Wood Group increase onshore presence in the US

3rd Aug 2012 07:33

John Wood Group, the support services firm focused on the oil and gas business, has increased its presence in the US Eagle Ford shale region of Texas with a bolt-on acquisition.The group has acquired Duval Lease Services and Freer Iron Works, a Houston-based provider of maintenance, installation and fabrication services.Wood Group did not disclose how much it paid for Duval, but did reveal that Duval generated sales of around $32m in 2012 and, as at April 2012, held gross assets of $14m.Duval will operate as Wood Group Duval within the Wood Group PSN unit, and will complement the division's existing onshore US production facilities supportservices, Wood Group said. "The acquisition of Duval provides us with a robust platform for growth in the key Eagle Ford shale region and increases our overall exposure to the US onshore unconventional oil & gas markets," said Derek Blackwood,President-Americas of Wood Group PSN. Rene Casas, President of what is now Wood Group Duval, said "Duval has achieved strong growth over recent years, and we anticipate the strong shale market, momentum in our business and the support of Wood Group will enable continued growth." JH