PROCESS EQUIPMENT & SERVICE COMPANY

What PROCESS EQUIPMENT & SERVICE COMPANY does

Process Equipment & Service Company (PESCO) is a privately held, family-owned industrial fabricator founded in 1970 in Farmington, New Mexico, by Ed and Mary Lou Rhodes and now led by their sons Kyle Rhodes (President/CEO) and Jim Rhodes (VP Engineering/R&D/QMS). The company designs, manufactures, refurbishes, and services process equipment for upstream oil and gas operations, including separators, dehydrators, heater treaters, free water knockout treaters, LACT units, direct-fired and patented LPUD production units, two-stage and waterbath production units, filtration units, indirect heaters, multi-well units, vapor recovery towers, and blowcase pumps. Its product portfolio spans the full pressure range from low-pressure utility applications to 10,000 psi high-pressure service, with ASME Code, NACE, R Stamp, and VR Stamp certifications underpinning qualification for major operator procurement.

PESCO operates a 150,000 sq. ft. manufacturing facility in Farmington, NM, staffed by 400-500 employees including 22 in-house engineers across five engineering disciplines, with 200+ years of combined experience, and a network of regional sales and field service managers covering the Bakken, Permian, Eagle Ford, DJ, San Juan, Uintah, Piceance, Powder River, and Delaware basins. The company generates revenue primarily through one-time custom equipment sales, complemented by equipment refurbishment services (R Stamp certified), on-site field services (installation, startup, I&E, pressure vessel repair, emissions testing, decommissioning), and custom engineering and design work. The business model is sales-led with dedicated Regional Sales & Field Service Managers in the North and South regions; pricing is project-based and not publicly disclosed.

The company has expanded its addressable market beyond traditional oil and gas through three notable moves: a 2021 partnership with BayoTech to fabricate portable hydrogen production units, a 2024 partnership with Sigma Waters to add mobile chemical-free water treatment as a managed service, and entry into the data center construction vertical (cooling skids, thermal vessels, power balance-of-plant modules) to serve AI infrastructure build-out demand. PESCO is a preferred vendor to 2 of the top 5 U.S. oil producers and has disclosed engagement with Occidental Petroleum on a large-scale water treatment deployment (71 million gallons treated in 23 days at >99% uptime). The company is family-controlled with no external investors or parent, has no disclosed funding rounds, and is not pursuing public listing.

Name

PROCESS EQUIPMENT & SERVICE COMPANY

Legal name

Process Equipment & Service Company, Inc.

Website

https://pescoinc.biz

Company type

Private

Founded year

1970

Operating status

Operating

Headcount range

251–500 employees

Short description

PESCO is a family-owned industrial fabricator (founded 1970, Farmington, NM) that designs, manufactures, and services custom process equipment, including separators, dehydrators, heater treaters, LACT units, and patented production units for upstream oil and gas operators across major U.S. basins, with 400+ employees and ~$100M in revenue.

Ownership category

akta.pro rank

Headquarters

HQ city

Farmington

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Personnel, Supply Chain, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. New Equipment Manufacturing: Design, engineering, and manufacturing of new process equipment including separators, dehydrators, heater treaters, LACT units, production units, and specialty equipment for upstream oil and gas operations. Revenue is generated through one-time equipment sales with custom pricing based on specifications.
2. Equipment Refurbishment & Upgrades: Inspection, re-engineering, and restoration of used production equipment to meet modern specifications. Includes R Stamp Certified repair and performance-enhancing modifications to extend equipment life.
3. Field Services: On-site installation, startup, operational support, troubleshooting, and ongoing preventative maintenance. Services include I&E (Instrumentation & Electrical) services, pressure vessel repairs, emissions testing, and decommissioning.
4. Water Treatment Solutions: Mobile water treatment services through Sigma Waters partnership. Chemical-free treatment of produced water and frac water for oil and gas operations.
5. Custom Engineering & Design: Engineering support from concept to commissioning. Services include custom equipment design, customer-provided design enhancement, and ongoing engineering customer support.

Pricing tiers

Go-to-market motion3 records

Distribution channels3 records

Marketing channels6 records

Core offering

PESCO designs, manufactures, and services industrial process equipment for upstream oil and gas operations, including separators, dehydrators, heater treaters, LACT units, production units, filtration systems, and specialty equipment. The company offers new equipment manufacturing, refurbishment services, custom engineering, and on-site field service support across major U.S. basins.

Product overview

PESCO (Process Equipment & Service Company) is a manufacturer of industrial process equipment for upstream oil and gas operations. The company offers a comprehensive portfolio of equipment including dehydrators, separators (horizontal and vertical), heater treaters (oil treaters and free water knockout treaters), LACT units, production units (Direct Fired, LPUD, Two-Stage, and Waterbath variants), filtration units, and specialty equipment (indirect heaters, multi-well units, vapor recovery towers, and blowcase pumps). The product line also includes Sigma Waters mobile water treatment systems. PESCO provides new equipment manufacturing, refurbishment services, and comprehensive field service support including installation, startup, and ongoing maintenance across major U.S. oil and gas basins.

Differentiator

Problem solved

Functional benefit

Products and services

• Dehydrators Gas dehydrators designed and fabricated for natural gas dehydration applications, ranging from less than 50 MSCFD to 125 MMSCFD capacity, including standard bubble cap trays, high efficiency dehydrators, and calcium chloride dehydrators.
• Separators Horizontal and vertical separators designed for 2 or 3 phase separation, serving as the benchmark for efficiency and cost effectiveness in oil and gas production.
• Oil Treaters Vertical and horizontal heater treaters designed to produce oil emulsion cuts as required by end users, engineered to meet customer well criteria and specifications.
• Free Water Knockout Treaters Horizontal settling vessels that remove excess water upstream of heaters, treaters, or other separation equipment to reduce heating and settling requirements in downstream systems.
• LACT Units Lease Automatic Custody Transfer units for accurate measurement and custody transfer of crude oil, available in 2, 3, and 4 inch sizes for truck loading, truck offloading, and pipeline delivery applications. Built to ASME Code with ANSI 150# and B31.3 piping standards.
• Direct Fired Production Units Wellhead separation units where the wellstream heating coil and firebox are installed in the vessel body for 3-phase separation where wellstream has low to moderate liquid load.
• LPUD Production Units Patented production units designed for 3-phase wellhead separation where wellstream liquids load is intermittent, resulting in surging of liquids (slugs), featuring a vertical inlet section with tangential inlet.
• Two-Stage Production Units Separator-treater production units with a high pressure 2-phase separator installed on top of a low pressure 3-phase separator-treater (HLP configuration).
• Waterbath Production Units Production units designed for high pressure service where wellstream pressures range up to 10,000 psi, featuring water bath assembly with firebox and heating coil.
• Filtration Units Filter housings to remove solid or liquid contaminants from liquid or gas streams including glycol, produced water, produced oil or condensate, and natural gas. Includes vertical coalescing filters, horizontal filter separators, and charcoal absorbers.
• Indirect Heaters Heaters designed to heat gases or liquids safely over a wide range of pressure and temperatures using a hot water bath system where combustible fluids are heated in a flow coil isolated from the firebox.
• Multi-Well Units Skid-mounted units where several well streams can be processed individually, providing separators, dehydrators, line heaters and production units with cost benefits and convenience of operation.
• Vapor Recovery Towers Vertical pressure vessels installed between production separators and oil storage tanks for flash gas recovery from oil at near atmospheric pressure, reducing storage tank emissions. Built to ASME Code.
• Blowcase Pumps Pumps designed for moving fluids at low pressure or atmospheric pressures, using high pressure drive gas to discharge liquids into higher pressured lines.
• Sigma Waters Mobile Water Treatment Mobile, chemical-free water treatment system for oil and gas operations that treats millions of gallons with >97% uptime, zero chemical transport, low energy use, and rapid setup for frac water treatment.
• Equipment Refurbishment & Upgrades Inspection, re-engineering, and restoration of used production equipment to meet modern specifications. Includes R Stamp Certified repair and performance-enhancing modifications to extend equipment life.
• Field Services On-site installation, startup, operational support, troubleshooting, and ongoing preventative maintenance. Services include I&E (Instrumentation & Electrical) services, pressure vessel repairs, emissions testing, and decommissioning.
• Custom Engineering & Design Engineering support from concept to commissioning. Services include custom equipment design, customer-provided design enhancement, and ongoing engineering customer support.

Quantifiable outcome

• Preferred vendor status with 2 of top 5 U.S. oil producers
• +3 more outcomes

Named customers4 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration3 records

Feature5 records

Partnerships

Two partnerships are on record, tiered core.

• SIGMA WatercoreStrategic or Co-development Partner · 1 January 2024PESCO partnered with SIGMA Water to offer Sigma Waters mobile water treatment solutions. This chemical-free system treats produced water and frac water for oil and gas operations, processing millions of gallons with >97% uptime. The partnership enables PESCO to offer water treatment as part of their comprehensive equipment and service offerings.
• BayoTechcoreStrategic or Co-development Partner · 1 January 2021PESCO collaborated with BayoTech to design and build portable hydrogen production units. Additionally, PESCO built reactor units for BayoTech in Farmington, NM, supporting innovative solutions in process equipment and hydrogen production.

Scale indicators8 records

Recent moves8 records

Expansion highlights6 records

Broad incumbents

• Flowserve Corporation: Global manufacturer of pumps, valves, seals, and related flow-control equipment serving oil and gas, chemical, and power customers, competing with PESCO's blowcase pumps and broader process-equipment scope but across much larger and more diversified end markets.
• Sulzer: Swiss-based industrial engineering company manufacturing pumps, separation/separation technology, and rotating equipment for oil & gas, water, and chemical industries, with comparable separator and pump offerings but at substantially larger scale.
• National Oilwell Varco (NOV): One of the largest global providers of oilfield equipment and services, including production equipment, wellhead systems, and process technologies that compete with PESCO's separators, treaters, and production units, though across a vastly broader product portfolio.
• Schlumberger (SLB): Largest global oilfield services company with production equipment, water management, and integrated upstream solutions, competing for major-E&P supply contracts and capital projects that PESCO also targets.

Direct peers

• TETRA Technologies: Diversified oilfield services and water management company offering produced-water treatment, completion fluids, and oil and gas production equipment, directly comparable to PESCO's water treatment and field services lines.
• Solaris Oilfield Infrastructure: Provider of modular and mobile infrastructure systems for oil and gas operators, including produced-water handling, sand systems, and chemical-additive systems, overlapping with PESCO's Sigma Waters water treatment and skid-mounted multi-well unit offerings.
• Cactus Wellhead: Manufacturer of wellhead equipment, frac stacks, and production equipment for upstream oil and gas, serving many of the same U.S. shale operators and competing for similar production-package and pressure-vessel scope.
• Select Energy Services: Provider of water-related and oilfield services to upstream operators in U.S. shale basins, with strong overlap in mobile water treatment, produced-water handling, and field-service coverage of the same Permian/Bakken customers PESCO serves.
• Forum Energy Technologies: Houston-based manufacturer of oilfield equipment and products for drilling, completion, and production, with a portfolio including separators, production packages, and aftermarket parts directly overlapping PESCO's core offerings to upstream operators.
• SPM Oil & Gas (Weir Group): Manufacturer of wellhead, pressure pumping, and production equipment for upstream oil and gas operators, with significant overlap to PESCO's high-pressure production units, frac-related equipment, and field-service offerings.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

Compliance4 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles15 records

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about PROCESS EQUIPMENT & SERVICE COMPANY