U.S. Silica acquires Missouri frac sand mining company
U.S. Silica Holdings Inc. acquired Mississippi Sand LLC, a frac sand mining and logistics company based in St. Louis, for $95.4 million in cash. The transaction closed on Aug. 16.
According to U.S. Silica, an acquired plant in Festus, Missouri, is capable of producing 1.2 million tons annually of mostly fine grade sand. In addition, U.S. Silica says the plant can be expanded to 1.6 million tons of production per year with capital investments.
Mississippi Sand’s distribution network includes five barge terminals and three rail terminals, two of which are unit train capable, with a combined annual throughput of 2.2 million tons, the company says. The acquisition also includes an approximately 1 million tpy dry plant located near Seagraves, Texas, which is currently idled but could be used in the future as part of U.S. Silica’s in-basin strategy in the Permian, U.S. Silica adds.
“We’re very pleased with the addition of this new low-cost facility with high-quality reserves and flexible logistics, which we believe will greatly complement our product offerings from Pacific,” says Bryan Shinn, president and CEO of U.S. Silica.
“Pacific has some of the highest quality sand in our portfolio, one of the reasons why it operated at close to full capacity through the downturn,” he adds. “This acquisition will enable us to nearly double the size of our capacity from the area and take advantage of multiple modes of distribution to better serve our customers and enhance our competitive position in the marketplace.”
About the Author: Allison Kral
Allison Kral is the former senior digital media manager for North Coast Media (NCM). She completed her undergraduate degree at Ohio University where she received a Bachelor of Science in magazine journalism from the E.W. Scripps School of Journalism. She works across a number of digital platforms, which include creating e-newsletters, writing articles and posting across social media sites. She also creates content for NCM's Portable Plants magazine, GPS World magazine and Geospatial Solutions. Her understanding of the ever-changing digital media world allows her to quickly grasp what a target audience desires and create content that is appealing and relevant for any client across any platform.Subscribe to Pit & Quarry
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