Subsequent Events

3 Months Ended

Mar. 31, 2020

Subsequent Events

Subsequent Events

21. Subsequent Events

In April 2020, the Company executed a contract with TC Energy for services related to the construction and operations of facilities along the Keystone XL pipeline.

As discussed in Note 1, in April of 2020, the Company temporarily closed and consolidated several communities in the Permian Basin.  In addition, in May of 2020, the Company temporarily closed all communities in the Bakken Basin. 

In May of 2020, the Company executed contract modifications to several existing contracts with certain customers in the oil and gas industry in response to declining economic conditions that resulted from the effects of the COVID-19 pandemic and decrease in demand for oil and natural gas, as more fully discussed in Note 1. Under the terms of these modifications, the term and, in some cases, the amount of the contracts were modified resulting in extended terms and reduced minimum commitment amounts in 2020.  These modifications utilize multi-year contract extensions to maintain contract value and provide the Company with greater visibility on long-term revenue and cash flow.  This mutually beneficial approach balances average daily rates with contract term and positions the Company to take advantage of a more balanced market.