Houston, Texas - September 9, 2014 - Hi-Crush Proppants LLC, or "Hi-Crush", today announced the first unit train shipment of frac sand from its recently-completed Whitehall facility near Whitehall, Wisconsin, which arrived at its destination yesterday. The unit train, which consisted of 80 railcars, arrived at a customer's frac sand terminal in the Niobrara shale basin, and was Hi-Crush's first shipment using the North American rail network of CN (TSX: CNR) (NYSE: CNI).. The Whitehall mine and processing facility is Hi-Crush's third facility in Wisconsin. Hi-Crush is the sponsor of Hi-Crush Partners LP, or Hi-Crush Partners (NYSE: HCLP), an integrated producer, transporter, marketer and distributor of high-quality monocrystalline sand.
First unit train leaving the Whitehall facility on September 3, 2014.
"We're pleased to announce that we not only completed Whitehall ahead of schedule, but were able to start operations ahead of schedule as well," said Jay Alston, Chief Operating Officer of Hi-Crush. "Our efficiency is a testament to our employees, our rail network relationships, and our broad-based community support. The Whitehall facility is our third and largest facility, with 2.6 million tons of capacity per year. With Whitehall completed and operational, we are now focused on bringing forward our fourth plant, which is currently in the development phase."
JJ Ruest, CN Executive Vice-President and Chief Marketing Officer, said: "CN is pleased to play a key role in this milestone for Hi-Crush. CN is focused on providing supply chain solutions that enhance the competitiveness of its customers and expand their market reach. CN's deployment of unit train service for Hi-Crush frac sand shipments will improve origin-to-destination transit times and introduce new efficiencies into its supply chain."
Hi-Crush is a producer of high-quality monocrystalline sand, a specialized mineral that is used as a "proppant" (frac sand) to enhance the recovery rates of hydrocarbons from oil and natural gas wells. Hi-Crush also owns, operates, acquires and develops frac sand reserves and related processing and transportation facilities. Hi-Crush's reserves consist of "Northern White" sand, a resource that exists predominately in Wisconsin and limited portions of the upper Midwest region of the United States. For more information, visit www.hicrush.com.
About Hi-Crush Partners LP
Hi-Crush Partners LP, a publicly traded partnership (NYSE: HCLP), is an integrated producer, transporter, marketer and distributor of high-quality monocrystalline sand, a specialized mineral that is used as a "proppant" (frac sand) to enhance the recovery rates of hydrocarbons from oil and natural gas wells. Hi-Crush Partners LP's reserves, which are located in Wyeville, Wisconsin and Augusta, Wisconsin, consist of "Northern White" sand, a resource that exists predominately in Wisconsin and limited portions of the upper Midwest region of the United States. Hi-Crush Partners owns and operates the largest distribution network in the Marcellus and Utica shales, and has distribution capabilities throughout North America. For more information, visit www.hicrushpartners.com.
CN transports approximately C$250 billion worth of goods annually for a wide range of business sectors, ranging from resource products to manufactured products to consumer goods, across a rail network spanning Canada and mid-America. CN - Canadian National Railway Company, along with its operating railway subsidiaries -- serves the cities and ports of Vancouver, Prince Rupert, B.C., Montreal, Halifax, New Orleans, and Mobile, Ala., and the metropolitan areas of Toronto, Edmonton, Winnipeg, Calgary, Chicago, Memphis, Detroit, Duluth, Minn./Superior, Wis., and Jackson, Miss., with connections to all points in North America.
Some of the information in this news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Forward-looking statements give our current expectations, and contain projections of results of operations or of financial condition, or forecasts of future events. Words such as "may," "assume," "forecast," "position," "predict," "strategy," "expect," "intend," "plan," "estimate," "anticipate," "could," "believe," "project," "budget," "potential," or "continue," and similar expressions are used to identify forward-looking statements. They can be affected by assumptions used or by known or unknown risks or uncertainties. Consequently, no forward-looking statements can be guaranteed. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in Hi-Crush Partner's reports filed with the Securities and Exchange Commission ("SEC"), including those described under 1A of Hi-Crush Partner's Form 10-K for the year ended December 31, 2013 and any subsequently filed 10-Q. Actual results may vary materially. You are cautioned not to place undue reliance on any forward-looking statements. You should also understand that it is not possible to predict or identify all such factors and should not consider the risk factors in our reports filed with the SEC or the following list to be a complete statement of all potential risks and uncertainties. Factors that could cause our actual results to differ materially from the results contemplated by such forward-looking statements include: the volume of frac sand we are able to sell; the price at which we are able to sell frac sand; the outcome of any pending litigation; changes in the price and availability of natural gas or electricity; changes in prevailing economic conditions; and difficulty collecting receivables. All forward-looking statements are expressly qualified in their entirety by the foregoing cautionary statements. Hi-Crush and Hi-Crush Partner's forward-looking statements speak only as of the date made and Hi-Crush and Hi-Crush Partners undertake no obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.
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