Rock Products

JUN 2018

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18 • ROCK products • June 2018 www.rockproducts.com FRAC SAND INSIDER Fairmount Santrol and Unimin Corp. announced that fol- lowing the close of their proposed merger, the combined company will be known as Covia Holdings Corp. and will trade on the New York Stock Exchange under the ticker symbol "CVIA." In addition, Fairmount Santrol, Unimin, SCR - Sibelco NV and the other parties to the merger agreement governing the terms of the merger have agreed to increase the number of Covia board members at closing from 11 directors to 13. The companies have named four additional, independent directors, including Chairman Richard Navarre, to complete the 13-member board. The two companies are pleased to introduce a new name chosen to signify the introduction of a transformational leader in proppant and industrial materials solutions. "Co" symbolizes the coming together of the two companies, and represents an overall commitment to collaboration and part- nership. "Via," the Latin word for "by way of," connotes the importance of how the company will operate, with a focus on responsibility, quality and reliability. Jenniffer Deckard, president and chief executive officer of Fairmount Santrol, who will serve as president and chief executive officer of Covia, said, "Covia will be a clear leader in our space, best positioned to serve customers in key industrial end-markets and every shale play, with a broad geographically diverse asset base and a full portfolio of high-performance solutions. Covia will further distinguish itself by the way in which it will lead." Upon closing of the merger, Covia's board of directors will consist of 13 directors: •  Seven directors selected by Unimin – Richard Navarre (who will be the chairman of the Covia board), Kurt Decat, Jean- Luc Deleersnyder, Michel Delloye, Jean-Pierre Labroue, Olivier Lambrechts and Jeffrey Scofield. •  Five directors selected by Fairmount Santrol – William Conway, Charles Fowler, Stephen Hadden, William Kelly and Matthew LeBaron. •  Jenniffer Deckard by virtue of serving as president and chief executive officer of Covia. "I have great respect for what Unimin and Fairmount Santrol have accomplished through their dedication to customers, communities, employees and other partners and look for- ward to continuing this commitment at Covia," said Navarre. Proppants represent approximately 55 percent of the com- bined companies' operations, while industrial materials covers about 45 percent. That includes 45 million tons of annual sand and minerals processing capacity, and 3 mil- lion tons of annual coating capacity. The merged company would have 1.3 billion tons of sand reserves. It will also have 96 distribution terminals and 18 train terminals to serve drilling areas. Unimin, Fairmount Santrol to Become Covia Preferred Proppants LLC announced that construction is underway on an in-basin frac sand mine and facility in Oak- wood, Okla. The mine is expected to come online in the third quarter of 2018 and the company is currently looking to fill approximately 100 positions including electricians, main- tenance technicians, heavy equipment operators, loaders, utility hands, plant operators, loadout operators and more. Preferred Sands was one of the first to file permits for a sand mine to serve the prolific SCOOP, STACK and other Midcontinent formations, further positioning the company as a first-mover toward in-basin sand. This announcement follows the recent opening of its mine in south Texas and expansion into west Texas. "As a leader in the frac sand business, we will continue to pioneer our national in-basin sand strategy in the SCOOP and STACK plays of Oklahoma," said Michael O'Neill, founder and Preferred Proppants Begins Building Oklahoma Frac Sand Plant

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