Pioneer Drilling to acquire five land rigs for $7.2M

Ray Tyson

Pioneer Drilling has signed an agreement to acquire a fleet of five drilling rigs and related equipment from Allen Drilling for $7.2 million in cash, Pioneer said Dec. 1.

The rigs range from 550 to 800 horsepower and are capable of drilling to depths of 6,000 to 10,000 feet. Dixon Allen, president of Allen Drilling, will become Pioneer’s Oklahoma division manager. The transaction is expected to close later this month.

Allen Drilling has operated in the northern Anadarko shelf of Oklahoma since 1976 and has built an excellent reputation and a loyal customer base, said William Stacy Locke, Pioneer Drilling’s chief executive officer.

“This is a great opportunity for Pioneer to establish a presence in this prolific natural gas region and build upon a well run operation,” he added.

Pioneer Drilling also said that it has completed the previously announced acquisition of seven drilling rigs and related equipment from Wolverine Drilling Inc., based in Kenmare, N.D.