Gyrodata Inc. agreed to sell its directional drilling business to Intrepid Directional Drilling Specialists Ltd., doubling Intrepid’s directional drilling capabilities in North America, the privately held companies said in a joint release on April 30.
The transaction includes effectively all of Houston-based Gyrodata’s directional drilling personnel, as well as its high-performance drilling motors and MWD tools. Financial terms and conditions of the transaction weren’t disclosed.
“We strongly believe that expanding our business at this time will allow us to better meet our customers’ needs as the market continues to evolve in the coming years,” Intrepid President Clint Leazer said in a statement.
Founded in 2001, Intrepid has drilled more than 5,000 directional and horizontal wells in every major basin in the U.S. The Midland, Texas-based company said it also expects the Gyrodata acquisition to expand its presence into certain Latin American countries.
As for Gyrodata, the company said the sale will allow it to “more effectively align its priorities going forward.”
“This divestiture helps Gyrodata refocus on our core gyro surveying offerings and advancements in our SPEAR solid-state gyro technology, and it will make us more flexible and efficient than ever before as we continue to drive innovation in our differentiated surveying services,” Robert Trainer, the company’s president and CEO, said in a statement.
Independently of the announced transaction, Gyrodata plans to maintain its own fleet of telemetry systems, which provides standalone gyro-while-drilling services throughout the world, according to the release.
Gyrodata was advised on the transaction by its legal counsel Locke Lord LLP. Intrepid was advised by its investment banker, Stephens Inc., and Wick, Phillips, Gould & Martin LLP provided legal counsel.
The project is scheduled to commence in first-quarter 2021, subject to relevant approvals.
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