Abstract For decades standard V-Belt transmission systems with induction motor have been a traditional method to drive beam pumping unit. This study describes a new approach based on the use of a Permanent Magnet Motor with no transmission. Non-transmission drive integrates a permanent magnet motor and smart variable frequency drive. The technology eliminates the need for conventional V-belt systems, the motor is installed directly on the gearbox. Application results revealed unique features of the drive, that cannot be reached with standard application. Elimination of V-belt system allows for safe and environmentally friendly operation with enhanced reliability and reduced non-productive time as no maintenance is required. High-efficient PM Motor with no additional losses in V-belt improves power consumption resulting in total power savings of 15-35 % if compared to the previously installed systems. The system is easy to install, with installation time being less than 1 hour [1]. Synchronous nature of PM motor operation provides a number of options for its control through smart VSD algorithms requiring no additional sensors. VSD embeds mathematical models with a number of options for motor speed and rod load control, operation monitoring, failure risk mitigation, and production optimization, e.g. real-time up-stroke / down-stroke speed adjustment, torque control, operating trips detection and many other features. This can potentially improve production, expected runlife of rods and surface equipment. This paper demonstrates an effective and efficient alternative for oil production with Sucker-Rod Pumps. Application of the new type of surface PMM drive has proved its high potential for production optimization and power consumption improvement with minimized risk of failures.