Schlumberger Ltd. (NYSE: SLB) and Weatherford International Plc (NYSE: WFT) agreed to create OneStimSM, a joint venture (JV) to deliver completions products and services for the development of unconventional resource plays in the U.S. and Canada land markets, the companies said March 24.

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Under the terms of the formation agreement, Schlumberger and Weatherford will contribute all their respective North America land hydraulic fracturing pressure pumping assets, multistage completions and pump-down perforating businesses. Weatherford will also receive a one-time $535 million cash payment from Schlumberger.

The JV will offer "one of the broadest multistage completions portfolios in the market combined with one of the largest hydraulic fracturing fleets in the industry," according to the release.

Schlumberger and Weatherford will have 70/30 ownership of the JV, respectively. Schlumberger will also manage the JV and consolidate it for financial reporting purposes.

Weatherford will contribute its multistage completions portfolio, cost-effective regional manufacturing capability and supply chain. Schlumberger will provide the JV with access to its surface and downhole technologies, efficient operational processes and advanced geo-engineered workflows.

The JV will allow Weatherford to deleverage its balance sheet while retaining a "significant exposure" to the unconventional market, William E. Macaulay, Weatherford's chairman, said in a statement.

The transaction is expected to close in the second half of 2017, and is subject to regulatory approvals and other customary closing conditions.