A formal document a subcontractor submits to a prime contractor or operator to express intent to bid on upcoming work. It is not a binding commitment, but helps secure a spot in the tender process. Common in pre-qualification stages for large oilfield or construction scopes.
Letter of Interest
Related Terms
Spoil Pile
IndustryExcavated soil, rock, or debris removed during trenching or grading and stockpiled on-site. Subcontractors are often responsible for its placement, management, and disposal per site plans. Improper handling can trigger environmental compliance issues and project delays.
Oil Rigs
IndustryStructures used to drill for oil and gas, either onshore or offshore. For subcontractors, they are primary worksites where specialised services like maintenance, inspection, and equipment supply are contracted. Mobilisation requirements, safety certifications, and site access protocols vary significantly between rig types.
TVD (True Vertical Depth)
IndustryThe straight-line vertical distance from surface to a specific point in a wellbore, regardless of how the well is drilled — subcontractors working on directional or horizontal wells need to reference TVD (not measured depth) when scoping equipment reach, calculating hydrostatic pressures, or verifying work zone depths on service orders.
Well Program
IndustryA technical document outlining the planned scope, procedures, and specifications for drilling or completing a well. Subcontractors use it to understand required services, equipment, and sequencing before mobilising. It directly affects how you scope work and price your bid.
Carbonate Formation
IndustryA type of subsurface rock layer—primarily limestone or dolomite—that subcontractors may encounter during drilling, completions, or civil excavation work, often requiring specialised equipment, bit selections, or modified drilling programmes due to its hardness and tendency to cause lost circulation events.
Minimum Work Program
IndustryA contractually obligated set of activities and expenditures an operator must complete within a set timeframe, typically tied to a licence or lease agreement; for subcontractors, this creates predictable scopes of work and mobilisation opportunities as operators must execute these commitments or risk losing their rights to the asset.
Latest Industry News
Uniper Signs Preliminary LNG Offtake Deal for BC's Ksi Lisims Project
German energy company Uniper has signed a letter of interest for 2 million tonnes per year of LNG from British Columbia's Ksi Lisims export facility, adding commercial momentum to a project that could begin construction by 2027.
4 months agoIndustryJacobs-PCL Wins $1B SF Plant Upgrade Built Around Live Operations
SFPUC picked a Jacobs-PCL joint venture for a $1 billion progressive design-build nutrient reduction project at its largest treatment plant. The plant must keep running during construction, which shapes how subs should pursue early involvement.
20 hours agoIndustryWelspun Wins $580M Pipe Order for Permian Gas Line Feeding Data Center
Welspun Tubular won a roughly $580 million order to supply coated steel pipe for a Permian Basin natural gas pipeline serving a hyperscaler data center complex. Deliveries are expected in fiscal year 2029.
20 hours agoIndustryXcel Energy Sets $70B Plan With 9.2 GW Renewables, 2.3 GW Storage
Xcel Energy's five-year capital plan rises 17% to $70 billion, with 9.2 GW of renewables, 2.3 GW of storage, 3.3 GW of gas and 2,400 miles of new transmission. Here is what the plan means for foundation, collection and substation crews.
20 hours agoRelated Guides
How Operator Mergers and Acquisitions Affect Your Subcontract Agreements
When operators merge, get acquired, or sell assets, subcontractor agreements are caught in the middle. Learn how M&A activity affects your MSA, payment terms, vendor status, and what to do before, during, and after a deal closes.
Industry GuideHow Rig Count Trends Affect Subcontractor Demand and What to Do About It
Rig counts are the earliest signal of where field service work is heading. Learn how to read drilling activity trends, anticipate demand shifts, and position your crew before the phone stops ringing.
Industry GuideWhat Is an AFE in Oil and Gas and How Does It Affect Subcontractor Payments?
An AFE (Authorization for Expenditure) controls every dollar spent on an oilfield project. Learn how it affects your billing, change orders, and cash flow as a subcontractor.
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