Dakota Plains Holdings, and UNIMIN Corporationtoday jointly announced a frac sand storage and transloading facility to be built at the Pioneer Terminal in New Town (Mountrail County), North Dakota.So, my abbreviation for crude-oil-by-rail is CBR; I guess I have to add FSBR. Maybe for "symmetry" I will simply refer to it as SBR.
The new facility will have a throughput capacity of approximately 750,000 tons per year.
Construction is now underway and operations are expected to commence by January 2014.
The new terminal will supply energy service companies with frac sands sourced directly from UNIMIN's newest and largest proppant production facility in Tunnel City, Wisconsin. The fracturing sands will be transported on Canadian Pacific's rail network.
Dakota Plains will provide a land lease to UNIMIN of up to 30 years, and Dakota Petroleum Transport Solutions, LLC, a joint venture in which Dakota Plains holds a 50% membership interest, will provide fee-based transloading services. The facility will include 8,000 tons of fixed storage, twin high-speed truck loadouts, and track capacity for 70 loaded railcars.
Several story lines are obvious, but that's all I'm going to say about this right now.