Secure Energy Services Plans to Divest Drilling and Completion-Related Businesses

Updated 1 year 10 months ago

As disclosed in its 3Q earning release, Secure has initiated a sales process for the divestiture of specific service lines that do not have recurring or production-related revenue streams. In the last quarter, multiple financial institutions approached Secure about divesting select service lines, and this process is expected to last through the remainder of the year and into 2020 with transactions closing by the end of 2020. Aggregate proceeds from these divestitures could range from $100-200 million depending on which service lines are divested. The company said monetizing these assets will allow the company to focus on additional midstream investments. This primarily includes drilling fluids and water handling operations.