Oil-services Company Schlumberger Ltd. is in advanced talks to acquire Smith International Inc., with familiar negotiation. According to the Wall Street officials this deal would create an industry giant with revenues double that of its nearest rival Halliburton Co.

According to the industry experts, Schlumberger enjoys an advantage due to its size and wide range of offerings and the merger will help the companies to locate and drill for oil deposits.

This merger will further help it to offer customers package deals on the hugely expensive process of finding and extracting oil and merger with the Smith and will create a pressure on the rivals in the industry.

Smith International is one of the largest global providers of products and services used by operators during the drilling, completion and production phases of oil and natural gas development activities where as Schlumberger is in the business of evaluating oil reservoirs, drilling wells, and pumping out the oil. This difference in their operations will help to ease the antitrust regulations.