Flotek acquires data and analytics technology company

JP3's real-time data platforms combine the energy industry's only field-deployable, inline optical analyser with proprietary cloud visualisation and analytics, to radically increase processing efficiencies and valuation of natural gas, crude oil and refined fuels. The transaction positions Flotek for accelerated growth and diversifies the Company's business across all segments of the hydrocarbon value chain, while enhancing existing chemistry applications and broadening its customer reach across the midstream and downstream sectors.

John W. Gibson, Jr., Chairman, President, and Chief Executive Officer of Flotek stated: "This market has created such chaos and uncertainty that numerous growth opportunities – both organic and inorganic – have emerged. We have been disciplined in vetting those opportunities with a desire to reduce our dependence on rig count and the US unconventional market, while establishing an offering in the digital transformation market. With the acquisition of JP3, we are able to diversify our revenue stream and better serve our customers amidst accelerating digital transformation in the energy industry. The estimated US$1 billion addressable market in the US alone provides significant revenue growth opportunities.

"Together with JP3, we have a shared vision for being the platform that optimises profitability from the reservoir to a hydrocarbon molecule's final destination. The automation of real-time analysis of flowing products brings tremendous value to the midstream energy sector and in the delivery of refined fuels. The more we know about our hydrocarbons, the more efficient, clean, safe and profitable we become as an industry," continued Gibson.

JP3 President Matt Thomas stated, "Our outstanding team at JP3 has built a technology platform that brings significant increases in profitability to over sixty clients by maximising the value of their hydrocarbons through our real-time analysis of flowing products and our cloud-based monitoring solutions. Flotek's strong liquidity position can fuel growth opportunities by accelerating our Data-as-a-Service (DaaS) product offerings and expanding our reach into international markets. The energy industry is in a state of transformation, and we look forward to helping companies capture cost savings and generate higher revenues through the application of our proprietary technology."

Read the article online at: https://www.worldpipelines.com/business-news/19052020/flotek-acquires-data-and-analytics-technology-company/