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Up Topic Welding Industry / General Welding Discussion / Seekin Information Regarding Rig Welding in North Dakota
- - By yojimbo (***) Date 03-01-2011 22:46
Business continues to be slow at the house, not enough work being advertised to bid on and I'm looking at altenatives.  If you are actively employed or contracting in N. Dakota, or have been in the past year or so and are familiar with business arrangments for contractors and rig welders and can provide any insight for me to evaluate prospects up there I'd appreciate it.  Let me define some job classifications so we'd be taking on the same page:

Contractor- insured, licensed, bonded independent owner/operator that supplies all required equipment, consumables, tooling to perform a specified scope of work at either a lump sum price or a time and material agreement.  They are paid strictly on a 1099, file a schedule C and are not employees.

Rig Welder- an employee paid a wage, subject to overtime and Workman's Compensation protection and recieving a "split check", one for wages, one for the use of his welding rig either an hourly rental/misc. labor paid on a 1099 that may or may not include consumabes, fuel, milage or other compensation that is negotiated or offered by his employer, usally a large industrial General Contractor.

I am interested in learning about possible work available in N. Dakota performing in either of these two classifications.  If there are other arrangements being made with welders in ND that I haven't mentioned I would like to hear about them and evaluate.

I have been in the trade over 20 years, put my first rig together in 1995, operated a sole proprietorship performing competitively bid public work contracts since 2002, have done NG station work, oil field flow lines [mostly Bakersfield, CA] fully tooled journeyman that can weld, fit, fabricate, install whatever can be drawn [ not trying to boast, just hoping to represent as a competent professional] refinery, plant work, Certified Industrial Mercenary for hire.

If any established business owners, or experienced N. Dakota hands are willing to fill me in on the requirements and details of N.D. work I'm hoping to be heading up that way in a few weeks, make some contacts and have a look see.  I am minimally familiar with Master Service Agreements with drilling operators, and unsure how deeply I want to invest business capital and time but any information you want to provide that seems important I be aware of would be helpfull.

Please feel free to take this up in a PM if you prefer it kept confidentail.

Thanks in advance.
Parent - - By Cactusthewelder (*****) Date 03-01-2011 22:53
First Question I have is..............Where are you from ?
Parent - By rig welder6 (**) Date 03-01-2011 23:50
And do you like the cold?
Parent - - By Cactusthewelder (*****) Date 03-02-2011 00:12
It is VERY hard to just walk in to North Dakota and go to work with no Connections. Been There. Done That. Ain't goin back. I spent about 18 months there. Enough for me. Not to mention it is the Coldest place on the Planet. It is the ONLY place I have EVER seen frost on a windsheild in August !
Parent - By rig welder6 (**) Date 03-02-2011 01:18
its not that cold unless you are from the south.  It was that cold back home in N WI too i guess if you grow up in it you are used to it.  I do not like the hot for very long tho you southern boys and girls can have that s--t i will stay in the frozen tundra!
Parent - - By hillbilly delux (***) Date 03-02-2011 01:00
If you go there plan on sleeping in your truck as there is no hotels or rv lots available. I have a few guys posted in williston they are sleeping on cots in a man camp.
Parent - - By Tyler1970 (***) Date 03-02-2011 01:31
man camps. lmao im not that hungrey. i promise.
Parent - - By Johnny Walker (***) Date 03-02-2011 01:37
Uh nope I don't do man camps throw in a fat girl or two I'll be in tho!!
Parent - - By Tyler1970 (***) Date 03-02-2011 01:56
johnny it depends on how hot the beer was to have fat girls there!
Parent - By Johnny Walker (***) Date 03-02-2011 02:01
Let's go
Parent - By weaver (***) Date 03-02-2011 02:38
Well i live in williston, Been here for five years, to just walk in and go to work.. doesn't happen. I have a few offers to sell my customer list( we will see). There are SO many welders coming to the area now it's getting pretty cutthroat. which it shouldn't be.. I work for the big ones here and I have had enough.. kind regards, Shannon
Parent - By 357max (***) Date 03-04-2011 13:41
Word is in the ND patch that there are 160 - 165 rigs drilling and in '11 there is supposed to be another 70 - 80 rigs coming in and drilling. That may mean a need for more rig (drilling) welders. The big push for more drilling rigs is due to no new offshore drilling and in ND a lease has to be drilled in 3 - 5 years or the lease is lost. That is if it is not re-leased for another 3 -5 -So a lot of land that has been leased for upwards of $1000 an acre per year has to be drilled or the initial investment is lost.
'11 could be or begin to be the most insane in ND with very little infrastructure and a very large demand for whtatever little there is.
- - By yojimbo (***) Date 03-02-2011 06:37
Hey Guys-

Thanks for the replies.  There weren't any that actually answered my questions directly, which may have been a result of the manner I posed them ie. what are the generally established business relationships for welders- contractor or rig welder- as defined in my original post, which was the heart of the matter as the financials of that dictate the economics on the return of investment, but despite the sidelined and sometimes sideways responses, I do appreciate the comraderie.  As a sole proprietor one too often finds oneself in one's own company sometimes more than one might care for, getting things done, bidding, doin the books, payin the bills, scratchin yer head and then having to get the damn thing built on time without help.  So while I'd usually put off checking in on internet related networking until the usual morning routine, something told me to wander on over here, and lo and behold.... a veritable embarrassment of riches in responses.  I am overwhelmed and gratefull gentleman and thank you all.  It would be foolish and unwise not reply to some of the explicit and inferred questions posed by my inquiry, and to ignore the general consensus of discouragement toward my endeavors and expressed intention would display a cowardice of spirit I'd find hard to embrace.  In order to eradicate  any such perceptions let me take up the expressed and implied unanswered questions, not in order of importance, but simply from the top: Cactus- and I don't want you to take this the wrong way- but I cannot imagine a less responsive or meaningless question- where am I from?- being posed to my posting.  I have long abided with the firm conviction that a man's origin is of little if any importance. "It's not where you're from, it's where you're at", and imagine the second part of that parentithized phrase being spoken with a finger pointed to ones own head.  One's mindset and determination are the deciding factors in a mans path, not his country, county or state of origin.  Now it does make sense that those unaccustomed to difficulty, or cold, might not fair as well with those of experience with difficulty or cold, but I'd personally not restrict an evaluation of somone's ability  to persevere based on where they came from.  To answer your question directly- although I think I've made it clear to me it's irrelevant- I'm from Yankeeland- born, bred and blood.  Disregarding the malice my further explanation might engender, the war that established this country in the late 18th century was decided by men of my region of origin- the North East- in dire circumstances and cold weather.  Valley Forge is a largely forgotten episode of American History we'd all do right to bear in mind when we discuss among our brethren what it truly means to be a part of this country, but let's keep in mind, it was fought by New Yorkers, New Englanders, Green Mountain Vermonters and even New Jerseyites- although how that last bunch of muck smelling, filthy  bottom feeders ever made it through without the convenience of electric blankets and 7-11s.... ahdunno.  Back to point and in answer to the question- I've spent the last 30 years under Western Skies.  They've had the effect on me I'd hoped they would when I made the decisions to claim my homestead awhile back now and I consider myself an American, for which I have had the pleasure of working across this country from the Bering Sea, to the Gulf of Mexico, from the California Coast to within sight of the Statue of Liberty, across the Pacific Ocean to the islands of Hawaii, and under the auspices and protection of a United States Passport all the way to Eastern Siberia in the damn near dead of winter.  Packed my gear in January and drove to Minnesota, laughed my ass off in a Wyoming Duststorm in the summer, sweat myself one sip short of heat stroke from Houston to the Salton Sea and walked away from more money on principle than most people in this country will ever make in a year.  I been around some young fella, and with all due respect to you, since you posed the question, I gave you my answer.  Cold, hard earned paychecks, X-ray techs, drunken rednecked foreman with a hair up their ass, cuthroat punks in the mydaddysawelder business, and makin code on a bad purge off a shaky pallet hangin by a staple 30 feet up danglin from a broke down bad hydraulic forklift don't scare me.  I'm a ****in welder.  Why would anyone get into this trade if they didn't understand all that, ahdunno. HillbillyDeluxe- Dude I LIKE your collection methods.  Someone owed me 64K theyd sure enough be getting an impromtu visit to their boardroom meeting.  That story just had me rolling.  Remind me to tell you the circumstances of me getting out of Yellowknife in the North West Territories up in Canada after collecting my money [though a lot less] right before my deportation.  My question to you is- how were you so convining?  I had the advantage of a second stroy window to introduce them to if they didn't cut the check- RIGHT NOW-.  You did say you had to collect in ND right?  Thats pretty flat land as I recal.  Dude you must be a hell of a lot scarier than me.  Gotta hear that story over a beer sometimes if we ever get the chance and yeah I figure rooms would be a ***** but I have called ahead and theres a rathole motel for $189 tax included by the week in Williston, or I just figured to tie my hound to a trailer I'd pick up cheap and keep the valuables to a minimum.  Tyler & Johny- I've seen that mancamp ad for $24 an hour with Gruss too.  Sounds less inviting than Roustabouts INC in Morgan City circa 1978- mimimum wage at $3.50 hour and if you worked 100 hours a week they didn't charge you for grits- 36 hour shifts baggin mud and the driver in the van had to pick you up off the gravel in the parking lot at the end of your shift to get you back to the bunk- if you were lucky- otherwise they'd just leave you sleep there in the dirt. Course being 23 at the time that crap rolled off me like sweat from a well stroked Winnemucca bar girl but I don't need the company of that many shackled up tryin to make a buck young bucks- that whole scene sounds about one step ahead of a Kansas City Sherriff with a warrant out for yer ass- no fun at all.  But don't be puttin down fat girls- it's just impolite and some of em might get their feeling hurt.  Besides, enough whiskey and North Dakota winter might just have you thinking her $40 Govt. Mule Ass is every bit a piece of heaven as a Hollywood Starlet on an Exctasy Binge with lust in her eyes and your name on her lips.  Port in a storm boys, port in a storm.  Now, Weaver, best for last I guess and I thank you for speaking up.  I've followed your threads and commentary for awhile now as sort of the sober and most diretly informed in this region and was hoping you might venture an opinion.  Doesn't sound all that promising around up there and having an in would naturally make all the difference.  Hell, even a paid for customer list wouldn't neccessarally mean much to a tool pusher who didn't know you from Adam and was having a bad day.  Besides, you're probably asking a good dollar for your contacts and as worthwhile as the purchase might be it would only be a small portion of the investment a guy would have to make to establish himself in the arena.  Ah, well, it's not all bad news.  Checked the advertisements for solicitations this afternoon, couple more projects coming up with my scope worth looking at.  I only asked the question originally, cause, well I always got a backup plan and know where the alley door leads to.  Thanks for letting me ramble on a bit.  Good way to start shakin off the winter's doldrums.  Hope no offense was taken- as none was meant.  I'm just a naturally mouthy and 1st Amendment practicing kind of S.O.B.  You guys be safe and watch yer brothers back.  "Here's to Skinny Women and Fat Paychecks".
Parent - - By Cactusthewelder (*****) Date 03-02-2011 13:23
Well, My reply my not have made any sense or relevance to you. However, The reason I ask is this, You seem to be drawn to the "Boom" in North Dakota. Well, "It Ain't That Easy". My self and Stan (Hillbilly Deluxe) Have a job going on there now. We have both spent alot of time there as well as Weaver. We all 3 know our Buisness. What can you expect ? Well, You will need a 2 million dolar GL Policy to start. You will need MSA's with Operator's as well as Energy Companies. You will need to expect to pay Premium for EVERYTHING you do or buy. Including Welding Supplies and Helpers. You can expect that anything and everything you need will be at least 60-70 miles away. You can expect nothing up there to be easy. You can expect to need a Bankroll to carry you for at least 60 days. It's big money up there but once again, It Ain't for the Weak Hearted. Now, in regards to my first reply, There are easier, Warmer places to make just as much money, and much easier to get started. I have Jobs going in those areas as well. I ask where you were from because I thought those places may be closer. Any ways, Good luck in North Dakota. When you get to Williston. Find Huggie's Bar. Tell Huggie that I sent you and have a Beer on me.

Cactus
Parent - - By weaver (***) Date 03-03-2011 02:26
cactus, you guys have a job goin here now?
Parent - By hillbilly delux (***) Date 03-03-2011 06:38
Yes sir Shannon I plan on stopping by your shop when I can get away from the salt lake area. Hopefully I can get out of here soon. Depends on how many change orders they can come up with. Are you still located at the same place right across from praxair?
- - By yojimbo (***) Date 03-02-2011 20:04
Cactus-
Thanks for your follow through on this thread and providing some specifics.  A good backup plan is worthless without details- maybe you'd find the time to fill in a few of the details on conditions for successfull ventures in ND.  General Liability- is that a 1mill/2mill or 2mill/5mill coverage?  As a licensed contractor I carry a 1mill per ocurrence 2mill umbrella.  Is that coverage sufficient?  The service agreements with the drilling and gas companies: can you indicate the procedures for getting those in place?  What get's the ball rolling- just drop off a card with a tool pusher and get your name on the list?  Contact a field or main corporate office with ones contact information?  Is there a central publication or source of solicitations for welding contractors to reply to and apply for those agreements?  Which drilling companies in that region do you find the most reliable and easist to work with in terms of access to the people you need to speak to, especially in getting paid?  Is the work generally cost/plus, time and material or a straight hourly charge?  What is the first steps in getting those agreements established and are th terms of those agreements whoppingly one sided in the drilling companies favor or are they equitable?  Beyond a contractors bond, is there ever  need to provide performance bonds on the work most guys do?  Do the agreements generaly require the welding contractor to provide steel or construction materials or is that provided and the welder just provides the skill, consumables, fabrication and welding?  If a piece of equipment like a crane or forklift is needed is that something the welder or rig operator is going to suppy?  I am not too concerned with suppy costs- I operate with credit accounts with all my suppliers from steel to fasteners and consumables, with generally larger credit limits, an excellent payment history [try to keep them better than net30, and they love me for it] so I don't think credit would be an issue in setting up accounts.  As far as bankroll- an early life experience with deep poverty annealed and traumitized me sufficiently to acquiring and protecting a checking account balance that would protect me for at least a year.  If I can't see keeping my mortgage and bills paid out of savings for at least 6 months I get real anxious, so I'm confident I've got that float covered. Do guys ever work under other welders service agreements?  For example as employees to those such as yourself, Hillbillydelux or Weaver?  Do your guys work split check or straights contract hourly?  Do you pay them as subs or employees?  Do they carry the same insurance but not the service agreements?  Can you spell out the agreements and pay arrangements in those relationships?

I don't discount the difficulty of the region for one second.  The fact that I'm not even considering exploring this untill at least the early spring should indicate I'm either smart enough or chicken enough to wait until the weather begins to show some hope of becoming livable- by getting up to maybe just the high 20s by noon- before I'd consdier checking it out tells you I respect the difficulty of working there in the winter and that I'd prefer to avoid as much of that pain as I can.  ND is basically a 2-3 day drive for me as compared to a 5-6 day bust to Tx or LA so geographically it make more sense.   As far as easier... well I've always been partial to easy women but they can be just as dissapointing as an easy paycheck.  Anyhow, I'm not one to trip down the primrose path and I like to do as much recon as possible before making a decision.  Boomtown certainly has it's drawbacks but has always provided opportunities as well.  There is even a psychiatric term for some of the effects of economic conditons in place in ND- it's called Gillete Syndrome- not kidding, google it up.  Should you or others find the time to answer any of the questions I've asked I'd appreciate it.  Again, thanks in advance and feel free to PM or email me if you'd prefer to keep it confidential.
Parent - - By 99205 (***) Date 03-02-2011 21:05 Edited 03-02-2011 21:07
As far as the weather goes up there a relative of mine told me once the the Seasons break down like this: Spring, August 1st thru the 10th - Summer, August 11th to 15th -  Fall, August 15th to the 25th.  You're on you own for the rest of the year.
Parent - - By yojimbo (***) Date 03-02-2011 22:27
99205-

Your relative was probably telling the truth.  It never ceases to amaze me how the early pioneers let alone the original natives of that region managed to survive such harsh conditions.  Most modern Americans have never had the experience of living without the luxuries of hot water, electricity and a reliable food supply for any challenging period of time.  Human beings are amazingly adaptable creatures.
Parent - By Cactusthewelder (*****) Date 03-03-2011 00:10
Ok let me try to explain.

Insurance, What you have is the minimum you can get by with. Depending on the Company, They will also want a 1 MM policy (Commercial) on your truck. IF you plan on setting a Wellhead, You will need "Over The Hole" Coverage. Before doing this, I would suggest you learn how. Its not hard, once you see it done a couple of times. Even then, Get your teacher to let you do one while he watches. One mistake can end you in the Oilfield. If you take to long.....Your Done.  If it is not Two Holed right... Your Done.  Get the Picture ? Finding someone to teach you is the Trick. Most guys who know how, WILL NOT TEACH YOU. Setting Heads is Big Quick Money. They will not be happy with competition.

MSA. In order to get one, You will need to be invited to take it. Then the Company Man will call the Office and wave his Magic Wand and they will give you one. Unless they are in a bind, It will take a week or so to get it pushed thru and get a Vendors number. It will state how much and how and when you are paid.

Equipment.. Unless you plan on Opening up a Shop, then you will be doing Rig Calls. They will supply everything you need. One important rule to remember. When they call you in the Middle of the Night..........You are already behind shcedule. You will NEVER be able to do the job fast enough. If you want to Open a Shop. I would suggest you talk to Weaver.

How we are paid. Most Welders who do rigs calls are paid Straight Contract with a 1099. So, Print out a pile of W-9 forms. You will need them. You will rarely get a Split check unless you are doing a Pipeline. If you hire a Helper, They are contract. Hire them as an Employee, Then you pay for workers comp. The trick is NO employees

Remember, On a Rig, The Pusher is Boss. They change every 7 days. If one Pusher likes you, Great. When his releif comes on, He may want a different welder. It happens more than you would think. The Company Man is GOD on a Rig. What he says,  Goes. If he doesn't like you, Your done. It's like playing poker most of the time. The downside is this. For every Job you do, There are 5 welders on the lease road waiting for you to screw up. If you ever tell them "I can't Make it". The next guy will. From then on he is their first call.

Sub Contracting from other Welders. It happens Alot. If the other Welder has the Job and the Contacts and the Insurance. Then you will be working under him. He WILL make money off of you. Don't be shocked, It's called being the Contractor. When he is in that position. He will also receive all the AS* Chewings for your mistakes.
Parent - By up-ten (***) Date 03-02-2011 22:29
So basically 1 month of poor snowmobiling.
Parent - - By Cactusthewelder (*****) Date 03-03-2011 00:24
One other thing. You ask which Contractors. Answer: ALL OF THEM. You will want all you can get. You may not do anything for one guy for a month or so and the others will keep you busy. The Key is, When not working, Start Driving and passing out cards. It will take a while for the phone to rig. Once it does, You will HATE your phone. You can also sign up for Rig Data at  www.rigdata.com for about 900 per month you will get a weekly report with GPS locations on all rigs in the Area. Sounds like alot of money until you realize that One Ticket will pay for it.

http://www.rigdata.com/index.aspx
Parent - - By weaver (***) Date 03-03-2011 02:24
Very well put, I do most of my work from thurs nite thru sunday nite, no joke.. listen to cactus. Every one and there mother is coming here right now. And as far as getting you foot in the door, no disrespect but good luck, it's really hard. Example one of the biggest here is nabors. They have a sign on there door sayin  "not accepting any more welders on the vendor list". If you are REALLY  serious send me a p.m. and maybe i can set you up.(but not for free) just being honest. I pounded the ground everytime I wasn't burning rod, everytime. All of my welder buddies gave me **** about it, they went to the bar instead. when things slowed down they went broke and I went from working 100hrs a week down to 40. anyway if you are dead set on coming here get ahold of me. kind regards shannon
Parent - By dbigkahunna (****) Date 03-05-2011 01:31 Edited 03-05-2011 01:33
In the oil field there is more to do than weld on drilling rigs. There is equipment breaking and leases needing to be hooked up with the roustabout companies. If I was in my 20's and wanted to test myself and have the opportunity to make a flipping fortune, ND is the place to be. What is going on there is a oil boom. I saw one in the 80's in West Texas and there were fortunes made.
And lost. There were a lot of welders that got it broke off in them.
That is the breaks. No one is going to give you a thing. If you want it, ND is where the opportunity is. You have to learn how to make it on your own and how to deal with disappointment.
Stay out of the wine sheds and work your butt off. Knock on doors and where you see the signs that say they are not looking for welders, drop off a card. DO not listen to the sideling whinners. This is not for the faint of heart. You may go up there and loose your shirt.
If you are young, so friggin what! That is a dam oil boom! Even if you loose everything you have, you can get it back later. These things do not happen often in the patch and the ones who succeed can make fortunes.
And when it is over, and it WILL be over, win or loose, you have stories and memories to last a lifetime.
Up Topic Welding Industry / General Welding Discussion / Seekin Information Regarding Rig Welding in North Dakota

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