Flotek Industries has signed a contract with Pioneer Natural Resources Pumping Services to supply bulk chemicals.
Under this contract, Pioneer will acquire 80% of certain blended chemistries for three years from Flotek and an option was signed to expand the agreement after the initial period. This agreement includes chemicals such as Flotek's patented complex Nano Fluid chemistries, cross-linkers, certain friction reducers, scale inhibitors and other chemical products.
According to the Chairman, CEO and President of Flotek, John Chisholm, Flotek is proud to be selected by Pioneer as a preferred supply partner of completion chemistries. Flotek has considered that the relationship with Pioneer offers economic advantages to its shareholders and it has shown Flotek's leadership as a favorite supplier of advanced chemistry solutions for unconventional production and exploration, John stated.
The previous partnership between Flotek and Pioneer may be expanded through their close working and lead to the formal supply contract to satisfy Pioneer’s increasing demands of chemicals.
Pioneer’s President, Kyle Zemlak stated that the company is delighted to add Flotek as a partner and both companies work to establish a vertically integrated company and speed up the expansion of its resource base. The company’s technical knowledge and the patented complex Nano Fluid chemistries and other chemicals have improved the end results. The company is expecting to continue this mutual partnership, he commented.
Source: http://www.flotekind.com/