National Oilwell Varco Inc. (NYSE: NOV) is reorganizing into four financial reporting segments. The new segments will be Rig Systems, Rig Aftermarket, Completion & Production Solutions, and Wellbore Technologies. This reorganization will be effective April 1.
The company’s Rig Systems group will continue to focus on design and manufacture of discrete drilling equipment components, and on building integrated drilling equipment packages for both land and offshore applications. Its Rig Aftermarket group will consist of the consumables, spares, and service required to maintain the equipment components and packages for the useful lives of the assets. Joe Rovig is promoted to president of both the Rig Systems and Rig Aftermarket segments. He most recently was senior vice president of Offshore Drilling Equipment.
Completion & Production Solutions will focus on improving wellbore completions, and oil and gas production technologies. This group will primarily serve well intervention service providers and oil and gas producers, and will pursue opportunities around hydraulic fracture stimulation, wellbore intervention equipment, composite tubulars, pumps, floating production systems, and subsea production technologies. Kirk Shelton becomes president of Completion & Production Solutions. He has been president of NOV Mission since 2007.
Wellbore Technologies will direct its attention to enhancing drilling performance at the rig, both land and offshore, through downhole tools, bits, drill pipes, waste management services, solids control, drilling fluids, instrumentation, tubular inspection, and tubular coating services. Fadi Michael Matta has been promoted as this group’s president. He joined NOV in 1991 as an engineer, later starting the company’s Middle East rig equipment business. Matta has been president of NOV Downhole Tools for the last four years.
NOV intends to issue historical financial results for these four new reporting segments during 2Q 2014, sometime after it makes its previously announced 1Q 2014 earnings release. The company will also continue to report the results of its Distribution business group until the completion of the previously announced spinoff of that business as a separately traded public company.
National Oilwell Varco designs, manufactures, and sells equipment and components used in oil and gas drilling and production operations. The company also provides oilfield services and supply chain integration services to the upstream oil and gas industry.