THE WOODLANDS, Texas, March 20, 2018 (GLOBE NEWSWIRE) -- Smart Sand, Inc. (NASDAQ:SND) announced today that, in anticipation of its recent acquisition of the rights to a unit train capable transloading terminal in Van Hook, North Dakota, it entered into a multi-year Master Product Purchase Agreement (the “Agreement”) with a large exploration and production company. The products will be sold through the newly acquired transloading terminal, and the obligations under the Agreement will commence after such facility is operational, which we expect will be in April 2018. The Agreement is structured as a take-or-pay agreement.
“We are excited to have an anchor contracted customer for our new Van Hook transloading terminal located in the Bakken,” stated Charles Young, Smart Sand’s CEO. “We continue to believe that, over the long term, many customers want a sand service company that can not only provide high quality sand, but also offer efficient and cost-effective solutions for delivering that sand to the wellhead. The addition of our unit-train capable Van Hook terminal, along with our new customer relationship, is Smart Sand’s first step in executing its initiative to expand its geographic and product delivery footprint.”
All statements in this news release other than statements of historical facts are forward-looking statements that contain our current expectations about our future results. We have attempted to identify any forward-looking statements by using words such as "expect," “will,” “estimate,” “believe” and other similar expressions. Although we believe that the expectations reflected, and the assumptions or bases underlying our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause our actual results, events or financial positions to differ materially from those included within or implied by such forward-looking statements.
Factors that could cause our actual results to differ materially from the results contemplated by such forward-looking statements include, but are not limited to, fluctuations in product demand, regulatory changes, adverse weather conditions, increased fuel prices, higher transportation costs, access to capital, increased competition, changes in economic or political conditions, and such other factors discussed or referenced in the “Risk Factors” section of our Form 10-K, filed with the U.S. Securities and Exchange Commission on March 15, 2018.
You should not place undue reliance on our forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, unless required by law.
About Smart Sand
Smart Sand is a pure-play, low-cost producer of high-quality Northern White raw frac sand. We sell our products primarily to oil and natural gas exploration and production companies and oilfield service companies. We own and operate a raw frac sand mine and processing facility near Oakdale, Wisconsin, at which we currently have approximately 321 million tons of proven recoverable reserves. We currently have 3.3 million tons of annual processing capacity and are expanding our annual nameplate processing capacity to 5.5 million tons. We expect to complete our capacity expansion in the second quarter of 2018. For more information, please visit www.smartsand.com.
Source:Smart Sand, Inc.