Ensign Notches Up Growth Amid Western Canadian Oil Boom

---

Written by Will Ploch, Assistant Editor-in-Chief for IIR News Intelligence (Sugar Land, Texas)

---

Summary

Ensign is among the Canadian drilling services firms to see a significant growth in activity amid higher commodity prices, with Western Canada seeing some of its strongest oil and gas business in a decade. Major acquisitions also are broadening Ensign's outlook.

---

Rising Prices Lift Western Alberta

Rising crude prices are spurring drilling activity across Western Canada, with drilling services companies like Ensign Energy Services Incorporated picking up more business than at any time in the past 10 years. Despite rising costs, some of which can be traced back to the ongoing conflict around the Strait of Hormuz, Ensign is among the companies looking to broaden its role amid favorable market conditions.

Industrial Info Resources is tracking more than US$8 billion worth of active and proposed projects featuring Ensign's services, more than US$6 billion of which is attributed to projects in Alberta.

"The impact of uncertainty around the global economy and tariff policies adopted by the [Trump] administration--and the implications from such policies--continue to impact operating activity," said Trevor Russell, the chief financial officer of Ensign, in a quarterly earnings-related conference call.

Russell and other executives said activity levels improved noticeably in the second quarter when compared with the same period in 2025, with operating days up 7% in Canada, 5% in the U.S., and 15% elsewhere.

Ensign operates the second-largest fleet of drilling rigs in Canada, trailing only Precision Drilling. According to Industrial Info Resources data, Canadian Natural Resources Limited (CNRL) accounts for the single highest-valued investment featuring Ensign's services, while Tourmaline Oil Corporation, the largest natural gas producer in Canada, accounts for more investments overall than any other company.

CNRL is drilling up to 174 new heavy-crude oil wells at its Smith and Pelican Lake fields near Slave Lake, Alberta, which produced about 44,503 barrels per day (bpd) in the second quarter, up 12% from the same period last year. Companywide, CNRL's oil sands mining and upgrading production rose 35% from second-quarter 2025 to a record 625,000 bpd.

Ensign and Precision Drilling both are serving as contractors on the Smith-Pelican Lake project, as they are on CNRL's Karr and Wembley fields in west-central Alberta, where the company is planning for at least 17 and 25 new wells, respectively, to produce natural gas and light crude oil.

Industrial Info Resources offers more information on the CNRL projects in its Global Market Intelligence (GMI) Oil & Gas Production Project Database, where readers can find details--including construction schedules, investment values and necessary equipment--in reports on the Smith-Pelican Lake, Karr and Wembley projects.

By the Numbers

• More than US$8 billion: Total investment value of active and proposed projects featuring Ensign's services
• More than US$6 billion: Total attributed to projects in Alberta
• 7% and 5%: Year-over-year increase in operating days for Ensign's drilling services in Canada and the U.S., respectively

More Access Means More Oil

Tourmaline's projects include two in west-central Alberta, both of which are contracting Ensign and Precision Drilling: up to 50 new wells in the Musreau area and at least 20 new wells in the Peace River Field, which will produce oil, natural gas and natural gas liquids (NGL).

Readers can consult detailed reports on the Musreau and Peace River projects.

Ensign's growth isn't just organic: The company announced earlier this month it had completed an acquisition of Permian-based Citadel Drilling Limited for roughly US$65 million. Geddes said the acquisition "increases our Permian capacity by 20% and increases our market share in this highly active region," adding six high-spec drilling rigs to Ensign's fleet.

Ensign's revenues for second-quarter 2026 totaled C$397.3 million (US$285.8 million), a 6.7% increase from the same period last year. The company incurred net losses of C$13.05 million (US$9.34 million), compared with net losses of C$26.4 million (US$18.9 million) in second-quarter 2025.

"We've had a busy quarter reactivating and upgrading rigs for contracts, which caused some one-time expenses in the quarter," Geddes said in the earnings call. Executives also cited disruptions in the Middle East, which forced some rigs to shut down.

The Industrial Info Resources GMI Project and Plant databases offer a full list of detailed reports for projects mentioned in this article, and a full list of related plant profiles.

Industrial Info Resources also offers a full list of reports for active and proposed projects featuring Ensign's services.

Key Takeaways

• Drillers in Western Canada are picking up more business than at any time in the past 10 years.
• Executives said activity levels improved noticeably in the second quarter when compared with the same period last year.
• Ensign completed an acquisition of Permian-based Citadel Drilling Limited earlier this month.

---

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news, and analysis on the industrial process, manufacturing, and energy-related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified, and verified plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).