E&P companies in North American shales face many challenges, including wells with high dogleg severity (DLS) that require high build rates, complex geological formations and wells with increasingly longer laterals. These technical challenges, combined with increased pressure from investors for more capital discipline, have set the stage to really think about how they can align today’s directional drilling (DD) services with their company’s development strategies.

With the increased downward pressure on both CAPEX and OPEX costs, these operators must find the optimal balance between the costs of DD service companies and the costs of rig contractors, while also taking into consideration the lateral length of their wells.

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