‘Pioneering’ E&P Is Largest Customer for New Bi-Fuels
Pioneer Natural Resources, an exploration and production company that’s emerging as a staunch advocate of natural gas vehicles, has placed a pioneering order for 225 bi-fuel pickup trucks from Westport LD.
(This is a full revamp of a June 23 report on Pioneer’s Westport LD purchase)
“Our team at Pioneer has been driving the WiNG powered Ford F-250s since they first became available earlier this year, and we’ve been impressed with the simple order process, delivery times, product and the company,” Pioneer strategic projects manager Lynn Lyon said in a release.
Westport LD is a new offshoot of Westport Innovations (NASDAQ:WPRT) specializing in light-duty vehicles, specifically Ford F-250 and F-350 pickups converted to bi-fuel compressed natural gas-gasoline operation.
Westport LD announced its Westport WiNG system for bi-fuel upfits last year, released further detail about its Westport Kentucky Integration Center at this year’s Work Truck Show in Indianapolis, and hosted a Grand Opening of the WKIC, with operations integrated to the Ford assembly plant in Louisville, on June 26.
Lyon said that visited Westport LD’s “highly-sophisticated facility” in June.
The firm opened its Westport Kentucky Integration Center at this year’s Work Truck Show in Indianapolis, and is hosting a Grand Opening of the WKIC, with operations integrated to the Ford assembly plant in Louisville, this Tuesday, June 26.
“We are their number one customer,” Lyon told F&F in June, at which point she said Pioneer would be buying 120 trucks. “I hope someone else makes larger orders and passes us,” she said then.
Pioneer (NYSE:PXD) posted net income of nearly $215 million for the first quarter of 2012, on revenues of $882.75 million.
“Pioneer is one of our most important customers and we’re proud that they have chosen Westport WiNG quality and our ability to deliver,” said John Howell, senior director of marketing and development at Westport LD.
“We’re pleased with the industry recognition of Westport LD so soon after opening our new facility. It’s a great vote of confidence in the WiNG product, and it’s encouraging that we’re able to establish a growing market for Ford Super Duty trucks that can be powered by natural gas,” Howell said.
As for Pioneer, “As the third largest driller in the U.S., the Company delivered another strong quarter, with production of 147 thousand barrels oil equivalent per day,” Pioneer chairman and CEO Scott Sheffield said in the company’s earnings release – a 7% gain from the fourth quarter of 2011.
“Our three core liquids-rich growth assets in Texas, the Spraberry field, the Eagle Ford Shale and the Barnett Shale Combo,” he said, “were the drivers.”
Besides deploying CNG trucks to support its extensive work in the field, Pioneer prides itself on being vertically integrated in fracking equipment. “Owning fracture stimulation fleets continues to enhance the execution of our drilling program and provide significant cash savings versus contracting for these services at market rates,” Sheffield said.
“We added 25,000 horsepower in April and will add another 45,000 horsepower by mid-year, bringing our total fleet capacity to 300,000 horsepower.”
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Source: Fleets & Fuels reportage