New frac sand mine planned for Oklahoma

A new 1.5 million ton a year frac sand mine is being planned for Oklahoma.

The mine will be developed by Vista Proppants and Logistics of Fort Worth in an area northeast of Fay, Ok.

The company has bought a 1,150 acre site and when operational the mine will have a capacity to produce between a million and 1.5 million tons of sand a year to be used in hydraulic fracturing or fracking, the process of pumping a mix of water, chemicals and sand underground to tap shale oil and gas reserves.

The mine will serve the region's SCOOP and STACK oil and gas plays. More companies have been entering the locally-sourced frac sand market as oil and gas drillers continue to seek savings as they use more of the material in fracking operations.

RELATED: Midwest frac sand mines idled due to weakening demand

A slowdown in West Texas due to pipeline constraints and the growth of sand mines nearer to oil and gas shale fields has forced some mines to idle their operations recently as production outstrips demand.

Vista also said its West Texas sand mine in Winkler County was approved in Aug. to expand from 3 million tons a year to 5 million tons a year.

RELATED: Two companies sign deal to ship West Texas oil by rail

The company signed a deal with JupiterMLP in August to ship crude oil by rail out of West Texas' Permian Basin.