Aztec Manufacturing Co. Signs Agreement to Acquire Oil Field Equipment Company

Aztec Manufacturing Co. (Crowley, Texas) has signed a letter of intent to acquire the operating assets of Drill Pipe Industries, Inc., located in Texarkana, Texas, for an undisclosed amount. The addition will broaden Aztec's exposure to the expanding oil field service industry, making it one of the major producers of oil field drill pipe, says L.C. Martin, chairman of Aztec.

Drill Pipe Industries operates one welding line servicing both domestic and international markets, and has the equipment to set up an additional line that will significantly expand their capacity. Aztec currently operates an oilfield tubular facility in Fort Worth, Texas.

Aztec, a manufacturer of electrical products for the industrial market and a provider of galvanizing services and oil field tubular products, will continue to pursue additional acquisitions in the oilfield equipment industry. "Revenues from the Oil Field Segment of our company have increased dramatically during the current fiscal year due to the philosophical change in the way the company markets its services by selling finished tubular products versus only processing customer-owned products in prior years," says Martin. "The company will use the acquisition of Drill Pipe Industries as a platform to immediately re-enter the drill pipe market as a significant producer. This will allow Aztec to continue to capitalize on what we believe to be a protracted growth cycle in the oil equipment industry."