Topic: New technology (ProPilot & Makena) deployment, sales cycle, and production uplift
Key points:
ProPilot is installed on every fleet in the data van; Makena is customer-facing software for well optimization using real-time data.
Industry average: only ~10,000 of 15,000 perfs open per well (two-thirds). Technology can open up to 1,500 extra perfs per well.
D&C cost per well is $12,000,000 → $1,200 per open perf. Opening 1,500–2,000 extra perfs creates $1,800,000–$2,400,000 of D&C value per well.
Production uplift data is too early to measure (6–9 months per well); success measured by open perfs, not production.
Mgmt stance: Bullish on technology value proposition, but cautious on quantifying production impact; focuses on measurable perf-opening metric.
Q2 — Saurabh Pant
Topic: Middle East disruption impact, U.S. land market, fleet reactivation CapEx, and balance sheet deleveraging
Key points:
Middle East disruption may be temporary (strait closure) or structural (supply/demand imbalance from infrastructure attacks); potential artificial demand from national security reserve reassessment.
U.S. onshore: many calls, conversations centered on DUCs being pulled forward and denser calendars; too early for material rig count increase.
Diesel prices have doubled in some daily quotes vs. a few weeks ago; dual fuel can eliminate 70% of diesel cost, electric fleets 100%.
Balance sheet actively managed; liquidity maintained for base business and opportunistic investments; no specific deleveraging target given.
Mgmt stance: Neutral on near-term activity increase; bullish on fuel-efficient fleet value proposition due to diesel price spike.
Q3 — Dan Kutz
Topic: (No question delivered due to technical issue)
Key points: None.
Mgmt stance: Not applicable.
Q4 — Patrick Woollet (on for Stephen Gengaro)
Topic: Q1 2026 pressure pumping segment exit run-rate, weather impact on EBITDA, and proppant segment guidance
Key points:
Q1 exit run-rate expected to be in line to slightly better than Q4; early-quarter weather disruption compressed the balance of Q1, leading to tighter schedule and higher utilization.
Weather disruption impact on EBITDA: $8,000,000–$12,000,000; viewed as pushed out to the right and recoverable, but lost in Q1.
Proppant segment: demand flat QoQ into Q1; operational challenges (weather-related) impact sand mines disproportionately (wash plants, working inventory in freezing temps). Backlog fully sold; focus on execution and improving best demonstrated performance.
Mgmt stance: Neutral on Q1 EBITDA loss (recoverable later); bullish on proppant execution and backlog.
U.S. completions activity currently below production maintenance level by 500,000 to 1,000,000 completed lateral feet per month (depending on inventory quality).
Company keeping fleet count range-bound and disciplined; will not add fleets unless there is a true call on assets (increasing rigs, full dedicated spreads, operator CapEx push).
Spare capacity exists; priorities remain on fuel-efficient assets to help customers hedge diesel price risk (diesel doubled recently) while expanding margins.
Mgmt stance: Cautious on fleet expansion until clear demand inflection; bullish on fuel-efficient fleet value in high-diesel environment.