Recapture Solutions, which is backed by Intervale Capital, has acquired Flex Leasing Power & Service. Financial terms weren’t announced. Flex Leasing has a fleet of flex turbines that it uses to provide remote electricity to the oil and gas industry.
HOUSTON, Oct. 22, 2014 /PRNewswire/ — Recapture Solutions, LLC (“Recapture”) is pleased to announce it has acquired Flex Leasing Power & Service (“FLPS”). FLPS leases 250kw and 333kW Flex Turbines™ for remote well-site power generation to the North American oil and gas industry. Over the past two years, FLPS has developed a reputation for providing remote power in the harshest and most challenging environments with exceptional up-time and service quality. FLPS’ fleet of turbines utilizes field gas, saving the customer money while performing better than a reciprocating diesel engine. Recapture provides flare reduction, remote power and natural gas fueling solutions to the oil and gas industry. FLPS will become part of Recapture’s existing remote power generation business. Recapture is backed by Intervale Capital (“Intervale”), a private equity firm which invests exclusively in oilfield manufacturing and service companies.
FLPS launched in December of 2012 by partnering with FlexEnergy, Inc., (“FlexEnergy”) a privately held manufacturer of micro-turbines. Following the close of the transaction, FLPS will remain the exclusive lessor of Flex Turbines™ for oil-field applications in the DJ Basin, Eagle Ford Shale, Permian Basin and Williston Basin. FLPS’ fleet has tripled over the last 12 months and it currently operates nearly 50 MT250kW and MT333kW Flex Turbines™. Jason Arnoldy, CEO of Recapture, commented, “FLPS’ turbines are highly reliable and perform exceptionally in extremely cold conditions, making them an ideal solution for remote well-site power in North Dakota and the Rockies. We have conviction at Recapture that the Flex Turbine™ is the best remote power solution for applications where the cost of downtime is high. Flex Turbines™ will also provide reliable power to Recapture’s growing flare reduction and NGL extraction business. We look forward to increasing the size of the FLPS fleet in response to customer demand. Led by Doug Baltzer, FLPS has built an exceptional team and we look forward to working together”.
“Our largest customer for production-related power reported that FLPS’ 99%+ uptime allowed it to maintain production during one of the harshest winters on record in North Dakota. Meanwhile many of our customer’s competitors had to halt production at their well-sites due to significant downtime from their remote power providers. The value proposition to our customers is simple. Our power solutions are designed to deliver improved performance and uptime versus incumbent technologies, utilize field gas to reduce fuel costs and reduce emissions,” said President of FLPS, Doug Baltzer.
Charles Cherington, Managing Partner at Intervale commented, “We look forward to partnering with the FLPS team. FLPS has grown its natural gas turbine leasing business significantly over the past year by offering a superior product and service for well-site power. Customers value the reliability and uptime of FLPS’ fleet, and demand is growing rapidly. We look forward to helping both FLPS and Recapture meet their growth objectives.”
About Flex Leasing Power & Service:
Via its fleet of natural gas powered micro-turbines, FLPS provides reliable remote electricity to the oil and gas industry. FLPS leases MT250 kW and MT333 kW Flex Turbines™ units that can operate effectively on well-head gas (350-2500btu). The company currently services customers in the Rocky Mountains and North Dakota.
Company website: http://www.flexleasingpower.com
About Recapture Solutions:
Recapture provides a comprehensive suite of flare reduction, remote power and natural gas fueling solutions to the oil and gas industry. Its primary areas of operation are the Eagle Ford Shale and the Permian, Williston and DJ basins. Recapture owns and operates a fleet of natural gas powered generators as well as a fleet of gas capture processing units which are used to capture valuable natural gas liquids contained in flare gas. Through its subsidiary Thigpen Energy, Recapture delivers onsite fueling solutions for drilling, pressure pumping and other industrial applications with LNG, CNG and field gas.
Company website: http://www.recapturesolutions.com/
About Intervale Capital:
Intervale Capital is an energy-focused private equity firm with offices in Boston and Houston. Intervale invests exclusively in middle-market oilfield services and manufacturing companies and related technologies. The firm has raised $1.2 billion of committed capital since its inception in 2006 and is currently investing from its third fund.
Intervale portfolio companies include Proserv Group (offshore and subsea equipment and services), TEAM Oil Tools (completions equipment and services), Aegis Chemical Solutions (production chemicals and water treatment), Allied Oil & Gas Services (cementing and acidizing services), Antelope Oil Tool (casing and cementing products), Certus Energy Solutions (diversified oilfield rental equipment), Energes Oilfield Solutions (well flow control, water transfer and safety services), EPIC Lift Systems (artificial lift), Tier 1 Energy Solutions (Canadian wireline and completions) and Recapture Solutions (flare remediation and power generation).
Company website: http://www.intervalecapital.com/
FlexEnergy is a privately-held business with direct sales offices in the U.S., U.K. and Singapore and a growing distributor base internationally. FlexEnergy is headquartered in New Hampshire and manufactures small gas turbines providing highly reliable, low maintenance and low emissions electricity and heat to customers globally, often in remote areas where the electrical grid can be unreliable, expensive or absent altogether. Developed over the course of two decades by Ingersoll Rand before being acquired by FlexEnergy in 2010, FlexEnergy’s turbine fleet has registered in excess of three million operating hours since commercial inception.
Company website: http://www.flexenergy.com/