ProPetro commits to $1.1B+ Caterpillar equipment purchase with penalty clauses through 2031

Filed April 30, 2026 · Period ending April 28, 2026 · ~1 min read

Key Changes

• high

  ProPetro subsidiary locked into minimum $1.1 billion equipment purchase from Caterpillar for 1.5 gigawatts of power generation capacity through 2031, with option for 600 additional megawatts. Actual cost will be higher due to annual escalations, taxes, and tariffs.

  Item 1.01 verify on EDGAR →
• high

  Company faces 75% penalty on unpurchased equipment if annual obligations aren't met, though can receive 85% credit if Caterpillar resells within 12 months. Creates significant downside risk if oilfield services demand weakens.

  Item 1.01 verify on EDGAR →
• medium

  Agreement runs through December 2031 with mutual extension option. Either party can terminate with notice, but existing orders remain binding, limiting exit flexibility once equipment is ordered.

  Item 1.01 verify on EDGAR →