Gordon Brothers, the global advisory, restructuring and investment firm, has been engaged to sell the assets and plant equipment of CSI Sands Ltd., located in Arcadia, Wis., on behalf of the secured lender, Wisconsin Bank & Trust.
CSI Sands, formerly part of Canada Silica Industries and the LaPrairie Group, specializes in mining and processing high-quality silica proppant and foundry sand for the hydraulic fracturing and construction industries.
The property features a 130-tph wet plant, a 200-tph dry plant, as well as a portfolio of more than 100 units of associated support equipment. These include radial stackers, portable belt conveyors, vibratory and separator screens, air compressors, slurry pumps, bucket elevators, tanks, silos, storage containers and other associated plant machinery and equipment from manufacturers including Deister, McLanahan, American Bin & Conveyor, Peerless, Rotex, Mettler-Toledo, Caterpillar and Kubota.
“These assets are high quality and are expected to sell quickly,” said Dennis Bolton, managing director, commercial & industrial at Gordon Brothers. “This offering presents an opportunity for ready-made, fit for purpose facilities and equipment to be purchased and put straight to work either as a complete plant or as supplemental capacity to existing facilities.”
Earlier this year, Gordon reported:
• Given decreased demand, frac sand prices are expected to continue to decline after a significant drop in 2019; Frac sand pricing from the mines is expected to range in the $20- to 25-per-ton mark in 2020.
• It is possible that Northern White sand mining could decline by as much as 10 to 15 million tons in 2020 in response to increased market penetration from in-basin brown sand and decreased demand due to declining oil and gas prices.
• Crude oil prices have seen a rapid decline since early March 2020.