Keane Group expands services with RockPile Energy acquisition

By Patrick C. Miller | May 22, 2017

Keane Group Inc. has entered in an agreement to acquire RockPile Energy Services LLC, a Denver-based completions services company providing hydraulic fracturing solutions with integrated wireline in the Bakken and Permian basins.

Once completed, the transaction will increase in the size of Keane’s fleet—one of the largest pressure pumping fleets in the U.S.—by 26 percent, giving Keane approximately 1.2 million total hydraulic fracturing horsepower located throughout the country’s top shale basins.

“This transaction also provides Keane with further capabilities in adjacent service offerings including cementing, as well as workover product lines which are currently deployed by RockPile in the Bakken,” said James Stewart, Keane chairman and CEO.

Under the terms of the agreement—expected to be completed by July 31—Keane will acquire all issued and outstanding shares of RockPile in a cash and stock transaction. Fixed cash and stock consideration is approximately $284.5 million.

“We look forward to joining Keane as our companies share common values and commitment to safety, service, technology and operational excellence,” said Curt Dacar, RockPile CEO. “This transaction provides both our customers and employees with enhanced opportunities for growth and success.”

Founded in 2011, RockPile also provides workover and remedial well service and cementing. The company owns 245,000 hydraulic fracturing horsepower, eight wireline trucks, 12 workover rigs and 10 cement units. RockPile’s total fleet also includes 30,000 horsepower of Tier 4 units scheduled for delivery in the fourth quarter of 2017. The company’s active hydraulic fracturing horsepower is split almost equally between the Bakken and the Permian basins.

Houston-based Keane owns approximately 944,000 hydraulic fracturing horsepower and 23 wireline trucks. It provides engineered solutions in the Permian, Bakken, Marcellus/Utica, and SCOOP/STACK shale basins. The acquisition of RockPile provides Keane with additional capabilities in adjacent service offerings including cementing and workover product lines currently deployed in the Bakken.

“The RockPile transaction strengthens Keane’s position as a leading provider of high-efficiency completions services in the U.S.,” Stewart said. “Once this transaction is completed, Keane’s expanded platform will include approximately 1.2 million hydraulic fracturing horsepower, 31 wireline trucks, as well as ancillary service capabilities in cementing, workover and coiled tubing.”