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WoodMac on the move: Lower 48 proppant supply and logistics

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12 September 2019

WoodMac on the move: Lower 48 proppant supply and logistics

Report summary

The annual Frac Sand Supply and Logistics conference was full of mixed spirits, given the changing proppant market dynamics. Oversupply continues to push prices to extremely low levels. Despite expectations for proppant demand growth, several mines will need to be idled or shut down to reduce supply. Many E&Ps stand to benefit, however. There’s potential to save over US$500,000 per well from shifting to in-basin sand and upwards of 30% lower costs on sand, logistics, and chemicals through direct sourcing.

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