Challenge
A major offshore oil and gas driller capable of descending to depths of 10,000 feet and beyond reached out to Liquidity Services to partner with the company on disposition of specific assets. This included 2,575 joints of used surplus drill pipe and drill collars, all marked to sell in auction. The challenge in this project was the location of the material; the surplus pipe and drill collars were located in three different yards and offered without mill papers.
Solution
The expertise of the Liquidity Services team from years of client work with the top energy, oil, and drilling companies in the world helped to guide the client to:
- Establish solution and timeline to achieve an auction date of 30 days after receiving the contract
- Integrate an impactful front-end marketing campaign to sell the assets
- Provide excellent details and photos of the client’s material — along with flexible lot load out requirements and preview times — which increased interest and enthusiasm in the buyer market
Results
The client was pleased to see the extended reach offered by Liquidity Services’ marketing and bidder activity and both teams benefited from the collaboration of knowledge on the project. Not only were pricing recovery levels achieved, but the client was able to see engagement from bidders beyond the circle of four or five local buyers that had historically purchased its surplus drill pipe.
Highlights from the sale included:
- Lot Views: 3,374
- Bid Count: 1,396
- Bidder Count: 30
- Bidder Locations: Colombia, India, Singapore, United Arab Emirates, United Kingdom, USA
- One lot broke a used drill pipe sales record with a final bid of $3,735.99/ton.