VISION
A Company whose culture of dignity and respect for all people enables us to visualize and commit to living and working in an environment that is fulfilling and free of incident or injury.
VALUES
INTEGRITY SAFETY
SERVICE EXCELLENCE ENVIRONMENTAL STEWARDSHIP
We employ the highest ethical standards, demonstrating honesty and integrity in every aspect of our business.
We hold ourselves accountable to provide the best service possible.
We keep our people and the public safe.
We protect and preserve the environment we work in.
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Pioneer Spirit
Well Servicing
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Trucks in CNG test show environmental, cost benefits Pioneer’s new Chevrolet pick-up truck achieves a 30% reduction in carbon dioxide emissions and significant fuel cost savings by using compressed natural gas (CNG).
Pioneer
is converting a limited number of its 800 pick-up trucks to run on compressed natural gas (CNG) to see if the fuel presents a viable alternative to gasoline or diesel. From an environmental and economics standpoint, the early answer is “yes.” Results vary by vehicle and engine type, but the general averages for emissions reductions include: • a 30% reduction in carbon dioxide • a 90% reduction in airborne particulates • a 30-80% reduction in nitrogen oxide
“As far as cost savings, it’s a clear winner if you are working in an area where CNG is available,” says Well Servicing Business Manager Daniel Hindes, who is overseeing the test of a 2013 Chevrolet 2500 HD 4x4 extended cab truck in the Bryan and Houston regions. “With CNG averaging the equivalent cost of $1.99 per gallon, we are getting the same performance while saving about $1.50 per gallon.” Infrastructure important The deciding factor in making CNG work is having enough filling stations to
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ensure ample availability. “That’s why we’re testing where we are – Bryan and Houston offer multiple locations to buy CNG and there is even a smart-phone app that gives you the nearest CNG location and price.” Just as important as availability is the driver’s commitment to using CNG as much as possible. The engines run on both gasoline and CNG but using too much gasoline makes the cost savings and emissions reductions go away. “We need to achieve 80% CNG use for 100,000 miles to pay for the conversion that lets the engine use
CNG,” Daniel says. “We usually try to have our trucks go 200,000 miles so if we maximize CNG usage we can achieve a significant economic benefit for Pioneer while helping the environment.” Based on the test results, Pioneer could expand the CNG fleet into other areas with fueling capacity, which may include areas of Oklahoma, Texas and Louisiana. “If we can meet the mileage and infrastructure requirements,” Daniel says, “it’s a viable alternative.”
Well Servicing
Online Employee Self-Service Starting
in October 2013, employees will be able to access their payroll and HR information online via a Workday portal. Among other things, employees will be able to: • View pay slips online • Review benefits and complete online open enrollment • Review and update personal information Information on how to access, log-in, and navigate Workday will be distributed to all employees in October.
Well Servicing Rig #37 honored for safety Congratulations
to the crew of Well Servicing Rig #37, who impressed client Continental Resources by working 1,222 days without a recordable incident and more than 900 days without an incident. The North Dakota-based crew was treated to a steak meal by the client in recognition of their outstanding safety performance. Team members include: • Dan Adkins – Driller • Aaron Berger – Derrickman • Mike Rippy – Toolpusher The crew of Well Servicing Rig #37 • Tim Taylor – Floorhand impressed their client by working 1,222 • Adam Wills – Floorhand days without a recordable incident.
Pioneer Spirit Summer/Fall 2013
M y C orner
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Standout performances in safety, cross-selling
Pioneer joins industry group trip to U.S. Capitol
do if drivers around you swerve or fail to stop. Please emphasize safe driving practices with your family and friends. Few things are as tragic as a serious injury or death from an auto accident, and most of them are avoidable.
Success
stories continue to multiply at Pioneer, from a stellar on-the-job safety record to our cross-selling efforts gaining more traction following last year’s rebranding. Before recognizing these achievements, a more-urgent topic needs to be addressed: a disturbing increase in auto accidents in the areas where we operate. To be sure, all oilfield service companies are coping with increased traffic and deteriorating roads in major operating areas and the increase in accidents is widespread. We need to be part of the solution and not part of the problem. That means avoiding the risk factors that can lead to accidents. A quick nap before driving can greatly reduce fatigue, and we should never use the cell phone or send text messages while behind the wheel. Drive defensively at all times. Think about what you would
D R ILLI N G
Wireline Services Technical Manager Gary Fisher was a part of the Association of Energy Service Companies (AESC) delegation to Washington, D.C. to meet with members of Congress about important oil and gas industry issues. Over the course of two days this spring, the AESC group met with 42 members of Congress and their staffs. For Gary, who serves on the AESC’s Wireline Logging/Perforating Committee, the highlight was time spent with his representative, Cory Gardner of Colorado. “He was very well-informed on oil and gas issues, and very open to our concerns.“
2013 highlights There are two areas that stand out for me so far this year - an outstanding on-the-job safety record and increased cross-selling among business units. Overall, Pioneer’s safety statistics for 2013 are very good. In fact, our Well Servicing Division has perhaps the best total recordable incident rate (TRIR) among any well servicing company ever at 0.49 year-to-date, and our Fishing & Rental Services Division has not experienced a recordable incident so far this year. Results like this mean that Pioneer employees are thinking about safety, looking out for each other and doing what it takes to work safely. Keep up the great work. When we rebranded as Pioneer Energy Services last year, one of our goals was to make sure our clients were aware that we could support their needs over the entire life of a well. Thanks to the cooperation we’re seeing among business units, this strategy is being validated. So far this year, we have already surpassed our 2013 goal of crossselling “wins.” Great, great effort by everyone.
Important influence Pioneer and its legacy companies have been AESC members for many years, ensuring that the company has a voice in government decisions that can most impact the industry. But getting your voice
heard in Washington is no easy feat, Gary notes. AESC urged Congress to support continued state-level regulation of fracking, and also sought repeal of new rules regarding flame-retardant clothes because of the way that they were mandated by OSHA, without public comment or regard for proper rulemaking procedures. “We need to be vigilant about changes that can negatively impact our industry and keep our representatives informed about the positive economic impact the oil and gas industry has on our country,” Gary says.
Sincerely,
Wm. Stacy Locke President and Chief Executive Officer
Gary Fisher (second from the right) and the AESC delegation meeting with Congressman Cory Gardner (in the middle).
New rigs raise the bar on drilling performance Drilling Services’ latest rigs are turning in recordbreaking performances for clients, drilling lateral wells in excess of 10,000 feet and knocking days off of projects.
“We’ve also lowered the time it took us to go from spud, down to 10,250 feet and from there out to a TD of 21,950 feet in 11.5 days,” Mike says. “These rigs are great but a lot of the credit goes to the crews, too. All of our employees on these new rigs are top of the line and without them none of this would be possible.” Similar activity is taking place in Utah, according to Drilling Services Superintendent Cory Harris. “Rig #78 drilled the first super-extended lateral well in the state, with a TD of 19,580 feet and a lateral length of 9,840 feet,” he says. The new technology on the rigs,
New Utah Division Manager Mike Heifort, who previously served as drilling superintendent in North Dakota, reports a standout effort there by Rig #73 and its crew by going from spud to a total depth (TD) of 25,620 feet in 28 days. True vertical depth was 10,310 feet.
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which feature 2,000-horsepower pumps, are ideal for lateral drilling, Cory says. “We set a record for a lateral here and we did it without any safety issues,” he adds. “It doesn’t get any better.” In addition to the pumping power, Mike notes that the monitor screens in the rigs’ driller cabins are more user friendly, making it easy to adjust parameters on the fly and maintain optimum efficiency. “Our clients really notice the difference,” he says. One client who has been in the business for more than 40 years told Mike the start-up of Rig #71 was the best he’d seen in his entire career.
Pioneer Spirit Summer/Fall 2013
C O R P O R AT E
New document management system a giant leap in speed, efficiency A new electronic management system is making its presence known at Pioneer, replacing slow, tedious practices of managing mountains of paper.
The Wireline Services Corporate Accounts Payable team in Brighton, Colorado is working faster and more efficiently with a new electronic document management system. From left to right are Kelly Unverzagt, Dennis Johnson, Trevor Warren, Linda Yaeger and Scott Pfeil.
manage the entire lifecycle of a document in a more “OnBase lets us get approvals in an efficient and environmentally hour instead of two days and also friendly manner,” says IT means that managers don’t have to Financial Solutions Manager face a pile of paperwork when they Kim Greene. return to the office.” Implementation began last Wireline Controller Steve Ofstehage summer with three projects that captured documents related to the accounts payable group in Wireline Immediate improvements Services, U.S. drilling contracts and Wireline Controller Steve Ofstehage accounting journals for all U.S. divisions. reports that routing documents for The next steps will add accounts electronic approval by managers and payable in the corporate office and the having the documents available at Fishing & Rental Services division by a moment’s notice are the biggest the end of the year before expanding to early benefits of the new system. . . . continued on page 4 other divisions in 2014.
The “OnBase” system is able to capture documents electronically, route and track them throughout the company for reviews and approvals as fast as sending an email, store documents as long as required by law and work within all of Pioneer’s business applications. “This system is an exciting new tool for Pioneer to
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CHARITY
Wireline chefs win chili cook-off
Company, employees support San Antonio runs
If you ever get invited to a cookout by the Wireline Services team in Wyoming, don’t miss it. If you do, you’re passing up the chance to taste the barbecue and chili of award-winning chefs and salesmen Ron Kidder and Kelly Bloom.
Running events almost always support a good cause, and two recent events in San Antonio received Pioneer sponsorship and saw many employees pounding the pavement to help those in need.
The team paired up earlier this year to win first place in the “Best Green Chili” category of the American Petroleum Institute’s Chili Cook Off in Casper. Their recipe came out ahead of 23 green chili competitors at the event, which attracted more than 3,500 people and raised funds to support more than 20 local charities.
For the fourth year, Pioneer was a sponsor of the Susan G. Komen Race for the Cure to defeat breast cancer. More than 30,000 people turned out for the 5K race in April and saw the Pioneer logo on shirts, entry forms, promotional posters and finish line banners. Employees who participated in the race, with many bringing friends and
Commitment to clients When they are not filling their trophy case, Ron and Kelly use their skills to say thanks to Pioneer clients in the region. Recent barbecues have helped strengthen relations with clients that include Anadarko Petroleum, ConocoPhillips, EOG Resources and Samson Resources.
supports the Any Baby Can’s Center for Infant and Child Loss Program. Any Baby Can serves families with children facing serious health or developmental challenges, and the program helps families deal with the tragedy of losing a child. It was the 11th year for the race, and several employees and some of their family members participated in
Wireline Services salesmen Ron Kidder (left) and Kelly Bloom hold the trophy they received for winning “Best Green Chili” at the American Petroleum Institute’s Chili Cook Off in Casper, Wyoming.
The Pioneer team at the Susan G. Komen Race for the Cure in San Antonio.
family, included Sandra Bell, Anna Burke, Lisa Carrillo, Pamela Golden, Greg Lakey, Veronica Luna, Lyndsey Luther, Steve Martin, Stephanie Massey, Rocio Mejias, Amanda Nelson, Kimberly Parvin and Chris Price. Jon’s Run In May, Pioneer served as the title sponsor for Jon’s Run, which
If well-fed clients are happy clients, then Anadarko Petroleum is a happy client after the annual barbecue hosted by Pioneer in Midwest, Wyoming.
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the event. Employees on the move included Kristi Albrecht, Anna Burke, Lisa Carrillo, Nadia Chavez, Greg Lakey, Veronica Luna, Steven Martin, Marissa Martinez, Michael McCray, Chris Price and Amber Rudolph.
Pioneer Spirit Summer/Fall 2013
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C O R P O R AT E
Wireline Services office opens in Grand Junction
Asset management system to keep equipment in peak condition Maximo - a new asset management system - is rolling out across Pioneer to optimize asset use, improve maintenance processes and strengthen client support. More and more of Pioneer’s clients prefer an electronic asset management system be in place to ensure equipment is properly maintained.
The Wireline Services team at the new office in Grand Junction, Colo. has extensive knowledge of the local market.
Pioneer’s entry into the Grand Junction, Colo. region with a new Wireline Services operation has the company poised to capitalize on improving market conditions. A 12,000-square foot building sits on two acres of land and offers 1,600 square feet of office space that houses 10 employees and provides ample room for conferences and training sessions. Equipment on the property includes two casedhole trucks, two cranes and the associated pressure-control tools. “This is an existing building that previously housed two wireline operators and we are expecting the third time to be the charm,” says
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“Wireline operates out of 25 locations, and our old method required getting physical signatures for approval of invoices,” he says. “This involved a lot of paper shuffling and costly overnight document deliveries. “Now we can route the electronic image directly to the manager’s laptop or mobile device so they can approve it on the go, whether they are in their
Division Manager Pat Grissom. “It was a well-maintained shop so we were able to get up and running quickly when we got here in March.” Finding opportunities Pat says that while overall market activity is down from recent peaks, it provides an opportunity to reach potential new clients before the market bounces back. “When the exploration and production companies are really busy it is hard to get in and talk with them because they don’t want to upset the flow of their activities,” he says. The Wireline staff in Grand Junction has a lot of experience in the area and is well-connected, which has produced a number of contacts with potential clients. “We just want to let them know the shop is here and we’re ready to go to work,” Pat says.
“We will be able to demonstrate to our clients that we are committed to their uptime and safe operations by the way we manage our assets,” says IT Manager Ron Reyes. “This system will save the Company money over the long term by extending the life of our assets,” Ron says. “It will also reduce unnecessary maintenance costs because of its tracking and recording features.” Office and field benefits The new system gives instant access to the complete history of any asset, as well as the ability to conduct searches by make, model, location or even horsepower rating. “These requests used to have to go to one person who would then have to verify the location with
others, so this is a big improvement in efficiency,” says Drilling Services Project Manager Wilson Orr. In the field, users will be equipped with a rugged mobile device that contains information about every company asset, including user and maintenance manuals. Upon login, their screen will show them any pending asset transfers and equipment maintenance that is due. It will also be the tool to approve, close out and comment on transfers and maintenance work orders. “Being able to capture the lessons learned regarding maintenance or repairs of a piece of equipment, and having that information available to everyone else within the company by the next day is a powerful tool in corporate learning,” Wilson says.
New document management system a giant leap in speed, efficiency hotel room at night or at a well site,” Steve says. “This lets us get approvals in an hour instead of two days and also means that managers don’t have to face a pile of paperwork when they return to the office.” Responding to requests for documents or answering questions about financial statements now takes a few minutes rather than digging
The Pioneer Spirit Newsletter is published by Pioneer Energy Services for our employees and clients. Questions or comments should be directed to newsletter@pioneeres.com. The online version of the newsletter can be found on www.pioneeres.com. A Spanish version is available upon request.
through the file cabinets or collecting documents from offsite storage facilities. “That’s a huge bonus for Audit, as it allows us to quickly retrieve all supporting documents for an accounting entry while also making the business process and key controls visible to the auditors,” Kim says. The work done on the early projects will make the rollout to the
Editorial Committee J. Blaine David Leanna Khrystyuk Rogelio Vargas
Editorial Coordination Rick Schwalbach
rest of the Company a lot smoother, Steve says. “It took some time to get to this point but we are seeing significant value in our group and it’s been a real plus for operations as well. It is a great resource.”
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