Proceeds from MSEP’s investment will be used to purchase state-of-the-art Tier IV pressure pumping equipment specifically designed to maximize pumping efficiency and meet the needs of E&P customers’ modern completion designs.
The partnership with MSEP provides the Company with capital and resources to significantly expand Catalyst’s equipment fleet and service offerings. In connection with MSEP’s equity investment, the Company expects to introduce new pressure pumping and pump down equipment into the Permian Basin in third quarter of this year with additional plans to expand its service offerings and geographic footprint to support its customers.
Catalyst’s senior management team, led by Bobby Chapman and Seth Moore, has decades of operating experience in the pressure pumping business.
Catalyst CEO Bobby Chapman said: “Our partnership with Morgan Stanley Energy Partners provides Catalyst with a strong sponsor and the world-class resources to build an industry-leading oilfield services franchise. In light of the high demands and specifications required in today’s state-of-the-art completion techniques, we see a unique opportunity to provide our customers with the industry’s newest equipment and differentiated services that will drive efficiency in their completion operations. We are very excited to grow this business.”
Morgan Stanley Energy Partners head and managing director John Moon said: “We are delighted to be partnering with Catalyst to grow the Company into a leading provider of high-end pressure pumping services. We believe this is a compelling opportunity for us to invest alongside an experienced management team to build a leading energy services business across the most attractive oil and gas basins in the United States.”
Morgan Stanley Energy Partners executive director Logan Burt said: “The current operating environment requires the deployment of advanced equipment and an innovative, cost-effective approach to well completions. We are thrilled to be partnering with Bobby and Seth to deliver that differentiated service offering and grow Catalyst into an industry leader.”
Source: Company Press Release
