Precision Drilling Corp. reported a second-quarter profit of $26.9 million, reversing a $24.6 million loss from a year earlier as the company says it has reduced its total debt by $100 million since the beginning of the year.

The Calgary-based contract drilling company says profits amounted to $1.63 in diluted earnings per share for the quarter ended June 30 compared with a loss of nearly $1.81 per share a year earlier.

Revenue totalled $425.6 million, up from $326 million for the same period in 2022.

The company says its Canadian business continues to improve due to increasing year-round pad drilling in the Montney and Clearwater formations and imminent additions to itd hydrocarbon pipeline takeaway capacity.

It says its Canadian fleet is in high demand with 58 rigs running and it expects customer demand for its fleets will continue to exceed supply well into 2024.

In the U.S., Precision says it has 43 active rigs and two rigs on paid standby, where firm oil prices have led to an improved customer outlook.

This report by The Canadian Press was first published July 27, 2023.