Estevan 鈥� 鈥淵our most important asset is your men, plain and simple.鈥�
That鈥檚 according to Rod Benning with L&C Trucking of Estevan.
Asked how things are going on March 2, he replied with a laugh, 鈥淭hey鈥檙e certainly not going.鈥�
鈥淲e had a better January in 2017 than in 2018.鈥�
They had hired extra people with the expectation of a busy winter season, but it never happened.
鈥淲e were at 40 to 44 people. We had hired probably five guys,鈥� Benning said. The company, at peak during the boom years, had 78 people.
鈥淚 thought there would be a little more work than the drilling rigs,鈥� he said, referring to production work.
鈥淚t just didn鈥檛 happen.鈥�
He noted that smaller companies, who operate with lower overhead, and don鈥檛 pay for substantial safety programs or dispatchers, have taken some of the work. 鈥淭here鈥檚 too many one-man shows, charging unsustainable rates that won鈥檛 cover their costs of wear and tear,鈥� he said.
鈥淥ver the last year, we鈥檝e worked to cover our manpower,鈥� Benning said.
They bought a truck six months ago, used. They sold off five used trucks to get the one used unit.
鈥淭hat was our first since 2014, new or used,鈥� Benning said, echoing comments Pipeline News has heard from most trucking firms in southeast Saskatchewan in recent months. New trucks simply aren鈥檛 being purchased, throughout the region. He said the payback horizons are simply too long.
Overall, he explained, 鈥淚t鈥檚 certainly far from fine.鈥�
They鈥檝e seen a slight increase in their rates, but it doesn鈥檛 cover the roughly 25 per cent increase in their fuel costs, compared to diesel鈥檚 low point. They don鈥檛 have a fuel surcharge, as Benning said, 鈥淭hey don鈥檛 go over well with most oil companies. It doesn鈥檛 seem to fly.鈥�
He鈥檚 hoping the rest of 2018 sees activity levels as high as the first quarter, but added he didn鈥檛 believe that would happen. The broader reason, for that, he said, was, 鈥淲e need pipelines.鈥�
Service companies need to make enough to survive, he noted.
