Politicians may talk about increasing domestic energy production, but rarely do they talk about the production that is currently going on at breakneck speed. New oil and gas drillers are exploring any piece of land they can find for that pot of black gold or gas. Once they find it, however, somebody has to drill for it and maintain the equipment. These services companies are right in the thick of things when getting product out of the ground is the practice rather than the theory. A company that is ready to move and take advantage of today’s commodity prices is the one that will see a profitable bottom line.
Key Energy Services Inc., an oil and gas services company, works to offer oil and gas drilling firms services like maintenance associated with the drilling process. The company is currently enjoying profitable returns and capacities in line with rising oil and gas pricing. It has been expanding operations in key regions and finding little resistance to price increases for drilling services.
The company segments its activities into five key services: well services, fluid logistics, fishing and rental, pressure pumping and electric wireline. The well services division operates as the key revenue generator of the company and is experiencing solid growth and expansion. Mexico operations are the leading region of expansion in this regard. The company currently has several well rigs in operation within Mexico and expects several more to be in operation by the end of 2008. The company’s gas drilling services operations placed an emphasis on shale gas operations at the end of 2007. These operations are expected to show significant returns in the near future.
Perhaps the company’s greatest asset, in this continuing energy services boom, is its experience and presence within the marketplace. It has operations across a majority of the energy producing regions of the US, both on-shore and off. As energy prices and production continue to accelerate, an expected entrance of new equipment and operators into the marketplace is occurring. The company has, however, been in operation since the 1970’s and has a solid footing within the market to outpace any new competition that may present issues. The current energy trend being seen around the world will certainly not last forever but, for the moment, Key Energy Services is taking advantage and profiting very nicely as a leader within the field of oil and gas services.
Let us hear your thoughts below:
