Patterson-UTI Energy Company Overview and Structure

Patterson-UTI Energy is a leading provider of onshore contract drilling services in the United States. The company operates a large fleet of drilling rigs and provides services to oil and natural gas operators.

Patterson-UTI Energy was founded in 1978 by Joe Patterson, and it has since grown into a major player in the industry. The company is headquartered in Houston, Texas.

The company's structure includes a fleet of drilling rigs, which are operated by experienced crews and supported by a network of service centers and warehouses. Patterson-UTI Energy also has a strong focus on safety and environmental responsibility.

Explore further: Kayla Patterson

Patterson-UTI has a diverse range of subsidiaries that support its operations.

The company's principal subsidiaries include Ambar Drilling Fluids LP, a drilling fluids provider.

International Petroleum Service Company is also a subsidiary, offering various services in the industry.

Patterson Petroleum Trading Company is involved in trading petroleum products.

Suits Drilling Company, Universal Well Services, and UTI Drilling Canada Inc. are other notable subsidiaries.

UTICO, Inc. rounds out the list of principal subsidiaries, providing additional support to the company's operations.

Explore further: Principal Balance

Patterson-UTI Energy is a major player in the onshore contract drilling services industry, with a strong presence in North America. The company has a long history of growth and expansion, starting with a small fleet of 11 drilling rigs in 1992.

One of the key factors that has contributed to Patterson-UTI's success is its strategy of growth through acquisition. The company has made several significant acquisitions over the years, including the purchase of Questor Drilling Corp. in 1994 and Tucker Drilling Company in 1996. By acquiring smaller independent drilling contractors, Patterson-UTI has been able to gain access to new markets and establish regional bases of operation.

As of 2014, Patterson-UTI had acquired Texas-based pressure pumping assets, and in 2017, the company acquired Seventy Seven Energy. This expansion has helped the company increase its size and profitability, making it a major player in the industry.

The company's leadership team has also played a crucial role in its success. Mark Siegel has served as Chairman of Patterson-UTI since 2001, while Douglas J. Wall has been the company's President and CEO. John Vollmer is the Senior Vice President, CFO and Treasurer, and Duane Carol is the Vice President of Operations.

You might enjoy: Unconventional Success

Patterson-UTI Energy's history is a testament to its ability to adapt and grow in the ever-changing energy industry.

In 1984, the company changed its name to Patterson Energy, although it continued to do business as Patterson Drilling.

Patterson's initial public offering (IPO) in 1992 marked a significant turning point for the company, as it prepared to expand its operations.

By the summer of 1992, Patterson owned and operated just 11 drilling rigs, with two other rigs jointly owned by an affiliated entity.

Patterson pursued a strategy of growth through acquisition, similar to its competitor Nabors Industries, which grew into the largest provider of contract land drilling services.

Its first significant acquisition deal came in July 1994 when it bought Questor Drilling Corp. in a $6.4 million cash and stock transaction.

In July 1996, Patterson used stock to acquire Tucker Drilling Company, expanding its fleet of drilling rigs.

The company picked up the pace in 1997, growing to 87 rigs by mid-year, and continued to make strategic acquisitions to gain access to new markets and establish regional bases of operation.

If this caught your attention, see: Federal Housing Enterprises Financial Safety and Soundness Act of 1992

Patterson acquired Wes-Tex Drilling Co. and its 21 drilling rigs for $25 million in cash plus stock and warrants in 1997.

In 1998, Patterson completed three more important acquisitions, including the purchase of Lone Star Mud, Inc. for just under $13 million in cash and stock.

By the end of 1998, Patterson had significantly expanded its operations, with a total of 46 drilling rigs, up from just 13 in the four years following its IPO.

Patterson continued to grow and adapt in the years that followed, including the acquisition of Texas-based pressure pumping assets in September 2014 and Seventy Seven Energy in April 2017.

Intriguing read: Im Just a Bill

Patterson-UTI Energy is a major player in the onshore contract drilling services industry, with a strong presence in North America. They're the second-largest provider of these services, with a significant number of rigs under contract.

The company has a history of adapting to changes in the market, even during tough times. In 2001, they laid off between 500 and 1,000 workers due to low oil prices and a slowdown in drilling activity, but still managed to post excellent results that year.

A fresh viewpoint: Maersk Drilling

One of the key factors in Patterson-UTI's success is their ability to innovate and stay ahead of the curve. In 2009, they introduced a new product called walking rig technology, which is well-suited for pad-type drilling in the Marcellus shale market.

The company has also made significant investments in new equipment, including the Apex 1,000 rigs, which are specifically designed for Marcellus shale drilling. These rigs feature an alternating-current (AC) drive motor and a small footprint, making them ideal for working in tight quarters.

Here are some key executives at Patterson-UTI Energy:

Patterson-UTI's history dates back to 1984, when it changed its name to Patterson Energy. The company has grown significantly over the years, with a major IPO in 1992 and several key acquisitions, including Questor Drilling Corp. in 1994 and Tucker Drilling Company in 1996.