Mets Investor > Leadership

DDH1 sees opportunity in turning market

US-based Oaktree Capital Management’s acquisition last year of a 50% stake in deep core drilling specialist DDH1 turned its investment model on its head but showed (belated) recognition of an approach to the drilling business that could, if it was more widely adopted, lead the sector out of a deep, dark, unprofitable hole. The formula is set for a new test in 2018 as DDH1 and its experienced leadership executes on M&A and organic growth plans.

Mets Investor > Leadership

DDH1 sees opportunity in turning market

US-based Oaktree Capital Management’s acquisition last year of a 50% stake in deep core drilling specialist DDH1 turned its investment model on its head but showed (belated) recognition of an approach to the drilling business that could, if it was more widely adopted, lead the sector out of a deep, dark, unprofitable hole. The formula is set for a new test in 2018 as DDH1 and its experienced leadership executes on M&A and organic growth plans.

DDH1 sees opportunity in turning market

Core drilling leader DDH1 has about 50 rigs in the field

A renowned "distressed investor" scouring the world for stricken assets, Oaktree went looking for trouble in the Australian drilling sector in the post-2012 downturn period and found plenty. What it discovered in DDH1, though, was a contractor growing against the broader sector retraction that had avoided many of the industry's sins of the past and also was examining what was left standing on the field for quality expansion options.