"Propveyor" – Plans For A New Permian Sand Midstream Solution Unveiled Thursday. March 5, 2019 | Issue: #209. Infill Thinking learned about a new midstream concept for Permian Basin frac sand logistics that was later discussed publicly for the first time.
For Hi-Crush, average sales price per ton was $49 in Q4 2016, meaning prices should now be around $55-$60. In 2014, they were just over $70 a ton. In 2014, they were just over $70 a ton. Hi-Crush said they have been sold out of all grades of sand since mid-Jan, US Silica expect to be in the near future.
In Part 1 of this blog series, we discussed how the trend toward much longer laterals and high-intensity well completions has significantly increased the volume of frac sand being used, with some individual well completions using enough sand to fill 100 railcars or more.
The in-basin sand companies that start producing sand in 2018 should see healthy margins too, assuming a price per ton of in-basin frac sand near $50-55 per ton. Drive time and distance from the mine to well site will become a critical factor in 2018.
The report highlights some of the reasons for the turnaround in frac sand demand (and consequently a higher price for frac sand): White sand pricing at the minegate should reach $65+ per ton vs. the current $15 to $20 per ton.
The cost of sand per ton depends on the kind of sand as there are several types used in many different projects. But the most common type of sands like the ones mentioned above cost around $25 to $40 per ton.
Frac is back: Sand industry returning in big way in western Wisconsin. May 20, 2017 For HiCrush, which operates frac sand mines in Augusta, Blair, Whitehall and Wyeville, the rebound also is well under way.
In August of 2018, Energent first reported Permian sand prices falling 33% to $28 per ton for contracted frac sand and $35 per ton on spot market. During the second half of 2018, more in-basin supply was brought online, further depressing prices.
The increased demand will push sand prices up by 60 percent, hitting the $40 per ton range over the next 18 months, Raymond James said. Sand costs are about $25 per ton today and reached $70 per ton prior to the downturn and when supplies were short. Keene said the real concern is the logistical challenges that come with moving high volumes of sand.
Frac sand demand in the Permian Basin is set to rise after ExxonMobil announced plans to increase oil output in the region. Sellers report a cautious recovery in frac sand demand . Friday, 22 February 2019 Three newly launched frac sand prices show emerging optimism among miners of the proppant. UK government blocks Cuadrilla from expanding fracking activity. Wednesday, 13 February 2019 The ...
The U.S. frac sand market has heated up in 2016 even with depressed oil prices. Many operators have increased proppant intensities in their frac designs and are testing upwards of 5,000 pounds per lateral foot while increasing the size of their laterals.
Reported average prices for frac sand in the U.S. Geological Survey Minerals Yearbook were between $45 per ton and $50 per ton in 2010. In 2011 the average price had risen to $54.83. This is significantly higher than the average price of $35 per ton for specialty sand sold outside of the construction industry.
The average price per ton of frac sand during this period was about $50 per ton FOB plant in average 2013 dollars. From 1990 to 2002, the number of onshore horizontal drilling rigs operating on a weekly basis in the United States averaged about 60 units or 7 percent of active onshore wells. Vertical and directional drilling rigs dominated U.S. onshore drilling activity over the time period ...
A recent report from Tudor Pickering highlighted some of the reasons for the turnaround in frac sand demand (and consequently higher price for frac sands): White sand pricing at the minegate should reach US$65/ton+ vs. the current US$15-20/ton.
for Permian dune sand Conservatively a $50 per ton logistics reduction (eliminating rail & transload) Average well uses 5,500 tons of sand $275,000 savings per well . Experience / Expertise / Excellence 10 Will Permian Dune Sand Be "Good Enough" For a Majority of Users and Applications? Source: Company websites, Headwaters research Permian Dune Sand Texas Regional "Brown" or ...
In 2014, the average price of frac sand was between $50 and $60 per ton. Frac sand and aggregates mining and production have significant overlap, however, the markets they supply have little in common. Aggregate producers would be wise to investigate the potential of developing frac sand mines as long as they invest in a logistics and marketing strategy that matches their opportunity to produce.