Rock Products

APR 2019

Rock Products is the aggregates industry's leading source for market analysis and technology solutions, delivering critical content focusing on aggregates-processing equipment; operational efficiencies; management best practices; comprehensive market

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16 • ROCK products • April 2019 www.rockproducts.com FRAC SAND INSIDER Shale Support, a leading provider of frac sand and logistical solutions to the oil and gas proppant market, has announced a strategic partnership with Fracht Group, an international transportation company providing general and specialized logistics solu- tions. Fracht Group, founded in 1955, operates 107 offices worldwide in 40 countries including Argentina. This partnership allows Shale Support to supply the Vaca Muerta Shale in Argentina with the high-quality, frac sand produced by Shale Support under the brand Delta Pearl. The first ship- ment left the port of New Orleans on February 18 and is expected to arrive in country on March 10 for further trans- fer to Shale Support and the Fracht Group's co-managed distribution ware- house in Vaca Muerta. "Shale Support is thrilled to partner with Fracht Group, a renowned indus- try leader in logistics," said Kevin Bowen, co-founder and CEO. "Fracht Group's current worldwide footprint along with long-standing experience in exporting, makes the organization an ideal partner for Shale Support. With Fracht Group's current shipping business into South America and Shale Support's geographic proximity to the Gulf Coast, we are able to provide qual- ity proppant to Argentina without the traditional operational challenges of supply and logistics." "The port of Bahia Blanca is a natural fit for us, since we are currently moving heavy oil field equipment for custom- ers through the port and into Vaca Muerta," said Reiner Wiederkehr, CEO Fracht USA. "Adding consumables like sand and chemicals with Shale Support is a natural extension of that business for us. A long-term key to the develop- ment of the Vaca Muerta shale play is to help the operators bring down their consumables cost and that requires a transition to handling these products in bulk, and Shale Support has a success- ful track record in building and running those types of facilities. Shale Support's Southton Rail Yard Transload facility is a great example of what can develop in Vaca Muerta." This ongoing partnership will allow Shale Support and the Fracht Group to remain committed to the development of the Vaca Muerta Shale and will help to provide a long-term investment for the region. Industry Analyst Covers Trends at Recent Conferences Joel Schneyer, managing director at Capstone Headwaters in Denver, pre- sented at the IQ Hub North American Shale Water Conference in Houston. Schneyer noted that: • As the industry has graduated to oil and gas manufacturing, the focus has shifted to process management and cost control. •  The reuse of frac water to preserve and protect limited fresh water supplies has had a domino effect of forcing the adoption of less viscous, slick water fracs, inferior quality finer grained sand which is locally available and cheaper, at the expense of more distant, more expensive, coarser grained, Northern White Sand that displays higher conductivity. • A look at recent seismic activity near Pecos, Texas, strongly suggests that oilfield saltwater disposal may be challenged going forward to keep pace with wellfield injection rates on southwest side of the Permian Basin (i.e. the Delaware Basin). • The industry needs to think outside the box for dealing with the increas- ing volumes of saltwater that needs a home. •  The Ecovap, low energy, solar evap- oration suite might be one of a number of new solutions to consider as alternative to deep well injection. Schneyer also presented at the North American Frac Sand Conference & Exhi- bition in Houston. The main discussion points of his presentation were: •  The tsunami of regional sand mine buildouts has created a massive over- hang of sand supply. •  A look at well completion science that strongly suggests higher conductive proppants allow more hydrocar- bons to be produced which results in higher EUR's. •  The sourcing of frac sand from local mines and eliminating rail and trans-loading points in the supply chain was a major driver to reduce proppant and well completion costs. But cost reduction does not always directly correlate with economic returns. Sometimes you get what you pay for. Schneyer can be reached at jschneyer@ capstoneheadwaters.com. Shale Support Strikes Partnership with Fracht Group

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