Oilfield equipment can be costly to rent, so it’s important to do your research before renting anything. If you are thinking of renting oilfield equipment for your next project, it’s essential to understand the basics before signing any contracts. Here are seven things you need to know before renting oilfield equipment.
1. Are You Insured?
If you plan to use oilfield equipment that belongs to someone else, your crew and all contractors and suppliers should be covered by oilfield insurance. It comes in handy in the case of oilfield equipment accidents, oil spills, or oilfield injuries.
2. Do You Have the Right License?
You need to have the proper oilfield rental license to rent oilfield equipment. Oilfield equipment rental companies usually require oil and gas companies to have oilfield equipment rental licenses. You can get the proper license by complying with oil and gas standards, which vary depending on the oilfield equipment you would like to rent.
3. How Long Will You Need the Equipment?
Oilfield equipment rentals are available for short-term use, long-term rental contracts, and equipment that oilfield companies can buy out. If you only need oilfield equipment for short-term use, it’s best to rent rather than buy it. Oilfield equipment rentals for oil and gas companies come at daily, weekly, monthly, or yearly rates.
4. What’s the Deposit?
Make sure you have a large enough deposit on hand before you rent oilfield equipment. The oilfield rental deposit covers oilfield equipment rentals if oil and gas companies fall behind on oilfield rental payments or break oilfield equipment rental contracts.
5. Size of the Equipment
It’s crucial to rent oilfield equipment that is the right size for your oil and gas project. Large oilfield companies often have oilfield equipment that oil and gas companies can rent. In contrast, oilfield equipment rental companies usually only offer oilfield equipment that smaller oil and gas companies can rent. You also need to know how big or heavy the equipment will be depending on how much space the oil and gas company has on-site.
6. Who Will Maintain the Equipment?
Oilfield equipment rentals are often the oil and gas company’s responsibility, not the rental company’s . The renting oil and gas companies are responsible for the equipment’s oil and gas supplies, field chemicals, labor, and tools.
7. Pickup or Delivery?
Most oilfield equipment rental companies offer to deliver the equipment to you. However, you can also make arrangements to pick up the oilfield equipment if you have adequate resources for transportation.
Renting oilfield equipment can be an excellent decision for oil and gas companies that only need the equipment for a short term. Having adequate money for the deposit and knowing the size and type of oilfield equipment you need are crucial factors you should know before renting.