Helmerich & Payne (H&P) is a contract drilling company that provides drilling rigs and related services to exploration and production (E&P) companies. It does not itself produce oil or gas; instead, its revenue comes from leasing its drilling capacity (rigs, crews, technology) under contract to operators who pay day rates or performance-based fees. Over its long history (founded in 1920) it has evolved from more diversified operations into a specialist in high-spec drilling solutions.
H&P organizes its operations across several geographical/drilling segments: U.S. Land (onshore), Offshore/Gulf of Mexico, and International (outside the U.S.). In U.S. Land, it emphasizes its FlexRig® fleet—modular, high-efficiency rigs designed for modern unconventional and horizontal drilling environments. In offshore and international arenas, H&P contracts its rigs (platform rigs, management services) in more challenging environments, often aligning with local requirements, regulatory frameworks, and joint ventures.
Operationally, H&P focuses heavily on utilization, efficiency, and reducing non-productive time. Because rigs are capital-intensive assets, maximizing uptime and minimizing dead time (moving, maintenance, downtime) is crucial. It invests in drilling technology, automation, and engineering support to improve performance and cost control. The company must also manage fleet deployment across basins, rig maintenance/refurbishment, capital allocation to newer rigs or upgrades, and negotiations of contract terms (duration, rates, performance incentives).
A major strategic move for H&P is its acquisition of KCA Deutag (completed in 2025), which significantly expands its international presence, rig inventory, and capabilities in regions such as the Middle East. This consolidation is a way to scale operations, diversify geographic exposure, and better absorb cyclicality in drilling demand.