Tank Farm

A rock formation believed to contain oil or gas, targeted for drilling or evaluation. Subcontractors are often mobilised to support exploration work within these zones. Scope and duration of field service contracts may depend on how many prospective intervals a well will test.

A farm-out occurs when an operator transfers part of its working interest in a well or lease to another company. For subcontractors, this can mean a change in who issues your work orders, purchase orders, or payment approvals mid-project. Always confirm the new operator's billing procedures and verify your contract remains valid under the new arrangement.

A well's average daily output during its first 30 days of production. Operators use IP30 figures to evaluate well performance and plan follow-on service scopes. Strong IP30 results often drive faster mobilisation of additional field crews and equipment.

A facility where oil, gas, or LNG is transferred from pipelines or storage for shipment to buyers. Subcontractors are often mobilised here for maintenance, inspection, and commissioning work. Security clearances and site-specific safety certifications are typically required.

A government auction where energy companies bid on licences to explore or develop publicly owned land. Winning bids signal upcoming drilling and field activity in that area. Subcontractors watch these sales to anticipate new work and mobilise resources early.

A field development that has received formal investment approval from the operator or project owner. For subcontractors, sanction signals that contracts, mobilisation, and work orders are imminent. It marks the transition from planning to active field execution.

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.

How 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.

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.