Whether you are just starting your first wellhead, or have been in the oil and natural gas business for years, you need top-shelf, reliable oilfield equipment to help you get the job done right. After all, it’s pretty tough to drill for oil and natural gas with just your hands. One question you have to face when finding oilfield equipment for your wellhead is: should I buy, or rent? In today’s blog here at Northern Oilfield Services, we are going to talk about some of the benefits of buying oilfield equipment, renting oilfield equipment, and which option is going to be right for you.
Want to work with a company that doesn’t make you choose? Contact us at Northern Oilfield Services today! We offer both oilfield equipment rentals and sales.
Benefits of Buying Oilfield Equipment
First, let’s take a look at some of the benefits that come with buying your wellhead equipment.
When you plan on using your equipment for the foreseeable future, it often makes more sense to buy your oilfield equipment. Once it’s paid off, it’s yours to do with as you please. You don’t have the overhead cost of making payments, and you can use it as much as you want. It’s also nice for your operators because they get used to using the same equipment time and time again. After years of experience on the same equipment, your operators are going to be able to use your oilfield equipment as easily as you and I use our hands.
Costs Less Over Time
While there is a larger upfront investment when you buy your own wellhead equipment, you end up saving money in the long run. When you are paying month after month for a rental fee for a decade, the odds are that you could have paid off the equipment you are using with the amount that you have spent from renting it alone. We know math isn’t everyone’s favorite subject, but it can be useful to do some quick calculations to see if it’s more cost-efficient to buy your oilfield equipment or rent it based on the length of time you will be using it for.
Another benefit to buying your own wellhead equipment is that you don’t have to return the equipment after a certain amount of time. With rentals, you get to use the equipment for an agreed-upon amount of time, then give it back when you are done. Then, if you need to rent equipment again, you might end up with different equipment that you are unfamiliar with. Additionally, if you decide you no longer need your oilfield equipment or are ready to upgrade it, you can always sell it to get some of that money back.
Benefits of Renting Oilfield Equipment
While buying oilfield equipment can be a great option for some, for others, renting their wellhead equipment is the way to go. Some of the benefits of renting your equipment include:
Little to No Upfront Costs
When you purchase equipment, you often have to put down a downpayment upfront or even pay for the equipment outright. But when you rent, more times than not, there are little to no upfront costs associated. This is especially helpful for those newer oilfield service companies who may be on a tighter budget to start out.
Whatever your budget, you can rest easy knowing that you can find great oilfield equipment to rent, or to buy here at Northern Oilfield Services. Contact us today!
Arguably, the best benefit of renting your wellhead equipment is that, with some companies, you do not have to worry about the maintenance. With Northern Oilfield Services, we make sure to repair, maintain, and keep your oilfield equipment up to code. This helps you maintain an injury-free, safe environment. Regular maintenance can sometimes be costly and stressful, newer oilfield service companies don’t always have the budget or the manpower to stress about the maintenance of equipment. For those businesses, renting the equipment can be a huge advantage.
When your operation is a short-term excursion, it doesn’t always make sense to buy your own expensive oilfield equipment. For those with projects that aren’t going to take much time, renting is a convenient and necessary option. As we mentioned before, not everyone loves math, but going through the numbers and checking what the cost will be to rent your equipment for the length of your job versus the cost of buying the equipment for the job can help you make the best decision.
Northern Oilfield Services
No matter what you decide, Northern Oilfield Services has the wellhead services you need to be successful. We can sell or rent you any and all oilfield equipment you need to get the job done quickly and correctly. On top of that, we will even go out to your worksite and perform any necessary maintenance or repairs, and keep your oilfield equipment up to code. Reach out to our team here at Northern Oilfield Services today to start your rental or purchasing process!