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Fairmount Santrol signs lease for 165M tons of Permian Basin sand reserves

Published 07/24/2017, 08:59 AM
© Reuters.  Fairmount Santrol signs lease for 165M tons of Permian Basin sand reserves
FMSA
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  • Fairmount Santrol (NYSE:FMSA) +2.9% premarket following news it signed a 40-year lease for more than 3K acres in the Permian Basin containing reserves of ~165M tons of fine-grade sand.
  • FMSA plans to build a mine and processing facility on the leased land with annual production capacity of ~3M tons; it expects sand production by the Q2 2018.
  • FMSA also says it will reopen its Shakopee, Minn., mine and sand processing plant, due to increased demand; the facility will have annual capacity of ~700K tons, and the Company expects the plant to be operational by Q3.
  • Now read: Trevali Mining - A Growing Miner As Zinc Goes Into Deficit


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