Our Company
We provide contract land drilling and workover services to independent oil and natural gas exploration and production companies throughout the United States. We commenced operations in 2001 with the purchase of one stacked 650-horsepower drilling rig that we refurbished and deployed. We subsequently made selective acquisitions of both operational and inventoried drilling rigs, as well as ancillary equipment. Our management team has significant experience not only with acquiring rigs, but also with refurbishing and deploying inventoried rigs. We have successfully refurbished and brought into operation 25 inventoried drilling rigs during the period from November 2003 through December 2009. In addition, we have a 41,000 square foot machine shop in Oklahoma City, which allows us to refurbish and repair our rigs and equipment in-house. This facility, which complements our two drilling rig refurbishment yards, significantly reduces our reliance on outside machine shops and the attendant risk of third-party delays in our rig refurbishment program. As of February 28, 2010, we also owned a fleet of 60 trucks used to transport our rigs.
We have a 40% equity investment in Bronco Drilling MX, S. de R.L. de C.V., or Bronco MX, a company organized under the laws of Mexico, Bronco MX provides contract land drilling services and leases land drilling rigs to oil and natural gas companies in Mexico. We also have a 25% equity investment in Challenger Limited, or Challenger, a company organized under the laws of the Isle of Man. Challenger is an international provider of contract land drilling and workover services to oil and natural gas companies with its principal operations in Libya.
We currently conduct our operations through two operating segments: our contract land drilling and our well servicing segments. The following is a description of these two operating segments.
Contract Land Drilling – Our contract land drilling segment provides contract land drilling services. As of February 28, 2010, we owned a fleet of 37 marketed land drilling rigs. We currently operate our drilling rigs in Oklahoma, Texas, Pennsylvania, West Virginia, North Dakota, Utah and Louisiana. A majority of the wells we drill for our customers are drilled in unconventional basins also known as resource plays. These plays are generally characterized by complex geologic formations that often require higher horsepower, premium rigs and experienced crews to reach targeted depths. Our current fleet of 37 marketed drilling rigs range from 950 to 2,000 horsepower. Accordingly, such rigs can, or in the case of inventoried rigs upon refurbishment, will be able to, reach the depths required and have the capability of drilling horizontal and directional wells, which are increasing as a percentage of total wells drilled in North America. We believe our premium rig fleet, inventory and experienced crews position us to benefit from the natural gas drilling activity in our core operating areas.
Well Servicing – Our well servicing segment encompasses a full range of services performed with a mobile well servicing rig, including the installation and removal of downhole equipment and elimination of obstructions in the well bore to facilitate the flow of oil and gas. As of February 28, 2010 we owned a fleet of 61 workover rigs.
Headquartered in Edmond, Oklahoma, Bronco Drilling Company, Inc. is a publicly traded Company. Its common stock is listed on the NASDAQ under the symbol BRNC
