Midland and Odessa Equipment Appraisal
Certified, USPAP-compliant reports on Permian Basin oilfield machinery. Starting at $295.
Lenders, owners and attorneys in Midland and Odessa need values for equipment that runs around the clock, works on unpaved lease roads and sells into a market that rises and falls with drilling. Out here the hours on the meter and the year on the plate say little about what a machine will bring.
- The signed report holds up in front of a credit officer, a judge or an appraisal district.
- Each unit is listed with its serial number, hours or miles, condition and both values.
- The equipment stays on location. Most reports are built from your photos and records.
- A single winch truck or an entire fleet fits in one report.
- The fee and the delivery date are fixed before any work is done.
- USPAP-compliant
- Signed by a CMEA
- Rated 5.0 on Google
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Can oilfield equipment be appraised without pulling it off location?
1. Say what the report is for
Yes, and most of it is. It starts with the purpose. A bank refinancing a frac fleet, a partner buying out a partner and an owner reporting equipment to the county for property tax each need a different kind of value. Four short questions settle which one before anything is priced.
2. Send what you have
An equipment list, photos, hour meters, maintenance and rebuild records. The more of the machine’s history you can supply, the more of it the report can account for. An inspection in the yard is arranged when the lender or court asks for one.
3. Get the signed report
Each unit is listed with its condition, an estimate of the useful life it has left, a fair market value and an orderly liquidation value, with a note on how the number was reached. Most reports arrive within 7 to 10 business days.
What do Permian owners and their lenders need to know first?
- Desktop or on-site
- Most Permian appraisals are desktop: the equipment stays on location and the report is built from your photos, data plates, meter readings and records. An inspection in person is arranged when the lender or the court requires one.
- How fast
- Most reports within 7 to 10 business days. Single machines and small groups can be delivered in 24 to 48 hours when a closing is waiting.
- Values a lender asks for
- Fair market value, what a willing buyer would pay a willing seller, and orderly liquidation value, what the equipment would bring if it had to be sold within a set time. Both are reported for every unit.
- Fee
- Starting at $295. The number of units, desktop or on-site, and the deadline set the rest, and the fee is fixed before work begins.
- Standard
- USPAP, the Uniform Standards of Professional Appraisal Practice, signed by a Certified Machinery and Equipment Appraiser (CMEA).
- Property tax on equipment
- Texas businesses report their equipment to the county appraisal district each year for property tax. The filing is called a rendition and is due April 15. An appraisal gives you market values to report in place of what the books say. Midland Central Appraisal District calendar
Why is oilfield equipment in the Permian Basin hard to value?
In the oilfield, how a unit worked, what it hauled and the month it comes to market count for more than its age.
Frac and well service fleets
Pressure pumping equipment in the Midland and Delaware basins runs day and night, so two pumps of the same year can be a rebuild apart. Value sits in the fluid ends, power ends, engines and transmissions and in the paperwork that shows when each was last replaced. Sand kings, blenders, coiled tubing units and workover rigs are graded on that history when the owner can supply it, and on what the photos show when the owner cannot.
Oilfield trucks
Winch trucks, vacuum trucks and sand haulers spend their lives on unpaved lease roads built from caliche, a chalky rock that turns to fine dust. The dust gets into everything, and long idling at the well site puts hours on an engine that the odometer never sees. Send engine hours along with miles, because on a truck like that the hours say more.
A market that follows drilling
Prices track the rig count, the number of rigs drilling in the basin. When drilling slows, idle equipment reaches the auction yards in Odessa all at once and prices follow. When it picks up, the same units are hard to find. An appraisal is a value on one date, and the market conditions section of the report says what the oilfield was doing on that date.
What clients have said
“I really appreciate you getting this accomplished on such a last-minute basis.”
“I was very pleased with the speed and thoroughness of the work.”
“Thank you for getting this turned around so quickly.”
What equipment do you appraise in Odessa and Midland?
Oilfield, trucking, construction and farm machinery across the Permian Basin, from one unit to an entire company’s fleet.
The notes below are what tends to move the number for each kind.
Pressure pumping
Frac pumps, blenders, hydration units and sand kings, where rebuild history matters more than age.
Well service
Workover rigs, coiled tubing units, wireline trucks and swab rigs, valued with the tooling that goes with them.
Production and compression
Pumpjacks, gas compressors and generators, where hours since the last overhaul count for more than the year built.
Oilfield trucks
Winch trucks, vacuum trucks, kill trucks and pneumatic sand trailers, read on engine hours and miles together.
Construction equipment
Dozers, motor graders, loaders and excavators that build pads and lease roads. They trade often, so recent sales are easy to find.
Farm and ranch
Cotton strippers, tractors and stock trailers from the dryland counties toward Lamesa and Seminole, where a good or a bad cotton year changes what buyers will pay.
One machine is priced from the published starting fee. Fleets are quoted on the list you send.
What should a Permian lender or owner ask before hiring an appraiser?
Have they appraised oilfield equipment before?
A dozer and a frac pump wear out in different ways and sell to different buyers. Ask what equipment like yours the appraiser has valued before.
What will the report show for each unit?
You should get more than a total. Expect serial number, hours or miles, condition, remaining useful life and a short explanation of the value for every line.
Which type of value do I need?
Lenders usually want fair market value and orderly liquidation value together. A court or a tax filing may want only one. The right answer comes from who is going to read the report.
Who relies on an equipment appraisal in the Permian Basin?
A credit officer, most often. Banks lending against oilfield equipment want a certified report in the file before the loan closes, with a serial number on every line so the collateral matches the lien they record with the Texas Secretary of State.
Partners and buyers. When one owner buys out another, or a service company changes hands, both sides need a value for the iron on a stated date that neither of them produced.
A district court in Ector or Midland County. Equipment values come up in partnership disputes and in divorces where Texas Family Code Section 7.009 applies, and a number that will be questioned on the stand needs its reasoning written down beforehand. Texas Family Code, Chapter 7
The county appraisal district. The Ector County Appraisal District in Odessa and the Midland Central Appraisal District set the taxable value of business equipment, and an owner who thinks that value is too high can protest it with an appraisal in hand. Ector County Appraisal District
What do I need to send for an appraisal?
- A list of the equipment, or the depreciation schedule from your books.
- Serial number or VIN, year, and hours or miles for each unit.
- Photos of each unit, its data plate and its hour meter.
- Rebuild, repair and inspection records if you have them.
Which Permian Basin towns do you serve?
Across the Midland and Delaware basins. Equipment is appraised where it sits, including in:
- Odessa
- Midland
- West Odessa
- Gardendale
- Goldsmith
- Andrews
- Big Spring
- Stanton
- Monahans
- Kermit
- Pecos
- Crane
- Fort Stockton
- Lamesa
- Seminole
- Snyder
Questions oilfield owners and their lenders ask
How do you value a frac pump that has been rebuilt?
From its records and its condition. A pump with a new fluid end and a fresh engine is not the machine its model year suggests. When the owner supplies rebuild records, the report grades the unit on them and estimates its remaining life from there. Without records, the grade rests on what the photos and any inspection show.
Do oilfield equipment values change with oil prices?
They follow drilling activity more than the price itself. Fewer working rigs means more idle equipment for sale and lower prices at auction. The report is dated, and it describes the market as it stood on that date.
How fast can an appraisal be turned around for a loan closing?
For one machine or a small group, 24 to 48 hours once the photos and records are in. Larger fleets take longer and the delivery date is set when the fee is. Sending the equipment list and serial numbers with the first message saves a day.
Can you appraise equipment that is still out on location?
Yes. Most reports are desktop, built from photos, data plates, meter readings and records you send from the field. If the lender or the court needs someone to see the equipment, an on-site inspection is scheduled.
Why do lenders ask for orderly liquidation value on oilfield equipment?
Because it is what they could expect to recover if they had to sell within a set period. In a market that swings with the rig count, the gap between fair market value and orderly liquidation value can be wide, so lenders want to see both.
Start your Permian Basin equipment appraisal
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