Efficiencies are key to success in the oil industry, and Permian Lide’s Belle Fourche plant expansion, known as Phase 2, focuses on a major efficiency in the company’s tank production by bringing the tank coatings inhouse.
“No one in the five-state region oil & gas industry has a blasting and coating facility like this,” said Bob Sieve, plant manager. The company recently completed a new 22,000-square-foot facility that doubles the size of its Belle Fourche facility.
The Texas-based maker of storage tanks for the petroleum industry opened in Belle Fourche in June 2014. Workers there have been cutting, shaping and welding sheet metal into large tanks, some nearly 16 feet in diameter. After the customer-specified fittings are added, the tanks are painted, coated and delivered to oilfields in North Dakota and Wyoming.
Until now, painting and coating has been done by contractors. However, the company’s new addition allows Permian staff to do that work onsite. The new facility shortens to 1.5 hours a process that used to take 8 hours. In addition, the controlled onsite environment improves the quality and consistency of the final product.
Meanwhile, Permian is adjusting its operation to the falling demand from the oil industry. The company has added water tanks to its product line, recently completing the St. Onge water tower. Other products include larger tanks with floating roofs, one of which was a 1,000-barrel tank, the first of its kind by their design.
Permian continues to invest in their plant in Belle Fourche, largely due to their strategic location. Permian’s footprint covers 80% of the shale plays in the United States. “Belle Fourche helped us get to that 80%” said Sieve.
Phase 1 was 21,625 sq. feet and an investment of $6 million. Phase 2 is 22,000 sq. feet and an investment of $4 million. “We are invested to be here for the long haul,” Sieve said. The facility in Belle Fourche has 25 full time employees.
Belle Fourche Development Corp.