USA Compression Places Orders

Company gained 40,000 hp (30 MW) of compression in Q4 of 2013


Published:

USA Compression Partners acquired 40,000 hp (30 MW) of midstream and gas lift compression units in the fourth quarter of 2013, bringing its fleet to about 1.2 million hp (895 MW), and has ordered 180,000 hp (134 MW) of compression for delivery this year.

The disclosures came as the Austin, Texas, limited partnership released its fourth quarter earnings. Net income jumped to US$4.4 million from US$0.9 million in the fourth quarter of 2012. Revenue climbed 53.1% to US$48.6 million from US$31.8 million, largely due to a 52.5% increase in contract operations revenue.

USA Compression said its horsepower utilization rate was well above 90% in the fourth quarter.

“We continue to see good demand for our contract compression services throughout the shale and unconventional plays in which we operate, but especially in the Marcellus, Eagle Ford, Utica, and Permian Basin shales and the Mississippi lime and Granite Wash areas,” it said.

The company has customer contracts for more than 36% of the compression units on order. “As we get closer to taking delivery at various times throughout the first half of 2014, we expect to have substantially all the new units contracted for service.”

USA Compression anticipates ordering another 40,000 hp (30 MW) of compression later in 2014 with potentially more to come. “Our demand signals remain very strong,” it said.

Archive »Recent Articles

Follow-up LNG Order For Siemens

Siemens Energy has received an order from Chengdu Cryogenic Liquidation Equipment Co. Ltd. to provide two compressor trains for a liquefied natural gas (LNG) project.

Gioffredi Named CEO of Zahroof Valves

Anthony (Tony) Gioffredi has joined Zahroof Valves Inc., Houston, as CEO.

Scott Rowe Named Cameron President, COO

Cameron has appointed Scott Rowe to the newly created position of president and chief operating officer effective Oct. 1. He will report to Jack Moore, who remains chairman and CEO.

GE To Power Texas LNG Project

GE will provide electric-motor-driven technology that will enable the Freeport liquefied natural gas (LNG) export project, on the Gulf of Mexico south of Houston, to comply with local air emissions standards.

Alaskan Pipeline-LNG Project Seeks Permits

Sponsors of the Alaska LNG Project have filed asked the U.S. Federal Energy Regulatory Commission (FERC) to begin the permitting process for construction of an 800-mile (1300 km) gas pipeline from Prudhoe Bay field to a planned liquefaction plant at Nikiski on the Kenai Peninsula.