Weatherford Awarded Framework Extension with Equinor for Completions and Slot Recovery
Weatherford (NASDAQ: WFRD) has secured a two-year extension of its framework agreement with Equinor for completions, liner-hangers, and slot recovery services. The agreement leverages Weatherford's Accuview® downhole monitoring solutions and AlphaVTM next-generation whipstock system, which have significantly enhanced operational efficiency and reduced rig time. The 2023 deployment of AlphaVTM in the North Sea saved costs and improved remote monitoring capabilities. Weatherford's recently executed slot recovery operation, using technologies from the Ardyne portfolio, delivered further cost and operational enhancements. The extension also includes access to Weatherford's ForeSite® sense optical reservoir monitoring solution, facilitating production optimization. CEO Girish Saligram expressed pride in the extended partnership, emphasizing the significance of Weatherford's innovative offerings.
- Two-year extension of framework agreement with Equinor.
- Utilization of Accuview® and AlphaVTM systems enhances operational efficiency and reduces rig time.
- Successful 2023 deployment of AlphaVTM in the North Sea saved costs and improved remote monitoring.
- Recent slot recovery operation delivered cost and operational enhancements.
- Access to ForeSite® sense optical reservoir monitoring solution for production optimization.
- Recognition of innovative capabilities by a major multinational energy company.
- No specific financial figures or revenue projections provided in the announcement.
Insights
The two-year frame agreement extension with Equinor is significant for Weatherford. This deal indicates a strong endorsement of Weatherford's technology and services, which could have a positive impact on the company's revenue and market position. The Accuview® downhole monitoring solutions and AlphaVTM next-generation whipstock system, which have proven successful in improving operational efficiency and reducing rig time, are central to this agreement. This extension likely brings in consistent revenue, enhancing cash flow predictability for the next two years, which is a key factor for investors to consider. Additionally, integrating Ardyne's portfolio technologies demonstrates Weatherford's strategic acquisition's value, supporting the company’s financial health.
From a financial perspective, the successful deployment of these technologies and the ability to secure such an extension boosts investor confidence in Weatherford's operational execution and strategic direction. However, it's essential to monitor how these technologies perform consistently over the contract period and their impact on margins and profitability.
The extension of Weatherford's agreement with Equinor highlights the importance of their technological offerings in completions and slot recovery services. The Accuview® downhole monitoring solutions combined with the AlphaVTM system represents a significant advancement in wellbore management. These technologies eliminate the need for additional preparation runs, which translates to cost savings and increased efficiency for operators. The integration of ForeSite® sense optical reservoir monitoring further showcases Weatherford's capabilities in providing comprehensive and innovative solutions in the energy sector.
For retail investors, it's important to note that these advancements not only strengthen Weatherford's position in the market but also demonstrate the company's commitment to enhancing its technology portfolio. This technological edge could potentially lead to increased market share and competitive advantage, driving long-term growth.
HOUSTON, May 28, 2024 (GLOBE NEWSWIRE) -- Weatherford International plc (NASDAQ: WFRD) (“Weatherford” or the “Company”) announced it has been awarded a two-year frame agreement extension with Equinor, a multinational energy company, for the delivery of completions, liner-hangers, and slot recovery services.
To deliver on this scope, Weatherford will offer its Accuview® downhole monitoring solutions with the AlphaVTM next-generation whipstock system building on our track record of enhancing operational efficiency and reducing rig time. Notably, in 2023, Weatherford successfully introduced AlphaVTM, enabled by the Accuview® platform in the North Sea for Equinor. This deployment eliminated the need for a dedicated wellbore preparation run, saving cost and improving operation efficiency through remote monitoring capabilities. Combining these proprietary technologies with those acquired from the Ardyne portfolio, Weatherford recently executed a slot recovery operation, delivering further cost and operational enhancements for Equinor.
Through this extension, Equinor also gains access to Weatherford's leading ForeSite® sense optical reservoir monitoring solution alongside a comprehensive array of completion solutions. Weatherford's unique offering allows for integrating various measurement types in a single fiber optic cable, simplifying the downhole architecture and facilitating reliable reservoir monitoring as a means to production optimization.
Girish Saligram, Weatherford President and CEO commented, “I am delighted that Equinor has chosen to extend our collaboration. This recognition underscores the significance of our completions and slot recovery portfolios, highlighting the distinctive and innovative capabilities that empower our customers to fulfill their operational goals.”
About Weatherford
Weatherford delivers innovative energy services that integrate proven technologies with advanced digitalization to create sustainable offerings for maximized value and return on investment. Our world-class experts partner with customers to optimize their resources and realize the full potential of their assets. Operators choose us for strategic solutions that add efficiency, flexibility, and responsibility to any energy operation. The Company operates in approximately 75 countries and has approximately 18,800 team members representing more than 110 nationalities and 340 operating locations. Visit weatherford.com for more information and connect with us on social media.
For Media:
Kelley Hughes
Weatherford International plc
Corporate Communications
media@weatherford.com
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