charlotte: It only makes sense to minimize transportation costs, as long as the characteristics of the sand are satisfactory for the frac jobs!! This is the same regional location trend that I wrote about in March, 2012, but at that time, sand was the exception to the rule!! Obviously, technology has evolved to the point that a bigger range of proppant quality is acceptable – it doesn’t HAVE to be Wisconsin White!! Check out my piece New Energy Hubs Emerge in The Shale Oil and Gas Supply Chain here. More on THE MANY happenings in frac sand here.
Here’s the article:
Preferred Proppants LLC is taking a new, more regional approach to the frack sand supply business. The Pennsylvania-based sand producer and supplier has provided proppant to multiple shale plays in the U.S…
All opinions are my own, and no relationship with any company in the article is implied. Read full article at the publisher’s site: Preferred’s frack sand sell-off marks new shale in-basin strategy