Driving
onto a jobsite with the equipment is the first image a customer has of your
business, and is the first thing that either will impress or discourage. New or
nearly new clean, well-maintained equipment, employees wearing neat, clean
uniforms, proper work gear and hard hats present the impression of a
professional company.
Look at the industry Yellow Pages ads or Web sites. Do they have old junky
equipment or dirty unkempt employees on them? No! Everything is or at least
looks new.
Now we consider whether it’s wiser to refurbish an older drill or to purchase a
new one.
Many contractors get by and make a reasonable living with old trucks and
equipment, but usually you’ll see that those with the newest equipment are
getting the best and more expensive contracts and dollars. These contractors
look more modern, thus more progressive.
An old friend of mine kept his older equipment looking new, clean and
impressive; his employees wore neat and clean uniforms. When he met prospective
clients, he impressed them with his professional salesmanship. He always told
me that he liked to work for doctors, lawyers and those who liked to brag about
how impressive a completed job looked. He prided himself on leaving a jobsite
as clean and untouched as possible. He said that he liked to leave the smaller,
less expensive contracts to his competition to keep them busy. He was a real
professional.
Now onto rig refurbishment. Refurbishing an old truck isn’t advisable.
Sometimes, however, refurbishing an older rig is
acceptable.
First, consider the following: What’s the economy? What does the future look
like? What can the contractor afford? Should he refurbish, or should he
purchase new equipment?
When clean and properly painted, rebuilt old rigs mounted on new or late model
trucks are made to look new. Except for the cost of replacing the truck, rebuilding
the rig may or may not be expensive. Depending on the rig’s condition, the cost
of the refurbishment can be reasonably small – or, if in poor condition, it can
be very expensive.
Much of the cost is in the labor. This cost depends on whether the driller can
do the work himself, or if he needs to have it contracted. How much time does
the contractor have to rebuild the equipment? Does the contractor have other
equipment to use while the refurbishment is being done?
I usually advise contractors that if they have the work lined up and the future
work looks great, I strongly recommend purchasing new or late model equipment.
It allows the contractor to do what he usually does best – drill and make
money.
ND
Porky's Hole Thoughts: Rig Refurbishment
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