So those numbers are in our Q1 projections, but the performance is definitely there and the oil basins are steady.
Doug Becker: Fair point. And then just I just all the commentary suggests that share repurchases are going to be the primary, but maybe more explicitly a dividend bump this year doesn’t seem likely based on the commentary you said. Is that right?
Andrew Smith: Yeah, I think that’s fair. We stand to that.
Doug Becker: Thank you very much.
Operator: Your next question comes from the line of Don Crist with Johnson Rice.
Don Crist: Good morning, gentlemen. We’ve covered a lot of ground here today, but just wanted to ask one about the international markets. You know, Ulterra gives you an entry point into the Middle East in particular? Do you have aspirations to move either rigs and or pressure pumping or other service lines into the area? And what kind of opportunities are there for you?
Andy Hendricks: Yeah, first, we’re really excited about Ulterra and their ability to grow internationally. It’s got the potential for double digit growth in these markets, not just with the activity level in these markets, but increasing share in these markets. And so that is our focus on the international. You ask about moving rigs from the US to other market, typically, it takes a fairly significant capital upgrade to move a rig to a different market outside of the US because we become very specific about what we do here in the, US, right now, our focus is on returning cash to shareholders. So our international focus is growing Ulterra. And in overall, that’s part of what we’re trying to do to return cash to shareholders. So there could be an opportunity longer term, but this year, our focus is returning cash to shareholders.
Don Crist: And just a follow-up to that, is there a pressure pumping opportunity over there? I know national does a little bit but is there an opportunity given the gas shale drilling that they’re commencing?
Andy Hendricks: I would say that market is still very competitive. You’ve still got the big guys doing pressure pumping over in those markets, even the ones that no longer do it here in North America. So we’re only going to move large assets to markets like that if we think it makes sense for us and we think it’s positive for shareholders. But again, right now, our focus is on returning cash to shareholders.
Operator: Our next question comes from the line of Kurt Hallead with The Benchmark Company.
Kurt Hallead: Hey, good morning, everybody. Thanks for just letting me in here. So, Andy Hendricks, you have definitely intrigued on me context of what’s going on with the evolution of the land drilling fleet? And it seems like there’s a seems like there’s a new category super-duper spec rigs versus just plain super-spec rigs. So just kind of curious as to what the what the dynamics here are differentiating, you know, even the higher end assets or technologies you talked about automation, but kind of curious like what makes up this new class of rigs that everybody wants versus what they thought they wanted a year ago?
Andy Hendricks: You know, I don’t know how much time we have on this call, but it’s not one single thing you know, there’s a number of different things that are happening and initiatives that our teams have been working on to improve overall performance. You know, there are various components that we upgrade on rigs, whether it’s we’re adding a pump for better hydraulics for longer laterals, which also includes adding a gen set transitioning to lithium battery hybrid for more than fuel efficiency and savings on the rigs, which is something that we manufacture and something that we charge for and or producing transformer stations for high-line power on the energy side. On the performance side, it’s how we run our real-time data centers and how we share data across the rigs and throughout the field.
And the teams that we have that are looking at data analytics and performance and following up with the rigs to make sure that we’re maximizing that performance or new software and automation technology that we’re layering in where we’re going to upgrade some of the electrics on some of these rigs in an asset type light type upgrade and add new software for automation. And we’re doing it on a number of rigs today, but we’re going to work at a steady pace to continue to roll that out. And it’s got great traction in the market and really excited about how that’s performing as well. So it’s certainly not any one thing that you can point to our teams do a fantastic job, whether it’s operations, engineering, technology, real-time performance, data analytics, you go down the list.
And it’s — that’s what’s it’s showing up in our numbers.
Operator: Next question comes from the line of Dan Kutz with Morgan Stanley.
Dan Kutz: Hey, thanks. Good morning. Thanks for squeezing me in on. So I just wanted to ask one more on the international space. And I think you guys mentioned that the Ulterra outlook is for high 10s growth this year on that kind of compares to what seems like the industry bogey for international growth being kind of high single digits, low double digits. I assume there’s market share gains and pricing factored into your outlook. But I wanted to ask whether kind of Patterson or the Ulterra team would be more or less constructive on kind of the total addressable market growth in the international space versus that kind of 10% growth consensus view? Thanks.
Andy Hendricks: Well, we’re excited about the double-digit growth. We’re going to see, I think that you are. So there are some projections on double digit growth in the internationals. We’ll see how that plays out in terms of activity. But I think whenever that is on activity, we’ll outperform that in terms of growth on the Ontario side. In terms of product sales, I’ve got a big focus on the Middle East right now. We’re still working on transitioning from just do a drill bit remanufacturing in Saudi to full manufacturing in Saudi. And that’s going to increase our ability not only to support Ramco in Saudi Arabia but also be able to export from Saudi into some of the GCC countries nearby and so on. We are we’re excited about that.
But what drives this growth relative to others performance, and we’ve talked about this before. You know, Ulterra has a unique ability in the industry to turnaround designs and make the improvements that the operators ask for based on the type of formation and rock that they’re drilling. And that team does a great job at that. And so as we start to do more and more work in countries outside of North America in those countries, you’re going to experience those performance improvements as well. But so that’s why we’re really confident about our ability to grow.
Dan Kutz: Great. Thank you. And then just a quick one on the completion services upgrades and investments. Are there any Tier 2 to Tier 4 upgrades contemplated or it’s mainly just on the dual fuel upgrades and the electric frac investments and stuff.
Andy Hendricks: So we’re not doing any Tier 2 to Tier 4 upgrades. Tier 2 is going to fade away. We’re going to start to wind down maintenance investment on those older assets. We’ve got Tier 4 DGB in place. We still think there’s a very strong market and that’s going to go for years and Tier 4 DGB. But as some of the older technology rolls out, we’re going to see more electric, but also other types of new technology come in different hundred percent natural gas. And so that’s how we’re making that transition. We’re doing it at a measured pace that we think fits the capital allocation and meets the needs of our shareholders who are looking for returns right now. But we’re still excited about these investments in technologies that we’re making.
Operator: Our next question comes from the line of Sean Mitchell with Daniel Energy Partners.
Sean Mitchell: Thanks, guys, for squeezing me in. Andy, just one question on the electric equipment. The 140,000 horsepower by mid-year, is that going to come in the form of numerous — a couple of spreads, full spreads or will that be horsepower that gets sprinkled in across your other fleets?
Andy Hendricks: Some of that’s already out there working in the field, has been for a while. And this is a key addition to what we have out there. You’re going to see more of it come in really kind of Q2 Q3. And so that’s where you know, we’ll get some improved profitability from that horsepower that’s working in the field second and third quarters going forward. And so we’re really going to it’s going to add roughly a couple of more fleets to what we’re already working in the field today.
Sean Mitchell: Okay. That’s helpful. And then Andy Smith, maybe, I know you gave a lot of color on CapEx, $740 million in ’24. Can you remind us what the combined company CapEx was for all the companies in 23, if you still remember?
