Completion Tangibles: Cost Savings on Procurement

A completion in oil and gas terms is to provide a unique, clean and reliable path for hydrocarbons to flow. The products used to achieve this includes placing casings in the wellbore, and substituting the dirty mud with brine or water (prevent well collapse) and then inserting a production tubing and sealing it with packers. In short sand screens and production packers play a major role in achieving the completion aspect in the oil and gas exploration fields. The sub-contractors, like Schlumberger, Halliburton and Baker Hughes source their completion tangibles from tier 2 suppliers. Most tier-2 suppliers have either been acquired by these sub-contractors or have a stake in the companies of tier-2 suppliers.