Is DOJ probe into Halliburton and Baker Hughes in antitrust investigation unjustified?

Is the Department Of Justice www.justice.org probe into Halliburton www.hallibuton.com and Baker Hughes www.bakerhughes.com in an antitrust probe unjustified?

The definition of ANTITRUST is : Opposing or intended to regulate business monopolies, such as trusts or cartels, especially in the interest of promoting competition: antitrust legislation.

This means those being looked into may have the ability to monopolize a business sector. This particular case, the Department of Justice’s Antitrust Division is probing “The hydraulic fracturing with the DOJ looking into the possibility of anticompetitive practices involving pressure pumping performed on oil and gas wells.”

Here is why this probe will fall on flat on its face and/or will fade away quickly. Halliburton on holds approximatly 18% share of the “practices involving pressure pumping performed on oil and gas wells”. Add to this Baker Hughes at approximate 12% and a total of 30% share does not even come close to meeting the minimum threshold of an antitrust suit.

What appears just as odd is the company holding the two ranking in “practices involving pressure pumping performed on oil and gas wells” Schlumberger www.schlumberger.com is apparently not involved in the probe given it was not to my knowledge mentioned in their 10Q report. Schlumberger has an approximate 13% share in the “practices involving pressure pumping performed on oil and gas wells”.

So let us total the top three approximate percent share of market; Halliburton at 18%, Schlumberger at 13% and Baker Hughes at 12% for a grand total share of market of 43%. Yes, only 43%. So, even taking the top three players will not breach a 51% share. To break the minimum barrier we must add the fourth position held by either Weatherford www.weatherford.com or Frac Tech www.fractech.com both with an estimated 10% share.

Summary, if it takes four of the largest companies to reach the 51% is there any chance that number 1 Halliburton and number 3 Baker Hughes have a monopoly?

So why the probe? It appears there are two possible reasons- First, the DOJ was not aware that the second largest company Schlumberger which has “practices involving pressure pumping performed on oil and gas wells ” actually exists or they are targeting high profile companies to please their green, anti-fracturing base. In either case it is about to get very embarrassing for the DOJ.

I have two suggestions: 1) DOJ drop your unwarned probe 2) Schlumberger, stay out of the crosshairs.

 

Adams in Fargo North Dakota Offers New Safety Drive Over Frac Ramps; Adams is a member of Bakken Energy Service

Adams www.adamsfargo.com in Fargo North Dakota Offers New Safety Drive Over Frac Ramps throughout the Bakken and Williston basin . Adams is a member of Bakken Energy Service www.bakkenenergyservice.com

Adams www.adamsfargo.com in Fargo North Dakota Offers New Safety Drive Over Frac Ramps by Bluff Manufacturing www.; Adams is a member of Bakken Energy Service www.bakkenenergyservice.com

Adams brings the frac industry a safe and effective way to increase efficiency and reduce frac time by allowing more movement on the pad site.

With oil and gas production in the U.S. skyrocketing due to major strides in natural resource extraction, hydraulic fracturing is a fast growing industry. Bluff Manufacturing has developed a custom steel crossover ramp to meet the industry need for ramps to accommodate the many types and sizes of vehicles and industrial equipment that cross over pipes, hoses and cables at frac  sites. Unique to Bluff, the Frac  Ramp is made up of sections joined by a connector link that forms a tunnel-like pass-through designed to protect pipes, hoses and cables as heavy equipment crosses over it. Adam’s Inc can deliver them to your business .

Adams brings the frac industry a safe and effective way to increase effeciency and reduce fracing time by allowing more movement on the pad site. Adams is a member of Bakken Energy Service.

This portable, foldable, heavy-duty, steel ramp reduces hose movement and damage and allows vehicles to travel over hoses decreasing frac time and increasing profits. contact www.adamsfargo.com today. Adams is a member of the Bakken Energy service Team

Adams is a member of Bakken Energy Service www.bakkenenergyservice.com . Adams www.adamsfargo.com located  Fargo North Dakota Offers New Safety Drive Over Frac Ramps by Bluff Manufacturing  throughout the Bakken and Williston Basin : Contact Tim today at 701.277.9422 or email tim@adamsfargo.com

Hess, Marathon , EOG Safety First

Hess, Marathon , EOG Safety First

Hello BESTeam Followers!!

Since safety is the   number  one priority  with compaines such as Oxy, Continental, Oasis,  Whiting and other top oil companies in the Bakken and Williston Basin,  Bakken Energy Service’s mission is to meet and exceed their Safety First demands.

Marathon, Oxy, Hess, EOG, all demand Safety First- Bakken Energy Service is here to implement the safety first directives.

I want to welcome to our BESTeam our newest Safety First driven member Riley    Brothers Construction www.rileybros.com headed up by its President Jim Rentz. I have know Jim for many years as he headed another construction compnay in Minnesota before being asked to come to Riley Brothers Construction and bring his many years of excavating, bidding and construxction expertise. Riley Brothers Construction is currenly very active in North Dakota. BESTeam focus will be on:

- Pad building

- Roads Construction

- Building Site Preperation

- Bituminous Paving

- Underground Utilites (Water and Sewer)

- Scoria, Sand and Gravel Hauling

- Certified Crane Work

- Building Demolition

I can see it now…..  Riley Brother Construction (RBC)  www.rileybros.com builds the road and pad getting  the gravel and scoria from Iron Horse www.ironhorse-alex.com . On the pad is an above ground wate pit lined by BTL Liners www.btlliners.com . The  underground electricial   work is done by Todavich Electric www.todavich.com  while Coating Specialites www.coatingspecs.com blast and paints the above ground piping.  RBC returns to its building built by Gateway Building Systems www.gatewaybuilding.comdriving over the scoria supplied by Iron Horse and flips on the electricial switch installed by Todavich and settles into a warm office insulated by Coating Specialies  looking at their  website designed   Innovative Business Solutions www.inbsinc.com .

Not to mention the casing, rat hole, rig, fencing, water, mud logging, welding, steam cleaning, cattle gates etc..etc ..all done by future BESTeam members. We look forward to working with companies like Hess www.Hess.com Marathonwww.marathon.com  EOG www.eogresources.com and many others.

Welcome Riley Brother Construction and go BESTeam! 2012 is onit way to being a GREAT Year!