CALGARY, A.B. — Source Energy Services Ltd. has acquired two large frac sand terminals in Chetwynd, and Fort Nelson, and exploration rights to more than 3,600 acres of land in the Peace River Valley in Alberta.
Source said that thee U.S.$80 million acquisition will increase its expected 2018 Northern White proppant production capacity to 4.8 million metric tonnes per year, including an additional one million metric tonnes per year from the Blair II Facility in Wisconsin.
Source Energy’s President and CEO Brad Thomson stated, “The Acquisition provides Source with a package of assets that nicely complements our existing facilities and immediately enables us to increase the level of service we provide to our customers. From the production facilities at Blair to the rail assets and the western Canadian terminals, the entire Preferred package fits like a glove. With this acquisition, we’ll continue to meet the growing demand we’re witnessing in the WCSB. We’re excited about the Acquisition and the opportunity to work with the employees that will be joining us from Preferred.”
The acquisition of the two frac sand terminals in Chetwynd, and Fort Nelson collectively add more than 1 million metric tonnes to the company’s annual throughput capacity.