Key Energy Services Provides July 2010 Activity Data and EnerCom Conference Presentation Information

HOUSTON, Aug. 17 /PRNewswire-FirstCall/ -- Key Energy Services, Inc. (NYSE: KEG) provides July 2010 activity data.  With one less working day in July, total U.S. rig hours in July decreased 2.6% on an absolute basis and increased 2.0% on a per working day basis compared to June.  International rig hours in July increased 5.5% on an absolute basis and increased 2.1% on a per calendar day basis compared to June.  

Additional comparable information for prior monthly periods is available on Key's website at www.keyenergy.com under "Investor Relations".

Chairman, President, and CEO, Dick Alario, commented, "Activity and business conditions across all of our U.S. regions and business units continue to improve. Generally, we see customer demand strengthening, especially in marketplaces where production is liquids-rich and where operators are benefiting from horizontal well-installation techniques. We are especially pleased with the sequential monthly improvement in our international rig hours, driven primarily by our operations in Mexico and Argentina in July.  Our previously announced transactions --- the pending sale of our pressure pumping and wireline businesses and the pending acquisition of the coiled tubing, rig, and fluid businesses from OFS --- remain on track to close during the third quarter 2010."

Key Will Present at the EnerCom 2010 Oil & Gas Conference in Denver, CO

Key Energy Services will present at the EnerCom 2010 Oil and Gas Conference, Wednesday, August 25, 2010 in Denver, Colorado. The presentation begins at 3:35 p.m. MDT and will be available via a live webcast. To access the webcast and slide presentation, go to www.keyenergy.com and select "Investor Relations" and click on the link to the EnerCom 2010 Oil and Gas Conference Webcast.  The live webcast will also be available on The Oil and Gas Conference website at http://theoilandgasconference.com/webcast.shtml.  The presentation slides and audio will also be archived on The Oil and Gas Conference website for 30 days.

Forward Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Any matters that are not of historic fact are forward-looking statements. These forward-looking statements are based on Key's current expectations, estimates and projections, its industry, its management's beliefs and certain assumptions made by management. No assurance can be given that such expectations, estimates or projections will prove to have been correct. Whenever possible, these forward-looking statements are identified by words such as "expects," "believes," "anticipates" and similar phrases.

A number of factors could cause actual results to differ materially from the expectations, estimates and projections expressed in this press release, including, but not limited to: risks affecting activity levels for Key's services, including the impact of declines or instability of commodity prices, future decreases or other changes in the capital budgets of customers, the impact of activity levels not continuing to recover from the recent economic downturn, or even decreasing further, among Key's customers; risks affecting Key's foreign operations and investments, including its work in Mexico, which is performed under Key's remaining contract that expires in 2010 and which may not be renewed; risks associated with a slow recovery from, or further continuation of, the recent economic downturn and credit market instability; and risks affecting Key's ability to maintain or improve operations, including the impact of rig capacity in the market and weather risk.

Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Other important risk factors that may affect Key's business, results of operations and financial position are discussed in its most recently filed Annual Report on Form 10-K, recent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K and in other Securities and Exchange Commission filings. Unless otherwise required by law, Key also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made here. However, readers should review carefully reports and documents that Key files periodically with the Securities and Exchange Commission. 

Contact: Gary Russell

713-651-4434

SOURCE Key Energy Services, Inc.