Hi-Crush Inc. has entered into an agreement with Pioneer Natural Resources to deploy its sixth mobile mining unit to supply frac sand for use in Midland Basin well completions, the company said in a March 21 press release.
The deployment is Hi-Crush’s second with Pioneer following the successful commencement of operations at OnCore #4 in September 2022, and Hi-Crush’s fifth OnCore deployment within the Midland Basin.
OnCore Processing LLC is a wholly owned subsidiary of Hi-Crush that operates the mobile mining units to produce damp sand for use in operators’ well completions.
By moving the source of frac sand supply “in-field” to within close proximity of operators’ acreage and well sites, and by eliminating the process and equipment necessary to fully dry the sand produced at each unit, OnCore drives a significant reduction in its clients’ well costs while delivering meaningful environmental and safety benefits, Hi-Crush said. The reduced distance between the mine site and the well site also eliminates natural gas-fired dryers traditionally used to produce dry sand. OnCore mobile units also reduce transportation costs and trucks needed to supply each well, which Hi-Crush said lowers greenhouse gas emissions through fewer miles driven and less natural gas used during the production process.
Hi-Crush CEO Dirk Hallen said the company continues to enhance its position as the clear industry leader in in-field mining and damp sand production and logistics.
“We believe Pioneer’s desire to quickly move ahead with another OnCore unit is a testament to the end-to-end field execution they have experienced from both OnCore’s mining and Pronghorn’s logistics and wellsite teams, as well as the quantifiable savings in completions costs and emissions they have enjoyed,” Hallen said.
Recommended Reading
The Jones Act: An Old Law on a Voyage to Nowhere
2024-04-12 - Keeping up with the Jones Act is a burden for the energy industry, but efforts to repeal the 104-year-old law may be dead in the water.
Global Energy Watch: Corpus Christi Earns Designation as America's Top Energy Port
2024-02-06 - The Port of Corpus Christi began operations in 1926. Strategically located near major Texas oil and gas production, the port is now the U.S.’ largest energy export gateway, with the Permian Basin in particular a key beneficiary.
Hirs: LNG Plan is a Global Fail
2024-03-13 - Only by expanding U.S. LNG output can we provide the certainty that customers require to build new gas power plants, says Ed Hirs.
CERAWeek: Energy Secretary Defends LNG Pause Amid Industry Outcry
2024-03-18 - U.S. Energy Secretary Jennifer Granholm said she expects the review of LNG exports to be in the “rearview mirror” by next year.
The Problem with the Pause: US LNG Trade Gets Political
2024-02-13 - Industry leaders worry that the DOE’s suspension of approvals for LNG projects will persuade global customers to seek other suppliers, wreaking havoc on energy security.