MIDLAND JMR Services recently announced the closing of its previously-announced merger with A-Plus P&A LLC and subsequently acquired BCM & Associates Inc., resulting in the largest pure-play, full-service plug and abandonment service provider in the nation.
BCM adds 11 working P&A spreads, including fishing and rental tools, pipe recovery, reclamation, and a blue-chip client list. With yards in Midland and Hobbs, the acquisition continues expanding upon JMR’s leading footprint in the Permian, Denver-Julesburg, and San Juan Basins. After the closing of both transactions, JMR operates a total of 34 full-service, plug and abandonment packages, with a combined annual revenue run-rate of approximately $100 million, an enhanced cash flow and capitalization profile, and capacity for additional growth.
JMR plans to build upon the track records of all three companies, which boast strong, established reputations within their respective regions, along with cultures of safety-centric operations. The combined company is well positioned to offer customers an unparalleled one-stop-shop for P&A, well site remediation/reclamation and eventually methane emissions quantification, reduction, and monetization via “carbon credits.” As previously disclosed, JMR will also offer well site decommissioning and reclamation services, via its recent acquisition of Rattler Services.
“This transaction solidifies JMR’s position as the leading and most trusted provider of plug and abandonment services in the country,” James (Jimmy) Roark, Chief Executive Officer of JMR and founding principal and Board Member of A-Plus, said in a news release. “It marks a pivotal moment in the P&A sector, as customers increasingly value established, safety-focused contractors that ensure improved service and operational efficiency. With a strong balance sheet and minimal leverage, we’re poised to expand JMR’s service line into new basins, driving our growth initiative forward.”
“We have built a strong team here at JMR, with Trey Stolz, previously CFO at A-Plus, joining us as CFO at JMR and Lee Roark remaining in his role as COO, and we have assembled the corporate infrastructure to enable our plan of growth and national expansion while keeping leverage levels minimal. Finally, we have taken important steps over the past year to modernize our systems and processes to state-of-the-art levels, giving us unprecedented insight into operational trends on a near real-time basis.”
