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Annual Report 2010 (PDF, 5.2MB) - Panalpina Annual Report 2012

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Customer Groups<br />

Customer case Saxon Energy Services<br />

45<br />

The customer<br />

Saxon Energy Services Inc. is a growing international oilfield<br />

services company that operates a well-established contract<br />

drilling and well-servicing business. Saxon is focused<br />

on providing contract drilling and workover services to<br />

major and intermediate multinational and national oil and<br />

gas exploration and production companies with technologically<br />

advanced, high-performance drilling applications.<br />

Saxon has a substantial presence in Canada, Colombia,<br />

Ecuador, Mexico, Peru, the USA and Venezuela, with new<br />

operations starting in Australia in early 2011. The company<br />

headquarters is located in Calgary, Canada.<br />

Saxon began 2005 with just nine rigs in a single market –<br />

Ecuador. Saxon has now transformed into a truly international<br />

drilling company with a fleet of 68 rigs in 7 countries<br />

and expects their rig count to go up to 150 by 2014.<br />

Since it began in 2005, Saxon has grown to employ over<br />

1,700 people.<br />

Saxon is a privately held company with strong and recognized<br />

ownership within the energy sector and with aggressive<br />

plans for expansion in existing and new markets.<br />

The challenge<br />

Saxon is focused on delivering superior value to our customers<br />

through its ability to apply technology, deploy rapidly,<br />

and operate efficiently. Optimal, transparent supply chain<br />

management is crucial to ensuring rapid deployment of<br />

material to Saxon’s global network of rigs and to ensuring<br />

their ongoing, efficient operations.<br />

Saxon has to provide supplies and materials to their growing<br />

rig operations around the world and they therefore<br />

source products from numerous suppliers throughout the<br />

USA (mostly Texas). As Saxon’s rig network expanded,<br />

so did their shipping volumes and logistic costs. The company<br />

was drop shipping freight directly to each rig in locations<br />

such as Mexico, Venezuela, Brazil, Colombia, Ecuador<br />

and Peru. Saxon required a logistics partner who would<br />

help them optimize their supply chain and provide visibility<br />

throughout the entire supply chain process.<br />

The solution<br />

As Saxon Energy’s logistics partner, <strong>Panalpina</strong>’s Oil and<br />

Gas division in Houston, Texas plays a pivotal role not<br />

only optimizing Saxon’s supply chain operations but also<br />

to identifying further cost efficiency possibilities. <strong>Panalpina</strong><br />

manages Saxon’s supply chain management business<br />

including the receiving / packing / warehousing / distribution,<br />

air and sea transport, domestic transportation as well<br />

as customs clearance and delivery at some destinations<br />

for all of the supplies for Saxon’s rigs on a global basis.<br />

<strong>Panalpina</strong> receives all Saxon orders in its Houston facility,<br />

consolidates them by destination and packs and ships<br />

on a regularly scheduled basis to each rig destination. This<br />

approach has reduced the number of shipments required,<br />

thus resulting in cost savings for Saxon. Further, <strong>Panalpina</strong><br />

is working with Saxon technology, using its in-house system<br />

for shipment tracking and information. <strong>Panalpina</strong> shares<br />

Saxon’s focus on delivering superior value and this is the<br />

cornerstone for a strong logistics partnership.<br />

“We required a logistics partner who shared our dedication to customer service and<br />

who would proactively work to achieve the optimal supply chain management our<br />

growing business demands. As our global network of rigs continues to grow, we want<br />

to be able to closely manage costs while maintaining maximum efficiency and visibility.<br />

<strong>Panalpina</strong>’s industry experience combined with its logistics solutions makes it the ideal<br />

partner to service our SCM needs.”<br />

Juan Castillo, Director of Global Supply Chain Management, Saxon Energy Service Inc.<br />

<strong>Panalpina</strong> <strong>Annual</strong> <strong>Report</strong> <strong>2010</strong>

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