Despite declines in natural gas prices, Western Energy Services Ltd. continued its recovery from the Covid-19 pandemic’s slump as growing field activity in Canada and the United States restored 2023 first quarter net income.

The 30-day spot average for natural gas traded at the AECO hub in Canada fell by about 32% year/year to C$3.35/Mcf ($2.46) in the first quarter of 2023 compared with C$4.94/Mcf ($3.63) in 1Q2022. 

Western, however, recited hope for growth. 

“If commodity prices stabilize for an extended period and as customers strengthen their balance sheets and satisfy shareholders, we expect that drilling activity will continue to increase,” the oilfield services (OFS) company said. 

Western reported outfitting 42 of its 56 rigs for horizontal drilling. The...