This Week’s Market Buzz

• Emerge Energy Services, Fort Worth, Texas, said it is buying a small operation south of San Antonio to transform it into a much larger mine to serve the hydraulic fracturing needs of the oil sector. The mine, owned by Osburn Materials of San Antonio, produces sand for building materials, golf courses and baseball fields. Emerge is buying it for $20 million with plans to spend more to rapidly expand it for the oil and gas sector. Emerge borrowed $40 million to finance the acquisition and expansion, according to regulatory filings, said the San Antonio Express-News.

• According to News8000, about 60 people showed up to a Department of Natural Resources public hearing in Tomah, Wis., and many shared concerns over how a frac sand plant could negatively impact public health and the environment. However, the company proposing the project, Meteor Timber, said not only would the project be an economic boost, but it would help the environment as well. Meteor Timber’s $65 million proposed project includes a processing and loading plant along Interstate 94 in the town of Grant, Wis., near the Monroe and Jackson County line. “We’ve done an exhaustive search in the area of other sites and found no other viable sites for this project,” Meteor Timber spokesperson Evan Zeppos said.

• Source Energy Services Ltd closed its previously announced acquisition of Sand Products Wisconsin LLC for $45 million. Sand Products’ assets include a Northern White frac sand mine, processing facility and unit train capable load-out facility located near Blair, Wis. “This acquisition allows Source to significantly increase our Northern White frac sand production volumes,” said Brad Thomson, CEO of the company. “With a production capacity of 1.3 million metric tons per year, the Sand Products acquisition helps Source meet the growing demand for Northern White frac sand in the Western Canadian Sedimentary Basin with efficient, low cost production.”

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