keys to the turnaround
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Yes, the recession hit hard, but service and supply industry finds ways to keep on working.TRANSCRIPT
PUBLICATIONS MAIL AGREEMENT NO. 40069240
September 2010
Turnaround
Canada’s Oil and Gas serviCe and supply COmpanies
Keys to the
p r e s i d e n t & c e o Bill Whitelaw
p u b l i s h e r Agnes Zalewski
a s s o c i a t e p u b l i s h e r & e d i t o r Chaz Osburn
e d i t o r i a l d i r e c t o r Stephen Marsters
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Profiler September 2010
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4 Keys to the turnaround Yes, the recession hit hard, but service and supply industry
finds ways to keep on working
As western Canada’s economy crawls out of
its worst downturn since the 1980s, it won’t
be able to rely on a key economic engine of
the past — the shallow natural gas sector
and the entrepreneurial companies that
developed that gas and the drillers and other
oilfields service firms that produced it.
Not at today’s natural gas prices and not
at what most experts think prices will stay at
for many years.
“In the past, 70 per cent of the drilling in
Alberta was gas-based,” said Roger Soucy,
president of the Petroleum Services
Association of Canada (PSAC), which
represents the oilfield service industry. “This
year it will be 60 per cent oil-based and 40
per cent gas-based.”
To the casual observer, that might not
sound like a significant shift. But it means
the whole face of Alberta’s energy-driven
economy has been transformed, said Soucy,
with only larger companies able to operate in
the costly areas of shale gas development in
northern British Columbia, in the newer shale
oil plays like the Bakken in southern
Saskatchewan and in the oilsands.
“The small oil and gas producers are the
life of the smaller services companies and of
a lot of the economies of rural Alberta,” he
said. “Until that turns around [and shallow
gas development recovers], we won’t have
the superheated economy of the past.”
Yes, the recession hit hard, but service and supply industry finds ways to keep on workingBy Jim Bentein
Keys to the turnaround
That is reflected in statistics kept by the
Small Explorers and Producers Association
of Canada (SEPAC).
Three years ago SEPAC — which, as its
name suggests, represents mostly junior oil
and gas companies that average seven
employees each — had 450 members. It
now has 350.
Gary Leach, executive director of SEPAC,
said the combination of the credit crisis
and its impact on the ability of junior,
riskier companies to access capital, the
collapse of oil and gas prices in 2008–09,
and the continued low level of gas prices
(oil prices have since recovered and have
remained at above $70 a barrel this year)
devastated the sector.
In addition, the Alberta government’s
move to raise royalties just before the
recession (it has since lowered them and
provided incentives to the industry) brought
the sector to its knees.
Finally, the federal government’s decision
to end tax breaks for income trusts removed
an outlet for juniors, which had developed a
“symbiotic relationship” with trusts, with
junior start-ups building their reserves and
selling out to trusts.
Although the economic viability of shallow
gas development will continue to be an issue
for juniors, Leach said they will still have a
role in the energy industry.
prOFiler 5
Expanding a dEfinition“The definition of what is a junior has to
expand,” he said. “There’s a slice of the
junior sector that is still viable. Low gas
prices have accelerated a shift of the sector
to other opportunities, such as shale gas,
legacy oilfields and the oilsands.”
Since it is costlier to operate in those
areas, he said companies will have to get
bigger so they can gain access to enough
capital.
“We represent Canada’s oil and gas
entrepreneurs,” he said. “We feel we
represent the most exciting sector of the
industry and what makes Canada’s oil and
gas sector unique.”
As an illustration of how important the
sector is, he said about 40 per cent of the
publicly listed oil and gas companies in the
world are listed on the Toronto Stock
Exchange or the TSX Venture Exchange.
Some SEPAC members, such as
Connacher Oil and Gas, are involved in in
situ development in the oilsands.
Connacher will produce 17,000 barrels per
day from its steam assisted gravity
drainage (SAGD) projects in the Fort
McMurray area by later this year and has
more ambitious plans.
Leach said better financed juniors like
Connacher have proven they can develop
SAGD projects in phases, which potentially
opens up the high-cost oilsands to other
juniors.
Leach also said SEPAC members are
anything but “ma-and-pa” operators, pointing
to Crescent Point Energy as an example of a
larger producer. Crescent Point is a big
player in the Bakken and Lower Shaunavon
resource plays in Saskatchewan, as are
other members.
Leach said that despite the difficulties in
the shallow gas sector, there are still juniors
that can remain profitable operating in the
sector by maintaining a low cost base.
The collapse in gas prices — they hovered
near the $3 per thousand cubic feet level for
much of the last year — also walloped the
oilfield service sector.
Canada’s 44 largest service and supply
companies reported combined revenues of
$4.89 billion for the first three months of the
year, down from $4.91 billion in 2009 and
$5.66 billion recorded in 2008, before the
Great Recession struck.
In 2009, as the impact of the recession
hit, revenues declined about 25 per cent for
the sector, forcing a round of staff layoffs
and cost cutting. Only three companies,
Calfrac Well Services, Xtreme Coil Drilling
and Precision Drilling, reported higher
revenues in 2009 than in 2008.
PSAC’s Soucy said the Western Canadian
Sedimentary Basin remains largely gas
development–driven, and with natural gas
prices expected to stay below $5 per
thousand cubic feet for a long period, activity
may never return to pre-recession levels.
“We’ve got a service industry here that…
still has the equipment capacities and desires
for a marketplace that’s in the 25,000 to
30,000 well count range, and we’re not going
to see that anytime soon,” he said.
PSAC recently raised its forecast for
drilling activity for 2010 to 11,250 wells it
says will be punched this year, up from just
8,350 in 2009. It believes much of that oil
drilling will drive activity, predicting oil prices
will average US$82 per barrel (West Texas
Intermediate) this year, with natural gas
averaging $4.25 per thousand cubic feet.
Big dropThe oilfield service sector had about 70,000
employees in 2007, when almost 24,000
wells were drilled in western Canada. It’s
now down to an estimated 56,000.
“There are 800 drilling rigs in Canada and
200 to 300 are idle [because they’re
designed to drill for shallow gas] and they
may stay idle,” Soucy said.
Mike Mazar, a Calgary-based oilfield
service sector analyst for BMO Capital
“in thE past, 70 pEr cEnt of thE drilling
in alBErta was gas-BasEd. this yEar it
will BE 60 pEr cEnt oil-BasEd and 40 pEr
cEnt gas-BasEd.”
— roger soucy, President, Petroleum services association of Canada
6 prOFiler
Markets, said it’s an error for analysts,
economists and the news media to focus on
outdated statistics, such as well counts to
gauge the health of the Canadian energy
industry.
“We may see half as many wells drilled this
year as in 2008, but the mistake is to use the
same statistics as in the past [to measure
the health of the industry],” he said.
“We may be drilling half as many wells, but
those wells take 40 per cent longer to drill
[because of the shift to multi-stage fractur-
ing and horizontal drilling], so we may only be
down 20 per cent [in total activity].”
The measure of total wells drilled is
outmoded because of the shift to unconven-
tional oil and gas, which require different
equipment and skill sets than the conven-
tional oil and gas industry, he said.
BMO isn’t as bullish as PSAC in its
forecast for 2010, expecting 10,500 wells to
be drilled in western Canada.
But he’s said he’s anything but a “bear”
about the Canadian energy industry, saying
it’s just shifting away from the days when
shallow gas and conventional oil develop-
ment were the main drivers.
“The companies that are involved in
directional drilling and operate high-spec,
high-horsepower rigs are all very busy, as
are the companies involved in the
oilsands.”
Another analyst who covers the sector,
Andrew Bradford of Raymond James Equity
Research Canada, said it’s not likely service
sector firms that remained reliant on the
shallow gas sector will be able to shift
anytime soon to unconventional plays.
“The barriers to entry are significant,” he
said. “To get started in the sub-sector you
need to invest at least $50 million.”
Even if the shallow gas area does recover
— Mazar forecasts low gas prices for many
years, rendering the sector uncompetitive — he
said it will be difficult to attract workers to it.
“Many of those guys are very versatile,” he
said. “They can find jobs in construction in
Calgary or in the oilsands, rather than working
on a drilling rig [when it is] minus 40.”
A recent report by the Petroleum Human
Resources Council of Canada (PHRCC)
warned that the Canadian oil and gas
industry will face severe labour shortages by
the latter part of this decade, as the
oilsands expands and older workers retire.
PHRCC concluded that more than 100,000
additional workers could be needed in the
next decade.
But first the industry will have to recover
from a rough 2008–09 and the decline of the
traditionally important shallow gas sector.
Larger drilling firms saw the writing on the
wall early and have already abandoned the area.
Joe Bruce, president and chief executive
officer of Calgary-based Nabors Canada, said
the company is shifting its emphasis to the
oilsands and shale oil and gas areas.
He said the firm is ramping up develop-
ment of its “Fit-For-Purpose” rigs, designed
to drill horizontal wells for SAGD and at other
in situ projects in the oilsands.
“We have two of the rigs now, and in the
next couple of years we’ll have two or three
more,” he said. “We’re quoting on a few
more projects now.”
rig shiftThe rigs, which cost $20 million each, can
be shifted to equally hot shale gas and
shale oil plays in western Canada. Nabors,
which has 85 rigs in Canada, believes the
future of the industry is unconventional oil
and gas, said Bruce.
Although the shallow gas sector will
remain depressed, he is optimistic about
prospects for the oilfield service sector.
“We’re seeing a fairly significant increase
in our business prospects,” he said.
Precision, which has 200 contract drilling
rigs in Canada, sees a strong future in
drilling in situ wells in the oilsands,
according to president and chief executive
officer Kevin Neveu.
“It’s a good business for us,” he said. “It’s
a consistent, repeatable business and isn’t
as seasonal as other sectors [because
drilling can take place most of the year].”
During the winter drilling season 20 out of
120 Precision rigs that were working were
active in the heavy oil and in situ bitumen
areas of Alberta and Saskatchewan.
Meanwhile, 30 older rigs suited for shallow
gas drilling sat idle and it’s anticipated they
will remain so.
But because drillers use “factory-style
rigs” that can drill dozens of horizontal wells
a year at one site, Neveu said even a
dramatic ramp-up in in situ activity is unlikely
to add significantly to overall rig counts.
Bob Dunbar, a former senior regulator with
the Energy Resources Conservation Board
who runs a consulting practice (Strategy
West) that specializes in the oilsands, said
the sector, which saw projects worth about
$200 billion shelved or cancelled after the
recession hit, has bounced back stronger
than he would have anticipated.
“If you look at all of the proposed projects,
mining and SAGD projects included, we would
get up to seven million barrels of bitumen
production a day [by 2020], from about two
million barrels a day [once existing projects,
such as Imperial Oil’s Kearl project and others
are completed],” he said. “That’s four million
barrels more than forecast by CAPP [the
Canadian Association of Petroleum Producers].”
In early June CAPP said overall crude oil
production could rise to 4.34 million barrels
per day by 2025, with oilsands production
rising from about 1.6 million barrels per day
now to 3.5 million barrels daily.
Dunbar doubts all the proposed projects will
be developed but said significant expansion
will occur, likely more in line with CAPP’s view.
He said of the major roadblocks in the way
of all the projects going ahead will be finding
enough skilled labour — a fear that arose
with a vengeance a few years ago as project
after project was announced.
RESPONSE FACTORSome things that Canada’s service and supply industry did to weather the recession:• Shifted away from drilling gas wells to oil wells• Found work in oilsands• Found work outside traditional geographic markets• Employed new technologies
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MorE joBs coMingThe oilsands sector now employs 12,000
full-time people operating plants (not
counting the several thousands workers that
can be employed at any one time construct-
ing the plants or in the service sector) and
the PHRCC forecasts that that will
rise to 24,000 by 2020, with
thousands of spinoff jobs
related to that expansion.
The oilsands isn’t the
only growth area.
While shallow
gas production
wanes, shale
and tight gas
plays and shale oil
plays are also moving
ahead. And the companies that
specialize in fracturing and coiled
tubing services, the keys to developing
those plays, aren’t able to keep up with
the growth.
Doug Ramsey, president and chief executive
officer of Calgary-based Calfrac Well Services,
which specializes in the area, worries about
finding enough skilled workers to operate his
company’s sophisticated equipment.
“We have 2,273 people working for us
now,” said Ramsay, an oilpatch veteran of
35 years who launched Calfrac 11 years
ago. “It costs us $10,000 a year to train a
new guy. In a good year they can make
$100,000 to $150,000, but not everyone
wants to work in [northern Alberta or British
Columbia] for 15 days, with six days off. We
get a lot of competition [for workers] from
the oilsands.”
For Ramsay, who has built the company
from annual revenue of $4 million to a
projected $900 million this year, it’s a cruel
irony when he sees doom-and-gloom economic
forecasters predicting a return to a recession
while his company is having difficulty finding
enough personnel and equipment.
In June, Calfrac announced a $60-million
increase to its 2010 capital program for a
revised total of $176 million.
Calfrac, which has contracts in Canadian
tight gas plays such as the Montney and
Horn River, as well as in the Marcellus play in
the United States, is also increasingly active
in unconventional oil plays in Canada, such
as the Cardium, Lower Shaunavon and
Bakken. In addition, it is active in Russia,
Mexico and Argentina.
It’s not alone. Other companies involved in
pressure pumping, directional drilling and
drilling contractors with deep-rig capacity are
also reporting increased activity, following
difficult times for the entire service sector in
2008–09. Calfrac competitors such as
Calgary-based Trican Well Service and
Canyon Services Group are also having
problems finding enough skilled
workers to keep up with a growing
workload.
Despite that growing optimism
returning to the energy
sector and to the Alberta
and western Canadian
economy (it represents
about half of Alberta’s
economic activity), one of
Alberta’s better known
economists warned that there are still
some storm clouds on the horizon.
Todd Hirsch, chief economist with ATB
Financial, said there is still a possibility the U.S.
economy will experience a double-dip recession
sometime later this year or next year.
“I’d put it at a 25 per cent chance now,”
he said. “Six months ago I would have put it
at 10 per cent.”
But even if there is no return to recession-
ary conditions, Hirsch sees moderate growth
persisting in the United States for two to
three years because most Americans carry
debt levels that won’t allow them to return to
their past spending patterns. Since about 70
per cent of the U.S. economy is reliant on
consumer spending, the likelihood is that
growth will remain tepid. The housing
market, a key source of fuel for consumer
expenditures in the past, likely won’t return
to health for many years, he said.
This means there won’t be a return to
boom times anytime soon for Alberta,
Saskatchewan and other provinces reliant on
a healthy oil and gas market.
“But if the U.S. doesn’t go into a new,
severe recession, oil prices should be able
to stay above $70 a barrel, which is
important for our economy,” he said. “Right
now it’s looking good.”
Hirsch shares the view that natural gas
prices will remain low, which will limit the
economic rebound in the energy business.
The recent recession was a painful one
for Alberta, with the economy contracting
in the first quarter of 2009 by 5.1 per
cent. Oil prices virtually collapsed, dipping
to the low $30s.
Saskatchewan’s economy contracted by
6.3 per cent during that period. That
province’s economy is about one-fourth the
size of Alberta’s.
Hirsch, who remembers the days of the
National Energy Program in the early 1980s,
when the Alberta economy collapsed (he was
in university when it happened), said last
year’s contraction wasn’t as serious as that
unhappy period.
“The recession of 1981 was much worse
[with the economy dipping by double digits]
because unemployment was at 12.8 per
cent and interest rates were very high [also
in the double digits]. Last year the unemploy-
ment rate was at about 7.5 per cent and
interest rates were very low.”
The economic decline Alberta experienced
last year illustrated that, despite all of the
attempts at diversification, “it remains a
boom-bust economy.”
This year, ATB predicts the Alberta
economy will grow about 2.5 to 3 per cent,
which he called “respectable.”
The good news is that, despite last year’s
economic freefall, Alberta remains “the best
place to be in North America,” said Hirsch.
That’s because the Alberta government
has no debt and its resource-driven
piggybank, the Heritage Savings Trust Fund,
has $14.4 billion in it. Over the 32-year
history of the fund, it has generated $32
billion in investment income.
“I think this is the No. 1 reason Alberta
will weather anything that comes its way,” he
said. “Even if the government had to run two
to four years of deficits, it could do it without
raising taxes.”
Alberta remains the only province in
Canada without a sales tax and the only
government in North America with an overall
surplus.
He’s also optimistic about Alberta’s
economy because of its “entrepreneurial
spirit,” he said.
Said Hirsch: “There’s a mystique about
Alberta that it’s a land of opportunity and, in
many ways, that has become a self-fulfilling
prophecy.”
8 prOFiler
Specifically, the TAFA System JP 8000,
only the second such unit installed in
Canada, provides several quality account-
ability features. For each item or lot
handled, it can generate a customer-
specific quality-control record specifying
what type of coating was used and also
provides a real-time illustration of the
parameter settings while the coatings were
applied. This is important for engineering
follow-up as well as instilling confidence
with anyone still skeptical about the
products they are receiving as well as the
thermal spray process in general. Never
before has there been a system that can
offer such quality and accountability.
“Thermal spraying does work if done
properly,” Orich insists, adding that using
correct procedures and high-quality coating
products, while paying proper attention to
finishing, can yield up to a fivefold exten-
sion of product life. “It has to look like and
function like a brand new tool or better
when it leaves here,” he stresses.
“We would rather build our reputation and
business on providing customers with
something that will last than produce repeat
business by having a piece we worked on
break down and then be brought back to our
shop for another repair.”
CoMPany naMe: Wilcox High Velocity Ltd.
oWners: Chris Everard and Lynn Orich
year InCePted: 2006
BusIness CateGory: Protective coatings
address: 16715 114 Avenue Edmonton, AB
Phone: (780) 483-8861
WeBsIte: www.wilcoxhighvelocity.com
FAST FA
CTS
In serving the oil, gas and other industries,
Edmonton-based Wilcox High Velocity Ltd. is
bringing thermal spray systems to new levels
in Canada.
Helping make that happen is the company’s
newly acquired TAFA System JP 8000, which
delivers product-control and advanced coat-
ings technologies — such as tungsten-carbide
coatings — along with up-to-date data-
acquisition systems. It leaves clients convinced
that thermal spraying is the way to go when
refurbishing drilling and other components.
The advanced tungsten-carbide and other
coating options complement additional
Wilcox High Velocity specialized ser-
vices — notably precision milling, machining,
fusing and grinding (using some of the
largest grinders available in Edmonton).
Owner/operator Chris Everard says Wilcox
High Velocity stands ready to repair “just
about anything that wears out.” That could
entail triplex pumps, plunger parts, blowout
preventer components, turbines and
compressors, to name just a few. Wilcox
High Velocity also will fashion entirely new
equipment to meet customers’ specs.
While highly focused on oil and
gas — including overhauling equipment for
use in harsh conditions, such as H2S
environments — Everard notes that Wilcox
High Velocity also supports other areas,
including refining and upgrading, pipe-
lines, pulp and paper, and even
agriculture.
Formed four years ago by an ownership
team that also includes Lynn Orich, Wilcox
High Velocity has outgrown its original
3,000-square-foot shop. In February, it
moved to spacious 15,000-square-foot
quarters on 114 Avenue in Edmonton. From
there, the company serves Alberta, British
Columbia and Saskatchewan, as it continues
to build its clientele, which includes the
Canadian operations of major multinational
oil-service corporations.
With a combined 60-plus years thermal-
spraying and grinding experience, the
ownership team is supported by a 17-member
staff who also have extensive know-how in
these areas. In fact, in some ways the recent
oilpatch downturn actually proved beneficial.
As other operations trimmed staff, Orich and
Everard drew upon their industry connections
and insight to recruit experienced workers.
“Our people are our technology — they’re
making the difference,” says Orich, who
emphasizes that at least three sets of eyes
inspect all products leaving the shop. With
that kind of vigilance over a four-year period,
2,500 Wilcox High Velocity deliveries
generated just seven non-conformance
reports and no failed-product reports.
Wilcox High Velocity’s dedicated and
competent staff, and state-of-the-art
equipment produce turnarounds typically in
the order of three to seven days or less.
People are important, but nuts and bolts,
and bits and bytes technologies also count.
Wilcox high VelocityApplying the latest technologies to refurbish oilfield tools
prOFiler 9
“We are protecting the environment,”
Shain says. “Anything used for storage or
transportation — such as oil and gas
pipelines, virtually anything that is welded
together or subjected to the elements that
can pose a hazard to health or environ-
ment — we inspect. For example, we come in
at the construction phase of a gas plant to
make sure everything that gets put into place
is safe. We come in during operation to make
sure things continue to be safe, and we come
in at the end when they take it out of service,
to make sure things don’t cause problems in
the future.”
Shain began working in the industry in
1991 at the age of 18, “which is as early as
you can get into this business,” he says. By
age 25, Shain ranked in the top four per cent
of qualified workers across Canada in the
non-destructive examination industry.
safety and quality are top priorities at
Bakos (NDT) Inspection (1989) Ltd.,
which provides non-destructive testing
services in western Canada. Based in
Whitecourt, Alberta, Bakos NDT does new
construction and integrity inspections for all
types of industries, ranging from the oilfield,
to pulp mills, power plants and other
industrial operators.
Bakos NDT was established in 1982 by
Frank Bakos, who grew the company over the
years before handing over the reins to his
nephew, Brian Bakos, who became a partner
in 1989 and took over the company’s
operations in 1993. Frank’s son, Shain,
became a shareholder in 2004. In 2008,
Shain bought out his partners in order to
follow his visions of the future.
The quality of the people are what set
Bakos NDT apart, says Shain Bakos,
company president, who is proud of the
name that Bakos NDT has built for itself over
the years. Bakos NDT is unique among its
peers in that it has always been family-
owned and operated. Bakos NDT continually
refines itself and explores new technologies
in order to improve the service it provides to
customers. Bakos NDT’s 30 employees work
primarily in Alberta and British Columbia but
have recently began exploring the inter-
national marketplace, doing everything from
major oilfield construction projects to
electrical generating power plant turbines, jet
turbine-powered natural gas pumps, and the
pulp and paper industry. The services
provided include radiography testing,
magnetic particle testing, ultrasonic testing,
liquid dye penetrant testing, hardness
testing, corrosion surveys and life
assessment.
Bakos (ndt) Inspection (1989) Ltd.Western Canada’s leader in non-destructive testing
Shain Bakos, Bakos NDT’s president
10 prOFiler
“It gives Bakos NDT a unique experience in
the industry, compared to other companies,”
Shain says. “As an owner, I have experience
with all aspects within the industry, what jobs
to go after and how to serve the customer
best. If the top guy knows what he is talking
about under every situation, then the
customer will be confident that they are being
properly serviced.”
Although Shain doesn’t work in the field
anymore, he continues to add to his skill set,
and acts as a mentor to his workers. “I go
and check things out and bring my knowledge
back to them,” he says. “I share with them,
so they can be a lot more successful.
Customer confidence is a huge thing to me.”
These are just a few of the reasons that
Bakos NDT continues to thrive. “We’ve been
riding out the storm quite successfully,”
Shain says. “More tenders for large projects
are crossing my desk than I’ve ever seen
before. What we are watching for is that all
these large tenders actually turn into real
work. It’s difficult — only time will tell
whether the recovery is real.”
For Bakos NDT, “2009 was a rebuilding
year. Everything was looking pretty rough.
You’ve got to take that negative, turn it
around and say, ‘What will make our
company more attractive for the work that is
continuing?’” For Bakos NDT, the answer was
to increase the quality of its people,
procedures and equipment. “That way, when
you go and sell yourself, you have a better
product to give than the person that didn’t,”
Bakos says. “I’m not building the company
for pure profit, I’m building it for longevity.”
To this end, Bakos NDT is offering several
new services, including remote visual
inspections, ground penetrating radar, and
API inspections for vessels, tanks and piping.
The company has also been working to forge
agreements and associations with other
non-destructive testing firms, in order to
offer a broader service offering and compete
on a larger scale. “It’s making really good
contacts, seeing where we can come
together and letting us compete with some of
the union outfits.”
In the past year, Bakos has made changes
to the company’s administration structure
and has been going after more jobs,
including international contracts — a move
that is promising to take Bakos NDT to an
entirely new level. “At Bakos, we are striving
to compete in the international market, and
so far have had a good response from it.”
And for the industry as a whole, Bakos
sees things levelling out. “People are
starting to go back to work. The future is
bright if we can all hold on.”
CoMPany naMe: Bakos (NDT) Inspection (1989) Ltd.
PresIdent: Shain Bakos
Founder: Frank Bakos
year InCePted: 1982
nuMBer oF eMPLoyees: 30
BusIness CateGory: Service industry, industrial inspections
address: 3510 43 Avenue, Whitecourt, AB
Phone: Toll-free 1 (888) 763-5575
WeBsIte: www.bakosndt.com
FAST FA
CTS
prOFiler 11
Owned by husband and wife David and Faye
Desranleau, who founded the business in
1978, Desran Holdings provides services to
assist companies that are maintaining gas
and oil wells and doing workovers and
completions. Desran Holdings provides
dependable, quality service
and over the years has
acquired the
equipment it
needs to
assist
companies doing exploration in the
Athabasca area. It works primarily in
a 160-kilometre radius of Perryvale,
which is located just south of
Athabasca.
“We are very hands-on,” says Faye
Desranleau, the company’s secretary-
treasurer. “My husband works with the
employees — we have up to 12 employees
at our busiest time of year. Because we are
a mom-and-pop company, and with the
small turnover of employees that we’ve had,
we’ve been able to give really good service.
That’s what has kept us going and growing
over the years.”
In addition to trucking,
Desran Holdings
supplies potas-
sium chloride
and inhibitor.
Both of
these
chemicals
are not
readily
available
in the
area,
unless they
are ordered
and shipped
in. Desran
Holdings saw a
need and
stepped in to fill it.
“We always keep
these on hand — that
makes their life a little
easier,” Desranleau says.
Desran Holdings also supplies
heated water to oilfield companies. “The hot
water makes everything a whole lot easier in
the winter when we are working with the
service companies. Rather than trying to
work with ice-cold water at 40 below, they’ve
got hot water, which warms up their
equipment.”
Desran Holdings is here for the long haul.
Since the start of the recession the company
desran holdingsTrucking company is here for the long haulDesran Holdings is an Alberta-based trucking company that hauls produced water and oil for the oil and gas industry.
has seen a slowdown, especially since much
of its work involves gas exploration and
production. However, the North Athabasca
area has seen a flurry of oil exploration
activity at the same time, which has helped
balance things.
“We haven’t had as good a year as before,
but we’ve done perfectly well,” Desranleau says.
Looking forward, she expects that oil
and gas companies will be working in the
Athabasca area for years to come. With the
development of new drilling and comple-
tions techniques, “areas passed over 20
years ago are suddenly becoming very
interesting to exploration companies. I
think there is always going to be a lot of oil
work, and natural gas is always going to
be needed.
“We grew with the development in our
area. It’s been good for us, and I think we’ve
been good for them.”
CoMPany naMe: Desran Holdings
PresIdent/Founder: David and Faye Desranleau
year InCePted: 1978
nuMBer oF eMPLoyees: 8–12 depending on season
BusIness CateGory: Trucking
address: Box 102, Perryvale, AB
Phone: (780) 698-2137
eMaIL: [email protected]
FAST FACTS
12 prOFiler
Calibre Drilling is dedicated to providing time-efficient, cost-effective drilling services for its customers and helping oil and gas companies reduce costs substantially. All rigs are truck-mounted and the support equip-ment is on trailers to reduce moving costs between locations.
The Spruce Grove–based company has been doing pre-sets and drilling wells for more than a decade, and has established an excellent reputation for service. “The key to our success has been in diversification, and this has also helped us to retain conscientious and safety-minded employees,” says Calibre Drilling owner/president Randy Riedlinger, who runs the business together with partner and operations manager Clay Cunningham.
Calibre Drilling is a privately owned firm that has grown from one drilling rig doing oilfield water well rentals, to three rigs with full support equipment for pre-sets, coring and deepwater wells for steam assisted
gravity drainage projects. Calibre has worked across Alberta, into northern British Columbia, and as far north as Yellowknife. In addition to oilfield work, the company provides drilling services for commercial and industrial projects, and water wells for acreage owners and farm use.
Calibre Drilling prides itself on having jumped on the “safety train” early on, first by attaining its Certificate of Recognition — a certification the company has held for more than six years — and then by subscribing to a safety program used by most large oil firms as a screening tool for prospective contrac-tors. Calibre Drilling became involved in this program because it wanted to promote a “Safety First” attitude. By showing its commitment to safety, the company wants to raise awareness among all employees of the value of working safely.
Calibre Drilling’s dedication to safety is also related to maintaining its equipment in
good repair, which is a top priority. Since the company devotes a significant portion of its budget to equipment maintenance, the possibility of something malfunctioning and causing an accident is low to none. Its maintenance program also ensures maximum efficiency in the field. Providing training for workers to ensure they know how to operate the equipment properly is also key — once again reducing the risk of accidents.
The future is hopeful for the Spruce Grove–based company, which is starting to see signs of economic recovery. “The work is becoming more steady,” says Riedlinger, who expects that business will start to pick up in the coming year.
Looking forward, Calibre Drilling sees the Canadian North opening up with drilling opportunities. At the same time, the company hopes to build strong business ties and relationships with aboriginal communities in the North.
Calibre drillingFocus is on safety, diversification
CoMPany naMe: Calibre Drilling
toP eXeCutIVes: Randy Riedlinger, president; and Clay Cunningham, operations manager
year InCePted: 1999
nuMBer oF eMPLoyees: Seasonal fluctuations between 10 and 35 employees
BusIness CateGorIes: Drilling/pre-sets/coring/water wells
address: Box 4083, 431 South Avenue, Spruce Grove, AB
Phone: (780) 960-2992
WeBsIte: www.calibredrilling.com
eMaIL: [email protected], [email protected]
FAST FACTS
Clay Cunningham, Calibre Drilling’s operations manager
prOFiler 13prOFiler 13
IC_NickelsAd_103533_072910_FullPage.indd 1 29/07/10 1:57 PM
IC_NickelsAd_103533_072910_FullPage.indd 1 29/07/10 1:57 PM
Infratech, a customer-focused Whitecourt,
Alberta, company founded in 1987, provides
world-class combustion process and
incineration-related products and specialized
technical services to a global client base.
Infratech manufactures its products to
exacting specifications, creating application-
specific incinerator designs and cost-
efficient, environmentally sensitive combus-
tion solutions for solid, liquid and gas waste
applications. The company provides a variety
of incinerator configurations, plus state-of-
the-art infrared imaging and thermographic
consulting services, including industry-
leading infrared gas leak detection services.
Infratech is an ISO 9001:2008-Certified
company which provides products and services
for customers across Canada and worldwide,
with orders going to Russia, Japan, Kazakhstan,
the Middle East, Africa, Mexico, Venezuela, the
Caribbean and the United States.
For the Canadian oil and gas industry,
Infratech’s Whitecourt base is a central
location to serve customers effectively.
“Within a 4.5-hour radius of Whitecourt, we
can be in places like Cold Lake, Fort
McMurray, Fort St. John, Calgary and
everywhere in between,” explains Infratech
vice-president Dan Guenette.
INCINERATION EqUIPMENT AND DESIGN
Whether for a gas waste stream in Alberta,
camp waste on a drilling platform in Russia or
pathological waste in Mexico, all Infratech
incinerators are designed to the client’s
specific application, minimizing auxiliary
fuel-use requirements, reducing emissions and
optimizing the combustion process. “We don’t
provide a generic solution, and therefore our
equipment is more efficient,” Guenette says.
All of Infratech’s incinerators are manufac-
tured to meet the most stringent codes and
specifications, using leading-edge and
best-available technologies. The standard
incinerator package includes nano-
programmable logic controller technology,
allowing for fully automated operation. The
control philosophy can be tailored to suit the
required process and always includes all
required safety systems and devices.
FUGITIVE EMISSION MANAGEMENT SERVICES
Infratech provides full turn-key fugitive emission
management services for its clients, with
documentation that meets or exceeds legislative
requirements in both Alberta and British
Columbia, and fully prepares the client for any
regulatory audit that might occur. “We are the
leaders in fugitive emission management
services in western Canada,” Guenette says.
The leading-edge GasFindIR camera that
Infratech uses is an infrared imaging camera
that acts as a portable inspection system to
detect gas leaks quickly and easily.
Infratech’s certified technicians can scan
large areas of equipment throughout a facility,
and identify gas leaks with pinpoint accuracy.
The portable Hi Flow Sampler allows
Infratech’s technicians to accurately measure
gas-leak rates. With gas leak quantification, a
complete, economical analysis will determine
the payback period of each leak, and assist in
planning maintenance and repairs.
INFRARED INSPECTION SERVICES
Infratech has been providing specialized
infrared inspection services to industry in
Canada since 1987. It was the company’s
main focus when it was founded and
something they still take a lot of pride in
doing well. They specialize in electrical, heat
loss/refractory condition, and refinery and
gas plant production furnace tube coil
inspections. The production furnace tube coil
inspection application is the most demand-
ing and challenging for the equipment and
the technician, as the technician scans and
reports tube surface temperatures of the
tube coil while the furnace is operating under
normal loads. No shutdown is required for
this inspection. “It provides the client with
essential predictive maintenance information
as to how the furnace is actually operating,
and what upcoming maintenance or
operational changes may be required to keep
the furnace running in its optimal range. Over
the years, we’ve perfected this service and
are considered the leaders in Canada,
completing services at gas plants and
refineries across Canada.
OTHER SERVICES
Infratech also provides contact operators to
the industry, with a focus on high-quality
individuals with an emphasis on ongoing
industry training. In addition, they have
in-house engineering and drafting to
supplement their designs and fabrication, and
therefore also provide drafting and design
services to clients in the Whitecourt area.
A RELENTLESS FOCUS ON qUALITY
“We’ve got what we would consider to be
absolutely top-notch staff,” Guenette says, as
he describes the company’s approximately 40
workers. “They take ownership in what they
do, and care about the client and about the
outcome of the service or product.
“The other thing is the direction the
company has always taken — having the
best-quality product or service in the industry.
We are not really interested in being second-
best at anything. We put a lot of extra effort
into making sure we can provide the client
with the best service, the best results and the
best product at the end of the day, period.”
These are just a few of the reasons that
Infratech has been growing through the
recession, posting a 15 per cent growth rate
last year and another 15 per cent growth to date
this year. “We’ve been able to do that because
of our focus on the client,” Guenette says.
For service companies, Guenette thinks
the keys to weathering the economic storm
include a strong balance sheet, looking after
clients and keeping the clients you have.
“We think the recovery is just now beginning,
and things are looking great.”
InfratechWorld class in every way
CoMPany naMe: Infratech
PresIdent/Founder: Don Guenette, president; Dan Guenette, vice-president
year InCePted: 1987
nuMBer oF eMPLoyees: 40
BusIness CateGorIes: Equipment design and fabrication, infrared inspections, fugitive emission management, fired equipment service, contract operators incineration
address: 3415 35 Avenue, PO Box 2099, Whitecourt, AB
Phone: (888) 377-5432 (toll-free); (780) 778-4226
WeBsIte: www.infratech.cc
Fast Fa
Cts
14 prOFiler
IC_NickelsAd_103533_072910_FullPage.indd 1 29/07/10 1:57 PM
stuber’s Cat serviceOffering experienced operators, 24-hour service
CoMPany naMe: Movac Valve Systems
PresIdent: Paul Robb
BusIness CateGory: Valves — Actuators
address: 5638 88 Street, Edmonton, AB
Phone: (780) 468-6077 (866) 468-6077 (toll-free)
eMaIL: [email protected]
FAST FACTS
Movac Valve Systems is an Edmonton-based
automation and actuation company that
specializes in valve actuation, emergency
shutdown systems, gear ops, chain ops,
spring return handles, valve repair, replace-
ment and servicing.
In business for more than 30 years,
Movac serves a wide range of industries,
from oilfield services, to pulp and paper, to
water treatment. “Just about everything to
do with automation and actuation, we fit
together to accommodate what customers
need,” says Movac Valve Systems manager
Paul Robb.
Movac Valve Systems serves customers
across western Canada and the United
States, as well as overseas. In the past
two years, the company has expanded from
two to eight employees, and from a
2,000-square-foot shop to a 7,000-square-
foot warehouse and automation centre.
The company also has a salesman based
in Calgary.
Movac Valve Systems carries several
product lines:
automax — Valve and damper actuators
Movac — Manual gear operators
uni-Lift — Machine screw and ball screw jacks
atI — Linear operators
auMa — Electric actuators
“We try to have the products that
customers require,” Robb says. “There are
specialty items that some customers
require, and we try to have them on the
shelf, ready to go. We try to look ahead. If
you might need these items down the road,
we put them on the shelf. We are definitely
there to help them.” This way, Robb explains,
Movac can save customers both time and
expense, since it means the company won’t
have to build systems from scratch.
Movac Valve Systems has seen steady
growth over the years, and the recent
economic slowdown didn’t affect the
company much, Robb says. “We didn’t really
see much. It wasn’t anything I was really
worried about.”
As far as the future goes, Movac’s
approach is to “just keep moving ahead.”
“No matter what your need or application,
talk to us,” Robb says. “We can help you get
the job done right. We have years of
experience in all kinds of industrial valves
and valve systems.”
Movac Valve systemsHelping you get the job done right
16 prOFiler
stuber’s Cat serviceOffering experienced operators, 24-hour service
Stuber’s Cat Service specializes in wellsite
preparation, wellsite cleanup and reclama-
tion, along with general Cat and track hoe
construction. Serving central and northern
Alberta, we offer 24-hour service with
experienced operators and specialized
training, which is a company mandate.
We are an industry leader in heavy
equipment operation, and are committed to
offering top-quality work for the construction
of oilfield leases and access construction, as
well as wellsite cleanup and reclamation. We
have the skills and equipment necessary to
complete every project.
Located in the Barrhead area, Stuber’s
Cat Service is active in many different
locations, including Whitecourt, Drayton
Valley, Athabasca, Westlock, Morinville,
Spruce Grove and surrounding regions.
Owned and operated by Mike and Delphi
Stuber, the company was established in
1975 and incorporated in 1980. When he
first started out in the business, Mike ran
equipment for his father, Edward Stuber,
who owned Cats. Mike bought his first Cat
from his dad in 1975, then continued
expanding, buying and upgrading equip-
ment making Stuber’s Cat Service what it
is today. Mike is the company’s president
and chief executive officer, while Delphi is
office manager and company safety
officer. Their son Trevor also owns and
operates equipment, and works alongside
his father.
Stuber’s Cat Service is a third-generation
company offering 24-hour service with highly
experienced, trained personnel who perform
their duties while maintaining safety and
high-quality work as a top priority, and
complete their work with the least amount of
impact on the environment as possible.
Stuber’s Cat Service prides itself on
having the best safety and environmental
standards in the industry and on doing a
quality job on time, for each and every
customer.
Our company holds a Certificate of
Recognition and are proud members of
Comply Works (formerly HSE Safety
Canada), ISNetworld and Partnerships in
Health and Safety.
Currently, our main challenges are to
diversify and continue maintaining top-quality
workmanship in these challenging economic
times. Further expansion will depend on
future economic growth.
CoMPany naMe: Stuber’s Cat Service
PresIdent/Founder: Michael Stuber
year InCePted: 1980
nuMBer oF eMPLoyees: 20 full-time
BusIness CateGory: Oilfield construction/reclamation
address: Site 7, Box 12, RR#2, Barrhead, AB
Phone: (780) 785-2173 (office), (780) 785-2646 (fax)
eMaIL: [email protected]
FAST FACTS
Stuber’s Cat Service president Mike Stuber (left), Trevor Stuber (centre) and office manager/safety officer Delphi Stuber with dog Shaker.
prOFiler 17
This past June, Profire unveiled its new
flagship product at the Global Petroleum
Show in Calgary. The Profire 2100 Burner
Management System (BMS) offers a head-up
on the competition with its stackable
expansion modules, which allow the user to
add nearly any functionality, such as modbus
and data tracking, to the system. This
reduces the cost of the base model, while
allowing for precise tracking and manage-
ment of the burner when required.
“The biggest thing is that it’s user-friendly.
It is designed around user expansion, with
optional add-on cards,” says Profire
vice-president Justin Hatch.
After the debut of the 2100 controller,
requests for Profire’s new flagship controller
and its additional functionality have been
steadily increasing. “Our end users couldn’t
be more pleased with the new functionality,”
states Hatch.
Harold Albert, Profire Combustion
president, observes: “Our Profire 1100
blazed the trail for safety and efficiency.
Coupled with the service rendered by our
experienced team, the 2100 will take its
place in meeting the needs of our custom-
ers by decreasing operating costs, increas-
ing efficiencies and eliminating downtime.”
Based in Spruce Grove, Alberta, Profire
Combustion has been at the forefront of the
burner industry almost since the inception of
the electronic management system. Profire’s
knowledgeable employees have served the
burner industry for a combined total of 30
years. Over the years, the now publicly
traded corporation has focused its efforts on
building the most robust BMS on the market.
Profire Combustion is the operating division
of Profire Energy (PFIE: OTCBB).
UNPARALLELED SERVICE
Profire has expanded its service department
to ensure it can continue taking good care of
its customers, as well maintain its firm hold
on the market.
Currently, Profire has four highly skilled
service technicians, who specialize in
everything from commissioning to
efficiency testing. The commissioning
process is one in which they take
particular pride. According to service
manager Brendan Frank, “Our processes
have been carefully structured around
checks and balances, to ensure that the
fuel train and controller are synchronized
to create the highest-efficiency of the
burner. Meeting a high efficiency
decreases the frequency of service visits,
reduces fuel consumption and ensures a
longer-functioning system.”
Along with commissioning, Profire techs
also do preventative maintenance on the
various burner units. This includes Flame
Arrestor Testing, which is the API 12N
procedure for ensuring the flame arrestor
is still able to effectively quench the flame.
Ensuring that fuel trains are set up in
accordance with the B149 Gas Code
Profire CombustionImproving equipment efficiency and reducing customers’ costs
Profire Combustion supplies reliable, quality products and services to the oil and gas industry, providing the latest in burner control. Profire is committed to doing all it can to improve
equipment efficiency and reduce operating costs for its customers.
18 prOFiler
CoMPany naMe: Profire Combustion
PresIdent/Founder: Partnership — Harold Albert and Brenton Hatch
year InCePted: 2002
nuMBer oF eMPLoyees: 18
BusIness CateGory:Oil and gas burner industry
address: Box 3313, Bay 12, 55 Alberta Avenue, Spruce Grove, AB
Phone: (780) 960-5278
WeBsIte: www.profireenergy.com
guidelines is a top priority, and the Profire
team has been carefully trained to meet
this standard.
SPECIALIzED PRODUCT LINES
In order to meet the needs of its valued
customers, Profire carries many product lines
specific to industry needs. Along with its
proven line of BMSs, including the 1100,
1100i and now the 2100, Profire is proud to
offer lines such as Kimray, Fisher, Neo,
Maxon, Asco and Wohler. The Wohler
combustion analyzers are among the finest
in the combustion analysis market. After
carefully aligning itself with some of the
finest manufacturers, Profire has been able
to boast an unfailing lineup for its fuel trains.
Independently tested, the Maxon burners
have repeatedly outperformed their competi-
tion and a close second is the Eclipse line,
which Profire also distributes. Asco has
introduced its low-power solenoids, which
are proprietary to the 2100 BMS. Neo ball
valves are among the only CSA-certified
manual ball valves on the market and Profire
represents Neo in western Canada. Ensuring
that they work with the best allows the team
at Profire Combustion to provide a reliable,
manageable system.
FUTURE GROWTH
Marking the recession as a starting gate to
consider the market’s future, Profire
devoted its energies during this slower
time to prepare for growth. As the market
for BMSs expands, Profire’s team of
experts continues to traverse the
rocky economic landscape, emerging
stronger and more able to provide for
customers’ needs.
“The state of the economy has helped us
be more cognizant of the value of a quality
product founded on the principles of
service,” Hatch says. “Our customers
require the best product and efficient
service at an affordable price. And that’s
just how we roll!”
The Profire team believes in a strong
future, built on the value and reliability of
its products, as well as on dependable
service. After considering what the future
could hold, Profire positioned itself for
further development in the market. By
increasing the number of qualified staff it
employs, Profire management has prepared
the company for growth, opened doors that
had previously been closed, and paved the
road to further developments serving the
combustion industry.
FAST FA
CTS
prOFiler 19
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Well Tested. Nature Approved.
At AWI we are dedicated to reducing oil and gas related production test flaring. Our low emission burner technology provides advancement over existing conventional flares and with over 80 years experience in incineration and production testing, we guarantee you superior results. Competitive rental rates, 24 hour service and client satisfaction — that’s the AWI promise.
AWI_Nickels_FullPage_103530_072810.indd 1 29/07/10 1:41 PM
w w w . a w i n c i n e r a t o r s . c o m 1 - 8 8 8 - 7 7 8 - 0 9 6 0
Well Tested. Nature Approved.
At AWI we are dedicated to reducing oil and gas related production test flaring. Our low emission burner technology provides advancement over existing conventional flares and with over 80 years experience in incineration and production testing, we guarantee you superior results. Competitive rental rates, 24 hour service and client satisfaction — that’s the AWI promise.
AWI_Nickels_FullPage_103530_072810.indd 1 29/07/10 1:41 PM
Alberta Welltest Incinerators (AWI) provides
industry-leading incineration technology that
is dedicated to reducing the environmental
impact of oil and gas-related production test
flaring. AWI’s low-emission burner technology
provides a significant edge over conventional
flares and enclosed flaring equipment, along
with competitive rental rates, 24-hour service
and an intense focus on client satisfaction.
With more than 80 years of experience in
incineration and production testing, AWI
guarantees you superior results.
AWI’s industry-leading incineration
technology is highly effective and efficient,
converting 99.99 per cent of methane to CO2
and H2O. The system disperses combustion
products thanks to its high operating
temperatures, increased stack velocities and
a forced draft system.
Designed specifically for well completion
applications and patented in Canada and the
United States, AWI’s equipment is “the most
efficient and effective on the market for that
purpose,” says AWI vice-president, Dan
Guenette. “It is the only incineration
equipment in the industry specifically
designed for well completions and well
testing applications — that’s really the big
thing. We designed it specifically for doing
that job, and it does it very well.”
Based in Whitecourt, Alberta, AWI works
primarily in Alberta, British Columbia and
Saskatchewan. The company was founded
in 2004 by two sets of brothers: Dan and
Don Guenette, and Greg and Steve Tipper.
Greg Tipper is president of AWI, which
employs two full-time workers: a manager
and a sales representative, who handle
AWI’s day-to-day operations of renting
portable incineration equipment for well
completion and well testing applications.
AWI’s employees are “top-notch people,”
says Dan Guenette, who believes it is AWI’s
people who make the company the success
that it is, as much as its equipment.
AWI represents the best available
technology to handle the effects of
high-volume flaring associated with well
testing, improving combustion and high
internal temperature retention, and
preventing noise pollution. The AWI burner
system provides optimum fuel and air
mixing energy, ensuring extremely high
combustion efficiency. Alberta welltest
incinerators run quietly and efficiently,
emitting no odour, no smoke, no visible
flame and no heat radiation.
AWI’s control system includes a
patented forced draft multi-point vortex
burner, automated air delivery system, dual
pilot continuous ignition system, and
continuous temperature measurement and
recording. Instantaneous online tempera-
ture monitoring and recording take place
through the on-board communications
module. Clients can access temperature
data with a password, and monitor
real-time temperatures and well test
progression, from any computer with
Internet access.
The simple automated control system is
user-friendly, with a rapid set-up. The
equipment is skid-mounted for ease of
loading, transportation and installation.
Installation is completed in just 20 minutes,
with no guy wires and zero ground
disturbance.
Compared to conventional and enclosed
flaring, AWI technology offers:
• Combustion efficiency of 99.99 per cent,
resulting in improved air quality and
reduced greenhouse gas emissions;
• Stable, consistent combustion in an
enclosed, lined chamber unaffected by wind;
• A freestanding unit with zero ground
disturbance, no smoke, no visible flame
and no odour;
• No heat radiation at ground level, resulting
in improved protection of personnel,
equipment, and Arctic/tundra and other
sensitive environments;
• Oversized load permits and pilot trucks are
not required with AWI’s equipment, which
measures 40 feet long by 11.5 feet wide
and weighs 16,500 kilograms;
• Uses significantly less fuel than a flare to
efficiently incinerate low heat content
gases (H2S) with 99.99 per cent combus-
tion efficiency;
• Compliant with Energy Resources
Conservation Board (ERCB) Directive 60.
The equipment is approved to incinerate
sour gas above five per cent, as per ERCB
Directive 60 requirements. The system
features a 40-foot exit elevation; dual
continuous pilots; continuous temperature
monitoring and recording; and the ability to
maintain a temperature of 600 degrees
Celsius for H2S incineration, reducing or
eliminating additional fuel requirements.
Oil and gas producers choose AWI over
conventional and enclosed flaring primarily when:
• Working within a close proximity to
neighbours and stakeholders (farmers,
ranchers, residential and urban areas,
cottage country);
• Completing wells while ensuring “tight
hole” status when necessary;
• Ground disturbance and ground tempera-
ture radiation advantages are necessary
in environmentally sensitive areas; and
• There’s a presence of H2S in the well gas stream.
It’s no surprise that AWI has been gaining
market share, right through the recession.
“This year, we are up about 20 per cent over
last year,” says Guenette, who sees a very
bright future for AWI. “We’ve got strong market
share in western Canada, and are looking to
take the technology into the U.S. and other
markets. We are very excited about that.”
Alberta welltest incinerators are efficient,
hassle-free and easy to operate. Just one
button. Turn it on. Walk away.
alberta Welltest Incinerators Guaranteeing you superior results
CoMPany naMe: Alberta Welltest Incinerators
PresIdent/Founder: Greg Tipper, president; Dan Guenette, vice-president; Don Guenette, Dan Guenette, Steve Tipper, Greg Tipper, founders
year InCePted: 2004
nuMBer oF eMPLoyees: 2
BusIness CateGory: Oil and gas industry equipment rentals
address: PO Box 447, Whitecourt, AB
Phone: (888) 778-0960 (toll-free); (780) 778-0960 (office)
WeBsIte: www.awincinerators.com
FAST FA
CTS
20 prOFiler
w w w . a w i n c i n e r a t o r s . c o m 1 - 8 8 8 - 7 7 8 - 0 9 6 0
Well Tested. Nature Approved.
At AWI we are dedicated to reducing oil and gas related production test flaring. Our low emission burner technology provides advancement over existing conventional flares and with over 80 years experience in incineration and production testing, we guarantee you superior results. Competitive rental rates, 24 hour service and client satisfaction — that’s the AWI promise.
AWI_Nickels_FullPage_103530_072810.indd 1 29/07/10 1:41 PM
Remote Waste provides
safe, reliable and efficient
waste water treatment
solutions for the Canadian
oil and gas industry.
Established in 2003 in Fairview, Alberta,
Remote Waste specializes in designing,
installing and operating on-site sewage
treatment systems in Canadian sub-zero
conditions.
The company’s state-of-the-art, industry-
leading equipment and sewage treatment
systems are in use throughout western
Canada, the Northwest Territories, Yukon and
beyond. Remote Waste’s mobile waste water
treatment plants can accommodate most
applications, with a modular design allowing
waste water treatment units to be connected
in parallel, providing efficient treatment for
any volume of sewage.
What is most important for Remote Waste
and its clients is the fact the company
excels at cold-climate operations in northern
Canada. It has done so “through years of
experience and knowledge, because it’s
something you can’t just grab off the shelf,”
says Remote Waste manager Darren
Lubeck. “It has taken several years to
develop our procedures and acquire
equipment and supplies. We do a lot of our
own manufacturing. We’ve spent a lot of
time perfecting the ability to pump water
when it’s 45 below. We’ve had to come up
with innovative techniques and procedures
to keep their service going, which makes for
happy clients.”
Full regulatory compliance is another
major concern for the Fairview-based
environmental firm, which takes great care
to remain at the forefront of new technolo-
gies and regulatory requirements.
Something we are actively involved with
is staying on top of the latest trends and
regulations so that we keep ourselves in
good standing, as well as our clients,”
Lubeck explains. “It’s our responsibility to
ensure the highest quality standards, while
at the same time providing a safe, secure,
economic solution for clients’ waste water
treatment needs.” To this end, the
company’s accredited technicians attend
regular training sessions to keep on top of
updated industry standards and operating
procedures.
“The number one focus for us is to have a
product that works and is reliable,” Lubeck
says. “Just as important are our service
people. Our company is based on quick
service and immediate repair, because when
you can’t flush a toilet, it’s amazing how
productivity is affected. At Remote Waste,
we do keep things flowing.”
remote WasteYour waste treatment industry leader
CoMPany naMe: Remote Waste LP
PresIdent/Founder: Ron Milner
year InCePted: 2003
nuMBer oF eMPLoyees: Varies between 18 and 25
BusIness CateGory: Environmental/oilfield rentals
address: P.O. Box 2476, Fairview, AB
Phone: (780) 772-0772
It’s no surprise the company remained “fairly
busy” during the economic downturn and did not
have to lay off staff or change the way it works.
“We took advantage of the extra time to review
our processes, improve procedures and our
ability to enhance value for our clients,” Lubeck
explains. And looking ahead, Lubeck is upbeat
about what the future has in store. “I believe we
are going to be busy into the time ahead, as far
as I can see,” he says.
FAST FACTS
22 prOFiler
Willy D Boilers and Fabricating is an Alberta
Boiler Safety Association–certified
company that fabricates and ships
complete boiler units for the oilpatch, from
skid to shack to the boiler. The Alberta-
based firm specializes in providing
customers with new and refurbished
boilers, boiler recertification and repairs,
boiler rentals, parts, 24/7 field service
and safety valve recertification. Established
in 2008 by partners with well over 30 years
of boiler industry experience, Willy D
Boilers operates a 10,000-square-foot
facility in Nisku where it designs and
manufactures its own burners and control
panels, and carries approximately half a
million dollars’ worth of inventory in stock.
The company also fabricates custom boiler
skids and buildings, and does partial or
complete installations.
Willy D Boilers provides service out in the
field as well as in shop, with service
technicians who travel across western
Canada, getting boilers ready for the winter
drilling season.
Owned by three partners, the company has
nine employees and approximately 60 regular
customers.
“It is the people that make us stand out
from others — the people employed with us
and the people we do the work for,” says
Willy D Boilers partner and general manager,
Ken Skoreiko. “The people that work with us
are the ones that make the company. They
are really dedicated. They go above and
beyond to try and make this company stay
afloat. And the people we do the work for
have been really dedicated to helping us
grow. We want to grow with all of the
companies we are doing work for, and we
want to be able to accommodate them in
every form and fashion.”
Willy D Boilers is a distributor for Williams
& Davis Boilers, which for the past 88 years
has been building reliable steam boilers of
the highest quality, designed and built to
exceed American Society of Mechanical
Engineers code standards.
These are some of the reasons that Willy
D Boilers has done well since it first opened
its doors. When the company started up,
the recession was in full swing, but they
made it through the difficult times just fine.
“Because we were such a small company,
we were able to stay under the radar,”
Skoreiko says. “We stayed busy all through
it. Now, we can see that it is picking up.
There are a lot of people that are calling for
pricing and ordering units.”
While things aren’t yet where they should
be, “this winter is going to be good for
everyone,” Skoreiko says. “If people just
keep their belts tight, I think things should
level out after this winter.”
CoMPany naMe: Willy D Boilers and Fabricating
PresIdent/Founder: Mario Michel
year InCePted: 2008
nuMBer oF eMPLoyees: 9
BusIness CateGory: Fabricating/distributor
address: 3390 8 Street, Edmonton, AB
Phone: (780) 955-7182
WeBsIte: www.willydboilers.com
“It is the people that make us stand out from others — the people employed with us and
the people we do the work for.”– Ken Skoreiko, Partner and General Manager, Willy D Boilers
Willy d Boilers and FabricatingFabricating and servicing boilers for the patch
FAST FA
CTS
prOFiler 23
24 prOFiler
Controlling cost is the key to a success-ful drilling program. Alberta-based Sicotte Drilling Tools and Diamond Drill have met this challenge by combining products and services to bring you comprehensive drilling solutions, from surface to total depth. Their goal is to maximize rate of penetration and longevity. And their success rate ranks among the highest in industry.
“Our bits are excellent in directional and horizontal drilling,” says Diamond Drill president Gordie Bath, a 30-year oilfield veteran.
Diamond Drill and Sicotte Drilling Tools are privately owned companies that joined forces in 2005, with more than 20 employees, a business develop-ment office in Calgary and distribution centres all across western Canada including Alberta, British Columbia, Saskatchewan and Manitoba. Both Diamond Drill and Sicotte Drilling Tools provide repair services, sales and rentals of drill bits and downhole tools in addition to offering a complementary suite of products and services to assist clients with all of their drilling require-ments. Each company has a solid history of serving the oil and gas industry.DIAMOND DRILL
Diamond Drill, established in Acheson,
Alberta, in 2005, is a growing company that
operates a state-of-the-art repair facility in
Acheson. Diamond Drill (Bit-Tech Canada)
provides matrix and steel body PDC and
bi-centre drill bits. It is the exclusive
Canadian and northern U.S. distributor for
Bit-Tech PDC drill bits. Bit-Tech is a
Texas-based PDC bit manufacturer that
manufactures matrix and steel body PDC bits
and bi-centre bits for specialty applications.
In addition, for customers with special
requirements, Diamond Drill is capable of
designing and custom-manufacturing these
bits within 30–60 days.
Diamond Drill, which primarily serves the
western Canadian oil and gas industry, is
now expanding overseas and is doing work in
Sudan and Egypt. The company has worked
in the United States in the past, and intends
to return to the U.S. market this year.
Diamond Drill is ISNetworld-certified.
SICOTTE DRILLING TOOLS
Founded in 1976 by the Sicotte family,
Sicotte Drilling Tools was acquired in 2003
by Steve Shim, who has more than 20 years
of oilfield-related experience. Sicotte Drilling
Tools, which provides new and rerun,
reconditioned roller-cone bits and downhole
tools, is the official North American
distributor for TSK Roller-cone Bits of Japan.
Sicotte is Secor (Enform) certified,
ISNetworld-certified and ISO 9001-certified
(quality Management). It is the only ISO
9001–certified roller-cone bits reconditioning
facility in North America.
Together, Sicotte/Diamond Drill offer one
of the widest ranges of downhole products
and services in the market, including:
• Matrix PDC bits by Bit-Tech
• TSK roller-cone bits from Japan
• Retip, rerun and brand name new
surplus roller-cone bits
• Hole openers from 7 7/8 inches to
45 inches
• Customer bit repairs at their state-of-
the-art matrix PDC repair facility
• 24/7 sales and service
CoMPany naMe: Sicotte Diamond Drill
PresIdent/Founder: Gordie Bath
year InCePted: 2005
nuMBer oF eMPLoyees: 22
BusIness CateGory:Oilfield rentals
address: 820, 510 5 Street SW, Calgary, AB
Phone: (403) 237-6777
WeBsItes: Diamond Drill: www.diamonddrill.ca
Sicotte Drilling Tools: www.sicottedrillingtools.com
sicotte diamond drill: drilling solutionsRediscover performance, maximize your profit
Fast FaCts
prOFiler 25prOFiler 25
• Industry-leading repair technicians with
over two decades of experience
• Scrap bit charity program.
TSK and Bit-Tech PDC bits have proven
themselves capable of handling the toughest
drilling challenges and the Sicotte/Diamond
Drill Calgary-based business development
team will recommend the best bits to optimize
drilling performance. Their four-person
business development team has more than
85 years of combined oilfield experience.
These are some of the reasons that
Sicotte/Diamond Drill made it through the
recession “fairly well,” Bath says. “We’ve got
some very good customers who were loyal to
us through the slow times.” Bath is positive
as he looks ahead the next few years. “We
are hearing extremely good things about the
future. The industry is strong here in Canada
and in other parts of the world.”
26 prOFiler
CoMPany naMe: Lea-Der Coatings
toP eXeCutIVes: Darrell Demers, president; Ron Hipfner, account executive; Steve Latcham, manufacturing team leader; Barbara Barrett, office manager
year InCePted: 1994
BusIness CateGory: Safety — equipment
address: Box 4086# 18, 321 Saskatchewan Avenue Spruce Grove, Alberta T7X 3B3
Phone: (780) 962-5060
WeBsIte: www.lea-der.com
the move this July into a new custom-
designed facility in Spruce Grove, Alberta,
allows Lea-Der Coatings to continue a tradition
of service to the oil and gas industry dating
back to the company’s founding in 1994. The
move coincided with the introduction of Swift
Environmental Equipment to Lea-Der Coating’s
range of environmentally friendly products, and
the expansion of Lea-Der’s worldwide
distribution network into Asia.
While listening to and working with rig
companies to develop polyurethane-based
safety products, Lea-Der Coatings continues
to research the latest technologies to create
products that ensure customers have the
best equipment for personnel safety and
environmental protection.
Research and development has allowed
Lea-Der to expand its original product lines
consisting of direct-apply coatings for
residential and commercial use, and easily
installed traction matting for rig floors. Along
with research, the commitment of long-term
staff — including president Darrell Demers,
who acquired the company in 2007 after
working for the firm as a sales rep for a dozen
years — contribute greatly to Lea-Der success.
The new Spruce Grove facility allows
Lea-Der to continue delivering a high standard
of service and trusted product lines — several
of which are now standard items on drilling
rigs and platforms.
Specifically, Lea-DerTM Traction Matting
— a tough, durable custom-made industrial
polyurethane rotary table and rig floor
matting — has provided traction surfaces on
rig floors for many years. Several years ago,
Lea-Der introduced the colour changes in
matting that are now an industry standard.
The high–visual impact of colour in Lea-Der’s
matting clearly identifies danger zones in
work areas. With the recent addition of heat
to the options available, Lea-Der’s custom-
designed matting continues to meet the
challenges of today’s drilling industry.
Lea-Der Traction Matting is an integral part
of a range of products, each with individual
function, that combine to contain, control,
direct, filter, collect, recycle and store fluids
used in drilling. The grooved grid in the
traction surface of the rig floor matting directs
fluids to the Stealth fluid collection system.
The Stealth System’s engineered design
combines maximum strength with ultra-
light weight. Designed for use on service
rigs, drilling rigs and offshore drilling
platforms, this multi-functional, custom-
manufactured product collects drilling
fluids/solids for separation and contain-
ment, while providing employees with a
cleaner, dryer and ultimately safer
workplace. The carbon-fibre mudcan
completes this control system. Lightweight
and with multiple seal sizes, this unit is
easily operated by one person.
Introduction of Swift Environmental
Equipment complements Lea-Der’s
fluid-control product line. Swift
Environmental Vacuum Systems ensure a
rapid, contained cleanup. The Rig Floor
Cleaning Wand, designed for industrial and
mat cleanup, eases cleaning of work areas.
The range of Vacuum Systems ensures
there is a unit to fill cleanup requirements
safely, while protecting personnel and the
environment from fluid spills.
Lea-Der Coatings’ custom moulding for
drilling safely manufactures blowout
preventer wear rings, Kelly Bushing savers,
Pipe Arm Blocks, Bumper Blocks, the new
cable trays and more. Custom moulding is
another Lea-Der speciality.
Safeguard Technology designs, develops,
and manufactures quality safety products to
maximize safe working conditions in working
and walking areas, by preventing slips and
falls. Safeguard Technology Hi-Traction
Safety Covers are a custom-made, retro-fit
product with a wide range of applications.
Safeguard Technology Hi-Traction Safety
Covers are made in various traction grits,
and can be installed to several types of
substrate. The easily installed covers include
step and ladder rung covers, walkway covers,
and pipe and cable covers. Safeguard
products are used extensively by manufactur-
ing and industrial facilities worldwide.
A recent customer survey on safety
products available established Lea-Der
Coatings as leaders for quality, value,
delivery time and overall high standard of
service. Lea-Der continues to work closely
with industries to bring the best products
available to the marketplace.
Lea-der CoatInGsLeading the way in innovation through environmentally friendly safety products
Fast FaCts
Lea-Der Coatings continues to research the latest technologies to create products that ensure customers have the best
equipment for personnel safety and environmental protection.
prOFiler 27
I GREW UP ON A FARM. I KNOW WHAT IT MEANS TO HAVE THE LAND RESTORED.”
“
The Canadian Association of Petroleum Producers (CAPP) represents
member companies that produce approximately 90 per cent of Canada’s
natural gas and crude oil, including Canada’s Oil Sands Producers.
The Canadian Association of Petroleum Producers (CAPP) represents
A message from Canada’s Oil Sands Producers
I GREW UP ON A FARM. I KNOW WHAT IT MEANS TO HAVE THE LAND
“
RESTORED.”Getting a forest started is the critical part of reclaiming
the land. For years, at oil sands drilling locations,
we started the process by planting grass, and it would
take 10 to 20 years for the trees to emerge from the
natural seed bank. Recently, drawing on research from
the University of Alberta, we learned how to create
conditions that allow us to plant aspen, spruce and pine
seedlings right away. So now, the forest can re-establish
itself in a few years, rather than a few decades.
Finding innovative ways to limit environmental impacts
is key to meeting our energy needs responsibly.
Take a closer look at capp.ca/oilsands
Garrett BrownConocoPhillipsGarrett BrownGarrett Brown