And there was much rejoicing in the land.... Gas Prices

[no4njnk]

We have been working on a few R&D projects with customers, nothing big just small process modifications. All of the big projects we were working on got put on hold.

Our company let go about 40% of our employees but is slowly starting to hire again. With it being an election year you know most people will be sitting on their hands until November.

[no4njnk]

Yup that was Fractech but it looks like a Halliburton chemical truck was there.

[KBScobravert]

There was a string of fires on Halliburton frac spreads with zero casualties semi-recently...

That looks like Fractech

[Snatch Napkin]

There was a string of fires on Halliburton frac spreads with zero casualties semi-recently...

[Cooter]

Admittedly, that's a picture I stole from Facebook.
After talking to folks from crew, I realized how much more equipment is there.



In a weird, tinfoil hat type of thought, I've been wondering if insurance will pay more, after a series of tornadoes destroys the equipment, than an auction will...

[Snatch Napkin]

Lmmfao!

[Strychnine]

In a weird, tinfoil hat type of thought, I've been wondering if insurance will pay more, after a series of tornadoes destroys the equipment, than an auction will...

[Snatch Napkin]

Half? That's not even 1/4 of it. I'm in and of of Duncan a lot and watched that place fill up.

Admittedly, that's a picture I stole from Facebook.
After talking to folks from crew, I realized how much more equipment is there.



In a weird, tinfoil hat type of thought, I've been wondering if insurance will pay more, after a series of tornadoes destroys the equipment, than an auction will...

[Strychnine]

The total North American frac fleet is probably <50% utilized right now.
No one really know how much iron has already been retired, or won't ever leave the yard again, but when the downturn started HAL had ~2.5 million frac horsepower.

So you can very very roughly guess that they have 1.25 million hp stacked.
A good metric for a complete frac spread is around $1M per 1,000 hp (new build before the crash in late 2014).

That's ~$1.25B (in new equipment dollars) laying around, just at HAL.

Granted stuff isn't going for shit at auction these days, so real value is a lot less. Earlier this year Trican sold their stuff for 38% of new build cost, and a couple months ago I watched a friend buy two full spreads for 10% of new build cost. (two complete frac spreads for $11M total). I'll be at an auction in the morning and I know there are are least four 2015 Dragon built trailers going through. I'll let you know what they sell for.

Either way, as Zachary mentioned the key to coming out on top when it turns around will be maintenance procedures during the downturn It won't all come back at once so you'd better be first in line ready to work.

[SBFORDTECH]

Not even half of the Halliburton equipment that is being stacked at the Duncan yard.

Half? That's not even 1/4 of it. I'm in and of of Duncan a lot and watched that place fill up.

[cobrajet69]

That's what i was thinking. I roughly estimated 300 frac pumps up toward the top, so my guess was 15 crews or so. So much money.

Drove by Schlumberger's yard last week and it's un-manageably full.



David

[Snatch Napkin]

Jesus. I'm so glad I was able to jump ship. That has to be at least 18 frac crews in that picture at least.

Yep. Same here.
The crew I was on has been stuck on 40 hour work weeks for 6 months.

[Strychnine]

Jesus. I'm so glad I was able to jump ship. That has to be at least 18 frac crews in that picture at least.

That's what i was thinking. I roughly estimated 300 frac pumps up toward the top, so my guess was 15 crews or so. So much money.

[KBScobravert]

Not even half of the Halliburton equipment that is being stacked at the Duncan yard.

Jesus. I'm so glad I was able to jump ship. That has to be at least 18 frac crews in that picture at least.

[Strychnine]

Wow, so semi serious question here. How in th ehell do they keep track of all the stacked equipment? What about maintenance? Surely they dont just let them all sit there for a year and a half? Full fleet of mechanics maintaining them? I would think it would take a CREW of people just to monitor, check them all in, security, etc...

That will be one of the keys to capturing business on the rebound. If you want to bounce back quickly then stacking equipment is not free.