ESI Alaska launched 25 years ago reconditioning heaters headed for the North Slope. Fixing and retrofitting existing commercial heaters to function in extreme subzero temperatures eventually led it to design and manufacture a line of ESI heaters that live up to the motto: “Built Arctic Tough.”

Built Arctic Tough

Equipment Source Inc. Alaska provides heating solutions stronger than Alaska weather

By Rachael Kvapil

he employees of Equipment Source Inc. Alaska, or ESI, know how to keep customers working through cold Arctic winters.

For 25 years, ESI has manufactured customized equipment and provided commercial and rental options for the oil, mining, construction, agriculture, telecommunications and other industries. The company has experienced significant growth, particularly in the past decade, and company leaders continue to innovate solutions for Alaska’s most challenging problems.

Since ESI opened in 2000, the company has expanded beyond its Fairbanks headquarters to include Seattle and, Anchorage. However, the heart of its manufacturing is still in Fairbanks’ industrial area, where it’s common to experience the same -40°F temperatures its customers experience on job sites. When ESI first opened, the company specialized in reconditioning heaters for the Alaska North Slope oil fields. It wasn’t long before it designed and manufactured a heater that outperformed the others.

“The team decided there was a way to do this better,” says ESI Vice President Nick Ferree. “That’s how our flagship heater, the ES700, was born and now there are over 1,000 in operation on the North Slope alone.”

ESI has built a reputation for cold-weather solutions. In addition to a full line-up of heaters, it has designed and manufactured a complete line of products that includes generators, pumps, fuel tanks, and high-pressure triplex pumps. To diversify customers’ options, ESI also sells and rents commercial equipment, making sure every piece is ready to handle extreme conditions. Its list of rental items includes multiple equipment categories such as heaters, generators, material handling equipment, excavators, wheel loaders, skid steers and other earth-moving equipment.

“We have a reliable lineup of equipment that we support, cradle to grave,” says Ferree. “We’re here to find solutions. A lot of manufacturers build stuff that they don’t support after a few years. That’s not acceptable to us. Even if it’s 20 years old, we’ll find the part to fix it and keep it going.”

Ferree says talking with customers is vital to helping them. He says the internet has been good for marketing and customer research, but an in-person conversation is the best way to ensure the customer rents or purchases the best solution for their project. A customer may have a solution in mind, but there may be a more efficient or cost-effective option available.

As difficult as it is to design, manufacture, and support “arctic tough” equipment, logistics also present a significant challenge. Ferree says it’s easy to talk about great products; however, equipment still needs to get to customers on time. Remote locations or areas where the environment affects transportation are the most difficult because missing a deadline is detrimental to a customer’s schedule.

“A lot of our customers on the slope have a limited construction and delivery window; whether they need to make a summer barge schedule, winter ice road season or flight schedules,” says Ferree. “If you miss one of those deadlines, then your only option is to hire a Herc [a civilian version of the C-130 Hercules military cargo transport airplane], which is very expensive.”

He adds that many companies from the Lower 48 don’t realize that, while a repair job in the states might involve a technician loading tools into a vehicle and driving to the location, in road-inaccessible areas a technician will have to fly in either by plane or helicopter.

Chris Nielsen, VP of Construction for Turnagain Marine Construction, has worked with ESI on multiple occasions, relying on the company to provide rental equipment and parts that were shipped throughout Southcentral and as far as Shemya Island. He says ESI’s competitive pricing and extensive inventory, along with its ability to move machines quickly, is what sets the company apart.

“The ESI team is the best in the business,” says Nielsen. “They are attentive, thorough, and make things happen. I would recommend ESI over any other equipment rental agency in Alaska.”

Tom DePeter, owner of Onyx Drilling LLC, agrees that the entire ESI crew is knowledgeable in their fields. In the rare instance that they don’t have the answer, they are willing to call the manufacturer and get to the bottom of the issue.

“Onyx Drilling has purchased several pieces of equipment from ESI, and we feel that their equipment line cannot be beat,” says DePeter. “Couple that with an amazing group of people, and you have a winning team.”

ESI has been an AGC Member since 2014. Ferree says AGC has created a phenomenal community of industry leaders. Likewise, membership opens the door to networking opportunities where ESI can build relationships with decision makers, potential partners, and customers. AGC also commits to community education and keeps members informed about issues that could impact businesses within the state.

Ferree says ESI has spent the last eight years in a growth phase. ESI’s 12-acre Fairbanks campus has expanded over the last four years with the addition of a dedicated service facility, 10,000 square-foot warm storage warehouse and an additional 10,000 square-feet of manufacturing space. In 2023, it relocated its Anchorage location to a larger 16,000 square-foot building at the corner of Dowling and C Street that allowed for more room in the service shop, an expanded equipment yard, and customer service areas. Ferree says ESI plans to continue growing its team, expanding equipment rental options in the Anchorage market, and looking for new opportunities. In the meantime, the staff at ESI will continue to innovate designs, manufacture new products that keep the industry working all year round, and make sure customers are outfitted with equipment that is reliable in Alaska’s cold weather.