This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Sand Supplier, Railroad To Build ND Terminal

MAKOTI, N.D. (AP) â¿¿ The Canadian Pacific railroad and a company that supplies sand for hydraulic fracturing in western North Dakota's oil-producing region intend to build a new rail terminal to allow for deliveries of sand, company officials said.

Hydraulic fracturing, or "fracking" for short, is used to tap into oil from North Dakota's Bakken shale rock formation. The process involves pumping water, sand and chemicals underground at high pressure to break up shale rock and allow the oil to flow.

Canadian Pacific Railway Ltd. and Smart Sand Inc., of Fairless Hills, Pa., announced Wednesday they will build a terminal near Makoti, about 40 miles southwest of Minot, to handle "unit trains" of sand. The companies hope to have the project completed early next year.

A unit train is a large number of train cars carrying a single product that goes from one point to another without taking on additional freight. Unit trains are also used to ship grain, coal and other commodities.

The planned Makoti terminal will be used to unload sand shipped from Smart Sand's sand mine in southwestern Wisconsin.

Both the mine and the proposed terminal are on the Canadian Pacific rail line. Each rail car can carry about 100 tons of sand, Canadian Pacific spokesman Ed Greenberg said Thursday.

A spokeswoman for Smart Sand declined to answer questions about the transaction Thursday beyond a prepared statement.

"We believe the new North Dakota transload facility offers a unique combination of cost effectiveness, reliability and product flexibility," said Charles Young, Smart Sand's president, in the statement.

Copyright 2011 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs