June 5, 2002

News Release: $3,147,735 - First quarter net after tax earnings

WENZEL DOWNHOLE TOOLS LTD ("WZL-T") - First Quarter Operating Results
The Management of Wenzel Downhole Tools Ltd. is pleased to announce the operating results for the three months ended March 31, 2002. During the first quarter, revenue increased by 69%; and net income increased by 131%. First quarter net after tax earnings was $3,147,735 ($0.105 per share) compared to $1,362,293 ($0.051 per share) in the first quarter of 2001. The March 2001 numbers referred to in the announcement for comparison purposes have been adjusted for changes in accounting policy made during the period ended March 31, 2001. The geographical allocation of the period's revenue is 44% to Canada, 6% to the United States, and 50% to international sales. The increase in international sales was due to completion of a large order for an international customer during the first quarter. Additional smaller orders from this customer will be fulfilled during the second and third quarters this year.

Outlook

The Company continues to actively build relationships with large national oil companies in an effort to secure regular continued business from these sources.

The Company's spending on research and development is now at a point where at least three new tools will be introduced at the Calgary oil show this year. These new products are expected to help increase market share as well as enable the Company to forge new links in other industry sectors.

The Company has reorganized its sales force in the US to concentrate on the oil and gas sector along with the utilities sector where they have already been very successful.

Actual results for the three months ended March 31, 2002 were:

                                                    March 31 
                                                 2002          2001 
                                              unaudited      unaudited 
Revenue                                    $ 15,610,740    $ 9,248,904 
Gross Profit                               $  7,858,036    $ 4,491,821 
Net After Tax Earnings                     $  3,147,735    $ 1,362,293 
 
Basic Earnings per Share                   $     0.1054    $    0.0514 
 
Diluted Earnings per Share                 $     0.1054    $    0.0435 

Wenzel Downhole Tools Ltd. is an Alberta based Company that designs, manufactures and supplies drilling tools to both the oil and gas and the utility construction markets. The Company has offices in Edmonton, Calgary, Texas, Wyoming and Barbados. Management expects that the rate of growth in revenues will continue due to the continuing increases in international orders, which shores up the cyclical nature of the oil and gas and utility businesses in North America.

Statements in this press release relating to matters that are not historical facts are forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties, which may cause the actual results, performances or achievements of Wenzel to be materially different from any future results implied by such forward-looking statements. Such factors include fluctuations in the market for oil and gas related products and services, demand for products and services in the drilling industry generally, political and economic conditions in countries in which Wenzel does business, the ability of Wenzel to attract and retain key personnel, the demand for services and products provided by Wenzel, and other factors which are described in further detail in Wenzel's filings including Wenzel's annual reports. TEL: (403) 205-6696 Wenzel Downhole Tools Ltd. FAX: (403) 265-8154 Maurice Minvielle, MBA, CA, President E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it. TEL: (403) 215-5979 Scott Koyich TEL: 1-800-434-3388 Investor Relations FAX: (403) 244-1238 E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

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