One of Source Energy's terminals near Eckville, Alberta. — Photo courtesy Source Energy
Source Energy Services Ltd. ("Source" or the "Company") (TSX: SHLE) is pleased to provide the following update on its acquisition of its second unit-train capable production facility in Wisconsin, its Canadian terminal expansion program, and the expansion of its wellsite solutions fleet.
Since its IPO in April of this year, Source has been actively working on expanding its operational footprint across its fully integrated value chain and is pleased to provide the following updates:
- The Blair, WI mine facility acquired on April 18, 2017 has now reached commercial production, consistent with the previously announced timing;
- Construction has commenced on the expansion of Source's Fox Creek, AB terminal. It is expected Source will land its first unit train of proppant at Fox Creek in the third quarter of 2017, and that the terminal will be fully completed during the fourth quarter of 2017.
- Development activities on Source's new Northern BC terminal and the expansion of its Edson, AB terminal are also progressing according to schedule;
- A new expansion is underway that will nearly double the storage capacity of Source's existing Wembley, AB terminal. This expansion is underpinned by customer demand and is in addition to other previously announced expansions;
- Source's third Sahara unit is currently under construction and expected to be earning revenue in the third quarter of 2017. Source expects to be earning revenue from its fourth Sahara unit during the fourth quarter of 2017.
Source is a fully integrated producer, supplier and distributor of high quality Northern White frac sand primarily to the Western Canadian Sedimentary Basin. Source provides its customers with a full end-to-end solution through its Wisconsin mine assets, processing facilities, unit train capable rail assets, strategically located terminal network and "last mile" logistics capabilities. Source's full service approach allows customers to rely on its logistics capabilities to increase reliability of supply and to ensure the timely delivery of their growing frac sand requirements. In addition to its transload terminal network and in-basin storage capabilities, Source has also developed Sahara, a proprietary wellsite mobile sand storage and handling system.
Forward-looking statements apply.
