Patterson-UTI Energy Announces Agreement to Acquire Texas-Based Pressure Pumping Assets
PR NEWSWIRE 5:00 AM ET 9/19/2014
HOUSTON , Sept. 19, 2014 /PRNewswire/ -- PATTERSON-UTI ENERGY, INC.(PTEN) today announced that one of its subsidiaries has entered into an agreement to acquire the Texas-based pressure pumping assets of a privately held company. The acquisition includes 143,250 horsepower of hydraulic fracturing equipment, which was manufactured in 2011 and 2012, and provides Patterson-UTI with two additional bases of operations and employees to support customer activity in the Eagle Ford and Haynesville shale plays. The pending transaction, which is expected to close within 90 days, is subject to customary closing conditions and receipt of required third party consents, and is subject to expiration or termination of the waiting period under the Hart-Scott-Rodino Act.
Andy Hendricks , Patterson-UTI's Chief Executive Officer, stated, "This equipment has not been heavily operated since it was introduced to the market at a time of reduced demand for pressure pumping services. We believe the assets to be well-maintained, in very good condition and in line with our high standards.
Mr. Hendricks added, "Upon completion of this transaction and after delivery of the previously announced new equipment currently on order, we will have more than one million horsepower of fracturing capacity."
Based upon published rig counts, nearly 50% of the rigs currently drilling horizontal wells in the United States are located in Texas. The acquired assets will supplement Patterson-UTI's existing Texas-based pressure pumping operations in the Permian Basin, the Eagle Ford shale of South Texas, the Barnett shale of North Texas and the Haynesville shale of East Texas and Louisiana. Patterson-UTI also has a widespread pressure pumping presence in the Marcellus and Utica shale plays.