Engineering in the Energy Industry with Brandon Burch

00:00:03 Speaker 1
Welcome to the Energy Pipeline Podcast, with your host, KC Yost. Tune in each week to learn more about industry issues, tools, and resources to streamline and modernize the future of the industry. Whether you work in oil and gas, or bring a unique perspective, this podcast is your knowledge trends for hub. Welcome to the Energy Pipeline.

00:00:27 KC Yost
Hello everyone, and welcome to this episode of the Energy Pipeline Podcast. Today, we continue our series visiting with successful engineers in the energy Industry with our guest, Brandon Burch, Executive Vice President and Chief Operating Officer at Howard Energy Partners. We will be discussing, among other things, building successful teams, internal and external relationships within the corporation, and why he feels it's important for Howard Energy Human Resources Department to report to their COO. So, welcome to the Energy Pipeline Podcast, Brandon.

00:01:06 Brandon Burch
Hey KC, thanks for having me today.

00:01:09 KC Yost
Glad you're here. I'm really looking forward to the conversation. So, before we start talking about the cool way Howard Energy has built a successful operation, can you take a few minutes to share your background with our listeners? You grew up in the Coastal Bend part of Texas, right? Corpus Christi area?

00:01:26 Brandon Burch
Yeah, born and raised in Corpus Christi, Texas. Went to high school there, kind of lived on the outskirts, somewhat of a country feel, if you would, and-

00:01:39 KC Yost
Was that over toward Robstown?

00:01:41 Brandon Burch
It was, yeah.

00:01:43 KC Yost
I actually always-

00:01:44 Brandon Burch
I'm impressed you know that.

00:01:46 KC Yost
Well, in the'70s, I worked as a tail chainman on a survey crew for Tennessee Gas Pipeline, and one crew started down at Pharr and worked up to Corpus, the other one started at Corpus and worked its way up to Victoria, surveying and paralleling the Tennessee Gas Pipeline lines. And it didn't matter which crew we were in, whenever we were in the Corpus area, we made it toward Joe Cotton's there in Robstown for great barbecue on Saturday morning. Actually, we were typically the first ones there on Saturday mornings back in 1976. Anyway, so I take it off. Robstown, take it from there.

00:02:26 Brandon Burch
Yeah, I don't blame you for noting that place. It's not there anymore, but some of the best barbecue I've ever had. But yeah, growing up just on the outskirts of Corpus, really had a great childhood, loving family. Looked up a lot to my dad, who was a chemical engineer and worked in the refineries and started his own consulting business called BHP Engineering, and they supported all the local refineries. And then as I got in high school trying to figure out my lane, I knew engineering was interesting. I knew the refineries were highly technical, and so I naturally migrated that way. Went to A&M Kingsville, first couple years it was all school and my hobby at the time was rodeo or steer wrestling was my event.

00:03:22 KC Yost
Really?

00:03:23 Brandon Burch
Yeah, so that kept me really busy. And then met my wife when I was 20 and we got married, I was a junior in college at that time, and about a year later had my daughter. And so it felt like the weight of the world on my shoulders. At that point it was school and work and wake up and repeat. And so when I took that last test and that diploma was handed to me, I'm sure you can appreciate, it was like rocks just falling off and you felt lighter on your feet. And then ultimately, transitioned into a consulting role that enabled me to engage with the refineries, where they had an opening at Citgo Refining, and that's where I got, what I perceived at the time as my dream job, process engineer.

00:04:21 KC Yost
That's still in the Coastal Bend area?

00:04:23 Brandon Burch
That is, right there in Corpus Christi.

00:04:25 KC Yost
Yeah, and just to be clear, Texas A&M Kingsville used to be Texas A&I, right?

00:04:32 Brandon Burch
That's right.

00:04:33 KC Yost
Yeah. Still the Javelinas, but yes, there you go.

00:04:38 Brandon Burch
Yeah, go Hogs. We were just down there for an event, so it's always good to go back.

00:04:43 KC Yost
Excellent, excellent, excellent. And so you graduated with chem-e degree and went into the refinery?

00:04:50 Brandon Burch
Yeah, right into the refinery. Again, my dad was a chemical engineer, my older brother was a civil engineer, my younger brother was a chemical engineer. So you can imagine the conversations around the holidays and-

00:05:04 KC Yost
Pretty much black and white.

00:05:06 Brandon Burch
Yeah, black and white, very technical, very opinionated, but we have fun with it.

00:05:13 KC Yost
Did your wife and mother and the females let you guys go out into the garage and talk technical stuff while they talked other social topics?

00:05:26 Brandon Burch
Yeah. Well, briefly, it's mostly about family, so we had to reel it in. And again, the engineering, refining, or hunting and fishing were our topics growing up.

00:05:40 KC Yost
Perfect, perfect, perfect. Well, how did you end up going from there to Howard Energy?

00:05:47 Brandon Burch
Yeah, great question. As I noted, a process engineer at a big refinery in Corpus at the time was my dream job. So I was working long hours, went through a extended turnaround and was really progressing not only from a knowledge base, but also getting some incremental recognition along the way, and it felt good at the time. After two years, ended up meeting Mike Howard on a family trip, which was odd. Mike grew up in Agua Dulce, adjacent to Robstown or Corpus Christi, went to A&M Kingsville, we just never crossed paths till that point. And long story long, he was the Chief Operating Officer at Energy Transfer at the time, needed to build out and round out a project team to implement large capital projects, they were growing at a fast pace. So he offered me a job and it created a lot of stress in my household, you can imagine. But I knew that I needed to get out of my comfort zone. I was young enough to do that, and had the full support of my wife to go try something new, which was the midstream sector, not downstream or refining. And so I jumped in with both feet and just had a great experience joining Mike on that team and all the fun, challenging things that we did at that time. That would've been about 2007.

00:07:22 KC Yost
Okay. So that's when you first went to San Antonio?

00:07:27 Brandon Burch
Correct.

00:07:28 KC Yost
Okay, and you've been there since?

00:07:31 Brandon Burch
Yeah. I went back to Corpus briefly when the Eagle Ford took off. I went from engineering to operations with Energy Transfer to run their Eagle Ford division. And then as we got to 2013, Mike started Howard Energy in'11. They were still relatively small, but similar inflection point. I was engaging with Mike about an opportunity and once again, really got out of my comfort zone going from a established position, very healthy company, to more of a startup environment. But I believed in the people that were there and the talent that were there, that we could go the distance. And so that weighed heavy on my decision.

00:08:22 KC Yost
Well, if you don't mind me quoting my grandfather who was a hillbilly pipeliner, he used to tell me, "Look at the turtle. He's never moving forward unless his neck is stuck out," and I stuck my neck out and moved to Houston, you stuck your neck out and followed Mike. So good for you. Joined Mike. So, good for you, and it's worked out well for you.

00:08:45 Brandon Burch
Yeah, from a culture standpoint, we run our business very similar. He's been a great mentor of mine and has really challenged me along the way to grow into the leadership role that I am now. And so I really appreciate that, but also, we've built out a phenomenal team. It starts with our executive group who I lean on heavily and really appreciate everything that they do for me and my department. And then as you're building leadership under you, you want to lead by example. You want to drive that culture, but also when you do that, you're able to retain and attract some really good talent. So when you look at our mid-management, all the way down to the floor, I get really fired up when I think about the talent that we've grown here at Howard Energy, and our ability to continue to progress relative to our goals.

00:09:47 KC Yost
Well, so that's a great segue into talking about the team building that you guys have done. In the industry we hear all the time about Howard Energy doing this and Howard Energy doing that, and it's always very, very positive. I mean, you guys really work hard to find young engineers and hire them as interns and as graduate engineers, and actually have them start at the small end of the horn, if you will, to get into project management and mid-management, right? You have a process that seems to work out extremely well for you guys with recruiting and internship.

00:10:32 Brandon Burch
Sure, yeah. I'd love to unpack that a little bit further.

00:10:36 KC Yost
Please.

00:10:36 Brandon Burch
So when I started at Citgo, I was on the recruiting team there. Really shifted their focus to South Texas and neighboring colleges, and was able to build up a team that wanted to come to Corpus and stay in Corpus. As I went to Energy Transfer, we would recruit A&M Kingsville, UTSA, Texas Tech, College Station, but we had a very operationally driven internship program. And what I mean by that is, you weren't sitting in a cubicle just doing math or running spreadsheets all day. It was a robust agenda that forced you to get out into the field locations, interact, solve problems. There was always a project tied to that, and then at the end of the summer, you had to present. So we took that model, enhanced it, implemented it here at Howard Energy, and we've had a lot of success around that. So it's what you put in the program is what you get out. So it starts with engagement, going to the colleges. And I would tell you, KC, the grades are certainly a huge factor. However, when we're looking at project engineers that can be successful and diverse in the midstream sector, I'm constantly looking at, what are they doing outside of school? Have they had part-time jobs? Are they outgoing with their community? Have they dealt with a little bit of adversity in their life? And typically, when you see one of those resumes, it really shines. And so we've done a good job of collecting those, going through a robust interview process. And then once we onboard them, we're highly intentional on a kickoff meeting understanding roles and responsibilities, expectations, and then we couple that and put them with some of our outstanding mentors that allocate time over about a three-month period to follow those interns through the program, make sure we're getting their questions answered, make sure they're feeling comfortable.

00:12:54 KC Yost
Sure.

00:12:55 Brandon Burch
But we have numerous examples of people that have gone through our program in a previous life or here at our Howard Energy, and now are in material leadership roles with the company, and it's really neat to watch. I've elevated obviously in our company over the years, but I'm still very much in tune and supportive of our current internship program.

00:13:21 KC Yost
Outstanding. Where do you typically recruit your interns, or do they contact you from all over the country?

00:13:31 Brandon Burch
So we go to colleges, person-to-person. Obviously, we've enhanced our ability to communicate through social media, job postings. And then our website, we've enhanced that over the years and our postings are shown there. And so we'll get a couple hundred applicants every year. We do enjoy referrals because obviously, people that we trust that can refer someone with good footing, a desire to learn, and then wants to participate in our industry. We welcome that also.

00:14:11 KC Yost
Yeah. Do you focus in the south Texas and hill country area? I mean, local bred, got the roots there, like the Texas A&M Kingsville, the UTSAs, the UTs, the A&Ms, the Texas states. I mean, do you focus in on those colleges and universities, or do you find yourself going out of state sometimes?

00:14:39 Brandon Burch
We have talked about going out of state. New Mexico's not far from our West Texas assets, we've got a foothold in Oklahoma. I see those as target areas for us to expand in the future, but up until now, South Texas, like you said, A&M Kingsville, College Station, UTSA, is where we're applying our focus. We're a company of 415 employees, our intern program ranges to eight to 10 individuals. So as that expands and we're able to supply more resources and ultimately have the assets to be able to handle more interns, we're certainly going to do that.

00:15:24 KC Yost
Okay, but right now your recruiting effort, as far as going out and physically being on the campuses, is typically in the hill country and down to South Texas, at least for the time being?

00:15:36 Brandon Burch
Yeah, and Central Texas, with College Station.

00:15:38 KC Yost
Central, sure. Okay, all right. So let's talk about this hiring and mentoring and elevating engineers. I mean, it really sounds like you've got a really cool assembly line going and bring these people in, let them decide where they feel comfortable, what they'd like to do, and then chart a path for them with a mentor that they can bolt onto to learn and grow. Am I saying that right?

00:16:07 Brandon Burch
No, I think that's accurate. My view on intern programs, one of the most important things you can get out of it, and I don't care what company or what degree, but figure out what don't you want to do as you graduate and go into the real world. So, what we try to do is give them exposure. Our intern program, not only field activities, but corporate activities, business side, commercial side, we want to give them all the exposure. And we've got examples of people that come in and they start in engineering, but ultimately business development is what their interest is. And so we're supportive of people moving around horizontally or vertically on the org charts, because the more well-rounded our employees can be, the more that's going to benefit our bottom line, as far as our ability to execute on very challenging things.

00:17:05 KC Yost
Sure. Once an engineer gets on board though, you are big on promoting from within, right?

00:17:12 Brandon Burch
For sure, if you look at our director, senior director, VP level, there is a large percentage that has come into our organization in some role and have elevated over time. And again, it's just really, really fun to watch that migration and that development over time. And they're very effective at what their roles are and their ability to achieve our yearly goals and initiatives.

00:17:44 KC Yost
Yeah. Do you on occasion hire from external, for let's say senior project management role? I actually saw that on your website and I was going to apply for a job if I decided to come out of retirement.

00:17:59 Brandon Burch
Yeah, no. Obviously, if the timing's not right or we're growing at a certain pace. Keep in mind, there are some years at our company where our head count has increased anywhere from 20 that year to 80 that year. So you do what you can, as far as looking internally and having progression plans, but ultimately, depending on the situation, we'll have to go external. When we do that, we're very intentional and careful who we're going to bring into our company. So our interview process, especially in leadership roles, there'll be multiple people involved, it's pretty rigorous, before we get to a point of making the offer. But I think that will pay dividends, versus fast tracking the process just because there's some anxiety or stress around filling an open spot.

00:18:57 KC Yost
There are times when people with external experience can add value because of that external experience as well, correct?

00:19:10 Brandon Burch
Oh, for sure. And sometimes fresh eyes when you're looking at developing internal systems, technology, applications and so forth, having a fresh set of eyes coming in that's tied to their expertise, their ability to cross-pollinate over multiple departments, definitely, there'll be benefits around that.

00:19:36 KC Yost
Super, super. Now, you guys are really quite aggressive in your work. Did I understand correctly that you've got $800 million in CapEx projects going on right now?

00:19:51 Brandon Burch
So from end of '22 to early '24, we were extremely busy, and we've gone through periods like that since the company started in 2011. When I think about 2013 through '15, when I think about '19 all the way up to COVID, and then kind of post-COVID, end of '22 to early '24. Specifically to your question, we were deploying $800 million of capital. So imagine a project team of about 30 individuals all-in, that's engineering, project management, cost control, support. We're doing a huge project in South Texas, a large project at Beaumont, and also one in the Delaware basin, all at the same time. And so those are very challenging things, unless you have the right people in the right positions. And also when it comes to project execution, we think we set ourselves apart from some of our peers just based on not only our internal ability to execute projects and manage them, but also externally our partners. And so partners is a word that's used somewhat loosely, but our customers, we consider partners, but also who we execute projects on are our partners. So our procurement agents, the people we're buying equipment from, and also the individuals that are on the ground making it happen from a construction standpoint. When you think about civil, I&E, mechanical, process engineering, programming and startup support, we have relationships that go back 10, 20, 30 years. And don't get me wrong, we aggressively bid our projects, but when you're able to bring someone in that's competitive and you have a relationship at the top level and you're all fighting for the same thing. And by the way, I don't care how small or big the project is, you're always going to have bumps in the road and issues. What sets you apart is how you deal with those issues quickly and keep moving forward with your team. And so when you look at the three projects I just described, different geographic areas. We had a lot of people deployed in the field. We had upwards at any given time, 800 contractors on the ground between the three jobs. All of them were done on budget, on schedule, and I don't think that happened by accident. You have to have a formula, you have to be adapting to the conditions, and you have to have good partners. That's how I would summarize the success during that period.

00:22:53 KC Yost
So you actually look at your customer, your internal employees, and your vendors or your consultants as a team and you approach this in every project in an us and we relationship?

00:23:11 Brandon Burch
You have to. We are not a large company, relative to the midstream sector. So we have to have a reputation and ability to set ourselves apart. And so when you look someone in the eye from a customer standpoint, and you do what you say you're going to do, that's meaningful. And by the way, those partnerships and contracts with contractors are highly important, and we will not issue one of those until the ownership of that organization comes in and meets with and our Chairman and CEO, Mike Howard, one-on-one.

00:23:48 KC Yost
Sure.

00:23:49 Brandon Burch
To ensure that we're all level set on the same page and moving as a single unified unit.

00:23:55 KC Yost
It has to be that way, it has to be that way. So you would consider yourself decentralized, in that internally you've got the project managers and the engineers and all that, and the accountants and the cost control people and all of that, that would manage the project, but you go externally for your consulting work and geo-tech work, engineering design, that type of thing? Am I saying that right?

00:24:27 Brandon Burch
You are. When it comes to very specialized engineering drawings, geo-tech, we will outsource that. However, our internal group, from an engineering standpoint, when it comes to cost estimating, hands-on project management, they're not managing those projects from San Antonio. They are shoulder to shoulder with the superintendent. And by the way, our project managers, it's cradle to grave. So what we like to do is develop our estimates, drive that accountability, source the contractors, but just because the project is mechanically complete ready for startup, that doesn't mean engineering can back away. They're parallel with operations all the way up until post startup and all the boxes have been checked and we have a happy external customer, but also internal operations as a customer of our engineering department.

00:25:27 KC Yost
That sounds like an outstanding model. Well done, well done.

00:25:31 Brandon Burch
Well, thank you.

00:25:32 KC Yost
Back to the us and we thing. I'll tell you, an inspector, I got to work inspection back in the'70s as well at Tennessee Gas Pipeline. The inspector told me one time, "Remember us and we, because when you're out there and inspecting and you're pointing a finger at someone blaming them for something, remember that you've got three fingers that are pointing back at you, where you could have actually helped reduce the error or reduce the problem or taken care of it yourself." So I really applaud you for your strategy of that solid teamwork. And it sounds like you're really, really committed to the effort, and good for you.

00:26:15 Brandon Burch
Yeah, no, I like the point that you made. We translate that into 100% ownership. So if anyone's going to point the finger, we're going to point it at ourselves and we're going to be vulnerable, we're going to recognize the issue. We're going to drive solutions and we're going to implement change so that won't happen again, and we continue to move forward.

00:26:37 KC Yost
Okay, great, great. So one of the things that I found interesting in our pre-conversation and some other documents that I've got is that the HR department reports to you.

00:26:52 Brandon Burch
Yes.

00:26:52 KC Yost
And this ties back into this us and we culture, and getting them involved. Can you elaborate on why it's important that the Howard Energy Human Resources Department reports to you?

00:27:08 Brandon Burch
Sure. We're a company, what we strive to do, KC, is to be a meaningful endeavor. And how we do that is driving a culture and expectation every day. So from an operational standpoint, the HR, IT, engineering, compliance, and also operations, roll up to me. That doesn't mean that our systems are unique, but those support back office structures are very much service driven, and they get out to the field, they engage with all of our employees, both corporate, and we're in four states and two countries. But when you have a operational culture and you have these support departments that are service driven, we like that model because we're able to move at a different speed. We're able to avoid some of the obstacles that larger companies have. And what the challenge is as we continue to grow, we have to maintain that focus, but we realize a lot of benefit from having HR and IT rolled up into operations. But by the way, it's a comparable expectation, whether you take accounting, legal, and so forth, we're all driving to the same goal supporting what that culture is going to be. And so when you have that congruent alliance internally, you're able to move at a speed that most people can't. However, the responsibility and accountability comes with that.

00:28:51 KC Yost
Oh, I totally get that, I totally get that. I really like that you keep using the word expectation. I've heard you say it half dozen times in this 20, 30 minute conversation. To set expectations from the top down and make sure that it's clear, that everyone understands what their roles and responsibilities are, makes things run so much smoother in an us and we environment, right? And getting the HR people and the wire jockeys in IT to go out and kick the dirt with the guys. Do you send your attorneys out to kick the dirt on the projects as well?

00:29:34 Brandon Burch
I tell you what, we're very outgoing. No, it's a great question because a ton of our corporate staff love engaging with the field. So we do several things to promote that. Three times a year, we will get a bus to take corporate people out to the field. And they really enjoy that because they're able to see, oh, that's a valve, that's a pipe, that's a cryogenic plant. But also, we do quarterly town halls as an executive team, and we don't do it here from San Antonio. We go out and host those in the field. So we rotate, depending on the year, a field location and the entire executive team in support on putting these town halls, which really, we're publicizing updates, we're giving status on our report card, and we're giving guidance on where the company's going. But we do that at the field level to force engagement with all of our employees.

00:30:34 KC Yost
What a wonderful culture you've built there. I'm really, really, really quite impressed. This comes from a guy that's worked for a dozen different companies over 50 years. I'm really impressed with your culture, I truly am. Well done. Well done, Brandon.

00:30:50 Brandon Burch
Appreciate that. We set, I can tell you from the executive team, that's where it starts. And we have high expectations, not only for ourselves, but for everyone that comes in. And by the way, we want an environment, the workloads always going to be high, but we're going to have a lot of fun along the way, right?

00:31:10 KC Yost
Very nice. Yes, absolutely, absolutely. And you used the word expectation for the seventh time in the conversation.

00:31:17 Brandon Burch
Thank you.

00:31:18 KC Yost
But that's really important, really important. No one can understand whether they're doing well or not if they don't understand the expectations that have been set upon them. Right? And so by being clear about that, and you guys seem to be extremely clear and concise on this, and with the culture of, if I should use the word servant leadership, here are our expectations. What do you need from me to help you succeed, type frame of mind. Getting people out in the field is, it sounds like just a wonderful culture you've built there. So, congratulations to you. Congratulations.

00:32:03 Brandon Burch
Well, thank you.

00:32:05 KC Yost
So we're running out of time. I've probably got another hour worth of questions for you, but with the few minutes we have left, is there anything else you'd like to add?

00:32:18 Brandon Burch
Well, I can tell you just I'm humbled when I think about the success of the company. I've had the good fortune. My daughter, Avery, she's studying engineering up in College Station, industrial engineering, and she's interned with us for two years now. So when I've watched her go through the program and give her opinion, the one thing we haven't talked about, KC, is just energy education. And so that intern program that you referred to, that has now been a component of that. And so what we're trying to do is lead by example and put content out there to show what our industry is, how it benefits human flourishing, and make sure everyone's educated and has the facts in front of them. And when those interns present at the end of the summer this past year, it was really refreshing to hear them say, "I didn't understand that. I didn't know that that is how lights come on, or that how vehicles run, or when you turn on a stove, what our companies and other companies in the industry are doing, they're fueling every other industry out there." So if you go onto our website or talk to our employees, really quick you'll be able to get a sense of pride, not only what we're doing, but how we're benefiting the bottom line when you think about our communities in our states and at the federal level.

00:33:57 KC Yost
Yes, yes. I have spent a lot of time on your website and it does do a lot of promoting for the energy industry, and I thank you again for that as well. So, thanks for taking the time to visit with us today. Really enjoyed the conversation, Brandon.

00:34:14 Brandon Burch
Well, appreciate everything you're doing, as far as allocating your time and reaching out and great questions, by the way. Likewise, I could go on for another hour.

00:34:25 KC Yost
So, if anyone would like to learn more about Howard Energy Partners and opportunities for employment, you can find them on the web at Howardenergypartners. com. That's Howardenergypartners. com. Just like Brandon says, it is a wealth of information there, and I spend a good bit of time taking a look at that. And again, they have 16 positions opened up on the website, Brandon, just so you know, and two of them are for senior engineers. So, you may see my application coming in in the next couple of weeks if I decide to get out of retirement.

00:35:01 Brandon Burch
Well, keep us posted.

00:35:02 KC Yost
Yeah, that'll be fun. Yeah. So anyway, thanks to all of you for tuning into this episode of the Energy Pipeline podcast sponsored by Caterpillar Oil and Gas. If you have any questions, comments, or ideas for podcast topics, feel free to email me at kc.yost@ oggn.com. I also want to thank my producer, Anastasia Wilson-Duff, and everyone at the Oil and Gas Global Network for making this podcast possible. Find out more about other OGGN podcasts at oggn. com. This is KC Yost saying goodbye for now. Have a great week and keep that energy flowing through the pipeline.

00:35:40 Speaker 5
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