Calfrac Ar 2011 Full

3,400 REASONS WHY
CALFRAC IS A LEADER
IN THE GLOBAL
FRACTURING INDUSTRY.
2011 ANNUAL REPORT
Highlights
Consolidated Financial Statements
67
Letter to Shareholders
Review of Operations
14
Notes to the Consolidated

Financial Statements
72
Managements Discussion and Analysis
26
Managements Letter
65
Auditors Letter
66
Historical Review
106
Corporate Information
107
DEMAND FOR PRESSURE PUMPING

SERVICES IS GROWING
The breakthrough technologies of
horizontal wells with multi-stage fracturing,
high crude oil prices and demand
for natural gas liquids have changed
the well completions game across
North America, as well as heralding
longer-term change around the world.
Responding to its customers needs and
market opportunities, in 2011 the Calfrac
team performed a record 12,470 fracturing
jobs plus thousands of coiled tubing
and cementing jobs across North America
and internationally. Canada based
Calfrac Well Services Ltd. (TSX:CFW) grew
its annual revenue to a record $1.5 billion
and EBITDA to $398.7 million in 2011.
PEOPLE
At 3,400 strong, people are our most
important asset. From expert eld
crews to our nance team, were
answering the call in North Americas
premier unconventional natural gas
and light oil plays plus strategic
international markets.
EQUIPMENT
Our pressure-pumping eet has
total capacity of well over 700,000
hydraulic horsepower all of it built
for challenging environments around
the world that demand high capacity,
toughness, operability and great
features.
CALFRAC IS ANSWERING
THE CHALLENGE HEAD-ON
TECHNOLOGIES
Our technical expertise allows us to
custom-design successful programs
for a range of challenging well
completions scenarios and to
meet emerging challenges.
ENVIRONMENTAL
STEWARDSHIP
We are constantly improving our
chemistry formulations, equipment
and uid handling systems to enhance
safety and reduce our environmental
footprint.
ANNUAL REPORT 2011
PEOPLE CREATING VALUE FOR INVESTORS
CALFRAC WELL SERVICES LTD.
TOTAL ASSETS
($ millions)
(1)
RETURN ON TOTAL EQUITY

(%)
558.9
691.8
840.9
1,095.6
1,405.1
11.8
4.8
-1.3
10.3
31.2
07(1)
08(1)
09(1)
10
11
07(1)
08(1)
09(1)
10(2)
11(2)
As the Companys IFRS transition date was

January 1, 2010, total assets for 2007, 2008
and 2009 have not been restated.
(1)
(2)
Canadian GAAP
IFRS
4 REASONS CALFRAC IS A LEADING

ENERGY SERVICES INVESTMENT
Calfrac is an integral part

of the oil and natural
gas sectors growing
focus on unconventional
development, which is
more capital-intensive
on a per-well basis.
The Company was
early to recognize
and position itself for
this transformation,
with the right people,
equipment, locations and
technologies. Calfrac is
competitive in any well
completions scenario,
no matter how large,
complex or logistically
challenging.
Calfrac is keenly
focused on maximizing
returns on invested
capital, to the benet
of its shareholders. The
Companys management
team is directly
incentivized to maximize
earnings from its asset
base. Calfrac practices
disciplined nancial
management, with a
keen eye on cost control,
and invests only when
returns warrant the
incremental capital.
Our strong balance

sheet. This includes almost
$400 million in opening
2012 working capital,
virtually untapped
$250 million of credit
facilities and US$450
million of 7.5 percent
senior unsecured notes due
in 2020. Calfracs strong
nancial position and
liquidity provide exibility
for the Company to
pursue the highest-return
opportunities. Calfracs
2011 capital expenditures
were primarily funded from
cash ow and the same is
expected for 2012.
Calfracs international
platform in Russia and
Latin America creates
revenue stability
through geographical
diversication today,
plus exposure to longterm upside potential
as international markets
mature and begin the
shift to unconventional
well completions.
ANNUAL REPORT 2011
PEOPLE GENERATING VALUE FOR CUSTOMERS
PRESSURE PUMPING
HORSEPOWER
(000s)
CONSOLIDATED
FRACTURING JOB COUNT
242
287
456
481
719
6,486
6,889
6,060
9,025
12,470
07
08
09
10
11
07
08
09
10
11
4 REASONS CALFRAC IS A PREMIER

ENERGY SERVICES PROVIDER
Technology is the
foundation. Todays
unconventional well
completions are not a
commodity. Success
depends on thorough
science, sound judgment
and continuously
improving products
and processes. It is no
coincidence that Calfrac
is a leading completions
provider in key
unconventional plays.
Strong safety systems,

thorough training and
diligent environmental
management. This is
the way Calfrac believes
in operating, and it
is also the way more
and more stakeholders
require service providers
to operate. We invest
continually to keep
improving in these
areas, just as we do
in our equipment and
technologies.
Were positioned in the

right places with the right
people and the right
equipment, offering the
right solutions. Weve
made the investments
required to meet our
customers expectations,
and the commitments
needed to gain critical
mass and a competitive
operating presence
in key plays across
North America and
internationally.
We understand
what todays well
completions are all
about: generating
conductivity for
commercial hydrocarbons
through ever-more
challenging reservoirs,
yielding productive wells
with improving capital
efciency. All the while
reducing environmental
footprints.
ANNUAL REPORT 2011
HIGHLIGHTS
For the Years Ended December 31,
2011
2010
Change
($)
($)
(%)
1,537,392
935,927
64
412,828
185,236
123
EBITDA
Per share basic
Per share diluted
398,682
9.13
8.98
185,839
4.31
4.25
115
112
111
Net income (loss) attributable to

shareholders of Calfrac
Per share basic
Per share diluted
187,451
4.29
4.22
49,502
1.15
1.13
279
273
273
Capital expenditures
323,962
118,899
172
Working capital (end of year)
398,526
341,677
17
Total assets (end of year)
1,405,121
1,095,601
28
Total equity (end of year)
700,569
502,032
40
1,245,709
1,489,033
-16
44,393
43,726
719
481
49
Coiled tubing units (#)
29
29
Cementing units (#)
23
21
10
(C$000s, except where otherwise noted)
FINANCIAL
Revenue
Operating income
(1)
(1)
Market capitalization (end of year)

Weighted average common shares outstanding (#)
Diluted
OPERATING (as at December 31)
Pumping horsepower (000s)
(1) Refer to Non-GAAP Measures on page 29 for further information.
REVENUE
OPERATING
INCOME
($ millions)
EBITDA
REVENUE PER
FRACTURING
TREATMENT
($ millions)
($ millions)
($)
Strong domestic demand for
unconventional well services
accelerated Calfracs momentum
and sustained high equipment
utilization, complemented by stable
international revenue.
07 (1)
08 (1)
09 (1)
Growing customer demand,

combined with internal cost
discipline supported strong margins,
enabling revenue growth to drive
operating income growth.
07 (1)
08 (1)
09 (1)
460.3 564.4 591.5 935.9 1,537.4 100.1
81.9
71.1
10
11
10
11
185.2 412.8
Calfrac achieved record EBITDA in

2011. In December 2011, Calfrac
increased its semi-annual dividend
by 33 percent to $0.10 per share.
In late February 2012, the Company
announced an additional $0.40 per
share increase in its semi-annual
dividend to $0.50 per share.
07 (1)
08 (1)
09 (1)
97.8
84.0
68.8
10
11
The continuing switch to

unconventional completions has
resulted in typically larger, heavier
and more revenue-intensive work.
07 (1)
08 (1)
09 (1)
10
11
185.8 398.7 62,466 67,974 83,241 91,844 112,786
REVENUE BY SEGMENT
800
($ millions)
Drilling for oil and liquids-rich gas targets
drove increased demand for pressure
pumping services in Canada and the
U.S., resulting in record 2011 volumes.
In Russia, Calfrac achieved consistent
year-over-year margins amid steady
activity in 2011, while the Latin American
region saw restored protability following
recovery in the Mexican oileld service
market and steady volumes in Argentina.
600
400
200
Canada
United States
Russia
Latin America
07 (1)
08 (1)
09 (1)
10
11
(1) As the Companys IFRS transition date was January 1, 2010, amounts for 2007, 2008 and 2009 have not been restated.
ANNUAL REPORT 2011
LETTER TO
SHAREHOLDERS
Doug Ramsay
Chief Executive Ofcer
OUR 3,400 EMPLOYEES,

COMBINED WITH
CUSTOMERS AND
INVESTORS, ARE THE
REASONS FOR OUR
SUCCESS
The latest phase of Calfracs growth has been
astounding. The Companys annual revenue broke
through $1 billion and grew at a record rate of
64 percent year-over-year to over $1.5 billion for
2011. Strengthening margins in our Canadian and
U.S. markets drove year-over-year doubling of EBITDA
to $398.7 million. Reecting this growing nancial
strength, we most recently increased Calfracs
semi-annual dividend from $0.10 per share to
$0.50 per share. This provides additional returns to
our shareholders and broadens our investor base.
Calfracs superb team of just over 3,400 people ably
executed our plans and achieved all our goals for 2011.
Day after day, they demonstrated that they are truly
ready for anything. Responding to market demand,
we expanded the fracturing eet, exiting the year with
over 700,000 hydraulic horsepower, while adding two
new cementing units. We expanded our U.S. business
in the Marcellus shale gas play and in the Bakken and
Niobrara shale oil plays. Our Canadian business greatly
outperformed, with expanding activity in multiple
unconventional oil and liquids-rich gas plays delivering
49 percent of Calfracs annual revenue and 63 percent
of operating income.
We continued our leadership in technologies, as
Calfrac innovations like SlickPro and CleanTech
uid systems gained widespread customer acceptance
across North America. We met our customers desire
for increased 24-hour operations, with approximately
40 percent of our North American fracturing spreads
working around-the-clock. The increased equipment
utilization creates both revenue and earnings leverage.

Meanwhile, we secured more revenue through longterm contracts, reducing overall business risk.
Internationally, we performed our 1,000th fracturing
job in Mexico, where business conditions improved
over 2010. Results in Russia met our expectations in
a difcult operating environment, and we achieved
consistent margins year-over-year. We entered the
Colombia market, performing our rst cementing job
in September. In Argentina, where we currently provide
cementing and coiled tubing services, we intend to
enter the fracturing market sometime in 2012.
Strategic Drivers
Being an international pressure pumping service
provider involves many moving parts, but one can
evaluate Calfracs performance by looking at three
main strategic drivers: diversication, technological
innovation and the unconventional resource revolution.
Calfrac is diversied by geography across and within
regions by commodity and by play type. Last year,
we continued to diversify our U.S. business in all three
ways. We grew our oil well completions work and
broadened activities from established unconventional
plays to emerging growth plays. Our strategy is to
carefully select a market and then work towards a
critical mass of multiple fracturing spreads rather than
having a marginal presence in numerous markets. This
is key to operating an efcient business that generates
good margins.
DILUTED EARNINGS
PER SHARE
($)
1.06
0.47
-0.14
07(1)
08(1)
09(1)
1.13
4.22
10
11
Our Canadian business has done a virtual 180-degree

turn from several years ago. Revenue growth of
49 percent year-over-year and delivery of a record
4,165 fracturing jobs in 2011 exceeded expectations.
This once again showed the wisdom of diversication, as
we levered our established presence to keep pace with
demand growth particularly in liquids-focused work.
Market activity was intense across North America
due to producers growing focus on horizontal wells
incorporating sophisticated completions. These are
no longer experimental technologies and in many
areas we have moved into factory-style operations. In
others the testing of new play types and renement
of technology applications continue. Many of the
unconventional reservoirs are more variable than
expected, especially on the oil side, requiring a range
of uid systems and processes to achieve success over
multiple wells. Having our competitive technology
platform provided the leverage for success and
enabled us to thrive.
Its important to understand Calfracs approach to
technology. We consider ourselves innovators not
inventors. We take existing chemicals and blend them
in new ways to work better, and we adapt equipment
long established in other industries. Our team includes
dedicated and skilled scientists. But we dont perform
science experiments on our customers wells we
apply proven methodologies. We emphasize the D in
R&D. Thats because we care about our customers and
their success. The way Calfrac applies new technologies
doesnt represent new risks, it reduces our business
risks and our customers technical risks in bringing
(1) As the Companys IFRS transition date was January 1, 2010, diluted
earnings per share for 2007, 2008 and 2009 have not been restated.
new oil and natural gas wells on-stream. We also

focus heavily on logistics to ensure we have sufcient
materials on-site exactly when needed, so that our
customers wells are completed efciently.
Extending the Unconventional

Resource Revolution
Diversication and technology, combined with
our growing eet of modern equipment and our
strengthening track record and reputation, enable
Calfrac to participate in the continuing unconventional
resource revolution. Last year we were active in four
major U.S. unconventional plays the Fayetteville and
Marcellus shale gas plays, and the Bakken and Niobrara
shale oil plays. We expanded our presence in three
of the four and started building permanent operating
bases in North Dakota and Pennsylvania.
In Canada we are serving most of the regions
established and emerging unconventional plays. To
take two examples, we performed two large projects in
the Horn River Muskwa shale gas play and participated
in testing the Duvernay shale, a promising liquids-rich
reservoir. On the oil side we were active in the earlystage development of exciting emerging plays such as
the Alberta Bakken, Slave Point, Swan Hills carbonates
and Dunvegan.
The North American producing sector continued to
increase its focus on unconventional wells. The ratio
of horizontal wells reached approximately 55 percent
of all wells drilled, lateral legs of horizontal wells
continued to lengthen, the average number and size
of fractures per well continued to increase, and there
ANNUAL REPORT 2011
THE HEALTH OF OUR

SECTOR IS DRIVEN BY
THE AVERAGE WELL
COMPLETIONS PROFILE
was more multi-well pad drilling. The well completion

phases at times accounted for close to 60 percent of
the costs of drilling and bringing a new well on-stream.
This is highly material to Calfracs operations and
nancial results. A single multi-well contract in a shale
play like the Horn River can generate over 10 percent
of Calfracs fracturing stages performed that quarter in
the entire Canadian market. This again demonstrates
that the health of our sector is no longer driven
primarily by the overall number of wells drilled in a
region, but by the average well completions prole.
Todays unconventional oil and natural gas plays are
economic due to efciency gains made over the past
ve years in every phase of well drilling, completions
and operations. Calfrac is helping its customers
transform these plays into growth engines that 10 years
ago were considered either innately uneconomic or
once-productive but tired. Overall, the unconventional
oil plays are earlier in the development cycle than
unconventional natural gas plays, the oldest of which
now have over a decades history. More unconventional
opportunities are being made feasible, while the
break-even commodity price at established plays is
driven downward.
To take one example, an Alberta-based intermediate
producer last year reported doubling the economics
of its activity in the Cardium oil play by applying a new
fracturing uid system. The gains are not always this
dramatic, but the point is the same: better drilling,
better completions, better uids, and improvements
to every other step continually improve efciencies.
This process provides plays like the Cardium with a
10
geographical halo an extended area where the rock

quality and/or the resource-in-place were previously
insufcient, that now is amenable to expanding
the play.
Calfracs technology innovations are helping producers
unlock these plays. Certain unconventional reservoirs
are viable with precisely one uid system out of all the
uids developed over the industrys nearly 60 years
of hydraulic fracturing. Others work with several
but one proves optimal, or the best approach varies
within the reservoir. Albertas Cardium Formation, for
example, is very diverse, and Calfracs ability to offer
multiple fracture designs, based on being current
with the evolving science, creates advantages. These
technologies and processes make more and more
reservoirs productive extending and consolidating the
unconventional resource revolution that began with the
Barnett Shale in Texas over 10 years ago.
Safety and Environmental Protection

Safety and environmental protection are core values at
Calfrac because we care deeply about our people,
our customers and the communities in which we
operate. I would like to commend the Companys
people for doing an amazing job at every level.
On environmental stewardship, we have deployed
10 new uid products that meet our rigorous internal
standards for being green. Were rmly committed to
being stewards of water resources through measures
such as repeatedly re-using owback and produced
water, and by developing alternative uid systems with
higher proportions of nitrogen or carbon dioxide. We
REVENUE BY
OPERATING SEGMENT
Canada 49%
Total Revenue: $1.5 billion
Russia 8%
Latin America 4%
United States 39%
continue to strive for better water conservation systems

that increase recycling of fracturing uids and/or
reduce the initial volume of water required. We deploy
uid systems and equipment that enable us to use nonpotable water such as treated municipal wastewater
from Dawson Creek, B.C. and mining water from the
coal dewatering process in Pennsylvania.
Calfrac always follows best practices, and we believe
that in consequence hydraulic fracturing is physically
safe and environmentally non-harmful. Regarding
demands from some groups that fracturing companies
disclose their chemistries, we are on the record in
supporting complete transparency regarding the
materials that we pump down the well. What we wish
to keep condential for competitive reasons are the
exact blends and proportions.
In safety, Calfracs behaviour-based approach is
working very well. An example: our safety group is
vetting newly planned equipment to look for ways to
engineer in additional safety. At the personnel level
we work hard to foster an attitude of everyone looking
after one another in the shop, on the job site, and in
transit. Our managers make a habit of saying, If you
feel you cant go out and do the job safely and come
back safely, then you shouldnt go out today.
Calfracs safety policy includes Goal Zero, and we
have proved that it is achievable. Our Grand Junction,
Colorado district operated for 365 days without a losttime incident, as did the logistics department of our
Grande Prairie, Alberta district. Calfracs overall safety
performance in 2011 was excellent, with improvement
in both key performance indicators.
Safety also has a business dimension. We believe

our large, sophisticated customers choose Calfrac in
part because of our safety system and performance.
Safety itself is therefore incentivized at Calfrac. A
portion of every employees bonus is tied to the
Companys safety performance, and the same goes
for senior management. Our Board of Directors is also
directly involved through its Safety Committee that
meets regularly, monitors performance and makes
recommendations.
People Really Do Make the Difference

At Calfrac we have long said that it is people who
make the difference. As the Company and its business
become larger and more sophisticated, and as labour
markets in the energy sector tighten, we are continually
rening and improving the way we approach
recruitment, training and retention. Programs initiated
in 2010 and 2011 have been very successful.
In Canada, about 30 percent of our staff now are
rotational, coming mainly from Atlantic Canada. In
addition to maintaining a well-thought-out program
for the rotational workers, our new EAP program helps
out their families by offering support while the worker
is away from home. Our U.S. ying squads from
Colorado and Arkansas proved a highly successful
way to lever the skills of seasoned specialists as we
introduced services to new markets.
We have also enhanced our training and retraining
programs so that people are going out into the eld
with greater condence. Recruitment in areas such as
Pennsylvania rose as people learned about the depth
ANNUAL REPORT 2011
11
WE SEE CONTINUED
OPPORTUNITY TO
GROW OUR PRESENCE
IN EXISTING OPERATING
AREAS AND TO BECOME
ACTIVE IN NEW PLAYS.
of opportunity and quality of employment with Calfrac.
In North Dakota, where unemployment is very low, we
continued to recruit locally, strong evidence of
Calfracs attractiveness.
Our benets programs are stronger than ever,
including retirement-oriented programs that have
seen enrolment in the 401k program in the U.S.
increase from about 30 percent to 90 percent, and
participation in our Canadian RRSP program increase
to nearly 60 percent. And amidst hiring many hundreds
of people over the past 18 months we have reduced
our annual turnover rate from approximately 40
percent to about 30 percent. These trends suggest
we are persuading more employees to refocus from
transient employment to thinking of Calfrac as a place
to build a career.
2012 Outlook and Plans

Calfracs management team foresees the unconventional
resource revolution further unfolding through 2012, a
landscape in which Calfrac will continue applying the
strengths that have delivered success to date. The
expected trends include further growth in the average
length of horizontal wellbores, requiring more average
fractures per well, greater fracturing intensity per
wellbore, as well as continued application of newer
uid systems and chemistries, more 24-hour operations
and multi-well pad drilling and completions. We
expect these techniques to continue mainstreaming
existing unconventional reservoirs and to test new
opportunities.
12
We do not believe the industry will overbuild in 2012.

In budgeting for 2012, we modelled lower crude
oil prices than we expect, and the result was still
expansion of our business due to the industrys drive
for greater efciency, the application of more and
more technology, and our ability to provide value to
customers, resulting in productive, protable wells.
Calfrac entered 2012 with long-term debt of only
$450.5 million. The large majority of our U.S. fracturing
capacity and budgeted 2012 revenue are under
long-term contract. We expect to realize efciency
gains from the critical mass of crews deployed in 2011,
combined with the ongoing shift to 24-hour operations,
wherein we have entire spreads committed year-round.
We see continued opportunity to grow our presence
in existing operating areas, such as in the Niobrara
oil shale, and to become active in new plays. The
outlook in Canada is also upbeat. We think Calfrac
will also achieve strong revenue and EBITDA in 2012.
Planned capital expenditures of $271 million will bring
horsepower to approximately 970,000 by year-end.
Were also looking farther ahead, to a time when North
American technologies are applied in a systematic
way to unconventional reservoirs abroad. This will be
a long-term process spanning multiple years, but I
believe we will start seeing horizontal wells completed
with multi-stage fracturing over the next one to two
years. Unconventional oil and natural gas reservoirs
around the world are awaiting this approach, and
Calfrac is very well-positioned.
EMPLOYEES
000
000 1,794 000 1,938 000 2,572 000 3,401

08
09
10
11
The Russian market remains focused on vertical

wells, creating immense potential to grow through
horizontal drilling. For the short term, we will refrain
from deploying additional capital to that market.
Argentina by some estimates has the worlds
third-largest technically recoverable shale resource
potential, following China and the United States.
Yet the entire market has perhaps 200,000
pressure pumping horsepower, little of it suited to
unconventional work. There are signs modernization
could be about to begin.
Calfrac is positioned in four of the worlds top six
shale resource areas: Canada, the U.S., Mexico
and Argentina. Should development of any major
international shale play move into high gear, the
Company expects to follow its international expansion
strategy by building new equipment to service these
opportunities. In the event of weaker market conditions
in North America, some of this equipment could
potentially be redeployed from this market. Although
the timing and pace remain uncertain, the opportunity
is immense.
Although we foresee growth throughout 2012 and
into 2013, we are ready for almost any scenario. We
are cognizant of the many sources of economic risk
and instability outside our industry. This company
has been built for long-term sustainability, and senior
management members all have a strong vested
interest. Geographical and commodity diversication
provides a measure of downside protection against
regional economic instability. While we cannot control
a global economic downturn, we have managed our
business well enough that we can react quickly to

reduce our costs.
Calfrac has adjusted, adapted and grown through
three previous downturns in its operating history, and
these experiences served the Company well. During
the last downturn, in 2009, we were among the rst
to recognize the situation. We reduced our costs and
beneted accordingly, producing superior nancial
metrics within our peer group. And we used our strong
balance sheet to transform a downturn into a growth
opportunity by making our best two acquisitions in
this period. Today we are even stronger, with a record
proportion of our much larger revenue base anchored
in longer-term contracts, providing a new source
of stability.
I would like to extend heartfelt thanks to every member
of the Calfrac team and to our Board of Directors for
everyones hard work, dedication and contribution to
our Companys success in 2011.
On behalf of the Board of Directors,
Doug Ramsay
February 27, 2012
ANNUAL REPORT 2011
13
REVIEW OF OPERATIONS
CALFRAC OPERATIONS WORLDWIDE
CANADA
1,240 Employees (approx.)

$755 Million 2011 Revenue
7 Operating Bases
285,000 Hydraulic Horsepower
21 Coiled Tubing Units
5 Cementing Crews
RUSSIA
750 Employees (approx.)

3 Operating Bases
6 Coiled Tubing Units
UNITED STATES
1,120 Employees (approx.)

6 Operating Bases
1 Coiled Tubing Unit
9 Cementing Crews
14
LATIN AMERICA
210 Employees (approx.)

5 Operating Bases
1 Coiled Tubing Unit
9 Cementing Crews
REGIONS AT A GLANCE
CANADA
UNITED STATES
This market experienced a decisive shift

towards oil and liquids-rich gas targets, which
drove strong growth in demand for Calfracs
services.
Calfrac had an extremely active year in serving

a growing market shifting towards oil and
liquids-rich gas targets.
Continued growth in number of wells and

per-well service intensity in established
unconventional plays
Testing and initial development of new
emerging oil and liquids-rich gas plays
Signicant new capital deployment
and eet expansion by Calfrac to meet
demand
Continuing trend towards 24-hour
operations and longer-term contracts with
major customers
Large demand-driven capital program to

add capacity and geographical presence
Hundreds of additional staff hired,
improved service infrastructure, new
operating bases in Williston, North Dakota
and Smitheld, Pennsylvania
Building-out of Calfracs presence in the
Marcellus, Bakken and Niobrara plays with
additional fracturing crews and/or coiled
tubing units
Producing sector continues to explore
and develop additional new
unconventional plays
RUSSIA
LATIN AMERICA
Calfrac achieved consistent year-over-year

margins amid steady activity in 2011.
Recovery in the Mexican oileld service market

and steady work there and in Argentina
through 2011 moved this region back to
protability in the second half.
The Russian market is focused on oil well

drilling, completions and recompletions
Calfrac provides fracturing and coiled
tubing services through annual tendered
contracts
The tendering process for 2012 was
completed in February and Calfrac
foresees steady year-over-year revenue
and margins
Potential for longer-term evolution
towards horizontal drilling and
completions, plus more natural
gas-focused fracturing
Mexico offers opportunity for deployment

of further new technology
Gradual evolution in the Argentina market
with potential for unconventional shale
gas and and/or tight oil development
Initial entry into Colombia in late 2011,
providing cementing services for oil well
completions
Activity in all three countries foreseen to
increase in 2012
ANNUAL REPORT 2011
15
CANADA AND UNITED STATES

DRIVING THE UNCONVENTIONAL
RESOURCE REVOLUTION
HORN RIVER
MONTNEY
Investment by large
operators continues
particularly in this prolic,
high-quality shale play.
Pad designs continue to
get larger and lateral legs
longer, while fracturing
interval intensity continues
to grow.
With pads of up to 12
horizontal wells, 12-14
stages per well and
100-200-tonne fracturing
stages, producers are
driving capital efciencies
and per-well economics.
Activity is shifting to the
Montneys liquids-rich
and oil-bearing areas.
Horn River
Fort Nelson
ALBERTA
Dawson
Creek
Montney
CARDIUM
EMERGING PLAYS
Following a record year

of horizontal well drilling,
numerous operators have
announced active 2012
drilling plans. Companies
are continuing to rene
completion designs, driving
well productivity to further
boost light oil economics.
Dunvegan
Slave Point
Beaverhill Lake
Alberta Bakken
Utica
Grande Prairie
Deep
Basin
Edson
Red Deer
DUVERNAY
A thick and very resourcerich shale containing gas,
liquids, condensate and
oil, the exploratory-stage
Duvernay has generated
major industry excitement.
Individual wells run to a
total of 5,000 metres
measured depth.
NIOBRARA
Duvernay
Cardium
BAKKEN
With producers continuing
to push the envelopes
of horizontal leg lengths
and number of fracturing
intervals per well, the
Bakken in North Dakota
and Saskatchewan is a
leading example of service
intensity. The Bakken is
helping to drive North
Americas recent rebound
in domestic oil production.
Viking
Lower
Shaunavon
Calgary
Medicine Hat
Bakken
Estevan
Williston
NORTH DAKOTA
Green
River
Jonah
Uintah
The Niobrara is an
oil-bearing shale that
was thought to be mature
and in decline. Producers
have reported prolic
horizontal oil wells and
announced plans to drill
hundreds of horizontal
wells in 2012.
Platteville
Piceance Denver
COLORADO
Fayetteville
Granite Wash
Beebe
ARKANSAS
Permian
Haynesville
Barnett
Eagle Ford
Calfrac regional/district ofce

Major basin/unconventional play
Calfrac service area
16
Marcellus
W. VIRGINIA
Utica
OKLAHOMA
TEXAS
Calfrac is active in all of the plays

discussed on this page.
Philipsburg
Smitheld
Niobrara
Grand Junction
PENNSYLVANIA
Denver-Julesburg
MARCELLUS
Prolic wells and proximity
to consuming markets make
the Marcellus gas shale
arguably North Americas
most cost-effective
unconventional basin.
Activity continues to grow
there and in the emerging
Utica Shale that underlies/
adjoins the Marcellus.
NORTH AMERICAN RIG COUNT

1,200
Directional
Vertical
1,000
Horizontal
800
600
400
200
0
01
02
03
04
05
06
07
08
09
10
11
NORTH AMERICA ACTIVITY DRIVERS
HORIZONTAL
ACTIVITY
OIL AND
LIQUIDS-RICH PLAYS
TECHNOLOGY
EVOLUTION
EFFICIENCY
GAINS
The number of horizontal

wells drilled, the average
number of fractures per
well and the average size
of hydraulic fractures
all continued to grow
across North America
in 2011. This increase
in service intensity for
oil and natural gas well
completions is directly
driving the business of
service providers such
as Calfrac.
While the majority of

fracturing previously
took place in natural
gas wells, the same
completions methodology
is increasingly being
applied to unconventional
oil-bearing reservoirs.
Today, most industry
activity is focused on oil
and liquids-rich natural gas
targets. Calfrac is solidly
positioned in multiple
plays of each type across
North America.
The mainstreaming
of horizontal wells
completed with multiple
fracturing stages, plus
the renement of dozens
of supporting processes,
are enabling producers
to test and delineate new
unconventional plays. This
has been demonstrated
multiple times. Today
there are over 50
unconventional oil and
natural gas plays across
North America.
Producers and service

providers are working
together to improve perwell capital efciencies,
reducing costs and/or
the time from spudding
to tying-in a new well.
Improvements have been
material, and generating
per-well savings in the
hundreds of thousands
of dollars enables larger
producers to drill more
wells within a given
capital budget.
ANNUAL REPORT 2011
17
ALBERTAS CARDIUM OIL PLAY

THE UNCONVENTIONAL RESOURCE
REVOLUTION AT WORK
Cardium Trend
Edmonton
PEMBINA FIELD
Calgary
9.4
1.5
1,000
38,000
The Grand Old Man of

Exploration, Wallace
Pratt, famously observed that, Where oil is rst
found, in the nal analysis, is in the minds of men. He
meant that the resource already exists but it takes
peoples ingenuity to recognize it is there and extract
it economically. It was people applying and rening
current technologies horizontal wells completed
with multi-stage fracturing who revived a reservoir
discovered nearly 60 years ago but long considered in
terminal decline: the Alberta Cardium.
The Cardium is a case study of the unconventional
resource revolution at work. Now in its fourth full year
as a horizontal development, the Cardium continues
to grow and generate strong economics for dozens
of producing companies. Along with several other
unconventional oil reservoirs, the Cardium has halted
and begun to reverse the seemingly continuous decline
of light/medium-gravity oil production in Alberta and
across western Canada.
Calfrac is a leading service provider in this play,
performing its rst fracturing job on a Cardium
horizontal well in early 2009. Since then the Company
18
BILLION BARRELS
ORIGINAL OIL-IN-PLACE
BILLION BARRELS PRODUCED TO
YEAR-END 2010
HORIZONTAL MULTI-STAGE FRACTURED
WELLS DRILLED THROUGH MID-2011
BARRELS PER DAY OF NEW LIGHT OIL
PRODUCTION FROM HORIZONTAL WELLS
AS OF EARLY 2011
has placed thousands of fracturing intervals, with three
fracturing crews deployed to the play throughout 2011
and into 2012.
The Cardium is a relatively thin yet complex sand, silt
and shale reservoir lying at a depth of 1,200-2,400
metres and extending from the Alberta-Montana
border to northeast B.C. Its core is the gigantic
Pembina eld in west central Alberta, the largest
conventional light oil pool ever discovered in Canada,
with an estimated 9.4 billion barrels of original-oilin-place. Discovered in 1953 by the legendary Arne
Nielsen and several others, the Pembina Cardiums
production peaked in the mid-1970s (along with
overall Alberta conventional oil production). Despite
secondary and tertiary recovery programs, it seemed in
terminal decline.
Yet only 1.5 billion barrels of Cardium oil had been
produced as of year-end 2010, leaving a vast resource
in the ground. Because it is a less permeable or
tighter sandstone, historical development focused on
the pools highest-quality central area. That left large
undeveloped areas as the unconventional resource
revolution turned its attention to the Cardium.
HORIZONTAL
WELLS
85
09
580
10
AVERAGE
METRES PER
HORIZONTAL LEG
800*
11
1,050
09
1,350
10
1,500
11
AVERAGE
FRACTURING STAGES
PER WELL
8
09
13
10
16
11
* Licensed by October
The rst known Cardium horizontal well completed

with multi-stage fracturing was drilled in November
2008. The new play took off by the third quarter of
2009, and excitement spread throughout the industry:
an estimated 100 wells were drilled in 2009, a further
500 in 2010, and by the middle of 2011 the 1,000th
horizontal Cardium well had been drilled. Production
soared from essentially zero as of mid-2009 to an
estimated 38,000 barrels per day of high-quality, light
crude oil (not including solution gas) as of early 2011.
The Cardium horizontal play now extends from the
Lochend eld just outside Calgary to the Kakwa area
near Grande Cache.
Producers have been reporting excellent results,
including 30-day initial production per well averaging
150-175 barrels per day, netbacks of $55-65 per barrel
at US$90 per barrel WTI, net present value exceeding
$4 million per well, and internal rates of return as high
as 100 percent. The play has considerable variability,
however, and not all Cardium well results are this
strong. By mid-year 2011 the industry had invested
a cumulative $3.5 billion and reported proved plus
probable reserve additions of 150 million barrels of
light oil plus solution gas.
The plays variability is motivating producers to
continually seek ways to improve their results through
well-by-well experimentation and collective experience.
Producers have steadily increased the average length
of horizontal well legs and the average number of
fracturing stages (please see graphs), while fracture size
has averaged about 20 tonnes per interval.
Calfrac works closely with its customers to optimize
per-well results and drive ongoing, incremental
improvements in productivity and costs. In addition

to offering modern equipment and experienced
crews, Calfrac helped pioneer slickwater fracturing
in the Cardium. Applied at very high pumping
rates, slickwater creates a longer and more complex
fracturing network in the Cardium, accessing more
reservoir than a conventional gelled-hycrocarbon frac.
The Companys patented, proprietary CleanTech
foamed fracturing uid has also proved highly
successful over numerous wells, while reducing
water usage.
Both approaches have delivered strong productivity,
while driving down costs by up to half-a-million dollars
per well completion. One producer reports that
switching to slickwater has reduced the estimated
payout period for a Cardium horizontal well from
4.7 years to only 1.6 years. Calfrac also applies other
techniques to help its customers reduce costs, such
as adding nitrogen to fracturing uids and recycling/
reusing fracturing uids.
Dozens of producers have reported plans to drill
Cardium wells in 2012, which could set another
record. Combined with several other key plays such
as the Bakken in Saskatchewan, overall tight or
unconventional light to medium-gravity oil production
across western Canada has grown from essentially
zero in 2006 to 180,000 barrels per day by early 2011.
Thanks to these dramatic results, the decades-old
production decline in Alberta and across western
Canada attened in 2010 and reversed into growth
in 2011. Its possible that Cardium horizontal light oil
production alone could approach 100,000 barrels per
day in 2012 or 2013.
ANNUAL REPORT 2011
19
LATIN AMERICA
RECOVERY IN THE MEXICAN OILFIELD SERVICE
MARKET AND STEADY WORK THERE AND IN
ARGENTINA THROUGH 2011 MOVED THIS REGION
BACK TO PROFITABILITY IN THE SECOND HALF.
MEXICO
Reynosa
COLOMBIA
Poza Rica
MEXICO
With its strong business

environment and
investment-friendliness
to foreign operators,
Colombia is seeing
strong growth in its
energy development.
Approximately 85 drilling
rigs were active in 2011,
with an anticipated 130
in 2012. Starting with
its small capital base of
$3-$5 million, Calfrac
foresees opportunity in
being an early entrant.
Mexico City
The easing of budgetary

constraints by Pemex saw
onshore activity picking up
substantially in 2011, with
a positive outlook for 2012.
Mexico has enormous
potential to grow the
natural gas as well as the
oil side through application
of current geological
concepts plus drilling and
completions technologies.
Bogota
COLOMBIA
ARGENTINA
ARGENTINA
Buenos Aires
Catriel
Calfrac is becoming a
top-tier pumping service
provider in this market,
with higher cementing
and coiled tubing
activity in 2011 than in
2010. Calfrac plans to
commence fracturing
operations in Argentina
in 2012.
20
RUSSIA
CALFRAC ACHIEVED CONSISTENT YEAR-OVER-YEAR MARGINS
AMID STEADY ACTIVITY IN 2011.
RUSSIA
Calfrac has carved out
a strong presence in the
coiled tubing market,
which represents almost
half the Companys
Russian revenue base,
along with fracturing
of vertical oil wells.
Calfrac benets from
a very experienced
management team that
thoroughly understands
the market.
Noyabrsk
RUSSIA
Khanty-Mansiysk
Nefteugansk
Western Siberia
Moscow

LONG-TERM POTENTIAL FOR UNCONVENTIONAL DEVELOPMENT

With North American energy development
clearly revolutionized, Calfrac believes there is
expansive longer-term opportunity to apply similar
methodologies worldwide. The key requirements
will be recognition and commitment by the local
jurisdictions, followed by investment, testing,
delineation and de-risking.
Calfrac is solidly positioned to participate, with
established operations in three markets that have
large and undeveloped unconventional resources,
plus conventional elds still relying on historical
technology: Russia, Mexico and Argentina.
Argentina has technically recoverable shale gas
resources estimated at 774 trillion cubic feet, while
Mexico is not far behind at 681 trillion cubic feet
not counting any unconventional oil potential. The
Companys international platform is ready.
In Russia, horizontal wells are still relatively rare,
but there is modest initial activity and the use of
horizontal wells applied to oil targets could begin
to grow. Russias natural gas production from
conventional wells remains prolic for the moment.
In Argentina, important exploratory work has

established the presence of a large unconventional
resource, the Vaca Muerta shale in the Neuquen
Basin. Lying at a depth of 2,800-3,850 metres, the
Vaca Muertas reservoir characteristics have been
likened to the Eagle Ford shale in Texas. Production
of liquids-rich gas and oil has ballooned in the
past several years as the Eagle Fords technical
challenges were studied and overcome. The
Vaca Muerta is an extremely thick shale with
original-oil-in-place estimated at 13.5 billion
barrels over several million acres.
Recent testing by a major international producer
with 20 vertical wells has resulted in strong
initial production of high-quality light oil from
over-pressured zones, plus condensate, natural
gas liquids and natural gas. Other major producers
have exposure to the Vaca Muerta eld and activity
is expected to accelerate.
The Vaca Muerta eld will likely have a slower
development prole than U.S. shales, but the
long-term potential is immense.
ANNUAL REPORT 2011
21
CALFRACS PEOPLE ADVANCING TECHNOLOGY
In 2011 Calfrac further advanced technology-focused

improvements to equipment, processes and chemical
formulations to help its customers achieve productive
wells while using greener materials and reducing the
overall environmental footprint of pressure-pumping
operations. This effort is led by the Companys
Technology and Training Centre in Calgary, Alberta,
complemented by a newly opened facility in
Louisville, Colorado.
The oil and natural gas producing sector is working
aggressively to minimize its fresh water usage, in
part by substituting non-freshwater as hydraulic
fracturing uid. As a company that believes in good
environmental stewardship as part of its corporate
philosophy, Calfrac works continuously to provide
uid blends that overcome the technical challenges of
lower-quality water, as well as uids that reduce water
volume requirements, while retaining high performance
in the wellbore, cost-effectiveness and environmental
friendliness.
TYPICAL FRACTURING FLUID MAKEUP

Friction Reducer - 0.088%
Acid - - - - - - - 0.123%
Water
and Sand 99.51%
Biocide - - - - Corrosion Inhibitor Iron Control - - Crosslinker - - - Breaker - - - - pH Adjusting Agent

Scale Inhibitor - Gelling Agent - - -
Other 0.49%
0.001%
0.002%
0.004%
0.007%
0.01%
0.011%
0.043%
0.056%
KCI - - - - - - - 0.06%
Surfactant - - - - 0.085%
Modied from: Canadian Society
for Unconventional Gas
Calfrac has rolled out new and modied products,

proving its new blends through more realistic tests
that use recycled water provided by the customer.
Producers are using water with higher concentration
of impurities such as salt. While challenging, this is
important to realizing the industrys goal of recycling
ow-back and produced water, as well as sourcing
lower-quality makeup water. This can include treated
municipal wastewater, acidic water from mine tailings,
wastewater from industrial facilities, and non-potable
water from approved underground formations, many
of which contain a high proportion of total dissolved
solids. Calfrac is advancing these technologies and
rening its chemistries on a daily basis, using water of
a quality that would not have been possible even two
years ago.
Groundwater protection during well site operations is
another area of public concern, and Calfrac is striving
to improve the performance of cement blends and
provide improved well design, construction and quality
control to ensure achievement of rigorous standards.
Members of Calfracs technology team work full-time
22
OUR TECHNOLOGIES AT WORK

CHALLENGE
SOLUTION
APPLICATION
Fracture propagation
into water-bearing
strata in the Bakken
oil play
CleanTech
synthetic polymer
water-based
fracturing uid
The Bakken reservoir in Saskatchewan is overlain with the more permeable,

water-bearing Lodgepole Formation. Poorly designed stimulations can result
in fractures propagating into this zone, resulting in excessive water produced
with the desired oil. Calfrac developed a synthetic polymer water-based uid
that can transport the required amount of proppant at reduced pumping
rates and volume. This CleanTech uid results in gentler fractures that
remain within the target reservoir, maximizing the ratio of oil production.
Conceived and tested in 2010, Calfrac anticipates applying this approach to
multiple wells in 2012.
on regulatory, disclosure and compliance issues, and

on communicating Calfracs adherence to technical,
material and process standards in the interests of
public safety and environmental protection.
the Grande Prairie, Alberta district lab. The Companys

technology teams in both countries were bolstered in
2011 and the combined team now numbers over 100.
Calfrac continues to increase capabilities at the

Calgary Technology and Training Centre, its global
headquarters for technology development, testing,
quality control and development of internal processes
and standards. In 2011 Calfrac commissioned its
custom-made ow loop tester for continuous use.
It measures the friction of customer-supplied base
uids with combinations of additives, to ensure that
blends often using lower-quality water perform as
intended. The ow loop can also simulate cold-weather
operations to test uid performance, important for
customers attempting to reduce heating costs during
winter operations by pumping colder uids.
Calfrac works continuously to improve its

environmental management. In 2011 the Company
initiated an environmental communications plan
that includes disclosure of chemicals and materials
used throughout its operations. Calfrac understands
the need for chemical disclosure and provides this
information in a controlled manner.
The Company also commissioned its scale loop or

dynamic tube-block tester, which determines the rate
of scaling of customer-supplied water and the need for
scale inhibitors. Calfrac added the ability to test cores
physical reservoir samples for their ability to regain
permeability following leak-off by various uid blends.
Reecting continued growth and increased scope
of operations in the United States, Calfrac in 2011
expanded its facility in Louisville, Colorado from a
district lab to a regional Technology and Training
Center. The facility is equipped with a high-tech
water lab including a ow-loop tester, scale loop
and an inductively coupled plasma analyzer. The
greater capability has dramatically increased Calfracs
customer response speed, testing and quality control
throughput, and overall ability to provide solutions in
the United States.
Also in 2011 Calfrac added two new district labs, one
each in North Dakota and Pennsylvania, and expanded
Environmental Management
Work is ongoing on Calfracs waste management

and spill prevention systems, with improved controls,
management, mitigation and auditing/inspection. The
Company has a strong record and in 2011 recorded
further reductions in incidents, including fewer waste
management incidents and greatly reduced uid spill
volume despite much greater eld activity. As with
its safety performance, Calfracs ultimate target is to
achieve zero spills and the Company will set specic
objectives, tasks and intermediate goals with a view to
continuous improvement.
In 2011 the Company implemented more specic
procedures for handling waste, and introduced
biodegradable cleaners and natural soaps for cleaning
parts and equipment in its shops, thereby reducing
the volume of non-green waste. Calfrac also operates
recycling programs for tires, batteries, used light
bulbs, printer cartridges, paper and cardboard. Overall
Calfrac seeks to reuse any materials that it can.
For 2012 Calfracs major goal is to develop a standalone environmental management system based on the
ISO 14000 standard, in addition to achieving further
improvements in the key areas of spill prevention,
waste management and compliance.
ANNUAL REPORT 2011
23
PEOPLE LOOKING OUT FOR ONE ANOTHER

INDUSTRY-LEADING SAFETY, TRAINING
AND HEALTH INITIATIVES
Safety
Safety is clearly of great concern to customers,
regulators and shareholders. Along with service,
Calfrac recognizes safety as critical to its success. Safety
also meshes with Calfracs philosophy of People First,
a value it has held since its foundation. As Calfrac
has grown, so has the sophistication of its journey to
improved safety performance.
Calfrac achieved solid improvement in its two key
safety performance indicators in 2011, as indicated
in the accompanying graphs. This came amidst the
Companys rapid expansion, with hundreds of new
employees hired during the year and a near-doubling
of overall employee-hours worked under hazard
exposure. Notably, Calfracs Grand Junction, Colorado
district and the logistics department of the Grande
Prairie, Alberta district each operated for 365 days
without a lost-time incident.
LOST-TIME
INJURY RATE*
0.23
07
0.53
08
0.51
09
0.24
10
0.20
11
TOTAL RECORDABLE
INJURY FREQUENCY*
4.45
07
5.62
08
3.11
09
4.46
10
2.55
11
*Canada and U.S. operating

statistics only
In 2011 Calfracs Health, Safety and Environment

department initiated a strategic review of the
Calfrac Management System, for years the heart of
the Companys approach to safety, with the goal
of meeting the new OHSAS 18000 standard. The
review found that Calfrac has done well in safety, but
can do better. The current focus is to drive further
performance improvement through a mix of new
management tools, improved employee safety training
and continued engagement by senior management.
The Company continues to work towards Goal Zero
no lost-time incidents Company-wide.
In 2011 Calfrac began developing a behaviour-based
safety system (BBS), approved by the Board of
Directors and is being implemented this year. Building
on the Companys past work on materials, conditions
and procedures, BBS focuses on the human factors
and behaviour behind safety incidents. The purpose
is to communicate causes and ways of prevention
throughout the organization to ensure employees are
working in accordance with expected behaviour, while
conducting programs that modify risky behaviour.
Front-line supervisors, having constant interaction with
employees, are key to the success of BBS.
In 2011 Calfrac purchased a customized software
system to report, compile, track, evaluate and
statistically analyze all health, safety, environment,
24
security and service quality incidents. The Calfrac

Incident Management System (CIMS) is being
introduced in all divisions in the rst quarter of 2012.
The roll-out began with the incident reporting module,
to be followed by the audit and compliance module
later this year. CIMS will also be used to complement
the current lagging safety performance indicators
with leading indicators such as numbers of safety
inspections or safety training days. The overarching
goal is to further reduce the incident rate as the
Company continues to grow.
all over the U.S. In Canada OaTS is getting expanded

throughput capability using facilities in Grande Prairie
and Calgary.
In 2011 Calfrac received its renewed, three-year

Certicate of Recognition (COR) in Alberta, the key
regulatory document certifying that a company has
implemented an approved safety system appropriate
to its industry sector.
In late 2011 Calfrac launched a competency project,

proling every level of eld operator, including
differentiators between levels to create clear criteria for
competency development and promotion. This year,
key maintenance positions will be similarly evaluated
and categorized.
The Safety group is also conducting Hazard

Identication (HazIDs) on key equipment lines, studying
the inherent hazards built into a type of equipment
and determining corrective modications to design or
operation. This program began with the Companys
Sandmasters, and this will be rolled out to other
equipment throughout the year.
A major safety goal in 2012 is improved driver
performance. Most of the Companys safety incidents
involve vehicle movement, most of which takes
place on public roads. The CIMS is expected to help
Calfrac analyze driving incidents, strengthening the
Safety teams ability to implement improvement and
prevention measures.
Training
With over 800 new hires in 2011 and signicant hiring
expected in 2012, Calfrac is strengthening its already
thorough training programs. The Orientation and
Training School (OaTS) provides on-boarding to
make new employees job-ready. OaTS is a 15-day
program, primarily aimed at eld workers, covering
critical aspects of working at Calfrac, including
safety training and realistic equipment training on a
combination of working equipment and sophisticated
new simulators.
In 2011 Calfrac opened a training centre in Louisville,
Colorado which in August graduated its rst OaTS
class of 26. By January 2, 2012 U.S. OaTS passed
the milestone of 200 students completing the
program. The facility is now capable of training 50
new employees at a time, with recruits own in from
The Company has installed a $1 million coiled tubing

simulator, customized to Calfracs needs, at its Grande
Prairie training centre. In autumn 2011 Calfrac leased
a local site for hands-on truck driver training in a
controlled setting off public roads. Both measures
improve training effectiveness and increase
public safety.
To strengthen its entire organization Calfrac has

also created a range of training and development
opportunities for higher-level staff. The initial
supervisory training program, delivered through SAIT
Polytechnic, has been highly successful. Supervisors
will also take a new in-house health, safety and
environment training program. Last year Calfrac
launched a formal development program for its
engineering staff and is researching a management
development program with the University of Calgary.
The Company continues to support individual
employees who wish to pursue relevant post-secondary
education.
Health
Calfrac is broadening its occupational health
and wellness focus throughout 2011 and 2012,
implementing measures including:
U
Improved Employee Assistance Program;
Improved hearing protection equipment for shop

and eld employees, plus new audiometric testing
annually;
Improved performance of respiratory protection

through individual t-testing;
Pre-employment medicals for job applicants;
Fatigue management program;
Ergonomics program, kicking off this year with

ergonomics awareness; and
Air quality studies to focus on dust exposure.
In addition to contributing to WCB programs

throughout its North American operations, Calfrac
provides health insurance for all U.S. employees.
ANNUAL REPORT 2011
25
MANAGEMENTS DISCUSSION AND ANALYSIS
This Managements Discussion and Analysis (MD&A) for Calfrac Well Services Ltd. (Calfrac or the Company) has been
prepared by management as of February 27, 2012 and is a review of the nancial condition and results of operations
of the Company based on International Financial Reporting Standards (IFRS). Prior to 2011, the Company prepared its
interim and annual nancial statements in accordance with previous Canadian generally accepted accounting principles
(GAAP). All comparative nancial information in this MD&A has been restated based on IFRS.
The focus of this MD&A is a comparison of the nancial performance for the years ended December 31, 2011 and
2010. Due to the transition to IFRS, this MD&A should be read in conjunction with the audited consolidated nancial
statements for the year ended December 31, 2011 as well as the audited consolidated nancial statements and MD&A
for the year ended December 31, 2010.
Readers should also refer to the Forward-Looking Statements legal advisory at the end of this MD&A. All nancial
amounts and measures presented are expressed in Canadian dollars unless otherwise indicated. The denitions of
certain non-GAAP measures used are included on page 29.
CALFRACS BUSINESS
Calfrac is an independent provider of specialized oileld services in Canada, the United States, Russia, Mexico, Argentina
and Colombia, including hydraulic fracturing, coiled tubing, cementing and other well stimulation services.
The Companys reportable business segments during the year ended December 31, 2011 were as follows:
U The Canadian segment is focused on the provision of fracturing and coiled tubing services to diverse oil and
natural gas exploration and production companies operating in Alberta, northeast British Columbia, Saskatchewan
and southwest Manitoba. The Companys customer base in Canada ranges from large multi-national public
companies to small private companies. At December 31, 2011 Calfrac had combined hydraulic horsepower of
approximately 285,000, 21 coiled tubing units and ve cementing units which are used to support its coiled tubing
operations in Canada.
U The United States segment provides pressure pumping services from operating bases in Colorado, Arkansas,
Pennsylvania and North Dakota. The Company provides fracturing services to a number of oil and natural gas
companies operating in the Piceance Basin of western Colorado, the Uintah Basin of northeast Utah and the
Denver-Julesburg Basin centred in eastern Colorado and extending into southeast Wyoming, including the Niobrara
oil play of northern Colorado. In addition, Calfrac provides fracturing and cementing services to customers operating
in the Marcellus shale play in Pennsylvania and West Virginia as well as oil and natural gas companies operating in the
Fayetteville shale play of Arkansas. In the fourth quarter of 2010, Calfrac commenced fracturing operations for several
oil and natural gas companies in the Bakken oil shale play in North Dakota. At December 31, 2011, the Company
deployed approximately 364,000 hydraulic horsepower and operated nine cementing units and one coiled tubing
unit in its United States segment.
U The Companys Russian segment is focused on providing fracturing and coiled tubing services in Western Siberia. In
2011, the Company operated under a mix of annual and multi-year agreements signed with two of Russias largest
oil producers. At December 31, 2011, the Company operated six coiled tubing units and deployed approximately
45,000 hydraulic horsepower forming ve fracturing spreads in Russia.
26
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CONSOLIDATED HIGHLIGHTS
Years Ended December 31,
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2010
Change
($)
1,537,392
412,828
398,682
9.13
8.98
187,451
4.29
4.22
398,526
1,405,121
450,545
700,569
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Refer to Non-GAAP Measures on page 29 for further information.
ANNUAL REPORT 2011
27
2011 OVERVIEW
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28
NON-GAAP MEASURES
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ANNUAL REPORT 2011
29
FINANCIAL OVERVIEW YEAR ENDED DECEMBER 31, 2011 VERSUS 2010

Canada
2011
2010
Change
($)
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481,062
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($)
607,731
408,657
14,865
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423,522
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7,143
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ANNUAL REPORT 2011
31
Russia
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2010
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($)
116,105
96,950
6,413
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2010
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($)
58,223
54,479
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ANNUAL REPORT 2011
33
Corporate
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2010
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6,260
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(10,163)
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ANNUAL REPORT 2011
35
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SUMMARY OF QUARTERLY RESULTS

Quarters Ended
Mar. 31,
June 30,
Sept. 30,
Dec. 31,
Total
($)
($)
($)
($)
($)
337,408
88,000
96,897
2.23
2.18
269,456
47,937
50,597
1.16
1.14
440,491
126,527
102,042
2.33
2.30
490,037
150,364
149,146
3.40
3.38
1,537,392
412,828
398,682
9.13
8.98
49,078
1.13
1.11
65,777
356,370
556,277
12,071
0.28
0.27
72,047
324,832
568,607
47,381
1.08
1.07
85,130
375,823
632,889
78,921
1.80
1.79
101,008
398,526
700,569
187,451
4.29
4.22
323,962
398,526
700,569
530
29
21
584
29
22
656
29
23
719
29
23
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ANNUAL REPORT 2011
37
Quarters Ended
Mar. 31,
June 30,
Sept. 30,
Dec. 31,
Total
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38
FINANCIAL OVERVIEW THREE MONTHS ENDED DECEMBER 31, 2011 VERSUS 2010
Canada
Three Months Ended December 31,
2011
2010
Change
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237,286
134,681
4,384
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139,065
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41.4%
183,063
1,181
285
30,301
696
21
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ANNUAL REPORT 2011
39
United States
2011
2010
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,iii
ii
"i>}
-E
202,511
137,342
4,877
n{]
x]
]
142,219
]x
60,292
29.8%
88,471
2,200
364
1
30,360
182
9
1.0231
]x
x
]x
]{
q
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"i>}Vi
"i>}Vi
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(1)
(2)

Revenue
,iii v
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Operating Income
"i>}Vii1i`->i>fviv>iv]>Vi>ivniViv
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>}iv>V}L>}iiì>}Vii1i`->i`}iv>iv/iiv>V
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40
Russia
f]iVii>>v>
>ì`
,iii
ii
"i>}
-E
2011
2010
Change
($)
30,737
25,534
1,385
]x
]
]{
26,919
]{
3,818
12.4%
126,819
190
45
54,442
122
6
0.0328
]{x
n]
x
{x
{{]
{
x
{
q
n
q
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(1)
(2)

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Operating Income
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ANNUAL REPORT 2011
41
Latin America
2011
2010
Change
f]iVii>>v>
>ì`
($)
,iii
ii
"i>}
-E
19,503
16,911
1,187
{]{xn
]xx
18,098
n]{{{
1,405
7.2%
25
9
1
0.0750
0.2211
]n
n{
n
xx
x
n
q
n
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f}iii>i>}iiV>}i>i
(1)
(2)

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>v>V>iV>i>}ii>i`>iiivfx`}iv>ivif{x
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iV}i`Viii>>iVììv>iv/Vi>i>vvi>>Li
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Operating Income (Loss)
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iVììv>ivi>iìiV}iii>ì`Vi`>Li/Vi>i
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42
Corporate
2011
2010
Change
f]iVii>>v>
>ì`
($)
ii
"i>}
-E
1,757
11,615
]
]{
13,372
]n
"i>}
v,iii
(13,372)
2.7%
(1)
]n
{
Operating Loss
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>v>V
VVi
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Foreign Exchange Losses or Gains

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Interest
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ANNUAL REPORT 2011
43
Income Tax Expenses

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OUTLOOK
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ANNUAL REPORT 2011
45
/i
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CONTRACTUAL OBLIGATIONS AND CONTINGENCIES

Payment Due by Period
Total
Less than
1 Year
13
Years
45
Years
After
5 Years
($)
"i>}>`w>Vii>i
*V>iL}>
40,593
424,292
]{
{]{{
]x{
]nx
]n
q
/>V>V>L}>
464,885
{]{{
{]
]n
f
>ì`
i`>Li]
>v>V>>V>V>i>iVii>iìVi]ii>`v>Vi>
i>V>iL}>v`V]iVi>`V>>>i
46
Greek Legal Proceedings

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iVivi
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Potential Claim
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L>Li>V>Liii`v>
CRITICAL ACCOUNTING POLICIES AND ESTIMATES

/ E L>i` i
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w>V> >ii > V>}i > vi ii v`] >``> iiiVi >Vi` i ii
V i
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Allowance for Doubtful Accounts Receivable

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Depreciation
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>ivi
>i>ìi
ANNUAL REPORT 2011
47
Financial Instruments
>V>iVìì
>V`>i`L>>Viii>iV>>`V>i>i]>VV
iVi>Li]Vi>Li]}iìL>`w>Vii>iL}>
Fair Values of Financial Assets and Liabilities
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f{x/iv>>ivii>}}iìL>`w>Vii>iL}>>>iiV>}
>i]>ìVLiìn>ì>>V`>i`w>V>>ii
Credit Risk
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>>VViVi>Li>iVii>`>>}>`>`>i
LiV>`Vi`/i
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i
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>i>v\
As at December 31,
2011
2010
($)
i
q`>
q`>
`>
150,079
65,406
18,950
1,921
]x
x]
{]x
]
/>
236,356
f
>ì`
Interest Rate Risk
/i
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ìL/iVi>iìVi>iiiiiivi>ViViV>}iii>iy>}>iìL>
iViLi]>fqf
/i
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niVi
48
Liquidity Risk
/i
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At December 31, 2011
f
>ì`
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(1)
Less than
1 Year
13
Years
46
Years
79
Years
Thereafter
($)
($)
($)
($)
($)
($)
2,418
2,418
149,740
149,740
769,208
36,725
105,101
103,945
523,437
Total
Less than
1 Year
13
Years
46
Years
79
Years
Thereafter
($)
116,315
795,311
]x
{]n
{]x
]nn
x{x]{
Principal and interest.
f
>ì`
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(1)
Total
Foreign Exchange Risk
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ANNUAL REPORT 2011
49
V>}ii>ivvi}ViVii
>V`>i`w>V>iV>]>VViVi>Li]
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f
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Vi>i>iv,>Li
ìVi>i>iviV>i
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Impact to
Net Income
Impact to Other
Comprehensive Income
($)
($)
1,958
(1,958)
Impact to
Net Income
f
]{
]{
q
q
q
q
1,408
(1,408)
(189)
189
(127)
127
Impact to Other
x
x
Goodwill
ìii>iViviV>iViiiv>>ivi>i>Vi`>`>i`/i
>>ii}`>i>>>`>V>iì>Vi>}i}i]Viiii
iiii
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Income Taxes
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50
Revenue Recognition
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Stock-Based Compensation
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Functional Currency
>>}ii>i`}iìi}ivV>ViVvvi}L`>i`}i>ì
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Cash-Generating Units
/i ìi> v V>}ii>} L>i` >>}ii `}i i}>` >i` ii]
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RELATED-PARTY TRANSACTIONS
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51
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53
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55
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ANNUAL REPORT 2011
57
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59
Seasonality
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ANNUAL REPORT 2011
61
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ANNUAL REPORT 2011
63
Demand for Oil and Natural Gas

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64
MANAGEMENTS LETTER
To the Shareholders of Calfrac Well Services Ltd.

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ANNUAL REPORT 2011
65
AUDITORS LETTER
To the Shareholders of Calfrac Well Services Ltd.

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66
CONSOLIDATED BALANCE SHEETS
As at
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December 31,
2011
December 31,
2010
January 1,
2010
($)
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313,898
1,340
94,344
10,148
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552,785
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825,504
10,523
16,309
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2,309
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Commitments (note 15)
Contingencies (note 24)
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Ronald P. Mathison
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Gregory S. Fletcher
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ANNUAL REPORT 2011
67
CONSOLIDATED STATEMENTS OF OPERATIONS
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2011
2010
($)
1,537,392
1,134,864
x]
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402,528
77,157
14,234
(88)
35,489
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126,792
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275,736
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87,037
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88,579
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187,157
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4.22
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68
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
2011
2010
($)

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5,713
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192,870
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193,037
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192,870
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ANNUAL REPORT 2011
69
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
Equity Attributable to the Shareholders of Calfrac

Loan
Receivable
Accumulated
for Purchase
Other
of Common Comprehensive
Shares Income (Loss)
Total
NonControlling
Interest
Total
Equity
($)
($)
($)
($)
(4,252)
229,865
502,071
(39)
502,032
187,451
187,451
(294)
187,157
5,586
5,586
127
5,713
5,586
187,451
193,037
(167)
192,870
8,500
8,500
8,500
9,656
(2,109)
7,547
7,547
(105)
105
2,206
2,206
2,206
(1,224)
(3,702)
(4,926)
(4,926)
(7,660)
(7,660)
(7,660)
Balance December 31, 2011 271,817
24,170
(2,500)
1,334
405,954
700,775
(206)
700,569
251,282
10,844
187,801
449,927
68
449,995
49,502
49,502
(84)
49,418
(4,252)
(4,252)
(23)
(4,275)
(4,252)
49,502
45,250
(107)
45,143
7,096
7,096
7,096
12,130
(2,472)
9,658
9,658
78
78
78
Loan receivable for purchase

of common shares (note 20)
(2,500)
Acquisitions (note 17)
(2,024)
(2,024)
(2,024)
Dividends
(5,414)
(5,414)
(5,414)
Balance December 31, 2010 263,490
15,468
(2,500)
(4,252)
229,865
502,071
(39)
502,032
(C$000s)
Balance January 1, 2011

Share
Capital
Contributed
Surplus
Retained
Earnings
($)
($)
($)
($)
263,490
15,468
(2,500)
Other comprehensive income:

Cumulative translation
adjustment
Comprehensive income
for the period
Stock options:
Stock-based compensation
recognized
Proceeds from issuance
of shares
Shares cancelled (note 12)
Denison Plan of
Arrangement (note 12)
Shares purchased under
Normal Course
Issuer Bid (note 11)
Dividends
Balance January 1, 2010

Other comprehensive income:
Cumulative translation
adjustment
Comprehensive income
for the period
Stock options:
Stock-based compensation
recognized
Proceeds from issuance
of shares
Shares issued for compensation
70
(2,500)
(2,500)
CONSOLIDATED STATEMENTS OF CASH FLOWS
CASH FLOWS PROVIDED BY (USED IN)

OPERATING ACTIVITIES
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FINANCING ACTIVITIES
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2011
2010
($)
187,157
{]{n
87,457
8,500
11,945
(88)
35,489
87,037
(35,738)
(137,601)
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244,158
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2,309
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(7,882)
(1,335)
2,206
7,547
(7,660)
(4,926)
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3,644
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Cash ows provided by (used in) nancing activities
Effect of exchange rate changes on cash and cash equivalents
2,618
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Cash and cash equivalents, beginning of period
(83,549)
216,604
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Cash and cash equivalents, end of period
133,055
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ANNUAL REPORT 2011
71
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
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ANNUAL REPORT 2011
73
iv)
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ANNUAL REPORT 2011
75
(g) Inventory
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ANNUAL REPORT 2011
77
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ANNUAL REPORT 2011
79
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ANNUAL REPORT 2011
81
(iii) Reconciliation of Comprehensive Income as Previously Reported Under Canadian GAAP to IFRS
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49,418
Earnings per share

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1.15
1.13
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(4,275)
Comprehensive income for the period
{n]n
45,143
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45,250
(107)
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45,143
w
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-i}]}ii>>`>`>i
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ii
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82
59,809
339
(941)
48,785
(iv) Adjustments to the Statement of Cash Flows
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CASH FLOWS PROVIDED BY (USED IN)

OPERATING ACTIVITIES
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Canadian
GAAP
Effect of
Transition to
IFRS
IFRS
($)
x]n
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49,418
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77,429
7,174
(1,897)
(941)
48,785
12,108
(39,933)
(23,795)
Cash ows provided by operating activities
]{{
128,348
FINANCING ACTIVITIES
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q
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473,671
(288,913)
(1,217)
(2,500)
9,658
(5,414)
Cash ows provided by nancing activities
nx]nx
185,285
INVESTING ACTIVITIES
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q
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(118,899)
5,243
(2,024)
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x]
(115,680)
Effect of exchange rate changes on cash and cash equivalents
]x
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(6,419)
Increase in cash and cash equivalents

Cash and cash equivalents, beginning of period
]x{
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q
q
191,534
25,070
Cash and cash equivalents, end of period
]{
216,604
ANNUAL REPORT 2011
83
(v)
Explanatory Notes on the Transition to IFRS
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Note
December 31,
2010
January 1,
2010
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As at
Retained earnings as reported under IFRS
229,865
187,801
ANNUAL REPORT 2011
85
4. INVENTORY
December 31,
2011
December 31,
2010
January 1,
2010
($)
->iii>
iV>
->`>`>
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49,243
25,844
7,736
10,270
1,251
n]x
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n]n{
]
n
n]
]
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]{
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94,344
xn]
{]n
As at
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5. PROPERTY, PLANT AND EQUIPMENT

As at January 1, 2010
Cost
Accumulated
Depreciation
Net Book
Value
iìVV
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iìiìw>Vii>i
`}
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]
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n]{
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Opening Net
Book Value
Additions
Disposals
Depreciation
for the Period
Exchange
Differences
Closing Net
Book Value
iìVV
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*Additions for assets under construction are net of transfers into the other categories of property, plant and equipment, when they become available for use.
86
As at December 31, 2010
Cost
Accumulated
Depreciation
Net Book
Value
iìVV
iìi
iìiìw>Vii>i
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Opening Net
Book Value
Additions
($)
($)
iìVV
iìi
iìiì
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65,682
456,560
67,053*
243,106
Depreciation
Disposals for the Period
($)
($)
Exchange
Differences
Closing Net
Book Value
($)
($)
(2,578)
(81,369)
3,106
132,735
618,825
4,292
31,180
23,080
2,548
7,810
(78)
(32)
(845)
(634)
(2,021)
444
345
3,580
32,119
30,390
4,405
1,713
(23)
(1,710)
(54)
4,331
2,262
1,298
1,380
352
(1)
(1,188)
(535)
(18)
(26)
2,435
1,089
588,759
323,962
(3,557)
(87,457)
3,797
825,504
*Additions for assets under construction are net of transfers into the other categories of property, plant and equipment, when they become available for use.
ANNUAL REPORT 2011
87
iìVV
iìi
iìiìw>Vii>i
`}
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-]vwVi>ìii
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i>iìi

Cost
Accumulated
Depreciation
Net Book
Value
($)
($)
($)
132,735
953,458
5,051
41,296
30,390
12,013
10,215
3,395
(334,633)
(1,471)
(9,177)
(7,682)
(7,780)
(2,306)
132,735
618,825
3,580
32,119
30,390
4,331
2,435
1,089
1,188,553
(363,049)
825,504
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6. GOODWILL
ìii`v>i>i>>>]i}>ìviiii>`V>v>i]
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7. BANK LOAN
/i
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88
8. LONG-TERM DEBT
As at
1-f{x]iiViììiViLi]]
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December 31,
2011
December 31,
2010
January 1,
2010
($)
457,650
{{]x
{]
{]nx
n]n
]n
(7,943)
449,707
{{]
x]
f]ii`Lii}i>v>V]iVi`
L
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L
>>`>>`1->ivi
>
{]
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(1,359)
nn
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(1,359)
nn
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xx]i>>Li>fxiV>
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1-f]x}>}i>}>nLi>}ii
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2,399
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274

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451,021
(476)
{{n]
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450,545
{{]{
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i}>}iL}>]i>>ì}i>v>Vi>>iiv>>i>iii>i
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iL>i`>]i>i>}ivixiViixiVi ",L>i`>>`
>iVVi>ViL>i`>i>}ii>}ivxiVixiVi>LiiiiVi
L>i>ivV>/iv>Vi>>LiLivi>`>iv-iiLi]x]>}i
v>Viiì`/i>`>i>Liiiì`Liii>>i
>ii>ìì
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>>>i>Li>V>i>iL>ViVi>i`
v>V>i>iìi
ANNUAL REPORT 2011
89
ii}iìLV`}i>>vìL>ViV>`ìL`Vvii>iì`
iViLi]>f]i>iììViLi]qf{n]xn
/i1-f{]iiViì>iViLi]iii>`viL>x]>VVi`
ii>`V>iv1-fx>ìf]v}>}iL}>>iViLi]iii>`v
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/i>}}i}>iViì`V>i>iiiì>Vviiwii>>i>v\
Amount
($)
{
x
/ii>vi
476
508
367
375
384
458,213
460,323
/i
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/iii>iL>iì>>iivVi>L>Vi>i>iv>>ii}i
v>V>`ìv>V>ii>>Li-iiLi]x]>}iv>Viiì`/i
i>`ViViivV>i>i>Liiiì`Lii>i>V>i>>i
>
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>>`>>`1->ivi
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9. FINANCE LEASE OBLIGATIONS

As at
>Vii>iV>VLi>}ii>>i>}}
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iVi`LVi>ii
i\iivV>V>>i

i\Vivw>Vii>iL}>
December 31,
2011
December 31,
2010
January 1,
2010
($)
2,579
(105)
{]
x]x
x{
2,474
(1,734)
]n
]{
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]
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740
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`vviivVi>iv>i>i
90
/ii>i>iiiì>Vviii>>i>v\
Amount
($)
1,827
752

i\iivV>V>>i
2,579
(105)
2,474
10. CAPITAL STOCK

i`V>>VVv>i`LivV>i
Year Ended
December 31, 2011
Continuity of Common Shares

Year Ended
December 31, 2010
Shares
Amount
Shares
Amount
(#)
(C$000s)
>>Vi]Li}}vi`
iìiVivV
i`vVi>iV
->iV>Viiì
*V>i`ì >
ii `
43,488,099
434,250
(16,476)
(196,800)
263,490
9,656
(105)
(1,224)
{]nn]nn
xn]nnx
]{
q
q
x]n
]
n
q
q
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43,709,073
271,817
{]{nn]
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>
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ii}i`>i>}iViviV>i>ìì/-V V>}i`}i>wi>`}
`>iVi`}iii>`ì`>i`>i
11. NORMAL COURSE ISSUER BID

/i
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ANNUAL REPORT 2011
91
12. CONTRIBUTED SURPLUS
Continuity of Contributed Surplus
Year Ended
December 31,
2011
Year Ended
December 31,
2010
($)
>>Vi]Li}}vi`
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->iV>Vii`
i*>v>}ii
15,468
8,500
(2,109)
105
2,206
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q
q
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24,170
x]{n
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13. STOCK-BASED COMPENSATION

(a) Stock Options
2011
2010
Options
Average
Exercise
Price
Options
Average
Exercise
Price
(#)
(C$)
>>Vi]>>
>i``}ii`
iVi`vV>i
vii`
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2,583,825
1,179,800
(434,250)
(130,900)
17.50
34.09
17.38
25.51
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x
{
nn
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3,198,475
23.31
]xn]nx
Continuity of Stock Options

92
Options Outstanding
Options Exercisable
Exercise Price Per Option
Number of
Options
Weighted
Average
Remaining
Life
Weighted
Average
Exercise
Price
f nx q f n
f qf
f q f
f qf {
f {{qf n
574,100
1,037,575
530,125
88,000
968,675
1.97
2.58
2.13
4.41
4.00
$
$
$
$
$
9.01
19.75
23.69
33.66
34.42
178,875
222,950
230,250
$
$
$
9.74
18.76
22.96
f nxqf n
3,198,475
2.88
23.31
632,075
17.74
Number of
Options
Weighted
Average
Exercise
Price
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iiViìVii`]}iii>vVi>iiiiiVì`VLi`
]>i>`ì`V>>V
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iv>>ivi`>iv}>\
2011
3.5
49.9%
2.0%
$ 0.15
iVi`vii>
iVi`>
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iVi``ì`
2010
x
{
iVi`>i>i`LVì}V>>i>}i>iVi>
(b) Stock Units

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i>iii}i`]L>iìVi>iVivi
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iViLi]qf]{/>Vìì}]}ii>>`>`>iiii
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>>iV>iìi>i}ii>iììViLi]]f]v
Vi>iii>iV}i`viv>ViVi>iììViLi]qf]/
>Vìì}]}ii>>`>`>iiii
>}i i
> L}> ì i ìvii` >` iv>Vi V >] V >i v
yV>i>i>ivi
>>iì}iiVi>}>]>iiVì`
>i>i>iV>}i
ANNUAL REPORT 2011
93
(c) Stock
}]>ivwVivi
>>i`]{>ivi>>}>v>>ivfn>ii
v>Vi/i>vi`>vivwViVi>>`>VV`}]>>Vìì}]
}ii>>`>`>iiii
14. INCOME TAXES

/iVivVi>iii>i\
2011
2010
($)
iVi>iiiiVi
ivii`Vi>iii
1,542
87,037
]
]n
88,579
/iVivìvii`Vi>iii>i\
2011
2010
($)
Vi>iìVi>iìvii`>>i
Vi>iìVi>iìvii`>>Li
i}iV>}ii>i`V>}iìvii`>L>>Vi
15,870
74,051
(2,884)
]{{
n]
87,037
]n
/i v Vi >i i V`>i` >ii v i> >i v i > > ` Li

Vi`L>}iiiVi`>>ivxiViqniViViLiviVi>i
/iV>}iiV>i>>iì>V>}ii
>>`>L>ii>Vi`>>i
/i>i>v`vviiViLiiiViiVi`Vi>iii>ì>iVì`>i\
2011
2010
($)
275,736
26.50
x]x
n
iìiVi`Vi>iii
Vi>iìVi>iVi>ii}v\
ì`VLiiii>>LiVi
i}>>i>ìvi}`vviiVi
/>>vvi}L`>i
i}`}>i
ivii`Vi>>ìv>>ii`V
"i
73,070
]x
4,425
10,662
(393)
361
(2,034)
2,488
x{
]x{
n
]x{
{
88,579
fiViiVi>}i
ViLiviVi>
Vi>>i
94
/iv}>Li>iiVi>ivviVvi>`vviiVi>}iiiìvii`Vi>
>i>L>iViLi\
As at
December 31,
2011
December 31,
2010
January 1,
2010
($)
*i]>>ìi
iV>i`v>`
>>`>i>iii
,ii>V>`ìiiiii
i>i>Vi`
>Vii>iL}>
ivii`Vi>>>Li
ivii`w>V}>`>i>ViV
"i
(139,593)
39,616
8,954
1,422
619
547
2,611
3,899
]x
]
n]x
]n
q
x
{n
{]
]x
x]
x]
n]
]n
n
]x
{
x
x
(81,925)
i ìvii` Vi >i > iViLi ] >i iiii` L ìvii` Vi > >i v f]

iViLi ] q f] >> ] q f{] i ìvii` Vi > >Li v fn]{
iViLi]qf{]n>>]qfx]{xV>v>ìi>>`>i>}}v
iViLi]iViLi]
/iiiìvii`Vi>>i>Li`}ii>>v\
2011
2010
($)
>>Vi]Li}}vi`
>}i`ViììV`>i`>iivi>\
*i]>>ìi
iV>i`v>`

>>`>i>iii
,ii>V>`ìiiiii
i>i>Vi`
>Vii>iL}>
ivii`Vi>>>Li
ivii`w>V}>`>i>ViV
"i
7,996
(67,076)
(21,718)
363
(401)
(334)
66
(1,656)
835
]x
{]x
{x{
q
n
{
{
{]
]{
>>Vi]i`vi`
(81,925)
ANNUAL REPORT 2011
95
/i>>vìvii`>>i>`ìvii`>>Li>v\
2011
2010
($)
14,513
1,796
]
x]nxn
ivii`>>Li\
ivii`>>LLiiVii`>vii>
ivii`>>LLiiVii`
(98,234)
{]n
q
ivii`>>i>Li]i
(81,925)
ivii`>>i\
ivii`>>iLiiVii`>vii>
ivii`>>iLiiVii`
/i
>>>ivVìvii`>>iiV}i`>v\
iV>>>ivVìvii`>>i>LiiiV}i`
*i>>Liiw>xqn
2011
2010
($)
93,836
24,867
{]
]xx
/iLiiwviV>>>iLiiV}i`>ììii>i
>i>>Li
V>>}>
>}i>i`LL`>i>i`fx]x>iViLi]iViLi]qfx]*
>Lii>ìv`}>ì>i>`LiVi>>Lii`Lviii>}
iii>iiVi`>iii>}Li`Liìviii>Livi
15. COMMITMENTS
/i
> > i>i Vi v ii] ii] iVi >` >}i v>Vi ì >}iii
i}>}}i}>i>iiiii>viViLi]]>v\
(C$000s)
($)
{
x
17,033
12,497
7,017
3,202
581
262
40,592
i i> iì` iViLi ] ] f] > iV}i` > > iii i V`>i` >ii v
i>iiVvi>}i>ii>iììViLi]qf]
/i
>>L}>viV>iv`V]iVi>`V>>>iiiiiii>>
>>>if{{]
96
16. FINANCIAL INSTRUMENTS

/i
> w>V> i Vì` i V`>i` L>>Vi ii >i Vi` v V> >` V>
i>i] >VV iVi>Li] >VV >>Li >` >VVi` >Li] L> >] }i ìL >` w>Vi
i>iL}>
(a) Fair Values of Financial Assets and Liabilities

/i v> >i v w>V> i Vì` i V`>i` L>>Vi ii] iVi }i ìL]
>>i i V>} > ì i i > v i i /i v> >i v
i i iVi` i L>i` i V} >i Vi > iViLi ] > f{{] Livi
ì`Vv>i`ìL>ViViViLi]qf{x]n/iV>}>ivii
iVi` i > iViLi ] > f{x]x Livi ì`V v >i` ìL >Vi V
iViLi]qf{x]n/iv>>ivii>}}iìL>`w>Vii>iL}>
>>iiV>}>i]>ìVLiìn>`
(b) Credit Risk

-L>>>vi
>>VViVi>Li>iVii>`>>}>`>`
>iLiV>`Vi`/i
>}>i}Vi`Vi>`>VVi
V`} i i v Vi` >` >>] >` L } i w>V> V` v Vi
iViLi]]i
>>`>v`Lv>VViVi>Livf]{{i>i`>>
Vi>wi`v
>iiV}ì1-L>V>niViLi]qf]x
*>iiVi>LV>`V>Vii]>`>`>ii>i`>v
Vi `>i /i
> >}i` >ì >VV iVi>Li > iViLi ] >` ] iV`} >
>i`>VV]>i>v\
As at December 31,
2011
2010
($)
i
q`>
q`>
`>
150,079
65,406
18,950
1,921
]x
x]
{]x
]
/>
236,356
(c) Interest Rate Risk

/i
>ii`V>yìyV>}ii>iiiìVi>y>}>i
ìL/iVi>iìVi>iiiiiivi>ViViV>}iii>iy>}>iìL
>iViLi]>fiViLi]qf
/i
> ivviVi ii >i v i i> iì` iViLi ] > n iVi i> iì`
iViLi]qniVi
ANNUAL REPORT 2011
97
(d) Liquidity Risk

/i
>V>Viv`>ii>}V>y]i}iVi`v>Vi>ì>i
i/i
>ìi>vwViv`Vii>i`V>>>`
iiiì/i
>}>i`L>>}>ì>iL>}>`Vi`v>Vi>`
}viV>>`>V>V>y/i
>>>>`V>>i`}>``ì`
>>`
/i}vV>yi>}w>V>>Li>iiì>LiLi\
Total
Less than
1 Year
13
Years
46
Years
79
Years
Thereafter
($)
($)
($)
($)
($)
($)
>>
2,418
VV>>Li>`
>VVi`>Li
149,740
}iìL>`
w>Vii>iL}> 769,208
2,418
149,740
36,725
105,101
103,945
523,437
Total
Less than
1 Year
13
Years
46
Years
79
Years
Thereafter
($)
116,315
795,311
]x
{]n
{]x
]nn
x{x]{
(1)
VV>>Li>`
>VVi`>Li
}iìL>`w>Vi
i>iL}>
(1)
(e) Foreign Exchange Risk

/i
> ii` vi} iV>}i >V>i` vi} i> ii >i] >Li]
iii>`V>iì>i`ViVii>
>>`>`>/iiViViVìi1-
`>>`,>Li>i>iiV>i]}iii>`
L>i/i
>>
iiì>Vvvi}ViVyV>
>>`>i>V>iv`V>`
V>> >i v i` i 1- >``] i
> i iVi` i >` i>i` ii
iii>iì>i`1-`>i>vìL>ìiiii`
>>`>`>>i
yV>i1-f
fiV>}i>iii]>>}>i`Li
>>Li1-
i>>ì>iìiii>
98
V>}i i >i v vi} ViVi i

> V`>i` w>V> i V>] >VV
iVi>Li]>VV>>Li>`ìL`>i>ìv}>ViVi>ìViii
Vi\
ìVi>i>iv1-`>
Vi>i>iv1-`>
ìVi>i>iv,>Li
Vi>i>iv,>Li
ìVi>i>iviV>i
Vi>i>iviV>i
ìVi>i>iv1-`>
Vi>i>iv1-`>
ìVi>i>iv,>Li
Vi>i>iv,>Li
ìVi>i>iviV>i
Vi>i>iviV>i
Increase (Decrease)
to Net Income
Increase
(Decrease) to Other
($)
($)
1,958
(1,958)
Increase (Decrease)
to Net Income
f
1,408
(1,408)
(189)
189
(127)
127
Increase
(Decrease) to Other
]{
]{
q
q
q
q
x
x
17. ACQUISITIONS
>Vi
>>ViìV}iiivL`>ivf]{/i>V
Vìi`>V>>>>V>`]>VV`}]i>>V>}iì>iì>}
/>>V>>>ìiV>>i>,->``Viì
ANNUAL REPORT 2011
99
18. SUPPLEMENTAL CASH FLOW INFORMATION
>}iV>i>}>i>`>Livii>iììViLi]>`>i>v\
2011
2010
($)
VViVi>Li
Vi>iiVi>Li
i
*i>ìii>`ì
VV>>Li>`>VVi`>Li
"i}i>Li
(136,246)
1,944
(36,123)
(1,769)
34,881
(288)
{]n
]x{
x]n
]n
]x
{
(137,601)
]x
(402)
Vi>i>ìVii`
19. CAPITAL STRUCTURE

/i
>V>>ViVi`v>iìi>`}iìL/i
>LiVi
>>}}V>>>i>>yiL>iiii
>>VViV>>>i>`>L
iiw>V>L}>]>`w>Vi}]V`}i>>V
/i
> >>}i V>> Vi >` >i >ì } v V>}} >i V` >` i
i]ii>}V}>viVVV>>iviwiìViiV/>>>`
V>>Vi]i
>>iiV>>i`}]>``ì`>`>iì]ii>i
iìLi>i}ìL
/i
>V>>Vi>`w>V}iii}]>}i>>ii]i>v
}iìLV>y
>yviV>V>i`>>}L>>`ìwi`Li
2011
2010
($)
iVivii`
ì`viv}\
iiV>
>vìL>ViV>`ìL`V
-VL>i`Vi>
1i>i`vi}iV>}ii}>
>`>vi]>>ìi
ivii`Vi>i
187,157
{]{n
>y
383,215
87,457
1,207
8,500
11,945
(88)
87,037
]{
]{{
]{
]n
{
]n
xx]x
/i>v}iìLV>yì>i>>`>ìì>}ì,->`>LiV>>Li
>i>ii`LiV>i
100
iViLi]]i}iìLV>y>>n\iViLi]qn\V>V>i`>
>}L>>v\
As at
f]iVi>
}iìLiv>i`ìL>ViV>`
ìL`Vin
>y
}iìLV>y>
December 31,
2011
December 31,
2010
($)
451,021
383,215
{{n]
xx]x
1.18:1
n\
/i
>LiVVi>w>V>Vi>i>}}V>>]ii>}i>ì}ii>vV>
yiiVvi>}>ì}Vi`v>Vi/iiVi>>ii`>L>/i
>V>Vi>VVi>
/i
>V>>>>}iiLiVi]i>>i>i>`>}i>ii>i`V>}iìi
iìii`
20. RELATED-PARTY TRANSACTIONS

iVi`L>ìVvi
>ì}}i>i>i>ìVii
>/i
>}}i}>iviiV>}i`vViVi`}iifqfn]>i>i`>iiV>}i>
iLi]i
>>i`>ivwVif]xV>iV>ivi
>i
/ -V V>}i /i > > iVi L> >` iVi` L i V >i >Vi`
i > Vii` v > i v wi i> >` Li> ii > i >i v x iVi i >] >>Li
>> /i >i >i v i >i > iVi i > > >>i f]{ > > iViLi ]
iViLi ] q f] >VV`>Vi >V>Li >VV} >`>` i}>`} >i V>i >
iVi>Li]>V>wi`>>i`Vv>iìiìiVi>i>``]i
>iV>iì>Vii`>iVìi`Li]L>Vi]V
/i
>i>iVi>iiv>iVi`L>ìVvi
>/i>}}i}>ii
V>}i`viiii`}>fqfx]>i>i`>iiV>}i>
21. PRESENTATION OF EXPENSES

/i
>iiiiiiV`>i`>iivi>}ivVviiii`
iiLiii>iV>wi`>VV`}ivVi
>/i`>iiVi`>i
Vi>}iì
>LiVi/i
>vVì,->i>v\
U i>>`
U i}]}ii>>`>`>i
v>iVììVi>}VV`}`VV]ìV>L>ìi>`V>`ìiV>
>ii>}i>
ANNUAL REPORT 2011
101
``>v>i>iviii>v\
*`VV
iiV>
>vìL>ViV>`ìL`V
iiLiiwiiii
2011
2010
($)
401,522
87,457
1,207
310,085
{]{
]{
]{{
]{
22. EMPLOYEE BENEFITS EXPENSE

ii Liiw Vì > v v Vì> }i L i
> iV>}i v iVi iìi`
Liii
2011
2010
($)
->>i>ìiiiLiiw
*iiLiiw}iii>}>
->iL>i`>i
/i>Liiw
295,525
2,914
10,836
810
{]
]
]
x
310,085
]{
23. COMPENSATION OF KEY MANAGEMENT

i>>}iiìwi`>i
> >`viV]
iv iVi"vwVi]
iv>V>"vwVi]>`
iv"i>}"vwVi
i>>>ìì>>}iiVì`\
2011
2010
($)
->>i]vii>ìLiiw
*iiLiiw}iii>}>
->iL>i`>i
2,732
32
2,326
]
n
{]{n
5,090
]x{
102
24. CONTINGENCIES
Greek Operations
>ivi>V>`>>}>>i{]i
>>i`Vi>i}>L}>
i>}iiii>
n] i}i> *ii
> * *
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iìii`
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v>Vi>ii>
>>`>`>>>i>i>>}>>if]]n{iiiiiìi
viiii/ìV>>i>iìi
vi>]V>iì>i>>`
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v>Vi/i>`}vviiiiwi`
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viiVi]V>i>`>]/i-ii
viiVi>i`
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vi>viVì>vi>v>>`>Li
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vi>iiVi` *
>i>>ì>iì>>`v
ii
v>Vi]VìV>vi>i>iì-ii
viiVi/i>i
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>ì
>
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i *
>L>i`>`V>ìi} *
L>Vi>iiv>iiVv
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}iiLi>>Li
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V>i>i>`Lii
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i>vv>i}>ii>>>VVii`]>ì>vv>>>ì`Vi>v>``>v
>>if{xi]ii/i>i>vìV>i>ì]]>Vi>
>``>V>Li>vv>>i>`ìViiVvii>}>Liiiìi`V>VVii`
*
>i>vi>V>>`>>>VViiì>``>V>vi>vv]i}>>>`v
>>ifxi]ii
i i v i > ii} >>i >i> v fn n i ii] > i>` L i -ii
viiVi iLi]]>V`>ii>i>vi>vv>ìi`viVV>i>ì
iiViii>}v>i>>i>`-iiLi]>ììViìi`ìV>i`
Vi>}>i>i>>`LiìiVV>i>/ii>}>V]Vii}>>i>i>
v>>if{iii]>Viì`Lii>`Liviii
v>Vi
"VLi]]L>>ì` iLin]>>iviiiiiV" iLin]
ii>}vV>>>}>i`>{]
/i > >}}i}>i ii >>Li ì i V> i` >Li >i` f{]xx ] i > >
iViLi]
ANNUAL REPORT 2011
103
/i
>>}i`>>}iii>iii>>``VV>>V>>}ii`
>}>>iiViviiiì>vviViVi>}iiivVì>V`}
>vìiiVviiii}>V>ìVLi`>Li/iVivi>>VVi>i`
LV>}iiiLiVVi>VìViì]ivwivVi
>V
>>}iivii>L>LiiiLi>yviVViVivi
>
iiiiV>
ii]>LiiiVììiV`>i`w>V>>ii
Potential Claim
/i
>>>i>>Li>i`>V>V>V>]i>vVi>i`Li>>i
f]{>>vi>L>>>}iiVìL>Li>iV>Liii`v>vi
>
25. SEGMENTED INFORMATION

/i
> >Vi >i V`Vi` v }i}>V i}i\
>>`>] i 1i` ->i] ,> >` >
iV>>Vi>ii>i``>Vv>V}]Vi`L}]Vii}>ìiViiVi
vi>`>>}>`
/iLii}iiiiìyiVi
>>>}iiVi>ì>>>}iiii
Liiv>Vi/i
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Canada United States
Russia
Latin America
Corporate
Consolidated
($)
($)
($)
($)
($)
($)

,iii
"i>}Vi
-i}ii`>i
>>iiì
`
755,333
258,362
710,143
139,459
7,236
607,731
184,209
534,294
170,956
2,308
116,105
12,742
118,197
10,601
979
58,223
12
42,487
2,946
(42,497)
1,537,392
412,828
1,405,121
323,962
10,523
9i> ììViLi]

,iii
"i>}Vi
-i}ii`>i
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x]{
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{{]x
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q
q
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q
q
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(1)
Operating income (loss) is dened as net income (loss) before depreciation, interest, foreign exchange gains or losses, gains or losses on disposal of
property, plant and equipment, and income taxes.
104
2011
2010
($)
iVi
``L>Vì`V\
iiV>
ii
i}iV>}ii
>`>vV>>>i
Vi>i
187,157
{]{n
"i>}Vi
412,828
87,457
35,489
14,234
(88)
88,579
]{n
{n]nx
{
]
nx]
"i>}Viì>i>>`>ìì>}ì,->`>LiV>>Li>i>i
i`LiV>i
/iv}>LiivV`>iìiiLiVii\
2011
2010
($)
>V}
i`L}
ii}
"i
1,406,444
98,639
21,834
10,475
nn]n
]x
]x
]{
1,537,392
x]
/i
>ViL>iVvi>`>>}>i>>``VV>i]>}}
v>}i>>LV>ì`V>i>>iV>i >`}i
>L>`
ViL>i]
>v>V>v}wV>Vi>ViVi>VVi`v>>iiVivi
>iiivii>iììViLi]i>iììViLi]qv}wV>Vi

v >>i iVi >` v V Vi] i Vi >VVi` v >>i iVi v i
>iiivii>iììViLi]i>iììViLi]qniVi
ANNUAL REPORT 2011
105
HISTORICAL REVIEW
f]iVii>i>``>>
Financial Results
,iii
"i>}Vi
/
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qì`
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>iìv
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*i>i qL>V

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i>i
/>>i
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Common Share Data

>i>`}
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7i}i`>i>}iì`
->i>`}
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f

if
6i
Operating (end of year)
*}ii

i`L}

ii}
(1)
(2)
2011
2010
2009
2008
($)
1,537,392
412,828
398,682
9.13
8.98
x]
nx]
nx]n
{
{x
x]x
]x
n]x
x{]
n]{
n]x
{]
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n
n
187,451
4.29
4.22
323,962
{]x
x
n]n
x]x
{
{
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{
{
n{]n
n]xn
552,785
1,405,121
398,526
450,545
700,569
{{]{
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{]
{{]{
x]
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n{]n
n]{
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{x]
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x]n
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x]x
43,709
44,393
38.65
20.52
28.50
42,096
{]{nn
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xnx
{
{{
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{]n
n]{x
x
{
nx
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{x]x
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719
29
23
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n
n
n
n
{
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As the Companys IFRS transition date was January 1, 2010, 2007, 2008 and 2009 nancial information has not been restated.
106
2007
f
xxn
CORPORATE INFORMATION
BOARD OF DIRECTORS
Ronald P. Mathison
Chairman (1)(2)
President &
Matco Investments Ltd.
Douglas R. Ramsay (4)
Calfrac Well Services Ltd.
Kevin R. Baker (2)(3)
President &
Managing Director
Baycor Capital Inc.
James S. Blair (3)(4)
President &
Glenogle Energy Inc.
Gregory S. Fletcher (1)(2)
President
Sierra Energy Inc.
Lorne A. Gartner (1)(4)
Independent Businessman
Designed and produced by Merlin Edge Inc. www.merlinedge.com Printed in Canada
R.T. (Tim) Swinton (1)(2)(3)

Independent Businessman
(1)
Member of the
Audit Committee
(2)
Member of the
Compensation Committee
(3)
Member of the
Corporate Governance and
Nominating Committee
(4)
Member of the
Health, Safety and
Environment Committee
OFFICERS
Douglas R. Ramsay
Fernando Aguilar
President &
Chief Operating Ofcer
OFFICERS
HEAD OFFICE
OPERATING BASES
Robert J. Montgomery
President,
Canadian Operating Division
Robert L. Sutherland
President,
Russian Operating Division
411 8th Avenue S.W.

Calgary, Alberta, T2P 1E3
Phone: 403-266-6000
Toll Free: 1-866-770-3722
Fax:
403-266-7381
Email:
info@calfrac.com
Website: www.calfrac.com
Alberta, Canada
Calgary Head Ofce
Calgary Technology and
Training Centre
Edson
Grande Prairie
Medicine Hat
Red Deer
British Columbia, Canada
Dawson Creek
Fort Nelson
Saskatchewan, Canada
Estevan
Colorado, United States
Denver Regional Ofce
Grand Junction
Platteville
Arkansas, United States
Beebe
Pennsylvania, United States
Philipsburg
Smitheld
North Dakota, United States
Williston
Russia
Moscow Regional Ofce
Khanty-Mansiysk
Noyabrsk
Nefteugansk
Mexico
Mexico City Regional Ofce
Reynosa
Poza Rica
Argentina
Buenos Aires Regional Ofce
Catriel
Neuqun
Colombia
Bogota Regional Ofce
O. Alberto Bertolin
Director General,
Latin America Division
Armando J. Bertolin
Director General,
Latin America Division
Dwight M. Bobier
Senior Vice President,
Technical Services
Tom J. Medvedic
Senior Vice President,
Corporate Development
Bruce M. Basaraba
Vice President, HS&E
and Training
AUDITORS
PricewaterhouseCoopers LLP
Calgary, Alberta
BANKERS
HSBC Bank Canada
Alberta Treasury Branches
Royal Bank of Canada
Canadian Imperial Bank
of Commerce
Export Development Canada
L. Lee Burleson
Vice President,
Sales & Marketing
United States
Operating Division
LEGAL COUNSEL
R. Leron Crapo
Vice President,
Operations Finance
STOCK EXCHANGE
LISTING
Chris K. Gall
Vice President,
Global Supply Chain
Bennett Jones LLP

Calgary, Alberta
Trading Symbol: CFW
Umberto Marseglia
Vice President, Global Business
Michael D. Olinek
Vice President, Finance
B. Mark Paslawski
Vice President,
General Counsel
& Corporate Secretary
Laura A. Cillis
Senior Vice President, Finance &
Chief Financial Ofcer
F. Bruce Payne
Vice President,
Global Operations
John L. Grisdale
President,
United States
Operating Division
Gary J. Rokosh
Vice President, Sales,
Marketing & Engineering
Canadian Operating Division
Patrick J. Schneider
Vice President, Operations,
United States
Operating Division
Matthew L. Mignault
Corporate Controller
REGISTRAR AND
TRANSFER AGENT
For information concerning lost share certicates and estate
transfers or for a change in share registration or address, please
contact the transfer agent and registrar at 1-800-564-6253 or by
email at service@computershare.com, or write to:
COMPUTERSHARE INVESTOR SERVICES INC.
9th oor, 100 University Avenue,
Toronto, Ontario, M5J 2Y1
ANNUAL REPORT 2011
107
411 - 8 AVENUE S.W.

CALGARY, ALBERTA, T2P 1E3
E-MAIL: INFO@CALFRAC.COM
WWW.CALFRAC.COM

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3,400 REASONS WHY

Consolidated Financial Statements

Notes to the Consolidated

Managements Discussion and Analysis

DEMAND FOR PRESSURE PUMPING

ANNUAL REPORT 2011

PEOPLE CREATING VALUE FOR INVESTORS

CALFRAC WELL SERVICES LTD.

RETURN ON TOTAL EQUITY

As the Companys IFRS transition date was

4 REASONS CALFRAC IS A LEADING

Calfrac is an integral part

Our strong balance

ANNUAL REPORT 2011

PEOPLE GENERATING VALUE FOR CUSTOMERS

CALFRAC WELL SERVICES LTD.

4 REASONS CALFRAC IS A PREMIER

Strong safety systems,

Were positioned in the

ANNUAL REPORT 2011

For the Years Ended December 31,

Net income (loss) attributable to

Working capital (end of year)

Total assets (end of year)

Total equity (end of year)

Coiled tubing units (#)

Cementing units (#)

(C$000s, except where otherwise noted)

Market capitalization (end of year)

(1) Refer to Non-GAAP Measures on page 29 for further information.

CALFRAC WELL SERVICES LTD.

Growing customer demand,

460.3 564.4 591.5 935.9 1,537.4 100.1

Calfrac achieved record EBITDA in

The continuing switch to

185.8 398.7 62,466 67,974 83,241 91,844 112,786

ANNUAL REPORT 2011

OUR 3,400 EMPLOYEES,

CALFRAC WELL SERVICES LTD.

utilization creates both revenue and earnings leverage.

Our Canadian business has done a virtual 180-degree

new oil and natural gas wells on-stream. We also

Extending the Unconventional

THE HEALTH OF OUR

was more multi-well pad drilling. The well completion

CALFRAC WELL SERVICES LTD.

geographical halo an extended area where the rock

Safety and Environmental Protection

Total Revenue: $1.5 billion

United States 39%

continue to strive for better water conservation systems

Safety also has a business dimension. We believe

People Really Do Make the Difference

2012 Outlook and Plans

CALFRAC WELL SERVICES LTD.

We do not believe the industry will overbuild in 2012.

000 1,794 000 1,938 000 2,572 000 3,401

The Russian market remains focused on vertical

business well enough that we can react quickly to

ANNUAL REPORT 2011

1,240 Employees (approx.)

750 Employees (approx.)

1,120 Employees (approx.)

CALFRAC WELL SERVICES LTD.