CALGARY, ALBERTA--(Marketwire - March 11, 2011) - Douglas Cutts, President and Chief Executive Officer of Pulse Seismic Inc. ("Pulse" or "the Company") (TSX:PSD), reports the financial and operating results of Pulse for the year ended December 31, 2010. The audited consolidated financial statements, accompanying notes and MD&A will be posted on SEDAR and available on Pulse's website at www.pulseseismic.com. The year end audited financial results were in line with the preliminary unaudited financial results announced in the Company's news release on January 25, 2011. HIGHLIGHTS /T/ -- Pulse doubled the size of its 3D seismic data library with the $75.5 million seismic asset acquisition from Divestco Inc. The acquisition consisted of approximately 13,500 net square kilometres of 3D seismic data, covering the active plays of the Cutbank Ridge area and the Montney shale gas play in northeast British Columbia, and approximately 82,000 net kilometres of 2D seismic data. -- Pulse set a company quarterly record of seismic data library sales, generating $16.9 million for the three months ended December 31, 2010, compared to $10.2 million for the same period in 2009. Seismic data library sales for the year ended December 31, 2010 were $30.3 million compared to $23.4 million for the year ended December 31, 2009. -- Total seismic revenue (including revenue from participation surveys) for the year ended December 31, 2010 was $33.0 million compared to $30.7 million for the year ended December 31, 2009. -- Pulse also set a company quarterly record for cash EBITDA(a), generating $13.1 million ($0.20 per share basic and diluted) for the three months ended December 31, 2010, compared to $7.6 million ($0.14 per share basic and diluted) for the same period in 2009. Cash EBITDA for the year ended December 31, 2010 was $21.7 million ($0.38 per share basic and diluted) compared to $16.4 million ($0.31 per share basic and diluted) for the year ended December 31, 2009. -- Net earnings from continuing operations for the three months ended December 31, 2010 were $4.5 million, compared to $0.4 million for the same period in 2009. Net loss from continuing operations for the year ended December 31, 2010 was $848,000 ($0.01 per share basic and diluted) compared to a net loss of $2.9 million ($0.06 per share basic and diluted) for the year ended December 31, 2009. -- Pulse's working capital was $7.9 million (including cash of $17.0 million and current portion of long term debt of $13.0 million) at December 31, 2010 compared to $19.3 million (including cash of $15.0 million and current portion of long term debt of $7.0 million) at December 31, 2009. -- In 2010 Pulse completed one 3D participation survey in its core area, the Edson-Ft. St. John multi-zone corridor adding 72 net square kilometres to the library. Two 3D seismic surveys totalling 162 net square kilometres commenced in late 2010. One of these surveys has been delivered in the first quarter of 2011 and the second is scheduled for delivery early in the second quarter of 2011. These two surveys are located in the Montney and Cardium play areas. -- In December 2010, Pulse renewed its $65.0 million syndicated revolving credit facility until December 13, 2011. FINANCIAL HIGHLIGHTS Selected Financial and Operating Information ($000s except per share data and number of shares) Three months ended Year ended December 31 December 31 ---------------------------------------------------- 2010 2009 2010 2009 ---------------------------------------------------- Revenue Data library sales $ 16,945 $ 10,235 $ 30,264 $ 23,444 Participation surveys 2,101 48 2,770 7,302 ---------------------------------------------------------------------------- Total revenue $ 19,046 $ 10,283 $ 33,034 $ 30,746 Amortization of seismic data library $ 8,175 $ 5,989 $ 22,771 $ 24,569 Net earnings (loss) from continuing operations $ 4,533 $ 434 $ (848) $ (2,924) Net earnings (loss) from continuing operations per share: Basic and diluted $ 0.07 $ 0.01 $ (0.01) $ (0.06) Net earnings (loss) $ 4,006 $ 503 $ (1,354) $ (2,755) Net earnings (loss) per share: Basic and diluted $ 0.06 $ 0.01 $ (0.02) $ (0.05) Funds from operations (a) $ 14,338 $ 7,270 $ 22,354 $ 22,084 Funds from operations (a) per share: Basic and diluted $ 0.21 $ 0.14 $ 0.39 $ 0.42 Cash EBITDA (a) $ 13,144 $ 7,612 $ 21,687 $ 16,359 Cash EBITDA (a) per share: Basic and diluted $ 0.20 $ 0.14 $ 0.38 $ 0.31 Capital expenditures Seismic data purchases and related costs $ 24 $ 6 $ 75,575 $ 315 Participation surveys 2,521 3,173 2,245 12,083 Changes to work in progress 1,038 (3,110) 2,400 (1,681) Property & equipment additions 55 4 205 29 ---------------------------------------------------------------------------- Total capital expenditures $ 3,638 $ 73 $ 80,425 $ 10,746 Seismic library: 2D in net kilometres 339,991 257,994 339,991 257,994 3D in net square kilometres 26,446 12,913 26,446 12,913 Weighted average shares outstanding: Basic and diluted 67,238,023 53,077,558 56,662,196 53,150,648 Shares outstanding at period end 67,201,671 53,071,383 67,201,671 53,071,383 Financial Position and Ratios ($000s except ratios and percentage calculations) Working capital $ 7,878 $ 19,296 Working capital ratio 1.4 2.8 Total assets $ 154,438 $ 98,219 Long-term debt (b) $ 61,386 $ 27,407 Cash EBITDA (a) $ 21,687 $ 16,359 Shareholders' equity $ 81,827 $ 63,345 Long-term debt to equity ratio 0.75 0.43 Long-term debt to cash EBITDA ratio 2.83 1.68 (a) The Company's continuous disclosure documents provide discussion and analysis of "cash EBITDA", cash EBITDA per share, "funds from operations" and "funds from operations per share". These financial measures do not have standard definitions prescribed by GAAP in Canada and, therefore, may not be comparable to similar measures disclosed by other companies. The Company has included these non-GAAP financial measures because management, investors, analysts and others use them as measures of the Company's financial performance. The Company's definition of cash EBITDA is cash available for interest payments, cash taxes if applicable, debt servicing, discretionary capital expenditures and the payment of dividends, and is calculated as earnings (loss) from continuing operations before interest, taxes, depreciation and amortization less participation survey revenue, plus non-cash and non- recurring G&A expenses. Cash EBITDA excludes participation survey revenue as these funds are directly used to fund specific participation surveys and this revenue is not available for discretionary capital expenditures. The Company believes cash EBITDA assists investors in comparing Pulse's results on a consistent basis without regard to participation survey revenue and non-cash items, such as depreciation and amortization, which can vary significantly depending on accounting methods or non-operating factors such as historical cost. Cash EBITDA per share is defined as cash EBITDA divided by the weighted average number of shares outstanding for the period. The Company's definition of funds from operations is cash provided by continuing operations as prescribed by Canadian GAAP but excluding the impact of changes in non- cash working capital. Funds from operations represent the cash that was generated during the period, regardless of the timing of collection of receivables and payment of payables. Funds from operations per share is defined as funds from operations divided by the weighted average number of shares outstanding for the period. (b) Long-term debt is defined as total long-term debt, including current portion, net of debt financing cost. /T/ OUTLOOK The industry drivers that, entering 2010, suggested greater sales and revenues for Pulse last year have remained the same or strengthened further entering 2011, providing cause for optimism that 2011 results could exceed those of 2010. The main driver entering 2010 that suggested continued weakness, however, remained equally weak entering 2011. The drivers suggesting strengthening business conditions are crude oil prices, mineral lease auctions, rates of drilling rig utilization, forecast rates of new well drilling across Western Canada and a significantly improved royalty regime in Alberta. The principal driver suggesting continued weakness in business conditions is natural gas prices. Indicators of strengthening business conditions: /T/ -- Crude oil prices - Crude oil prices remaining in the range of US$85-$100 per barrel W.T.I. are clearly high enough to drive profitable development of the numerous unconventional shale, sandstone and carbonate oil plays that have emerged across western Canada. Some of these, including the Cardium and Viking sandstones, lie within Pulse's Edson-Fort St. John multi-zone corridor, and expansion of these plays through new land acquisition and increased drilling is being observed; -- Crown mineral lease auctions - "Land sales" as they are popularly known are a leading indicator of future exploration activity and of the need for seismic data. Alberta generated all-time record sales by dollar value in 2010, and early indications in 2011 are of continued strong land sales results; -- Drilling rig utilization - Following very low rates of drilling rig utilization in 2009, utilization began to recover in 2010 and in early 2011 strengthened further. According to the Canadian Association of Oilwell Drilling Contractors, an average of 521 rigs were drilling across western Canada in January 2011, for a fleet utilization rate of 66 percent. This was up from 53 percent utilization in January 2010; -- Forecast rates of new well drilling - Publicly available well drilling forecasts suggest relatively flat year-over-year activity across western Canada in 2011, following a substantial recovery in 2010 over 2009. This is suggestive of continued relatively strong industry investment. In addition, there have been anecdotal reports to Pulse personnel of healthy exploration capital expenditure budgets for 2011. In early February the Petroleum Services Association of Canada's (PSAC) update to its preliminary 2011 forecast increased the number of wells expected to be drilled across Canada by 500 to 12,750, which would represent an increase of 600 wells over 2010. Actual drilling data for January 2011 indicate 28 percent more new wells were licensed for drilling than in January 2010. Further, 2011 forecasts for the total number of rig-drilling-days and of horizontal wells as a proportion of all wells drilled remain strong. PSAC's president was quoted as saying that more than 5,000 horizontal wells could be drilled in Canada this year. Since horizontal wells traverse considerable distances within underground reservoirs, each horizontal well penetrates the reservoir drainage area of a typical vertical well several times, thereby requiring multiples of required seismic coverage data compared to a typical vertical well. The overall trend towards horizontal drilling is, therefore, considered an indirect indicator of continued land acquisitions and seismic requirements. -- Improved royalty regime - The changes in the Alberta royalty regime annnounced on May 27, 2010 became effective on January 1, 2011 and were put in place to stimulate new energy investment and new technologies. The changes result in lower crude oil and natural gas royalties and the retention of certain drilling incentives for deeper wells. The changes are also especially favourable to mid-depth horizontal wells which are increasing as a percentage of total wells drilled. /T/ Indicator of continued weaker business conditions: /T/ -- Natural gas prices - With the main AECO-C natural gas benchmark remaining around or below $4 per gigajoule in the initial weeks of 2011, the natural gas price clearly provides reason for caution. Weakness in the forward strip makes it difficult for natural gas producers to hedge their sales prices effectively, resulting in caution among natural gas producers concerning capital spendng in the year ahead. Several unconventional liquids-rich natural gas plays, however, including the Montney and Deep Basin plays, reportedly remain profitable at current or even lower natural gas prices, and continue to receive significant reported capital investment. In the Deep Basin, producers are focusing on the horizontal development of at least six target reservoirs. The Wilrich, for example, was drilled horizontally for the first time just over two years ago. By February 2011 there were more than 30 known horizontal wells on-stream, with combined production estimated at 80 million cubic feet per day, and producers were reporting plans to drill numerous additional such wells. This continued drilling activity focused on the most economic liquids-rich natural gas targets in western Canada, and is suggestive of increased demand for associated seismic data. /T/ In 2010 Pulse experienced a 33 percent year-over-year recovery in its cash EBITDA. At present Pulse is hopeful of continued growth throughout 2011 in its seismic data library sales, potentially levered by the Company's much larger coverage over active play areas of northeast British Columbia thanks to the Divestco asset acquisition. Pulse's personnel continue working to complete integration of the new data set into Pulse's seismic data library, to achieve seamless operation and continued low operating and G&A costs. Entering 2011 Pulse had two new participation surveys underway, totalling 162 square kilometres, and the Company is hopeful of obtaining interest to initiate further new participation surveys in 2011. In addition Pulse will remain vigilant for acquisition opportunities that meet the Company's three key criteria: seismic data that covers prospective areas with industry activity, 2D and 3D data that is high in quality, and a favourable purchase valuation. The sustained weakness in natural gas prices provides reason for caution and continued conservative management of the Company's balance sheet, with a particular focus on using anticipated cash EBITDA to pay down a portion of Pulse's long-term debt in 2011. Growth in revenue is among Pulse's key objectives for 2011. Seismic library data sales to the end of February 2011 have improved over the comparable period of 2010. CONFERENCE CALL FOR THE 2010 YEAR END RESULTS The Company will host a conference call on Monday, March 14, 2011 at 1:00 pm EST (11:00 am MST) to discuss the Company's results for the fourth quarter and year-end 2010. Douglas Cutts, President and Chief Executive Officer will chair the call with Pamela Wicks, VP Finance and Chief Financial Officer also taking part. A question-and-answer period will follow an update on the Company's strategies and outlook. To participate please dial 416-340-8530 or 1 877-440-9795 approximately 15 minutes before the commencement of the call. To listen to the webcast of the conference call please visit the Company's website at www.pulseseismic.com. An archival recording of the conference call will be available approximately one hour after the completion of the call until March 21, 2011. To access the replay, please dial 1 800-408-3053 or 905-694-9451 and enter the pass code 8131074. CORPORATE PROFILE Pulse is a market leader in the acquisition, marketing and licensing of 2D and 3D seismic data to the western Canadian energy sector. Pulse owns the second-largest licensable seismic data library in Canada, currently consisting of approximately 26,400 net square kilometres of 3D seismic and 340,000 net kilometres of 2D seismic. The library extensively covers the Western Canada Sedimentary Basin where most of Canada's oil and natural gas exploration and development occur. Forward Looking Information This news release contains information that constitutes "forward looking information" or "forward looking statements" (collectively, "forward looking information") within the meaning of applicable securities legislation. This forward looking information includes, among other things, statements regarding: /T/ -- general economic and industry outlook; -- industry activity levels and capital spending; -- forecast commodity prices; -- forecast oil and gas drilling activity; -- forecast oil and gas company capital budgets; -- forecast horizontal drilling activity in unconventional oil and gas plays; -- estimated future demand for seismic data; -- estimated future seismic data sales; -- estimated future demand for participation surveys; -- expected completion and delivery dates for participation surveys; -- Pulse's business and growth strategy; and -- Other expectations, beliefs, plans, goals, objectives, assumptions, information and statements about possible future events, conditions, results and performance. /T/ Undue reliance should not be placed on forward-looking information. Forward looking information is based upon current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to vary and in some instances to differ materially from those anticipated in the forward looking information. The sources for forecasts and the material assumptions underlying this forward looking information are noted in the "Outlook" section of this news release. The material risk factors that could cause actual results to differ materially from the forward-looking information include, but are not limited to: /T/ -- economic risks; -- the demand for seismic data and participation surveys; -- the pricing of data library license sales; -- the level of pre-funding of participation surveys, and the ability of the Company to make subsequent data library sales from such participation surveys; -- the ability of the Company to complete participation surveys on time and within budget; -- the price and demand for oil and natural gas; -- the level of oil and natural gas exploration and development activities; -- the ability of the Company's customers to raise capital; -- environment, health and safety risks; -- the effect of seasonality and weather conditions on participation surveys; -- federal and provincial government laws and regulation, including taxation, royalty rates, environment and safety; -- competition from other seismic data library companies; -- dependence upon qualified seismic field contractors; -- dependence upon key management, operations and marketing personnel; -- loss of seismic data; and -- protection of Intellectual Property. /T/ The foregoing list of risks is not exhaustive. Additional information on these risks and other factors which could affect the Company's operations or financial results are included in the Risk Factors section of the Company's MD&A for the most recent calendar year and interim periods. Forward looking information is based upon the assumptions, expectations, estimates and opinions of the Company's management at the time the information is presented.

Contact Information: Pulse Seismic Inc. Douglas Cutts President and CEO (403) 237-5559 or Toll-free: 1-877-460-5559 or Pulse Seismic Inc. Pamela Wicks VP Finance and CFO (403) 237-5559 or Toll-free: 1-877-460-5559 info@pulseseismic.com www.pulseseismic.com