Schlumberger continues acquisition trends

HOUSTON, Jan. 5 (UPI) -- Oilfield services company Schlumberger said it continued where it left off last year with the acquisition of specialty company, Peak Well Systems.

"The addition of Peak's mechanical and remedial solutions for cased-hole well intervention strengthens the Schlumberger production services portfolio with a broader offering of mechanical services to its global customers," the Houston-based company explained.

Schlumberger last year entered into an agreement to acquire drilling services units controlled by Canadian company Xtreme Drilling and Coil Services Corp., which owns a fleet of 11 units in Saudi Arabia and the United States. The world's largest oil field services company, Schlumberger closed on its merger with its smaller industry counterpart Cameron International Corp. in early April.

Companies catering to the exploration and production side of the oil and gas industry were impacted negatively by the downturn in crude oil prices last year, which left big energy companies short on spending cash. Schlumberger's rivals, Halliburton and Baker Hughes, bid unsuccessfully last year to join forces.

Schlumberger reported revenue for the three months ending June 30 at $7.1 billion, a 10 percent increase from the previous period, but 20 percent below the same point from 2015

Nigel Avern, the CEO at Peak, said the acquisition by Schlumberger was positive news for both companies, as well as the industry as a whole.

"We have been working closely with Schlumberger on several collaborations and initiatives during the past year and what has become clearly apparent is our compatibility," he said. "This is a natural fit for both companies and one which will ultimately benefit our customers."

Peak Well Systems has its headquarters in Scotland.