Frac sand miner U.S. Silica Holdings Inc. reported a smaller-than-expected quarterly loss on May 1 due to strong demand for silica sand from industries, including chemical and glass.
The company, which is among the biggest producers of commercial sand used for fracking, said industrials and specialty and SandBox units are expected to constitute a third of its profit this year. SandBox unit provides transportation and storage facilities for proppant used in fracking in the oil and gas industry.
U.S. Silica, which said demand and pricing for its Northern White sand began to strengthen in the first quarter, expects oil and gas sand volumes to grow low to mid-single digits sequentially.
The sales volume rose 17% to 4.830 million tons for the first quarter, while total sales revenue increased 2.6% to $378.8 million.
The Maryland-based company said net loss attributable to the company was $19.3 million, or 26 cents per share, in the quarter ended March 31, compared with a profit of $31.3 million, or 39 cents per share, a year earlier.
Excluding items, the company reported a loss of 8 cents per share. Analysts on an average had estimated a loss of 12 cents per share, according to data from Refinitiv.
Recommended Reading
Enverus: 1Q Upstream Deals Hit $51B, but Consolidation is Slowing
2024-04-23 - Oil and gas dealmaking continued at a high clip in the first quarter, especially in the Permian Basin. But a thinning list of potential takeout targets, and an invigorated Federal Trade Commission, are chilling the red-hot M&A market.
EIA: Permian, Bakken Associated Gas Growth Pressures NatGas Producers
2024-04-18 - Near-record associated gas volumes from U.S. oil basins continue to put pressure on dry gas producers, which are curtailing output and cutting rigs.
SilverBow Saga: Investor Urges E&P to Take Kimmeridge Deal
2024-03-21 - Kimmeridge’s proposal to combine Eagle Ford players Kimmeridge Texas Gas (KTG) and SilverBow Resources is gaining support from another large investor.
Mesa III Reloads in Haynesville with Mineral, Royalty Acquisition
2024-04-03 - After Mesa II sold its Haynesville Shale portfolio to Franco-Nevada for $125 million late last year, Mesa Royalties III is jumping back into Louisiana and East Texas, as well as the Permian Basin.
‘Monster’ Gas: Aethon’s 16,000-foot Dive in Haynesville West
2024-04-09 - Aethon Energy’s COO described challenges in the far western Haynesville stepout, while other operators opened their books on the latest in the legacy Haynesville at Hart Energy’s DUG GAS+ Conference and Expo in Shreveport, Louisiana.