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Abstract
Next-gen technologies and approaches like continuous pumping and remote fracturing are being adopted by hydraulic fracturing companies to reduce fuel costs and decrease well drilling and completion time frames for their E&P customers. The pressure on E&P companies to prioritize capital discipline, dividends, and share buybacks is driving the demand for faster and less costly operations from hydraulic fracturing companies. The adoption of next-generation technology and efficiency is primarily driven by the E&P's need to deliver value to their shareholders. The focus on capital discipline in the E&P industry is expected to continue, and pumping companies are aiming to reduce costs for their clients, particularly in terms of fuel consumption. Next-generation equipment such as Tier 4 dynamic gas blending (DGB) engines and e-fracs offer significant fuel savings compared to diesel-powered hydraulic fracturing units. The introduction of new technology often involves replacing older-generation crews rather than increasing horsepower capacity. The merger between NexTier and Patterson UTI will result in one of the leading pressure pumpers in terms of capacity, potentially leading to the retirement of older units and driving up utilization and pricing.