Supplies are “In the Tank”

Supplies are “In the Tank”

I’ve been talking to a few operators this week. As programs are getting funded for first or additional phases, the oilfield supplies and labor are getting tighter.

One operator I know has had tanks on order he expected 2 weeks ago. He decided to call another supplier…27 week backlog!

What does one do?

There are a few practical solutions for operators

  1. Start reserving equipment WAY before fundraising
  2. Buy leases with stranded equipment to relocate and refurbish
  3. Rework or go uphole on underperforming wells where all infrastructure is in place
  4. Buy a OFS company and rake in the $$ (good luck when the price of commodities goes down!)

As stated in our 2022 Prediction opinion;

“I believe the value is in the Operators who have unique leases AND have control over oil field service vendors (or are one themselves) to deliver to the market quicker.”

Good thing we have a few programs that can be started quite quickly once fully funded! Check out 1214 & 1215 on the “opportunities” page on our website.