Altitude Energy Partners: Company Profile

Background

Overview

Altitude Energy Partners (AEP) is a privately held company specializing in directional drilling services within the oil and gas industry. Established in 2015, AEP is headquartered in The Woodlands, Texas, and operates across various North American basins, including the Permian Basin, Rockies, Eagle Ford, and Haynesville.

Mission and Vision

AEP's mission is to deliver customized solutions for peak directional drilling performance by combining leading technology with a willingness to innovate. Their vision is to continue building their brand by prioritizing advanced technology and customized solutions that deliver.

Industry Significance

AEP has established itself as a leader in the directional drilling space, offering services such as Positive Displacement Motors (PDM), Rotary Steerable Systems (RSS), and measurement-while-drilling (MWD) technologies. Their commitment to innovation and quality has positioned them as a trusted partner for oil and gas operators seeking efficient and reliable drilling solutions.

Key Strategic Focus

Core Objectives

AEP focuses on providing high-quality directional drilling services that enhance operational efficiency and reduce costs for their clients. They aim to deliver tailored solutions that meet the specific needs of each project, ensuring optimal performance and safety.

Areas of Specialization

Directional Drilling Services: Utilizing advanced technologies to achieve precise wellbore placement.

Positive Displacement Motors (PDM): Providing reliable and efficient drilling power.

Rotary Steerable Systems (RSS): Enabling continuous, real-time steering of the drill bit.

Measurement-While-Drilling (MWD): Offering real-time data collection for informed decision-making.

Key Technologies Utilized

AEP employs state-of-the-art technologies, including PDM Motor Technology, RSS, and innovative drilling solutions, to deliver customized and efficient drilling services.

Primary Markets Targeted

AEP serves various North American basins, including the Permian Basin, Rockies, Eagle Ford, and Haynesville, providing services tailored to the unique geological and operational challenges of each region.

Financials and Funding

Funding History

In July 2022, Cathedral Energy Services Ltd. acquired Altitude Energy Partners for approximately $100 million, comprising cash and common shares.

Utilization of Capital

The acquisition aimed to expand Cathedral's U.S. operations, enhance scale, utilization, efficiencies, and broaden service offerings to customers.

Pipeline Development

As a subsidiary of Cathedral Energy Services, AEP continues to develop and operate directional drilling services, focusing on enhancing drilling performance and efficiency across various North American basins.

Technological Platform and Innovation

Proprietary Technologies

Positive Displacement Motors (PDM): Providing reliable and efficient drilling power.

Rotary Steerable Systems (RSS): Enabling continuous, real-time steering of the drill bit.

Measurement-While-Drilling (MWD): Offering real-time data collection for informed decision-making.

Significant Scientific Methods

AEP employs advanced drilling techniques and technologies to optimize wellbore placement and drilling efficiency, ensuring high-quality and cost-effective drilling operations.

Leadership Team

Executive Profiles

Lee Harns: Chief Operating Officer (COO) of ACT Energy and founding member of Altitude. Prior to the acquisition, he served as COO and CEO of Altitude for five years.

Alex Bougaieff: Senior Vice President, Operational Finance. Before the acquisition, he was CFO of Altitude and held senior finance leadership roles within the energy industry.

Vaugn Spengler: Senior Vice President, North American Operations. He joined Altitude in 2021 and previously served as Owner and President of Valiant Energy Services Ltd.

Tyler Clark: Vice President, U.S. Operations. He has diverse experience in the energy industry and previously served as President and Vice President of Technology and Corporate Development at Altitude.

Competitor Profile

Market Insights and Dynamics

The directional drilling services market is characterized by technological advancements and a focus on operational efficiency. Companies in this sector compete to offer innovative solutions that reduce costs and improve drilling performance.

Competitor Analysis

Cathedral Energy Services Ltd.: A Canadian company that acquired Altitude Energy Partners in 2022, expanding its U.S. operations and service offerings.

Phoenix Technology Services: Provides directional drilling services and competes in the same market segment.

Nabors Industries: A global provider of advanced drilling technologies and services.

Strategic Collaborations and Partnerships

The acquisition by Cathedral Energy Services Ltd. has enhanced AEP's market position, allowing for expanded service offerings and increased operational scale.

Operational Insights

AEP's integration into Cathedral Energy Services Ltd. has provided access to a broader customer base and additional resources, strengthening its competitive position in the directional drilling market.

Strategic Opportunities and Future Directions

Strategic Roadmap

As part of Cathedral Energy Services Ltd., AEP aims to leverage combined resources to expand its service offerings, enhance technological capabilities, and increase market share in the U.S. directional drilling sector.

Future Business Directions

AEP plans to continue developing and deploying advanced drilling technologies, focusing on operational efficiency and cost-effectiveness to meet the evolving needs of the oil and gas industry.

Opportunities for Expansion

The acquisition provides opportunities for AEP to expand its operations into new regions and offer a broader range of services to existing and new clients.