Frac Fleets Back to Work

Over the last few weeks, we have taken inventory of the current frac count, which includes better fleet demand on higher completion activity (on track to improve ~5% sequentially in 1Q19). Meanwhile, marketed supply (active fleets) has remained flat @ 425 fleets in recent months after ~30 net fleets were dropped in 2H18. However, frac utilization is still only 75%, implying another 40-50 fleets of incremental demand would be needed through 2019 to keep the momentum going — or 40-50 less capable fleets need to be stacked — both of which will be challenging as more E&Ps cut capex and fewer frac suppliers stack equipment.

For access to the full report visit:

No Comments

Sorry, the comment form is closed at this time.