36
ACT
FEBRUARY 2015
There aremany factors to considerwith
the current turmoil andpricingpressure
in the oil and gas/energy sector.We think
that some areaswill see improvement
with lower gas prices, but overall we
think itwill be a slower 2015because of
the oil prices.
(EasternU.S.)
Currently, the crane rental
demands seem tobe the same as last year,
whichwas flat year over year. We expect
2015 tohave some additional workover
last year due to lower oil prices creating
road andbridgeprojects, aswell as
general constructionprojects.
WHAT SEGMENTSOF THERENTALMARKET ARE
SEEING THEMOST ACTIVITY ANDWHAT DO
YOU ATTRIBUTE IT TO?
Appling:
Refinery andpetro-chemical are
steady.
Ashlock:
Commercial construction is one
of the busier sectors, due to the overall
rise in the economy.
Anderson:
The commercialmarket has
seen a lot of activity in2014 and2015,
I believe it ismostly attributed to the
economy gettingbackon track.
Hulse:
Our commercial work is heavier
thannormalmost likelydue to low
interest rates that allow for financing
moreprojects.
Wilson:
(WesternU.S.)
We are seeing the
most requests for cranes coming from
the general construction sectorwith the
energy sector coming in second.
(EasternU.S.)
General construction
continues tobe themarket leader in this
area.
T
he recent drop inoil and gas
prices has helped the overall
U.S. economy, but the jury is
still out onwhether the surplusmonies
in consumer andbusiness cofferswill
ultimatelybe invested inprojects that
require cranes.Whilenewdrilling and
frackingprojects in such energy states as
Texas,Oklahoma andPennsylvaniahave
slowedwaydown, stateswith economies
not tied to theupstream energy sector
are seeing an increase in construction
activity.
Our first 2015
AmericanCranes&
Transport Roundtable
includes five crane
executives, includingMikeAppling,
CEOof TNTCrane&Rigging,Houston,
TX; AlanAshlock, president ofCrane
Rental Corporation,Orlando, FL; John
Anderson, generalmanager ofNess&
Campbell Cranes, Portland,OR; Kerry
Hulse, vicepresident of operations for
Deep SouthCrane&Rigging, Baton
Rouge, LA; and ScottWilson, president
ofM-LHoldingsCompanyCraneGroup,
withoperations inTexas,NewMexico
andMaryland.
Following are thepanel’s answers to
our questions about the crane rental
market and the regions inwhich theydo
business. (Due tohavingoperations out
west and in the easternUnited States,
Wilson answeredquestions for both
geographic regionswhen applicable.)
HOWDO YOU CHARACTERIZE THE CRANE
RENTALMARKET AT THE BEGINNINGOF 2015,
ANDWHAT DO YOU EXPECT IT TO LOOK LIKE BY
THE ENDOF 2015?
Appling:
Overall it is okay, but the oil and
gasmarketwill shrinkdramatically.
Ashlock:
Business is brisk and steadynow.
Projects planned for the latter half of this
year and into2016 indicate that itwill
continue tobe busy at the endof the year.
Anderson:
The crane rentalmarket in
thePacificNorthwest continues to stay
strong and is anticipated to stay thatway
through2015.
Hulse:
We expect the crane rentalmarket
throughout 2015 to remainbusy.
Wilson:
(WesternU.S.)
The beginning
of 2015 appears tobeweaker than the
past two years. The current crane rental
requests andbid requests by customers
are lower than theprevious years. At
the endof 2015?That is hard topredict.
The 2015 outlook for
the crane rental market
ismixed, depending on
the region.
ACT
’s Crane
Rental Roundtable sees
a surge in commercial
projects and agrees that
crane rental rates are not
keeping up with the rising
costs of new cranes.
D.Ann Shiffler
reports.
Amixed bag
ROUNDTABLE
CRANERENTAL
ALAN ASHLOCK
President, Crane Rental
Corp., Orlando, FL
MIKE APPLING
CEO, TNT Crane &
Rigging, Houston, TX
JOHN ANDERSON
General Manager, Ness
& Campbell Cranes,
Portland, OR
KERRY HULSE
Vice President,
Operations, Deep South
Crane & Rigging, Baton
Rouge, LA
SCOTTWILSON
President, M-L Holdings
Company Crane Group,
with operations in
Texas, NewMexico and
Maryland
ROUNDTABLE
TNT’s 1,300-ton capacity Liebherr LTM
11200-9.1 lifts equipment onto the roof of
a building at the HoustonMedical Center
Methodist Hospital.
