the heading "Business Risks" and under the heading "Risk Factors" in the Corporation's annual information form (" AIF") for the year ended December 31, 2011. Although forward-looking statements contained in this document are based upon what the Corporation believes are reasonable assumptions, the Corporation cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements in this document are expressly qualified by this cautionary statement. Unless otherwise required by law, Secure does not intend, or assume any obligation, to update these forward-looking statements.

Non GAAP Measures and Operational Definitions


1.  The Corporation uses accounting principles that are generally accepted
    in Canada (the issuer's "GAAP"), which includes, International Financial
    Reporting Standards ("IFRS"). These financial measures are No n- GAAP
    financial measures and do not have any standardized meaning prescribed
    by IFRS. These non-GAAP measures used by the Corporation may not be
    comparable to a similar measures presented by other reporting issuers.
    See the management's discussion and analysis available at www.sedar.com
    for a reconciliation of the Non-GAAP financial measures and operational
    definitions. These non-GAAP financial measures and operational
    definitions are included because management uses the information to
    analyze operating performance, leverage and liquidity. Therefore, these
    non-GAAP financial measures and operational definitions should not be
    considered in isolation or as a substitute for measures of performance
    prepared in accordance with GAAP.

Contacts: Secure Energy Services Inc. Rene Amirault Chairman, President and Chief Executive Officer (403) 984-6100 (403) 984-6101 (FAX) Secure Energy Services Inc. Nick Wieler Chief Financial Officer (403) 984-6100 (403) 984-6101 (FAX) www.secure-energy.ca

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