SandRidge Energy Inc. said April 7 it has tapped Carl F. Giesler Jr. to serve as CEO amid a number of initiatives to boost shareholder value.
Giesler led the cost and operational turnaround of Jones Energy Inc. His efforts led to the $201.5 million all-cash buyout of the Midcontinent-focused E&P company in January.
At SandRidge, Giesler will take the helm from John P. Suter, who will return to serving as COO after filling in as interim CEO following the departure of former CEO Paul D. McKinney in December. The Oklahoma City-based company is also focused in the Midcon region, where the majority of its production is generated from the Mississippian Lime formation in Oklahoma and Kansas.
“Given the ongoing headwinds in the oil and gas environment, we're committed to protecting our strong balance sheet and liquidity, and to maximizing the value of the enterprise for our shareholders,” Jonathan Frates, chairman of the SandRidge board, said in a statement. “Key to both of those objectives is the further right-sizing of our cost structure, rationalizing our capital program and improving our capital efficiency.”
In addition to withdrawing its 2020 guidance, SandRidge is further reducing its capex for the year with plans to defer any material drilling and completion activity “until commodity prices and the corresponding economics for new wells improve,” the company said in its April 7 press release.
The company also plans to implement salary and additional personnel reductions and will continue to evaluate the sale of non-cash flowing assets that includes considering strategic combinations, according to the release.
In 2018, SandRidge came under pressure from activist investor Carl Icahn, who had objected to the company’s $746 million bid to buy rival Bonanza Creek Energy Inc. the previous year. The billionaire would eventually nominate Frates along with several other nominees to the SandRidge board.
In his statement on April 7, Frates added: “We believe that Carl [Giesler], with his proven cost and operational turnaround experience at public oil and gas companies, is the right person to lead these initiatives.”
Prior to joining SandRidge, Giesler served as CEO and a director of Jones Energy from 2018 until it's sale earlier this year. Previously, he served in the same roles at Glacier Oil and Gas Corp., a privately-held company focused on Alaska, and its predecessor company. He has also served as managing director with Harbinger Group Inc. and held various oil and gas principal investing, financial and other roles with other firms.
Recommended Reading
TGS, SLB to Conduct Engagement Phase 5 in GoM
2024-02-05 - TGS and SLB’s seventh program within the joint venture involves the acquisition of 157 Outer Continental Shelf blocks.
StimStixx, Hunting Titan Partner on Well Perforation, Acidizing
2024-02-07 - The strategic partnership between StimStixx Technologies and Hunting Titan will increase well treatments and reduce costs, the companies said.
Forum Energy Signs MOU to Develop Electric ROV Thrusters
2024-03-13 - The electric thrusters for ROV systems will undergo extensive tests by Forum Energy Technologies and SAFEEN Survey & Subsea Services.
Axis Energy Deploys Fully Electric Well Service Rig
2024-03-13 - Axis Energy Services’ EPIC RIG has the ability to run on grid power for reduced emissions and increased fuel flexibility.
TotalEnergies Rolling Out Copilot for Microsoft 365
2024-02-27 - TotalEnergies’ rollout is part of the company’s digital transformation and is intended to help employees solve problems more efficiently.