Ameriforge Group Inc., doing business as AFGlobal Corp., signed an agreement to lease forge facilities and equipment in Houston from oilfield services provider Dril-Quip Inc. with an option to acquire them, according to a Sept. 10 news release from Dril-Quip.
AFGlobal's industrial forging division will take over operating Dril-Quip's forge facilities, effective Oct. 1, and will continue to supply Dril-Quip with forgings.
The transaction is expected to generate cost savings of $11 million to $13 million per year, Dril-Quip said.
