A new company, backed by private equity funds, is aiming to serve the North American shale oil and gas industry. Tally Energy Services recently launched its operations in Houston, Texas, with a buy and build strategy in specialized shale products and services.
With sponsorship from RedBird Capital Partners and Sallyport Investments, Tally Energy raised more than $130 million in capital commitments with additional equity available for substantially larger acquisitions, according to a Sept. 26 company statement. Tally is principally focused on directional drilling, completion equipment and artificial lift.
Led by CEO Chris Dorros, Tally Energy recently completed two Texas-based acquisitions: Terra Directional Services, a full-service directional drilling company specializing in horizontal wells for shale projects throughout the United States, and Tech-Flo Consulting, a worldwide supplier of hydraulic lift systems.
Douglas L. Foshee joined Tally as chairman of the board. As founder and owner of Sallyport Investments, Foshee has more than 30 years in the energy industry. He is the former chairman, president and CEO of El Paso Corp., which owned North America’s largest natural gas pipeline system and one of North America’s largest natural gas producers prior to its 2012 merger with Kinder Morgan — one of the largest mergers in the energy industry.
Tally Energy Services is currently seeking additional investment opportunities in U.S. technical oilfield products and services companies with proven and sustainable business models and management teams desiring an experienced and well-capitalized strategic partner to help facilitate growth.
“Tally Energy has an important role to play in today’s dynamic oil and gas sector,” Dorros said. “As new opportunities emerge for specialized companies that have adapted to the new industry environment, we are well positioned to develop collaborative partnerships with skilled leadership teams that are prepared to build on their operational successes and are ready to drive significant growth. Our goal is to assist these companies in the achievement of their business objectives and deliver solid returns for our investors through organic growth, operational improvements and strategic acquisitions.”
The seismic shift in the global oil markets created fundamental changes for the U.S. shale industry. The imbalance in supply and demand forced a shift from development to execution, focusing on efficiency and technology to reduce costs. Those reductions in cost are lowering shale break-evens and making the United States more resilient to price declines. Tally Energy Services’ objective is to grow innovative businesses by focusing on areas most profoundly affecting success: wellbore placement, reservoir communication and bringing hydrocarbons to the surface.