Rig Count

A contract where a subcontractor operates a battery energy storage system on behalf of an asset owner, earning a fee without owning the asset. Common on remote sites and camps where third-party power management services are contracted out. Subcontractors are paid for capacity and availability, not energy consumed.

The percentage of time a rig is actively working versus sitting idle. For subcontractors, high rig utilisation means steady billable hours and predictable revenue. Low utilisation signals contract gaps that strain cash flow and crew retention.

A well-site service that monitors drilling fluid returns to detect hydrocarbons and analyse formation data in real time. Subcontractors provide specialised technicians and instrumentation units for this work. It is commonly scoped as a standalone package within a drilling contract.

To create precisely spaced holes or openings in oil well casing and cement at a target formation depth, allowing hydrocarbons to flow into the wellbore; subcontractors providing perforating services typically work under wireline or coiled tubing crews and must coordinate closely with the operator's completion schedule.

A well drilled in an unproven area to determine whether hydrocarbons are present, typically representing higher-risk, shorter-duration work for subcontractors with less certainty of follow-on contracts compared to development drilling programmes. Field service companies should account for the speculative nature of these projects when negotiating mobilisation costs and contract terms.

A standard measure of a well site's or facility's total energy output, combining oil, gas, and NGLs into one comparable unit. Operators use BOE/D figures to size projects and determine crew and equipment requirements. Higher BOE/D rates typically signal larger scopes of work and longer service contracts for subcontractors.

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.

What 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.