Key Energy Assists College in Setting Up Training Program

Key Energy Services, Inc. has successfully assisted one of its community partners in its Four Corners region, Farmington, New Mexico-based San Juan College, in obtaining a $2.5 million federal grant to be used for the development of a comprehensive energy training curriculum at the College's Regional Energy Training Center. The Training Center was established to provide training for energy industry employees in a variety of oilfield service applications. The grant will also enable the College to expand its programs to recruit and train Hispanic and Native American workers in the Four Corners region.

In addition to assisting with the grant, the Company donated one of its workover rigs to the College to be used as a hands-on training tool for the program. As the industry's leader in promoting, developing and supporting training for oilfield workers, the Company is proud to add this public-private partnership with San Juan College to its list of successful initiatives, including partnerships with Midland Community College and Taft Community College.

In connection with this grant, members of the Company's senior management will be in Washington D.C. on February 14, 2003 to attend a ceremony hosted by Department of Labor Secretary Elaine L. Chao and Senator Peter Domenici (R - New Mexico), formally announcing the grant.