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Halliburton ( ) is a USmarker-based oilfield services corporation with international operations in more than 70 countries. It has close to 300 subsidiaries, affiliates, branches, brands and divisions worldwide.

It is based at 5 Houston Centermarker in Downtown Houstonmarker, Texasmarker, in the United Statesmarker. U.S. office locations are also in Anchorage, Alaskamarker; Bakersfield, Californiamarker; Denver, Coloradomarker; Lafayette, Louisianamarker; and Oklahoma City, Oklahomamarker. Halliburton recently opened a second headquarters in Dubaimarker, in the United Arab Emiratesmarker, in March 2007, where Chairman and CEO David J. Lesar will work and reside, "to Focus [the] Company’s Eastern Hemisphere Growth." Corporate offices will remain in Houston and the company will remain incorporated in the United States. The company will consider Houston and Dubai as dual headquarters. Halliburton plans to move its headquarters to another site in Houston by 2012.

Halliburton's major business segment is the Energy Services Group (ESG). ESG provides technical products and services for oil and gas exploration and production.

Halliburton's former subsidiary, KBR, is a major construction company of refineries, oil fields, pipelines, and chemical plants. Halliburton announced on April 5, 2007 that it had finally broken ties with KBR, which had been its contracting, engineering and construction unit as a part of the company for 44 years.

Business overview

Energy Services, the company's historical cornerstone, includes drilling and formation evaluation, digital and consulting solutions, production volume optimization, and fluid systems. This business continues to be profitable, and the company is one of the world's largest players in this industry; Schlumberger is its closest competitor followed by Weatherford International, Tesco Corporation and Baker Hughes.

With the acquisition of Dresser Industries in 1998, the Kellogg-Brown & Root division (in 2002 renamed to KBR) was formed by merging Halliburton's Brown & Root (acquired 1962) subsidiary and the M.W. Kellogg division of Dresser (which Dresser had merged with in 1988). KBR is a major international construction company, which is a highly volatile undertaking subject to wild fluctuations in revenue and profit. Asbestos-related litigation from the Kellogg acquisition caused the company to book more than US$4.0 billion in losses from 2002 through 2004.

As a result of the asbestos-related costs and staggering losses on the Barracuda Caratinga FPSO construction project based in Rio de Janeiro, Brazil, Halliburton lost approximately $900 million U.S. a year from 2002 through 2004. A final non-appealable settlement in the asbestos case was reached in January 2005 which allowed Halliburton subsidiary KBR to exit Chapter 11 bankruptcy and returned the company to quarterly profitability. So, while Halliburton's revenues have increased because of its contracts in the Middle East, its bottom line continues to suffer.

At a meeting for investors and analysts in August 2004, a plan was outlined to divest the KBR division through a possible sale, spin-off or initial public offering. Analysts at Deutsche Bank value KBR at up to $2.15 billion, while others believe it could be worth closer to $3 billion by 2005. KBR became a separately listed company on 5 April 2007.



In 1919, Erle Halliburton starts New Method Oil Well Cementing Company.


Halliburton offices in north Houston, scheduled to house the headquarters around 2012

In 1920, Erle Halliburton brings wild gas well under control, using cement, for W.G. Skelly, near Wilson, Oklahoma.

On March 1, 1921, the Halliburton “method and means of excluding water from oil wells” is assigned a patent from the U.S. Patent Office. Halliburton invents the revolutionary cement jet mixer, to eliminate hand-mixing of cement, and the measuring line, a tool used to guarantee cementing accuracy.

In 1922, Company prospers from Mexia, Texas, oil boom, cementing in 500th well in late summer.

In 1924, Halliburton Oil Well Cementing Company is incorporated in Delaware, with 56 people on payroll. Stock of the corporation was owned by Erle and Vida Halliburton and by seven major oil companies: Magnolia, Texas, Gulf, Humble, Sun, Pure and Atlantic.

In 1926, First foreign venture begins with sale of equipment to Burma and India.

In 1927, The Halliburton first motor-powered cementing unit goes into the field.

In 1928, H.C. Otis founder of Otis Engineering (now part of Halliburton) gains industry recognition by replacing an inoperative single master valve on a flowing well.

In 1929, Halliburton constructs first laboratory to test cement. Crews and equipment move into Canadian oil fields.


In 1934, Halliburton performs a 3,000-sack cement job at Binger, Oklahoma. Halliburton introduces three-pump steam-type cementing unit.

In 1935, Halliburton performs first acidizing job in Kansas.

In 1936, Halliburton forms its electric wireline department, which is later merged with Welex in 1957.

In 1938, Halliburton cements the first offshore well using a truck on a barge off the Louisiana coast.


In 1940, Halliburton opened offices in Venezuela and introduces bulk handling of cementing to the industry.

In 1947, the Halliburton first marine cementing vessel goes into service.

In 1949, Halliburton pioneers hydraulic fracturing stimulation with the industry’s first commercial stimulation job.


In 1951, Halliburton made its first appearance in Europe as Halliburton Italiana SpA., a wholly owned subsidiary in Italy. In the next seven years, Halliburton launched Halliburton Company Germany GmbH, set up operations in Argentina and established a subsidiary in England. By 1951, HOWCO had service centers operating in Canada, Venezuela, Peru, Colombia, Saudi Arabia and Indonesia.

In 1952, Halliburton revenues top $100 million for the first time.

In 1953, Erle P. Halliburton is induced into the Oklahoma Hall of Fame.

In 1954, by year’s end, HOWCO employs more than 7,500 employees worldwide.

In 1955, a new 52,000-square-foot machine stop is completed in Duncan. It is, at the time, the largest non-defense plant in Oklahoma.

In 1956, a large marine base to serve the Gulf of Mexico offshore industry is placed into operation at Venice, Louisiana. The Dyna-Drill downhole motor (now part of Halliburton Energy Services through the acquisition of Smith International Inc.’s drilling systems business) is introduced to the drilling industry.

In 1957, the company introduces the HT-400 pump, the most powerful of its time, for fracturing and cementing. Erle P. Halliburton dies in Los Angeles at the age of 65. HOWCO worth $190 million with camps all over the world. HOWCO purchases Welex, which pioneered jet perforation.

In 1958, Halliburton cements a record 25,340-foot well in West Texas. Otis Engineering introduces a mobile hydraulic workover unit that significantly increases the speed and safety of remedial work on high-pressure wells.

In 1959, HOWCO acquires Otis Engineering, an oilfield service and equipment company specializing in manufacturing pressure control equipment for oil and gas producing wells.


On July 5, 1961, the company changes its name to the Halliburton Company.In 1961, Halliburton averages 500 service jobs every day. Halliburton Services unveils FracPlan, a method of precalculating the most desirable means and materials to use in fracturing a well.

In 1962, Otis Engineering begins offering pumpdown or through flowline (TFL) service for highly deviated wellbores or subsea locations.On December, 1962, Halliburton acquires Brown & Root (engineering and construction company).

In 1963, Halliburton is the first company in Oklahoma to receive the Presidential “E” for Export flag in recognition of notable contributions to foreign trade.

In 1964, Halliburton completes a 500,000-sq.-ft. manufacturing center in Duncan, Oklahoma.

In 1965, Halliburton begins pilot operation of a computer network system – the first such installation in the oilfield services industry.

In 1966, Workers break ground for a new wing at the Research Center in Duncan that triples the space for the Chemical Research and Design Department.

In 1967, Baroid invents invert emulsion fluids.

In 1968, an automated missing system for drilling mud is developed by Halliburton, primarily for use offshore.

In 1969, Halliburton begins construction of a base camp at Prudhole Bay on Alaska’s North Slope.


In 1970, Halliburton cements the world’s longest string of 20-inch casing with more than 11,300 sacks of cement.

In 1971, Otis Engineering begins offering well testing services and marketing a package concept of well completions which includes packers, tubular products and flow controls.

In 1972, Halliburton performs deepest hydraulic fracturing stimulation to date on a 22,400-foot well with pressures in excess of 10,000 psi.

In 1973, Halliburton performs its deepest hydraulic fracturing job to date.

In 1974, Gearhart Industries (now part of Halliburton Energy Services) introduces the first digital computer logging system.

In 1975, Halliburton responds to 1970s’ environmental concerns by working with the nonprofit Clean Gulf Associates to contain and clean up oil spills.

In 1976, Halliburton establishes the Halliburton Energy Institute in Duncan, Oklahoma, to provide an industry forum for disseminating technical information.

In 1977, Otis Dillon, first-company photographer, retires.

In 1978, More than 100,000 sacks of cement are used by Halliburton to grout the legs of Shell Oil’s massive Cognac platform in the Gulf of Mexico.

In 1979, Halliburton crews set Rocky Mountain record by cementing a 21,670-foot string.


  • Following the end of Operation Desert Storm in February 1991, the Pentagonmarker, led by then Defense Secretary Dick Cheney, paid Halliburton subsidiary Brown & Root Services over $8.5 million to study the use of private military forces with American soldiers in combat zones.
  • Thomas H. Cruikshank, who served as chairman and CEO from 1989 until 1995, was replaced by Dick Cheney.
  • In the aftermath of Operation Desert Storm, Halliburton crews helped bring 320 burning oil wells under control in Kuwaitmarker.
  • In the early 1990s Halliburton was found to be in violation of federal trade barriers in Iraqmarker and Libyamarker, having sold these countries dual-use oil drilling equipment and, through its former subsidiary, Halliburton Logging Services, sending six pulse neutron generators to Libya. After having pleaded guilty, the company was fined $1.2 million, with another $2.61 million in penalties.
  • In the Balkans conflict in the 1990s, Kellogg Brown-Root (KBR) supported U.S. peacekeeping forces in Bosnia and Herzegovinamarker, Croatiamarker and Hungarymarker with food, laundry, transportation and other lifecycle management services.
  • In 1998 Halliburton merged with Dresser Industries, which included Kellogg. Prescott Bush was a director of Dresser Industries, which is now part of Halliburton. Former United States president George H. W. Bush worked for Dresser Industries in several positions from 1948–1951, before he founded Zapata Corporation.


  • In 2001 The Wall Street Journal reported that a subsidiary of Halliburton Energy Services called Halliburton Products and Services Ltd. (HPS) opened an office in Tehran. The company, HPS, operated on the ninth floor of a new north Tehranmarker tower block. Although HPS was incorporated in the Cayman Islandsmarker in 1975 and is "non-American", it shares both the logo and name of Halliburton Energy Services and, according to Dow Jones Newswires offers services from Halliburton units world-wide through its Tehran office. Such behavior, undertaken while Cheney was CEO of Halliburton, may have violated the Trading with the Enemy Act. A Halliburton spokesman, responding to inquiries from Dow Jones, said "This is not breaking any laws. This is a foreign subsidiary and no US person is involved in this. No US person is facilitating any transaction. We are not performing directly in that country." Later Dave Lesar would book his own flights to the Teheran office through the UK arm of KBR. No legal action has been taken against the company or its officials.

  • In April 2002, KBR was awarded a $7 million contract to construct steel holding cells at Camp X-Ray.

  • From 1995–2002, Halliburton Brown & Root Services Corp was awarded at least $2.5 billion but has spent considerably less to construct and run military bases, some in secret locations, as part of the Army's Logistics Civil Augmentation Program. This contract was a cost plus 13% contract and BRS employees were trained on how to pass GAO audits to ensure maximum profits were attained. It was also grounds for termination in the Balkans if any BRS employee spoke of Dick Cheney being CEO. BRS was awarded and re-awarded contracts termed "non-competitive" due to BRS being the only company capable to pull off the missions. DYNACORP actually won the competitively let 2nd contract but never received any work orders in the Balkans.

  • In November 2002, KBR was tasked to plan oil well firefighting in Iraq, and in February 2003 was issued a contract to conduct the work. Critics contend that it was a no-bid contract, awarded due to Dick Cheney's position as Vice President. Concern was also expressed that the contract could allow KBR to pump and distribute Iraqi oil. Others contend, however, that this was not strictly a no-bid contract, and was invoked under a contract that KBR won "in a competitive bid process." The contract, referred to as LOGCAP, is a contingency-based contract that is invoked at the convenience of the Army. Because the contract is essentially a retainer, specific orders are not competitively bid (as the overall contract was).

  • Halliburton planned to move its headquarters to Houston in 2002.

  • In May 2003, Halliburton revealed in SEC filings that its KBR subsidiary had paid a Nigerianmarker official $2.4 million in bribes in order to receive favorable tax treatment.

  • In October 2004, Halliburton opened a new facility on , replacing an older facility that opened in 1948, in Rock Springs, Wyomingmarker. With over approximately 500 employees, Halliburton is one of the largest private employers in Sweetwater Countymarker.

  • On January 24, 2006 Halliburton’s subsidiary KBR (formerly Kellogg, Brown and Root) announced that it had been awarded a $385 million contingency contract by the Department of Homeland Security to build "temporary detention and processing facilities" or internment camps. According to Business Wire, this contract will be executed in cooperation with the U.S. Army Corps of Engineers, Fort Worth District. Critics point to the Guantanamo Bay detention campmarker as a possible model. According to a press release posted on the Halliburton website, "The contract, which is effective immediately, provides for establishing temporary detention and processing capabilities to augment existing Immigration and Customs Enforcement (ICE) Detention and Removal Operations (DRO) Program facilities in the event of an emergency influx of immigrants into the U.S., or to support the rapid development of new programs. The contingency support contract provides for planning and, if required, initiation of specific engineering, construction and logistics support tasks to establish, operate and maintain one or more expansion facilities."

  • On April 15, 2006, Halliburton filed a registration statement with the Securities and Exchange Commission to sell up to 20 percent of its KBR stock on the NYSEmarker under the ticker symbol "KBR", as part of an eventual plan for KBR to be a separate company from Halliburton.

  • In February, 2008, a hard disk and two computers containing classified information were stolen from Petrobras while in Halliburton's custody. Allegedly, the content inside the stolen material, was data on the recently discovered Tupi oil field. Initial police inquiries suggest that it could be a common container theft operation. The container was a ramshackle in complete disorder indicating that thieves were after "valuables and not only laptops", said an expert consulted by the daily newspaper Folha de S. Paulo.

By 2012 Halliburton plans to leave its Downtown Houston offices and consolidate operations at its Westchase and northern Houston offices; the north Houston office will become the new headquarters for Halliburton.

Halliburton is the only company mentioned by Osama bin Laden in an April 2004 tape in which he claims that "this is a war [in Afghanistan] that is benefiting major companies with billions of dollars."

Internet pundit John Burnett has described Halliburton's deals as recalling a Vietnam-Era controversy. He claims Vice President Cheney's ties to the company are reminiscent of President Lyndon B. Johnson's relationships with Brown & Root.

Halliburton’s $2.5 billion "Restore Iraqi Oil" (RIO) contract was supposed to pay for itself as well as reconstruction of the entire country. Had the contract been fulfilled correctly, Iraqmarker would be able to export much more oil from its northern oil fields. Instead, the oil fields are barely usable and access to international markets is severely limited. Halliburton’s work on the pipeline crossing the Tigrismarker river at Al Fatah was a critical failure. Against the advice of its own experts, Halliburton tried to dig a tunnel through a geological fault zone. The underground terrain was a jumble of boulders, voids, cobblestones and gravel impossible for the kind of drilling Halliburton planned. "No driller in his right mind would have gone ahead," said Army geologist Robert Sanders when the military finally sent people to inspect the work.

Involvement in the Iraq war

In recent years the company has become the object of several controversies involving the 2003 Iraq War and the company's ties to Former U.S. Vice President Dick Cheney Cheney retired from the company during the 2000 U.S. presidential election campaign with a severance package worth $36 million. As of 2004, he had received $398,548 in deferred compensation from Halliburton while Vice President. Cheney was chairman and CEO of Halliburton Company from 1995 to 2000 and has received stock options from Halliburton.

Bunnatine Greenhouse, a civil servant with 20 years of contracting experience, had complained to Army officials on numerous occasions that Halliburton had been unlawfully receiving special treatment for work in Iraq, Kuwaitmarker and the Balkans. Criminal investigations were opened by the U.S. Justice Department, the Federal Bureau of Investigation (FBImarker) and the Pentagon's inspector general.

In one of the many examples of abuse, Greenhouse said that military auditors caught Halliburton overcharging the Pentagon for fuel deliveries into Iraqmarker. She also complained that Defense Secretary Donald Rumsfeld's office took control of every aspect of Halliburton's $7 billion Iraqi oil/infrastructure contract. After her testimony, Greenhouse was demoted, allegedly for poor performance. Greenhouse had received excellent performance ratings in the past. Greenhouse's attorney, Michael Kohn, stated in the New York Times that "she is being demoted because of her strict adherence to procurement requirements and the Army's preference to sidestep them when it suits their needs." Lt. Gen. Carl A. Strock asserted the contrary.

Response by Halliburton

In November 2006, Halliburton began unloading its stake in KBR, its major subsidiary, and by February 2007 had completely sold off the subsidiary. In June 2007, several days after Stewart Bowen, the Special Inspector General, released a new report, the Army announced that KBR would share another $150 billion contract with two other contractors, Fluor and Dyncorp, over the next ten years.

Environmental and safety record

In 2002 a Toxics Release Inventory (TRI) reports were done to see if chemicals being emitted were harmful to people from Halliburton's Harris County, Texasmarker facility. The facility had 230 TRI air releases in 2001 and 245 in 2002.

On June 7, 2006 Halliburton's Farmington, New Mexicomarker facility created a toxic cloud that forced people to evacuate from their homes.

Employee safety

In accordance with the law of armed conflict and to maintain non-combatant status, Halliburton does not arm its truck drivers, who in Iraq are often the target of insurgent attacks. In one case, on September 20, 2005, a Halliburton convoy of four trucks was ambushed north of Baghdad. All four trucks were struck by improvised explosive devices and were disabled. Their US National Guard escort was thought to have abandoned the disabled vehicles, leaving the drivers defenseless. Three of the four truck drivers were executed by the insurgents while the surviving driver, Preston Wheeler, caught the event on video. Although the trucks had military camouflage paint, there were only civilians driving them. It was 45 minutes before the US military arrived again at the scene. However, in a statement by senior military officials in Iraq, an investigation revealed that troops did not abandon the civilians and were exiting the "kill zone" during the ambush.

See also


  1. " Office Location." Halliburton. Retrieved on January 13, 2009.
  2. "Halliburton Opens Corporate Headquarters in the United Arab Emirates" - 2007 Press Releases - at - March 11, 2007
  3. "Halliburton to Move Headquarters to Dubai" - All Things Considered - NPR - March 12, 2007
  4. Steffy, Loren. "Halliburton heralds Houston's hereafter" - Houston Chronicle - March 14, 2007
  5. Steffy, Loren. "Sound Off: Halliburton's Dubai kiss" - Houston Chronicle - March 14, 2007
  6. Clanton, Brett. " Halliburton to consolidate in 2 locations." Houston Chronicle. April 3, 2009. Retrieved on April 3, 2009.
  7. "Halliburton Completes Separation of KBR" - 2007 Press Releases - - April 5, 2007
  8. Halliburton Connected to Office in Iran, Dow Jones, 2/1/01.
  9. " Halliburton to Move Headquarters from Dallas to Houston." Fort Worth Star-Telegram. July 17, 2002. Retrieved on July 14, 2009.
  10. who owns 100% of Service Employers International Inc. which KBR is a head hunter for. "Halliburton Opens New Facility in Southwest Wyoming" - 2004 Press Releases at - October 28, 2004
  12. Environmental Release Report - Scorecard
  13. "Halliburton spill results in acid cloud." - Associated Press. - (c/o Albuquerque Journal.) - June 7, 2006.

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