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Hyduke announces a $32,200,000 contractfor South American MarketNISKU, AB, Oct. 26, 2011 /CNW/ - Hyduke Energy Services Inc. ("Hyduke") (TSX:HYD), is pleased to announce

that is has recently been awarded a contract to provide two turn-key 1000HP AC electric drilling rig packages for a

South American based customer. The contract, valued at approximately $32,200,000 will be completed over the

next nine months.

About Chilean MarketWhy is it strategically important to have a strong presence in the Chilean department stores?CHILE IS THE ONLY COUNTRY IN THE WORLD where the credit cards issued by department stores are more unitsand have more presence and more use than those issued by banks. A payment by Credit card is the most used tool.

Actually in circulation :14,61 millions cards. (Chilean Population approx. 17 millions). Bank issued are 5,21 millionswith yearly transactions for approx. USD 1,000 million. Department stores and other commercial cards manage avolume of approx. 9,4 millions cards. We are convinced that in Chile to get a powerful penetration in departmentstores, supermarkets and drugstores is a strategic key issue. Credit cards would allow us to penetrate socialeconomic segments that could buy this product only with credit facilities.

Countrys market overview

Chilean social & economic revolution in the last 20 years:

Deep economic changes in the last two decades have signified a constant increase in the per-cpita income from5,000 USD (buying parity) in 1990 to 14,700 USD in 2009 (INE-CEPAL), the highest in Latin America. The householdsunder the line of poverty decreased in the same period of time from 38,6% to 13,7% (Casen). Corresponding withthat, goods in Chilean homes have strongly increased, starting by the ownership of homes, which increased at thesame time to more than 2,2 million. That development creates new social phenomenon, like the single-person home,which has more than tripled, from 400,000 to 1,3 millions.

Another shift of substantial increase is seen in the purchasing of automobiles, refrigerators, microwave ovens andwashing machines for the Chilean homes have changed buying and consumer habits in many categories. Strongincorporation of women to the labor force is the most important social change. 32,5% of Chilean households areactually sustained by women. This figure jumped from 20% to over 50% and in some segments is over 74%, now

mainly because of the access of women with university studies. (actually there are more women graduating fromuniversities than men). Those facts have also reduced fecundity and women have postponed maternity from age 23to age 27. This has created a new category of consumers (Dinks: Double Income No Kids), where those Chileancouples with higher income can now have access to higher levels of personal expenses and consume, travel andpurchase sophisticated equipment for their homes.

Chilean market overview

Chilean social & economic revolution in the last 20 years:

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Another important issue is the reduction of free leisure time for women who work, so time valuation increasesstrongly and women are seeking products that could facilitate their works / lifestyle. All the above makes usconfident that high quality products combined with our strategies, hard work, and enthusiasm, could give ussuccessful results.

Market segments overview

Chilean Households distribution by segments (1: Poorest 5: Richest)

Segmentation/ Outlook

Chile has been an open economy for the last 20 years and has become an extremely competitive market, where mostof the multinational companies have active presence.

Multinational companies have chosen Chile as an introductory laboratory market, with lower risks compared to other

bigger Latin American markets such as Brazil and Mexico.

In almost every industry Chile is an ultra competitive market where you can find most of the brands, products andmodels.