Target Lodging earns new Permian workforce contracts

By Luke Geiver | February 04, 2019

The demand for workforce housing in the Permian remains. Target Lodging recently announced new contracts with four oilfield service companies that will provide the global workforce housing provider with a contract valued at more than $200 million.

“As market demand remains strong, we continue to execute our planned capital and operational enhancements throughout the Permian Basin,” said Brad Archer, president and CEO of Target Lodging. “These contracts demonstrate the value we bring our customers and guests in remote locations like the Permian, provide us with even greater visibility into our future performance, and underpin the stability and resiliency of business.”

The contracts recently signed will extend beyond the existing contracts by two years. The participants in the deal were not disclosed. Part of the new deals include the addition of culinary and managed site services.

Target operates 15 different lodges in the Permian, another five in the Bakken and one in the Anadarko Basin.

In addition to the new contracts, the company has also made several executive appointments to start the year. Heidi Lewis has been named the executive vice president general counsel and secretary—a new position for Target. Lewis previously worked in capital markets, securities, IPOs, mergers and corporate law. “Target Lodging has a strong leadership team and is on an exciting journey to grow its business,” she said.

Narinder Sahai, the new treasurer and senior vice president of investor relations, was also named to a newly created position. Prior to Target, Sahai was the director of investor relations for TechnipFMC.