We operate as if there will never be a rebound and be only minimal work. At this time, it’s very difficult to predict when the oil and gas activity will increase.

As a junior oil and gas consulting firm, we watched the decline in oil and gas prices very close. In a low oil price environment, operating companies typically first release the office and field consultants.

As the oil price continued to decline, we evaluated our business model and listed the positive aspects that will help us sustain in this low commodity market.

Low Overhead

Our core staff is experienced and multifaceted. Instead of only being able to manage a business, our core staff are experienced oil and gas engineer consultants themselves so can roll up their sleeves and do the work. In addition, the office staff is multifunctional, so it requires less people to manage the recruiting, contracts, safety programs, accounting, administration, etc. This low overhead provides a cost savings onto oil and gas clients, and furthermore, it allows our business to function lean. This uses up less of our annual operating budget by extending the duration which we can operate without generating revenue.

DIVERSITY

We offer multiple services, some of which do not depend directly on oilfield activity. If our oil and gas consulting divisions are slow, our SAGD Project classroom training and oilfield equipment tours are available for industry to use for personal and business development until commodity’s rise.

FLEXIBILITY

A small, low-overhead, diverse business enables us to generate other cost savings for our clients. We have the capability to make business decisions that will benefit our clients on-the-fly.

Some examples are:

• Offer larger commission discounts

• Provide partial pro-bono work in exchange
for partial revenue-generating work

• Reduce staff and consulting rates

Our marketing budget has been reduced too. We will keep a close eye on what marketing opportunities are out there to help provide us the best exposure for the least cost. We volunteer in the industry already, but perhaps, we will see what new networking opportunities are out there to help spread our name while gathering with other industry people to help support and stand together during this time.

In the coming years, Ka-Blam will continue to assess the market. We continue to work as the leanest company possible and incorporate the above “optimized” business model. We operate as if there will never be a rebound and be only minimal work. At this time, it’s very difficult to predict when the oil and gas activity will increase.

Primarily though, we will focus on the projects and clients who continue to use us and wait for any opportunity presented to offer our services.

We are always happy to put consultants to work or to offer a SAGD course somebody can use to earn more opportunities. In this industry and seeing all the people not working in it right now, it’s extra special if we can pick up the phone and tell somebody we have work for them. The sincerity and gratitude in their voices is worth all the countless hours we commit trying to find work. It’s about them just as much as it is about us.