Frontier Continues Rapid Expansion; moves into Bakersfield Market
Bakersfield, CA, April 11, 2012 – Frontier Energy Group, LLC, has announced that it has purchased Bakersfield-based Spicer Wireline Service, Inc., a provider of oilfield services, including slickline, braided line, reservoir monitoring, and pressure testing in the San Joaquin Valley and the Piceance Basin.
This multimillion-dollar transaction continues the rapid expansion of Frontier – and will be the company’s first location in the Monterey shale and the larger San Joaquin Valley. Colorado-based Frontier has grown from a single location in the Bakken to 18 locations across the Western United States. The acquisition of Spicer will enhance Frontier’s ability to participate more aggressively in the fast-growing oilfield services market, says Frontier CEO Dan Eberhart.
“Spicer presents an exceptional opportunity for Frontier to broaden its national footprint by acquiring a local service company in an important play,” Eberhart says. “Companies that can offer turnkey services in multiple plays command a higher share of the rapidly expanding oilfield services market. This is Frontier’s 7th acquisition since the start of 2009. This strategy keeps Frontier moving forward as an industry leader.”
Merging with quality oilfield services companies also provides Frontier customers with one-stop-shop benefits. For example, Spicer’s existing portfolio will allow Frontier to take advantage of new services such as braided line as well as bring additional services to the area such as wellheads and frac-tree rental.
Spicer is a privately-held oilfield services company founded in Bakersfield, CA, by Bobby Spicer in 1989. With the help of brother Jimmy Spicer and Operations Manager Rick Pruitt, Spicer has built a solid reputation for quality oilfield services.
Pruitt says he is looking forward to a successful partnership with Frontier. “We’re thrilled by Frontier’s confidence in our dedicated employees’ commitment to safety and customer-focused culture,” he said. “Our organization shares a common set of values with Frontier, and we look forward to becoming part of a larger company with industry-leading services and a shared commitment to customers, employees, and communities.”
“We’re excited to welcome Frontier to Kern County– the #1 region in the country for oil production. Frontier’s strong Western U.S. presence and substantial industry expertise will greatly enhance our growing oilfield services sector,” explained Richard Chapman, President & CEO, Kern Economic Development Corporation.
Key Benefits of the Transaction
- Increased Capabilities for Both Companies: After the transaction, Frontier will reposition some of Spicer’s slickline and braided line trucks to North Dakota, allowing for an expansion of slickline and braided line services. At the same time, Spicer will expand its service offerings to include wellhead capabilities in California.
- Expanded and Enhanced Competitive Offerings: Both companies will be able to provide an expansive array of services, including wellhead equipment sales and installation; frac-tree rental; hot oil; wireline and slickline; pressure testing; fishing and rental tools; and oil field fabrication.
- Streamlined Operations: Frontier has a proven track record of successfully integrating companies and providing high-quality, value-added oilfield services. Clients in Bakersfield will benefit from a larger and stronger company that has the scale and ability to quickly roll out services such as wellhead and frac-tree rental. Employees of Spicer will benefit from being a part of a larger corporation with more room for advancement, buying power, and access to better discounts & corporate rates on equipment and supplies.
Bakersfield continues as the central city in the most productive oil-producing county in the US. As part of the San Joaquin Valley, Kern County includes several “super wells” and large oil fields. While the Kern fields have been steady over the years, exploration continues, including a recent Occidental Petroleum discovery near Elk Hills, CA. Many experts expect deeper discoveries over time.
Spicer’s operations base is expected to remain in Bakersfield and will be made up of managers from both Frontier and Spicer. The Grand Junction location will be combined with their existing location, while the company’s headquarters will move to Denver, Colorado.
About Frontier Energy Group, LLC
Frontier, based in Denver, CO, provides comprehensive oilfield drilling and production services to oil and gas companies throughout the Western United States. Frontier Energy Group, LLC, is the parent company of Frontier Wellhead & Supply, LLC, with operational headquarters based in Watford City, North Dakota. Together with Frontier Hot Oil, LLC; Frontier Pressure Testing, LLC in Williston, North Dakota; as well as Cable, LLC and Luft Machine, LLC in Colorado; Frontier provides a one-stop oilfield drilling and production service company. To learn more about the company, visit www.feg.net.
