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SLB Secures 15-Year Digital Drilling Agreement With TotalEnergies
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Key Takeaways
SLB won a 15-year deal to deploy DrillPlan across TotalEnergies' global upstream operations.
DrillPlan integrates subsurface data, drilling designs & completion requirements to streamline well planning.
The agreement strengthens SLB's long-term customer ties, though its financial value remains undisclosed.
SLB N.V. (SLB - Free Report) has secured a 15-year contract with TotalEnergies SE (TTE - Free Report) to deploy its DrillPlan well planning and engineering solutions across the energy major's global upstream operations. The agreement represents another step in SLB's efforts to expand its digital technology business while deepening long-term relationships with major oil and gas producers.
The deal highlights SLB's growing exposure to digital solutions as energy companies increasingly prioritize operational efficiency and technology-driven improvements in drilling activities.
SLB Strengthens Its Digital Technology Portfolio
Under the agreement, SLB will help TotalEnergies establish a standardized digital environment for well planning and engineering. Its DrillPlan solutions will connect subsurface information with drilling designs, allowing cross-functional teams to coordinate activities through an integrated platform.
The technology combines offset well information, drilling trajectories, casing specifications and completion requirements. This approach is expected to simplify planning processes, improve consistency and support efficient well construction across TTE's operations.
Long-Term Agreement Supports SLB’s Business Visibility
The 15-year arrangement strengthens SLB's commercial relationship with TotalEnergies and reinforces its position as a digital technology provider to global energy operators.
The long-term contract provides business visibility and creates opportunities for continued technology deployment. SLB has not disclosed the contract's financial value.
Digital Adoption Creates New Growth Opportunities for SLB
Energy operators are increasingly adopting connected digital platforms to standardize workflows and improve collaboration across diverse projects.
SLB's DrillPlan platform addresses these requirements by integrating existing customer processes with advanced engineering capabilities. Its ability to accommodate customized workflows supports broader industry adoption as operators modernize drilling operations.
What Does the Agreement Mean for SLB Investors?
The agreement with TTE highlights SLB's efforts to integrate its engineering capabilities with advanced digital solutions, strengthening customer engagement and broadening its technology offerings.
The 15-year partnership reflects sustained demand for SLB's digital expertise across global upstream operations. Although financial details remain undisclosed, the deal is expected to reinforce SLB's market position, support its long-term growth strategy and strengthen the business model with enhanced investor appeal.
SLB’s & TTE’s Zacks Rank & Key Picks
SLB and TotalEnergies currently carry a Zacks Rank #3 (Hold) each.
The broader investment environment remains favorable for oilfield equipment and service providers, with elevated crude prices encouraging upstream operators to maintain spending on exploration, drilling and field development. This trend supports the adoption of digital technologies aimed at improving operational efficiency and reducing well construction costs.
With West Texas Intermediate crude trading around $90 per barrel, according to Oilprice.com, major energy giants such as Chevron Corporation (CVX - Free Report) and Equinor ASA (EQNR - Free Report) have greater financial flexibility to pursue upstream investments. Sustained spending by these companies is expected to generate demand for SLB's drilling technologies, reservoir services and digital solutions.
Chevron operates in the Permian Basin, Gulf of America, Bakken, DJ Basin, Kazakhstan and Australia. CVX in its second-quarter 2026 results highlighted record U.S. production of nearly 2.1 million barrels of oil equivalent per day. Chevron expects its Hess Midstream agreements to lower Bakken unit midstream costs by approximately 50%, supporting stronger profitability and improved capital efficiency.
Equinor strengthened its upstream portfolio in the second quarter of 2026 through exploration and development activities, particularly on the Norwegian Continental Shelf. The company plans to allocate nearly 90% of its capital spending toward oil and gas operations while pursuing production growth through 2030. EQNR is also expanding its international exploration presence through an agreement to acquire a 17.4% interest in Chevron-operated PEL 90 in Namibia's Orange Basin.
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SLB Secures 15-Year Digital Drilling Agreement With TotalEnergies
Key Takeaways
SLB N.V. (SLB - Free Report) has secured a 15-year contract with TotalEnergies SE (TTE - Free Report) to deploy its DrillPlan well planning and engineering solutions across the energy major's global upstream operations. The agreement represents another step in SLB's efforts to expand its digital technology business while deepening long-term relationships with major oil and gas producers.
The deal highlights SLB's growing exposure to digital solutions as energy companies increasingly prioritize operational efficiency and technology-driven improvements in drilling activities.
SLB Strengthens Its Digital Technology Portfolio
Under the agreement, SLB will help TotalEnergies establish a standardized digital environment for well planning and engineering. Its DrillPlan solutions will connect subsurface information with drilling designs, allowing cross-functional teams to coordinate activities through an integrated platform.
The technology combines offset well information, drilling trajectories, casing specifications and completion requirements. This approach is expected to simplify planning processes, improve consistency and support efficient well construction across TTE's operations.
Long-Term Agreement Supports SLB’s Business Visibility
The 15-year arrangement strengthens SLB's commercial relationship with TotalEnergies and reinforces its position as a digital technology provider to global energy operators.
The long-term contract provides business visibility and creates opportunities for continued technology deployment. SLB has not disclosed the contract's financial value.
Digital Adoption Creates New Growth Opportunities for SLB
Energy operators are increasingly adopting connected digital platforms to standardize workflows and improve collaboration across diverse projects.
SLB's DrillPlan platform addresses these requirements by integrating existing customer processes with advanced engineering capabilities. Its ability to accommodate customized workflows supports broader industry adoption as operators modernize drilling operations.
What Does the Agreement Mean for SLB Investors?
The agreement with TTE highlights SLB's efforts to integrate its engineering capabilities with advanced digital solutions, strengthening customer engagement and broadening its technology offerings.
The 15-year partnership reflects sustained demand for SLB's digital expertise across global upstream operations. Although financial details remain undisclosed, the deal is expected to reinforce SLB's market position, support its long-term growth strategy and strengthen the business model with enhanced investor appeal.
SLB’s & TTE’s Zacks Rank & Key Picks
SLB and TotalEnergies currently carry a Zacks Rank #3 (Hold) each.
The broader investment environment remains favorable for oilfield equipment and service providers, with elevated crude prices encouraging upstream operators to maintain spending on exploration, drilling and field development. This trend supports the adoption of digital technologies aimed at improving operational efficiency and reducing well construction costs.
With West Texas Intermediate crude trading around $90 per barrel, according to Oilprice.com, major energy giants such as Chevron Corporation (CVX - Free Report) and Equinor ASA (EQNR - Free Report) have greater financial flexibility to pursue upstream investments. Sustained spending by these companies is expected to generate demand for SLB's drilling technologies, reservoir services and digital solutions.
EQNR currently sports a Zacks Rank #1 (Strong Buy), while CVX carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
Chevron operates in the Permian Basin, Gulf of America, Bakken, DJ Basin, Kazakhstan and Australia. CVX in its second-quarter 2026 results highlighted record U.S. production of nearly 2.1 million barrels of oil equivalent per day. Chevron expects its Hess Midstream agreements to lower Bakken unit midstream costs by approximately 50%, supporting stronger profitability and improved capital efficiency.
Equinor strengthened its upstream portfolio in the second quarter of 2026 through exploration and development activities, particularly on the Norwegian Continental Shelf. The company plans to allocate nearly 90% of its capital spending toward oil and gas operations while pursuing production growth through 2030. EQNR is also expanding its international exploration presence through an agreement to acquire a 17.4% interest in Chevron-operated PEL 90 in Namibia's Orange Basin.