Underground Magnetics US Headquarters Johnston Iowa

Eyes Underground: Innovation Drives Underground Magnetics

Locating systems play a vital role in the success of any horizontal directional drilling (HDD) project. For many years, contractors had limited options when it came to advanced locating technology — until Underground Magnetics entered the HDD locating landscape in 2017.

Mike Young, Underground Magnetics co-founder.
Underground Magnetics president Mike Young has spent his professional career in trenchless technology, with the majority of the time in the locating sector.

Founded by HDD locating veterans Jeremy Jin and Michael Young, the Johnston, Iowa-based company quickly established itself as a disruptive force in the market. With a focus on innovation, performance, and affordability, Underground Magnetics has pushed the boundaries of what HDD contractors expect from their locating systems.

Since launching its first locator model eight years ago, the company has grown significantly, now generating an average of $40 million in global sales. It has also expanded its international footprint, with dedicated operations in Europe and India. While most manufacturing takes place in Singapore, the software design, calibration, and final testing are handled at their 40,000-sq ft U.S. facility. In 2021, the company expanded its portfolio to include utility locators.

“About 50 percent of our revenue comes from the U.S. market,” says Young, who serves as president of Underground Magnetics. “But we also have sales in Europe, Southeast Asia, China, India, Russia, Australia and Canada.” With new opportunities emerging in Mexico and South America, international growth remains a key focus.

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Underground Magnetics hits the mark at the 2024 HDD Rodeo.
The 2024 HDD Rodeo champions Ward Trenching used Underground Magnetic’s
locating system to track its winning bore.

“We doubled our sales in each of our first four years — which is tough to maintain,” Young notes. “But I believe we’ll continue to see steady growth of 10 to 15 percent annually moving forward.”

Supporting the Industry

Underground Magnetics is more than just a locator manufacturer. The company is also a huge HDD supporter and champion, taking part in HDD-related educational and commercial events, most recently, the 2024 HDD Rodeo that saw the winning crew using the Underground Magnetics locator to complete its bore. Its events like the HDD Rodeo that have Young excited for HDD’s future.

“The Rodeo is so important to the HDD industry, and is such a great event,” Young says, as it showcases the technology and expertise that manufacturers and contractors use to improve our infrastructure in a safe and minimally disruptive way.

As both Jin and Young approach 70, they’ve begun preparing for the company’s future leadership. While they plan to remain involved in a strategic capacity, day-to-day operations are gradually being transitioned. “We’re turning daily leadership over to Jeremy’s son, [Yuyang],” Young says, signaling the next chapter in Underground Magnetics’ journey.

“What we see is nothing but positive growth. We’re as busy and growing at the same pace that we have been for the last two to three years,” Young says. “We’re very positive about the next five years and beyond.”

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Getting Started

Jeremy Jin and his wife Ren Chao are the innovative minds behind Golden Land Electronics, a company they launched in China in 2008. Jin’s career in the trenchless industry began in the early 1990s when he joined the Subsite team at Ditch Witch, helping develop the company’s early locator technology. In 2001, he moved from Perry, Oklahoma, to Pella, Iowa, where he joined Vermeer Mfg. with the goal of creating Vermeer’s own locating system.

By 2003, amid a downturn in the HDD market, Jin was asked to lead Vermeer’s HDD manufacturing operations in Beijing at Vermeer Tianjin Manufacturing Co. Ltd. Around the same time, Ren Chao began designing a locating system specifically for the Chinese market. Jin took a leap of faith, left Vermeer, and together they launched Golden Land Electronics to develop and refine their locator technology. Joining them in the effort were their sons Yuyang, and Yupeng and colleague Yuri Khapochkin.

“They started by building just five locators at a time,” says Young. “Then they’d hit the road, stay out until all five were sold, come home, and build five more. That’s how they grew — step by step — into one of the world’s leading HDD locator manufacturers.”

Young’s roots in trenchless technology run deep, as well. With more than 40 years in the field, he was one of the co-founders of StraightLine Mfg., a company known for its HDD equipment and its early role in distributing Digital Control Inc. (DCI) locators. Young spent 15 years with DCI before stepping away in 2010; a non-compete clause kept him out of the locating space. Still, he remained active in the industry as a consultant through the clause’s duration.

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In 2016, Young met Jin and the two began discussing the idea of bringing Jin’s locator technology to the U.S. market. That conversation led to the launch of Underground Magnetics in 2017, with Young and his son-in-law (Andrew Lindsay) spearheading efforts to introduce the technology to American contractors.

“For me, it was an easy decision. I love this industry,” Young says. “I’ve been doing this all of my [adult] life. When I first met Jeremy and saw what he could do, I was just shocked at the technological advances that his team came up with. I basically became the ‘backpack person’ here, bringing the locators in my truck and trying to sell them.”

Young vividly recalls the moment he was sold on the technology. “I flew to China and met Jeremy at his facility. We were on the fourth floor when he handed me a locator and put batteries in a transmitter. He sent an employee outside with it. From that window, I could see the transmitter hundreds of feet away, and we were still picking up a clear signal from inside the building. I looked at him and asked, ‘How are you doing that?’ And he just smiled and said, ‘We’re smarter. The others will figure it out eventually, but right now, we’re smarter.’”

Fast-forward to today: Underground Magnetics is pushing boundaries in locator innovation. Its latest locating system, the MagX Geo, will make its official debut at the 2025 Utility Expo. The Mag X Geo is built on Underground Magnetics’ platform with a 7-in. color touchscreen that delivers clear, at-a-glance data. Tactile, multi-function buttons provide intuitive access to key features through fly-up menus. Log each rod’s pitch, depth, and GPS data while marking utilities as you expose them. Users can view progress in real time with Chart, Map, and Rod Table views to stay on target and reduce post-job cleanup. Users can also guide every move with tools like Dropline and Pitch Guide for GPS-directed path and depth control or engage Bore-To for projected depth and target alignment.

Secret to Success

When asked what’s driving the company’s rapid success, Young doesn’t hesitate. He points to Underground Magnetics’ core philosophy: Simple. Powerful. Affordable. “That’s not just our tagline. [Our locators] are simple to use, extremely powerful and affordable for purchase,” Young says. “Our technology, its simplicity and the affordability of the product is what has made us successful.”

In a highly competitive locator market with only a handful of manufacturers, Underground Magnetics is raising the bar. One of the company’s early moves was to offer a full one-year warranty — with a second year prorated on its transmitters — at a time when the industry norm was just 90 days. That decision, along with consistent technology gains, has pushed competitors to improve their own offerings.

“Everyone is stepping up their game,” he says, making the locators more advanced and powerful, which is good for the industry.

Listening to the field has also been a big part of the company’s product development strategy. By taking contractor feedback directly to its engineering team, Underground Magnetics has been able to deliver practical, real-world upgrades — like the development of a solid-core 3D antenna that doubled range at lower frequencies, enabling deeper, more precise drilling.

Young also credits the company’s internal culture. “We’ve built a great team of engineers, and we operate with a unique philosophy. We take care of our people and foster a work environment where innovation is fun,” he says. “There’s nothing like sitting around the table and asking, ‘What are we going to do next?’”

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Looking Ahead

With the HDD market surging, both in the short and long term, Underground Magnetics is poised for continued growth. From expanding fiber-optic networks to the undergrounding of electric lines and massive investments in water, sewer, and gas infrastructure — the future is busy and bright.

The team is particularly tuned into the growing demands around data center construction, a trend that depends on fast, reliable underground fiber installation. That’s where advanced locators will play a pivotal role — especially for smaller HDD contractors who need high-performance tools at a reasonable cost.

“The contractor with two or three drills, which is our target market,” he says. “They need something that has the technology to help them get product in the ground, but they also need something at a better price point.”

As HDD work increasingly moves into tighter easements, the role of advanced locating becomes even more critical — not just for productivity, but for safety and damage prevention.

“As we get more product pipe in the smaller easements, collision avoidance and damage prevention are a big concern,” Young says. “The technology is on our side, being able to work in those easements and avoid the pitfalls of the old technology where you don’t know exactly where the product is. I remember the term ‘Drilling Blind.’ Doing that today in those easements? That is where the technology has changed, giving companies the ability to drill in these tight easements and avoid damage that can be so expensive and put small companies out of business.”

Bright Skies Ahead

Underground Magnetics has come a long way from building five locators at a time. Thanks to its customer-first philosophy, agile engineering, and commitment to real-world performance, it’s become one of the most respected names in HDD locating. And with the industry evolving rapidly, the company is ready to lead the way into the next era of trenchless innovation.

“We’ll continue to focus on the technology that we believe the industry needs,” Young says.

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Sharon M. Bueno is editor of Trenchless Technology.

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