Though hydraulic fracturing has stirred debate, it has quickly become widespread and attracted attention for its potential to boost profit.
Based in the Southeastern United States, C&J Energy Services–which provides various services for the hydraulic fracturing process, including coiled tubing and pressure pumping services–reported an exceptional second quarter in its 2011 financial results. Profit was $33.2 million, up from $1.7 million in Q2 2010 and $29.1 million in Q1 2011.
“Our organic fleet expansion and continued focus on highly complex well completion projects produced significant increases in quarterly revenues and earnings,” said C&J chairman, president and CEO Josh Comstock in a company statement.
The company deployed its fourth hydraulic fracturing or “fracking” fleet at the Haynesville Shale under a long term contract in April and deployed its fifth in July. C&J also has orders in for three new coiled tubing units, which are set to be delivered by the end of 2011.
“We are well positioned for future organic growth and opportunistic acquisitions as we continually look to capitalize on new opportunities in unconventional resource plays,” Comstock said.
In April, C&J bought Total E&S, a fracking pumps construction company. The acquisition added 10 acres of property to C&J’s portfolio, where it is now constructing a 36,000 square foot manufacturing facility. With the extra resources, the company plans to continue its growth in the business.
Photo Caption: C&J deploys massive trucking fleets to meet demand. These are like those trucks, but not those trucks.