Fort Smith Machine Shop Sues Texas Firm For Nearly $12 Million

A machine shop in Fort Smith said it was stuck holding millions of dollars worth of pipe parts after a Texas oil and gas company refused the shipments.

The amount that Butler & Cook Inc. has accused Packer Plus Energy Services (USA) Inc. of Houston of owing?

$11.7 million.

Butler & Cook said Packer had been a good customer since 2007, according to Butler’s lawsuit, in U.S. District Court in Fort Smith.

Soon Packer was ordering millions of dollars worth of items from Butler & Cook. Butler & Cook makes and assembles pup joints and collars from tubular steel, which are then used in multistage fracturing systems in oil and gas wells.

After Butler completed the orders in July and delivered them, however, Packer wouldn’t accept the shipments.

Butler said Packer had breached its contract and is suing for the invoiced amount plus any court costs and attorneys fees.

Neither the attorney nor spokesman for Packer could be reached for comment.

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