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14 • ROCK products • August 2016 www.rockproducts.com FRAC SAND INSIDER The Oilfield Technology Group (OTG) of Hexion Inc., Colum- bus, Ohio, announced the release of new resin-coated proppants that are produced in Canada. Hexion's True North proppants are a curable resin-coated sand available in 20/40 and 30/50 mesh sizes. The True North resin system is applied to Canadian frac sand to pro- vide an economical resin-coated proppant for the region. These new proppants incorporate Hexion's Stress Bond technology. They bond in the fracture with closure stress, providing all the benefits of a curable resin-coated sand such as increased fracture flow capacity and proppant flowback control along with proppant fines reduction. There is also a low-temperature version of the product available. True North L proppants are specifically designed for low tem- perature reservoirs. Additionally, the resin system of these proppants offers reduced dust generation during the pneumatic transfer and conveying process compared to uncoated frac sand, according to the company. True North proppants can also reduce the amount of respirable silica to levels below the new U.S. Department of Labor's Occupational Safety and Health Administration (OSHA) and existing Canadian limits. These reductions help improve the health and safety of workers on location. "These new proppants add an economical offering to our Canadian product line that still provide the benefits of cur- able resin-coated sand," said Jerry Kurinsky, senior vice president and general manager at OTG. "They are already being produced in Hexion's proppant plant located in Stur- geon County, north of Fort Saskatchewan, Alberta, Canada." Technological innovations and Hexion's introduction of enhanced materials have expanded the use of resin-coated proppants into unconventional reservoirs that feature complex and challenging geological formations. Hexion's experienced personnel, with their years of hydraulic frac- turing knowledge and expertise, continue to bring advanced proppants to the industry, the company stated. U.S. Silica to Acquire Regional Frac Sand Producer U.S. Silica Holdings Inc. announced an agreement to acquire a leading regional sand producer for approximately $210 million. The acquisition of the NBR Sand unit of the privately owned New Birmingham Inc. is expected to close in August 2016, subject to certain adjustments at closing. The trans- action will be funded using a combination of cash on hand (57 percent) and restricted stock (43 percent). The business, located in Tyler, Texas, operates a single sand mine and plant that has the capacity to produce just over two million tons of fine-grade frac sand per year. The east Texas facility currently sells its products FOB the plant to customers that are primarily drilling and completing wells in the nearby basins. Once completely integrated into U.S. Silica's market-leading operating, sales and distribution plat- forms, the company anticipates the acquisition is expected to generate EPS accretion of $0.20 to $0.30 in 2017. Bryan Shinn, president and chief executive officer of U.S. Silica, said, "This accretive acquisition adds to our capacity and product offering for the growing regional sands market, increasing our ability to effectively satisfy our customer's needs. We expect to unlock the full potential of this excel- lent mine by utilizing our strong customer relationships and powerful distribution network. We believe demand for regional sands will continue to grow as a cost effective proppant option for many completions and this is another important step to position U.S. Silica as a leader in the regional sand market." Shinn added, "Our team continues to work diligently to identify and close additional attractive, highly accretive acquisitions that are aligned with our corporate strategy. We have a strong pipeline of opportunities that will help our customers meet their goals in an environment with potentially surging sand proppant demand as energy mar- kets recover." The NBR Sand unit produces 40/70 mesh and 100 mesh silica sand. The low-cost, state-of-the-art facility is on approximately 1,400 acres near Interstate 20. It includes 12 storage silos with capacity of more than 10,000 tons and five load-out lanes. The property has more than 20 years of quality reserves. New Proppants Being Produced in Canada