Unit finishes Serdrilco buy

Allen Baker

Petroleum News contributing writer

Unit Corp. has completed its acquisition of Serdrilco Inc. and its subsidiary, Service Drilling Southwest LLC, the Tulsa, Okla., company said Dec. 8. Unit paid $35 million in cash, plus the sellers will receive half of the operation’s cash flow beyond the first $10 million annually for the next three years.

Serdrilco, also based in Tulsa, was privately held. Service Drilling Southwest is located in Borger, Texas.

Serdrilco has a dozen rigs with depth capacities from 6,500 to 18,000 feet. All are currently under contract. The deal also includes 12 trucks to move the rigs, plus the district office and equipment yard at Borger.

Unit now has 88 land drilling rigs, with 83 of them currently under contract.

Serdrilco had operated in the Anadarko basin and the Texas Panhandle for more than half a century.