NAICS 213111 - Drilling Oil and Gas Wells
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What is NAICS 213111
NAICS code 213111 covers establishments primarily engaged in drilling oil and gas wells on a contract or fee basis. Businesses operating under this classification specialize in various drilling techniques including spudding in, redrilling, and directional drilling. These companies provide essential services to energy producers by preparing wellbores that enable extraction of oil and natural gas resources. Contracted drilling services are critical for both exploration and production phases, where precision and efficiency directly impact project viability and environmental compliance. Government agencies contract these services to support energy infrastructure development, resource management, and strategic reserves.
Industry Classification for NAICS 213111
This U.S. industry comprises establishments primarily engaged in drilling oil and gas wells for others on a contract or fee basis. This industry includes contractors that specialize in spudding in, drilling in, redrilling, and directional drilling.
Breakdown for NAICS 213111
- Primarily involves contract-based drilling services for oil and natural gas wells.
- Includes specialized drilling techniques such as directional and redrilling.
- Supports both exploration and production phases of energy projects.
- Subject to federal, state, and local regulations and environmental standards.
- Typical contract sizes range from small projects to multimillion-dollar undertakings.
- Often procured through competitive bidding or negotiated contract vehicles.
Included Activities for NAICS 213111
- Spudding in new oil and gas wells.
- Conducting directional drilling to reach target reservoirs.
- Performing redrilling operations to enhance well productivity.
- Operating drilling rigs and associated equipment.
- Maintaining compliance with environmental and safety regulations.
- Providing drilling site setup and teardown services.
- Supporting wellbore preparation and casing installation.
- Coordinating with geologists and engineers during drilling.
Business Types for NAICS 213111
- Independent drilling contractors.
- Oilfield service companies.
- Directional and specialized drilling firms.
- Energy infrastructure service providers.
- Environmental and safety compliance consultants.
- Geotechnical drilling specialists.
Subcategories for NAICS 213111
- Directional drilling of oil and gas wells on a contract basis
- Drilling directional oil and gas field wells on a contract basis
- Drilling for gas on a contract basis
- Drilling for oil on a contract basis
- Drilling gas and oil field wells on a contract basis
- Drilling oil and gas field service wells on a contract basis
- Drilling water intake wells, oil and gas field on a contract basis
- Gas well drilling on a contract basis
- Oil and gas well drilling services (redrilling, spudding, tailing) on a contract basis
- Oil well drilling on a contract basis
- Reconditioning oil and gas field wells on a contract basis
- Reworking oil and gas wells on a contract basis
- Service well drilling on a contract basis
- Spudding in oil and gas wells on a contract basis
- Tailing in oil and gas field wells on a contract basis
- Water intake well drilling, oil and gas field on a contract basis
- Well drilling (i.e., oil, gas, water intake wells) on a contract basis
- Workover of oil and gas wells on a contract basis
Government Buyers for NAICS 213111
Federal agencies such as the Department of Energy (DOE), Bureau of Land Management (BLM), and the Department of Defense (DoD) often contract drilling services to support energy exploration on public lands, military installations, and research projects. State and local governments may also require these services to manage state-owned resources or support regional energy initiatives. These agencies rely on drilling contractors to ensure safe, compliant, and efficient well development, which is vital for national energy security and resource management.
Contract Types & Procurement for NAICS 213111
Contracts for drilling oil and gas wells typically include firm-fixed-price, cost-plus-fixed-fee, and time-and-materials agreements. Procurement methods range from competitive bidding to negotiated contracts, depending on project complexity and urgency. Contract values vary widely based on well depth, location, and technical requirements, often ranging from hundreds of thousands to several million dollars. Long-term drilling contracts and task orders under IDIQ (Indefinite Delivery/Indefinite Quantity) arrangements are common in government procurement.
Details for NAICS 213111
Explore the hierarchy and related codes for this industry
| NAICS Code | Industry Title |
|---|---|
| 21311 | Support Activities for Mining |
| 2131 | Support Activities for Mining |
| 213 | Support Activities for Mining |
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