Tejas Completion Solutions, a Houston-based provider of design, engineering and testing services to the completions segment of the oilfield services market, has acquired the inflow control device and reservoir fluid modeling business of Ziebel Tulsa LLC. The deal was financed by Tejas sponsor Intervale Capital. No pricing terms were disclosed.
Tejas Completion Solutions today announced that it has acquired the Inflow Control Device and reservoir fluid modeling business (the “ICD Business”) of Ziebel Tulsa LLC, a subsidiary of Norwegian oilfield service firm Ziebel AS. The ICD Business will be operated as a separate product line within Tejas’ Completion Products unit. The transaction was sponsored by Intervale Capital (“Intervale”), a private equity firm focused on middle market oilfield services investments.
Based in Tulsa, Oklahoma, Tejas’ ICD business operations will offer state of the art inflow control technology and provide computational fluid dynamics modeling services to optimize production in horizontal wells. The acquired business line offers cost-efficient, rig-adjustable inflow control products that help increase oil recovery, reduce the risk of sand screen erosion and clogging, and minimize coning problems at the heel of the well.
The ICD Business will be headed by Kristian Brekke, who is one of the original inventors of inflow control technology for sand control and who brings to Tejas over 15 years of experience in the Oil & Gas industry. Mr. Brekke joins Tejas as its Chief Scientist overseeing product development for ICDs and fluid modeling services.
Tejas Chief Executive Officer Thomas Hill commented, “The acquisition of the ICD Business represents another major step in Tejas’ strategy of becoming a fully-integrated supplier of cutting-edge, down-hole completion products. ICDs will expand Tejas’ addressable market internationally and will provide direct synergies with our new sand screen business. We are excited to partner with Kristian and his Tulsa-based team.”
Curtis Huff, a Managing Partner at Intervale added, “This transaction adds world class technology to Tejas’ rapidly growing product offering. Tejas is well positioned to experience significant growth based on its broad suite of completion technologies and services.”
Tejas Completion Solutions now provides a full range of down-hole packer and wellbore isolation products, multi-stage T-Frac(R) packer systems, standard and premium sand screen products, inflow control devices, API-6A Merla(R) production chokes and Hemiwedge(R) flow control valves, as well as various gas lift and chemical injection valves. Tejas will continue to provide customers with engineering and HPHT testing services through its newly-constructed research lab in The Woodlands, Texas. Tejas is also commissioning a new 27,000 square foot sand screens manufacturing facility in Houston, Texas. In June, 2009, Tejas acquired the assets of Tulsa-based Team Oil Tools.
About Tejas Completion Solutions:
Tejas was formed in September 2000 by Thomas Hill and key members of Schlumberger’s Camco completions engineering team to create an innovative completions company and develop API-14A subsurface safety valves. Tejas’ engineering team consists of thirteen engineers and designers with an average of over 20 years of experience in the industry. Tejas is based in The Woodlands, Texas, and has manufacturing facilities in Houston, Texas, and Tulsa, Oklahoma.
About Intervale Capital:
Intervale Capital is a private equity firm, based in Houston and Boston, focused exclusively on investments in middle-market oilfield services companies and related technologies. Intervale, together with its predecessor entities, has ten platform investments.
Ziebel, headquartered in Stavanger, Norway, is a respected provider of production optimization solutions. Products and solutions offered include innovative well completion, artificial lift solutions, “MagLev(TM),” as well as services that include fiber optic DTS well logging interventions, “ZipLog(TM)” deployment systems, evaluation of reservoir performance and artificial lift optimization.