Cabo Announces 2nd Quarter Results

For Immediate Release: March 2, 2009
                                      Telephone: (604) 984-8894
 
Facsimile: (604) 983-8056
 
                                      e-mail: ir@cabo.ca
CONTACT:  John A. Versfelt, Chairman, President and CEO
                          web site: www.cabo.ca
 
Cabo Announces 2nd Quarter Results
 
North Vancouver, BC - Cabo  Drilling Corp. ("Cabo" or the  "Company")
(TSX-V:CBE) today reported  results for its  fiscal year 2009  second
quarter ended December 31, 2008.
 
2nd QUARTER HIGHLIGHTS
 
+-------------------------------------------------------------------+
| (CDN  $000s,   except | 3 months | 3 months | 6 months | 6 months |
| earnings per share)   |  ending  |  ending  |  ending  |  ending  |
|                       |   Dec.   |   Dec.   |   Dec.   |   Dec.   |
|                       |  31/08   |  31/07   |  31/08   |  31/07   |
|-----------------------+----------+----------+----------+----------|
| Revenue               |   11,825 |   13,635 |   28,442 |   27,974 |
|-----------------------+----------+----------+----------+----------|
| Earnings       (Loss) |          |          |          |          |
| Before      Interest, |    1,437 |    1,854 |    3,941 |    4,203 |
| Taxes,  Amortization, |          |          |          |          |
| Stock           Based |          |          |          |          |
| Compensation      and |          |          |          |          |
| Other Items  (EBITDA) |          |          |          |          |
|-----------------------+----------+----------+----------+----------|
| Net  Earnings  (Loss) |      506 |    1,212 |    2,201 |    2,971 |
| Before Taxes          |          |          |          |          |
|-----------------------+----------+----------+----------+----------|
| Net  Earnings  (Loss) |      330 |      807 |    1,420 |    1,890 |
| After Taxes           |          |          |          |          |
|-----------------------+----------+----------+----------+----------|
| Earnings  (Loss)  per |          |          |          |          |
| Share ($) (Basic  and |          |          |          |          |
| Diluted)       Before |     0.03 |     0.04 |     0.08 |     0.09 |
| Interest,      Taxes, |          |          |          |          |
| Amortization,         |          |          |          |          |
| Stock-based           |          |          |          |          |
| Compensation      and |          |          |          |          |
| Other Items (EBITDA)  |          |          |          |          |
|-----------------------+----------+----------+----------+----------|
| Earnings  (Loss)  per |     0.01 |     0.02 |     0.03 |     0.04 |
| Share ($) (Basic  and |          |          |          |          |
| Diluted)              |          |          |          |          |
|-----------------------+----------+----------+----------+----------|
| Cash from Operations* |      924 |    1,236 |    2,745 |    2,912 |
|-----------------------+----------+----------+----------+----------|
| Gross Margin %        |    26.1% |    25.0% |    26.0% |    25.6% |
|-----------------------+----------+----------+----------+----------|
| Working       Capital |    7,765 |    7,056 |    7,765 |    7,056 |
| (deficiency)          |          |          |          |          |
+-------------------------------------------------------------------+
 
*before changes in non-cash working capital items
 
The Company reports:
 
§  Quarterly  revenue  for the  2nd  quarter fiscal  2009  of  $11.82
million compared  to $13.63  million revenue  in the  2nd quarter  of
fiscal 2008.
§   2nd  quarter  fiscal   2009  earnings  before  interest,   taxes,
amortization, stock-based compensation  and other  items (EBITDA)  of
$1.44 million compared  to 2nd  quarter fiscal  2008 earnings  before
interest, tax, amortization, stock based compensation and other items
(EBITDA) of  $1.85  million, resulting  in  2nd quarter  fiscal  2009
earnings   before   interest,   taxes,   amortization,    stock-based
compensation and other items of $0.03  per share and $0.04 per  share
in the 2nd quarter of fiscal 2008.
§  Net before  tax earnings  for the 2nd  quarter of  fiscal 2009  of
$505,951 compared to 2nd quarter  fiscal 2008 before tax earnings  of
$1.21 million.
§  Net  after tax  earnings for  the 2nd  quarter of  fiscal 2009  of
$330,288 compared to net  after tax earnings for  the 2nd quarter  of
fiscal 2008  of $806,971,  resulting in  2ndquarter fiscal  2009  net
after tax  earnings of  $0.01 per  share compared  to net  after  tax
earnings for 2nd quarter fiscal 2008 of $0.02 per share.
§  Gross margin percentage for the 2nd quarter fiscal 2009 was  26.1%
compared with a gross margin of 25.0% in 2nd quarter fiscal 2008  and
26.0% in the 1stquarter of fiscal 2009.
§  Cash from operations, before  changes in non-cash working  capital
items, was $924,014 for the 2nd  quarter fiscal 2009 compared to  2nd
quarter fiscal 2008 cash from operations of $1.24 million.
§  A current asset balance of  $22.03 million and working capital  of
$7.77 million.
§  Total assets  of $38.23  million and total  liabilities of  $16.74
million.
 "The Company recorded revenues for  the second quarter, fiscal  2009
of $11.82  million compared  to the  $13.63 million  recorded in  the
second quarter of fiscal 2008," said John A. Versfelt, President  and
CEO of  Cabo  Drilling  Corp.  "The  strength  of  our  international
divisions sector continues as 39% of quarterly revenues came from the
international sector as compared to  19% in fiscal 2008. The  Company
has seen a decrease in gross revenue from our Canadian divisions  due
to decreased demand for drilling and resulting lower prices,  because
of the economic downturn. Management  expects gross revenue from  the
Canadian divisions  to  remain low  until  late 2009.   We  are  also
experiencing  lower  demand  for  drilling  services  in  our  Mexico
division."
 
 "The Company  recorded  a net  income  of $330,288  during  the  2nd
quarter of  fiscal  2009 or  $0.01  earnings per  share  compared  to
$806,971 or $0.02  earnings per share  in the 2nd  quarter of  fiscal
2008," noted  John A.  Versfelt.  "EBITDA  decreased 22.4%  to  $1.44
million during the second quarter  of fiscal 2009, compared to  $1.85
million in  the  previous corresponding  period.   This is  a  direct
result of a  decrease in  gross revenue from  our Canadian  divisions
caused by decreased  demand for drilling  and resulting lower  prices
brought about by the economic downturn."
 
For the  full  news  release  please  go  to  the  Company's  website
www.cabo.ca or www.sedar.com.
 
About Cabo Drilling Corp. (TSX-V: CBE)
Cabo Drilling Corp. is a  drilling services company headquartered  in
North Vancouver,  British  Columbia, Canada.   The  Company  provides
mining related and specialty  drilling services through its  Canadian
divisions in  Surrey, British  Columbia; Montréal,  Quebec;  Kirkland
Lake, Ontario; and Springdale, Newfoundland; as well as Cabo Drilling
de Mexico S.A. de C.V. of Hermosillo, Mexico; Cabo Drilling  (Panama)
Corp. of  Panama, Republic  of Panama;  Cabo Drilling  Spain S.L.  of
Seville, Spain; Balkan  States Drilling SH.P.K.  of Tirana,  Albania;
and Cabo Drilling (International)  Inc.  The Company's common  shares
trade on the Frankfurt Exchange under the symbol: DHL and on the  TSX
Venture Exchange under the symbol: CBE.
 
ON BEHALF OF THE BOARD
 
     "John A. Versfelt"
 
John A. Versfelt
Chairman, President and CEO
 
Further information  about  the Company  can  be found  on  the  Cabo
website  (http://www.cabo.ca)   and  SEDAR   (www.sedar.com)  or   by
contacting Investor Relations, Sheri  Barton, at 403-217-5830 or  Mr.
John A.  Versfelt,  Chairman,  President  & CEO  of  the  Company  at
604-984-8894.
                          *    *    *    *
The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release.  This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, potential mineral recovery processes and
other business transactions timing.  Forward-looking statements
address future events and conditions and therefore, involve inherent
risks and uncertainties.  Actual results may differ materially from
those currently anticipated in such statements.
 
Cabo Drilling Corp. was recognized as a TSX Venture 50(TM) company in
2008. TSX Venture 50 is a trade-mark of TSX Inc. and is used under
license.
 
This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.