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Oilfield auctions can be a great way for companies to get equipment and tubing that they need for work on the rigs, often at a low price. Much of this equipment will be new or nearly new, and so long as a company goes into an auction with the right attitude in mind, it is possible to walk away with great deals. When it comes to oilfield auctions, just like those for any other items, having a set of strategies and tactics can help make sure that the items bought are worth the cost.
The first thing to consider before buying oilfield tubing or any other type of equipment at auction is how much is known about it. Before an upcoming auction, it is a good idea for a company to seek out knowledge both among its own employees and any contacts it has in the industry to determine if anyone has information about the items being sold. In some cases, it will be a nearby supplier or oilfield company that will be auctioning the equipment, and they may be able to shed light on its condition.
Next, make sure to inspect any of the items for sale at oilfield auctions before buying them. Each auction will have different rules about viewing times, with some allowing companies to view items at any time up until the auction itself, and others specifying times and dates that items can be examined. This cursory inspection can help to determine if there are any glaring issues, and will help companies to avoid bad deals when the auction starts.
Setting a maximum bid on an item or overall upper ceiling total is also a good idea. It can be easy to get carried away in an auction with buying what appears to be low cost merchandise, but this price can quickly grow to as much or more as store bought products will cost if a company is not careful.
By going into an oilfield auction with knowledge about what is on sale and what it should cost, companies can get great tubing and equipment.
Lonnie Jenner is the author of this article on Oilfield Tubing. Find more information, about Oilfield Casing here.
The first thing to consider before buying oilfield tubing or any other type of equipment at auction is how much is known about it. Before an upcoming auction, it is a good idea for a company to seek out knowledge both among its own employees and any contacts it has in the industry to determine if anyone has information about the items being sold. In some cases, it will be a nearby supplier or oilfield company that will be auctioning the equipment, and they may be able to shed light on its condition.
Next, make sure to inspect any of the items for sale at oilfield auctions before buying them. Each auction will have different rules about viewing times, with some allowing companies to view items at any time up until the auction itself, and others specifying times and dates that items can be examined. This cursory inspection can help to determine if there are any glaring issues, and will help companies to avoid bad deals when the auction starts.
Setting a maximum bid on an item or overall upper ceiling total is also a good idea. It can be easy to get carried away in an auction with buying what appears to be low cost merchandise, but this price can quickly grow to as much or more as store bought products will cost if a company is not careful.
By going into an oilfield auction with knowledge about what is on sale and what it should cost, companies can get great tubing and equipment.
Lonnie Jenner is the author of this article on Oilfield Tubing. Find more information, about Oilfield Casing here.