D&L Oil Tools - Comprehensive Analysis Report
Summary
D&L Oil Tools, established in 1990 and headquartered in Tulsa, Oklahoma, is a specialized company dedicated to the design, manufacture, and assembly of downhole equipment for the global oil and gas industry. The company prides itself on a foundation of quality, affordability, and exceptional customer service, prioritizing customer satisfaction and employee well-being. With over a quarter-century of operation as an independent and financially sound entity, D&L Oil Tools is renowned for its ability to provide custom-designed equipment and exhibit flexibility in response to evolving industry demands. Its core mission revolves around solving complex customer problems and fostering an enriching environment for its employees, underpinned by a commitment to continuous improvement and excellence in its products and business processes.
1. Strategic Focus & Objectives
Core Objectives
D&L Oil Tools is committed to achieving excellence and profitability through the continuous improvement of its business processes and by delivering products that precisely meet customer needs and expectations. A primary objective is to maintain its status as a financially sound and independent company while investing in its community and employees. The company focuses on solving customer-specific problems through innovative and high-quality downhole equipment.
Specialization Areas
The company specializes in the rapid design, manufacture, and shipment of high-quality, custom-designed downhole equipment. This includes a comprehensive range of mechanical set packers, hydraulic set packers, permanent packers, anchors, service tools, and tool accessories. D&L Oil Tools' unique value proposition lies in its ability to quickly respond to specific customer issues by creating bespoke solutions, supported by extensive in-house manufacturing capabilities including engineering, machining, rubber molding, brazing, and plating.
Target Markets
D&L Oil Tools primarily targets active oilfields in the U.S. and Canada. Beyond North America, the company has a significant international footprint, serving more than 50 countries worldwide.
2. Financial Overview
Funding History
D&L Oil Tools is a privately held manufacturing company that has maintained an independent and financially sound position for over 25 years. The company reported an annual revenue of $58.0 million and sustains approximately 350 employees. As a privately held entity, specific external funding rounds and investor details are not publicly disclosed; its financial strength is primarily derived from its operational revenue and long-standing market presence.
3. Product Pipeline
Key Products/Services
D&L Oil Tools offers a robust catalog of downhole oil and gas tools, each engineered for specific applications:
ASI-X Packer: A versatile mechanically set retrievable packer, widely used across various production applications.
DLESP Packer: A hydraulic set, mechanically held Electric Submersible Pump (ESP) production packer featuring secondary bores for ESP feed-through cables and optional chemical lines. This packer is notable for requiring no tubing manipulation for setting.
DLH Packer: A hydraulic set, single-string retrievable packer designed for broad applicability in production scenarios.
HD Retrievable Packer: A heavy-duty service packer engineered for demanding operations such as squeeze cementing, formation fracturing, and high-pressure acidizing.
ProTension™ Safe Tension Tool (STT): A patented safety tool developed to eliminate the risk of well control loss during tubing string tensioning and to facilitate the safe setting of tubing anchors.
Retrievable Seal Bore (RSB) Dual Bore Packer: Optimized for high performance, combining a simple design with desirable economic efficiency.
Titan V3 Packer: Built for maximum capability and dependability under extreme loads, making it ideal for high-pressure, high-temperature service work.
Titan V3 Plug: A high-pressure, high-temperature plug designed for multiple and selective single zone operations, including acidizing, fracturing, cementing, and testing.
Trilobite Anchors (Hydro & Quarter-Turn Anchors): A patent-pending design for hydraulically and mechanically-set retrievable tubing anchors/catchers. These anchors incorporate three heat-treated steel alloy slips for maximized holding in tension and compression. Their unique component spacing enhances annular flow and allows for capillary tube bypassing, providing more space around tubing anchors without reducing the tubing's internal diameter, which can lead to increased gas production. The design was initially filed with the United States Provisional Patent Office in June 2017.
The company supports its product line with a significant R&D function, including 10 engineers and a dedicated prototyping department. Its facility is equipped to test tools at temperatures reaching 400-500 degrees Fahrenheit.
4. Technology & Innovation
Technology Stack
D&L Oil Tools' technological foundation is rooted in its comprehensive in-house manufacturing capabilities, all housed within its 155,000 sq. ft. facility in Tulsa, Oklahoma. This includes integrated processes for engineering, machining, rubber molding, brazing, and plating, ensuring stringent quality control and cost-effectiveness. The manufacturing operation runs with 60 automated Computer Numerical Control (CNC) machines.
Proprietary Developments
A significant proprietary innovation is the patented ProTension™ Safe Tension Tool (STT). Additionally, the Trilobite Hydro and Trilobite Quarter-Turn Anchors feature a unique patent-pending design, with the provisional patent filed in 2017 and the full patent process underway. The company holds one additional patent pending.
Scientific Methodologies
The engineering team at D&L Oil Tools employs rigorous scientific methods to develop elegant solutions for complex challenges in downhole applications. This includes the development of standardized processes that adhere to API Specification Q1 requirements. Their extensive in-house R&D encompasses prototype design and development, alongside the design and operation of hydraulic test stands to validate tool performance.
Technical Capabilities
D&L Oil Tools possesses advanced technical capabilities for both design and manufacturing. Their in-house R&D and prototyping capabilities enable rapid iteration and testing of new designs, supported by specialized equipment for high-temperature tool testing. The company's Quality Management System (QMS) is recognized through API Spec Q1 and ISO 9001:2015 certifications, and they hold various American Petroleum Institute (API) monogram licenses, including:
API-11D1 for Packers and Bridge Plugs
API-5B for Casing and Tubing threads
API-7-2 for Rotary Shouldered Connection threads
API 5CT and 7-1 Monogramed Thread Licenses, earned in 2020.
5. Leadership & Management
Executive Team
The leadership team at D&L Oil Tools guides the company's strategic direction and operational policies, ensuring alignment with core values of quality, customer service, and employee well-being.
Lee Eslicker – President & Chief Executive: Founder of D&L Oil Tools in 1990. He comes from a family with a long legacy in the oilfield tool business, extending back to the 1950s. His children and son-in-law are actively involved in the company, reinforcing its family-rooted ethos.
Dan Eslicker – Chief Operating Officer: Promoted to COO in 2015. His responsibilities span all manufacturing functions, purchasing, planning, warehouse operations, assembly, and shipping/receiving. He previously held roles as Vice President of Operations and in Sales, and was involved in the development of the innovative Trilobite Anchors.
Casey Bingham – Chief Financial Officer: Appointed CFO in 2015. She oversees all financial and accounting aspects, human resources, payroll, IT, and reception. Bingham, an alumna of the University of Oklahoma Price College of Business, previously served as Vice President - Sales, Sales and Business Development Manager, and Project Manager within D&L Oil Tools.
Heath Bringham – Vice President, Engineering & Technical Services: Promoted in November 2018. Bringham brings over a decade of experience from design and manufacturing companies specializing in engineered hydraulic machinery and downhole tools. His expertise encompasses consulting, prototype design and development, hydraulic test stand design and operation, and the implementation of ISO and API quality standards. With over 8 years at D&L, he was instrumental in the original design of the patent-pending Trilobite Anchors and in transitioning the engineering department to full API compliance.
Bow Buckner – Vice President, Sales: Responsible for overseeing the company's sales strategies and efforts.
Jeff Barnes – Vice President, Manufacturing Process: Oversees and optimizes the manufacturing processes to ensure efficiency and quality.
Recent Leadership Changes
In March 2015, D&L Oil Tools announced several key management promotions: Dan Eslicker was named Chief Operating Officer, Casey Bingham became Chief Financial Officer, and Stacey Schmidt was appointed VP of Sales & Marketing. Later, in November 2018, Heath Bringham was promoted to Vice President of Engineering & Technical Services. These changes reflect a strategic strengthening of the executive team to support continued growth and operational excellence.
6. Talent and Growth Indicators
Hiring Trends and Workforce
D&L Oil Tools is a medium-sized manufacturing company with an estimated workforce of 350 employees. The company demonstrates a stable work environment with an average employee tenure of 4.5 years. Recent hiring trends indicate a focus on manufacturing and technical roles, with open positions such as Machine Maintenance Technician (posted August 2025) and CNC Lathe Machinist for both 1st and 2nd shifts (posted May 2024), suggesting ongoing production needs and expansion. The company operates as a drug-free workplace and participates in E-Verify. The workforce is primarily male (84%) with 16% female employees, and the most common ethnicity is White (66%). D&L Oil Tools’ commitment to its employees and work environment is reflected in its ranking among the Best Manufacturing companies to work for in Oklahoma by Zippia, securing the #55 position.
7. Social Media Presence and Engagement
Digital Footprint
D&L Oil Tools maintains a professional digital footprint through its presence on LinkedIn, where it likely shares company news, industry insights, and career opportunities. The company also hosts a YouTube channel, providing a platform for customers and stakeholders to learn more about its capabilities and product demonstrations. Its official website serves as a central hub for corporate announcements, product spotlights, and facility expansion updates, ensuring direct communication with its audience.
8. Recognition and Awards
Industry Recognition
D&L Oil Tools has received significant industry recognition and notable accolades:
Holds API Spec Q1 certification and ISO 9001:2015 Quality Management Systems Requirements registration, underscoring its commitment to international quality standards.
Awarded the highly regarded API-11D1 Monogram License for Packers and Bridge Plugs, a distinction achieved by only a few independent manufacturers in the U.S. for both product categories.
Possesses API-5B license for Casing and Tubing threads and API-7-2 license for Rotary Shouldered Connection threads.
Further expanded its API credentials by earning 5CT and 7-1 API Monogramed Thread Licenses in 2020.
Maintains an A+ rating with the Better Business Bureau, reflecting high standards of business conduct and customer satisfaction.
Complies with Oklahoma’s OSHA Standard Requirements and Department of Environmental Quality Requirements, demonstrating its commitment to safety and environmental stewardship.
In 2014, D&L Oil Tools was honored with The Williams Summit Leadership Award from the Tulsa Area United Way for the Best Overall United Way Campaign, recognizing its community involvement and philanthropic efforts.
9. Competitive Analysis
Major Competitors
D&L Oil Tools operates within a competitive global downhole tools market alongside prominent multinational players:
Halliburton
Baker Hughes
Weatherford International
Schlumberger
National Oilwell Varco (NOV)
TechnipFMC
General Electric (GE)
Hughes Petroleum
Dril-Quip
Forum Energy Technologies
* Oil States International
The competitive landscape is increasingly driven by technological innovation, supply chain reliability, and sustainable practices, rather than solely by price. Major competitors like Schlumberger are heavily investing in digital technologies to optimize drilling operations, setting a high bar for innovation and efficiency across the industry. D&L Oil Tools differentiates itself with its focus on custom-designed solutions, in-house manufacturing, and rapid response capabilities, targeting a specialized niche within this competitive environment.
10. Market Analysis
Market Overview
The global downhole tools market is a significant and growing sector of the oil and gas industry. Valued at approximately USD 4.81 billion in 2024, it is projected to reach about USD 7.61 billion by 2033, demonstrating a Compound Annual Growth Rate (CAGR) of 5.76% from 2025 to 2033. This robust growth is fueled by increasing global energy demand, expanding oil and gas exploration and production activities, and continuous innovations in drilling techniques.
North America held the largest market revenue share in 2023, indicative of its mature and active oil and gas sector. However, the Asia-Pacific market is anticipated to exhibit the fastest growth in the coming years, driven by new exploration and production projects in the region. Key market trends include a growing emphasis on integrating smart technologies, such as IoT sensors, real-time monitoring, and data analytics, into drilling operations. Additionally, advancements in materials and coatings are crucial for enhancing the durability and performance of down
