5. Oilfield-Services Companies
As oil and gas E&P companies grow to meet new demand, so will the service companies.
These companies perform a wide range of functions for the oil and gas industry – from directional drilling to completions (including fracking) to production enhancement. They perform almost any service related to the oil and gas drilling and production life cycle. But most important, they supply the pumping services for fracking. And as fracking jobs become bigger and bigger in the coming years, millions of pumping horsepower will be required to keep up with the influx of work. And as a result of this increase in fracking, the oilfield-services companies will also meet the need for millions and millions of pounds of fracking sand and other proppants. Fracking sand has a special grade and quality. Its unique properties – like crush strength – influence the flow of oil and resist things like pressure, temperatures, and chemicals. The amount of fracking sand needed for the average individual job increased from 2 million pounds in 2004 to 5 million pounds in 2016. And larger fracking jobs are coming. In early 2017, a job was reported that used 50 million pounds of sand . Ceramic proppants will also see a surge in use as companies continue to drill deeper and deeper wells. Higher-pressure and higher- temperature requirements to fracture the rocks at these depths will necessitate the use of materials that can meet these new demands. 6. Drilling Contractors With the increased demand and higher prices will come the need for quality drilling contractors. These are the guys who own the drilling rigs and supply the crews to run them.
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