Dril-Quip and Proserv Group announce strategic agreement

Dril-Quip and Proserv Group announced an agreement pursuant to which Dril-Quip will rely upon Proserv for the development and manufacturing of its subsea control systems as a supplier.

The mutually beneficial arrangement now announced allows Dril-Quip to continue to support its existing subsea controls customers with the support of Proserv. The agreement follows Dril-Quip’s strategic decision to consolidate the supply and development of control systems with a dedicated subsea controls provider.

Proserv’s independence in the controls area, combined with its versatility to interface with all subsea tree providers made it the natural party for Dril-Quip to partner with. In addition, the agreement establishes a framework where Proserv and Dril-Quip may pursue joint marketing and collaboration efforts, with Dril-Quip providing subsea trees and Proserv providing subsea controls. This bundled offering will be a compelling value proposition for customers as it brings cutting edge technology solutions at competitive prices.

Blake DeBerry, Dril-Quip's chief executive officer, commented, "We are pleased to announce this strategic collaboration between Dril-Quip and Proserv which allows us to leverage capabilities and enhance our product offerings. Our collaboration will provide significant benefits to our customers in the subsea production system market and allows access to complementary award-winning subsea technologies at competitive pricing. This agreement aligns the interests of both companies in leveraging their respective technical and engineering expertise to deliver high quality subsea trees and controls that will save customers time and money, all while enhancing the execution of their offshore projects.”

Davis Larssen, Proserv Controls chief executive officer, stated, “We believe Proserv and Dril-Quip entering this agreement is an exciting and refreshing development for operators and our whole industry as we strive for value solutions focused on best-in-class technologies. While Proserv will continue to operate independently, Proserv will also now support Dril-Quip with the supply of subsea controls to Dril-Quip’s overall subsea offering, including fully integrated solutions that provide customers access to best-in-class systems and service.”