Preferred Sands Introduces Preferred Pipeline, A Full-Service Distribution Network For The Oil And Gas Industry

The frac sand leader launches a new, consolidated supply chain distribution system designed to meet all the needs of suppliers and customers.

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Preferred Sands

Jan 28, 2013, 10:00 ET

RADNOR, Pa., Jan. 28, 2013 /PRNewswire/ -- Preferred Sands, one of North America's largest frac sand and proppant manufacturers, today announced the launch of Preferred Pipeline, a first-of-its-kind, full-service bulk proppant distribution system available to myriad industry suppliers. Preferred Pipeline leverages Preferred Sands' extensive rail and trucking network to provide an efficient, centralized supply chain structure, which is innovative in this industry. By offering customized distribution and product fulfillment solutions, Preferred Pipeline immediately establishes a supplier's presence at well sites and can meet all the needs for end users across North America.

"Preferred Pipeline was born from a growing need for a consolidated industry distribution network," said Michael O'Neill, Founder and CEO of Preferred Sands. "As the energy market has grown and matured, the supply chain has remained fractured, with proppant companies controlling their own distribution network. This has caused a growing number of inefficiencies and skyrocketing fees. Preferred Pipeline is focused on offering customizable, turnkey solutions that will allow our customers to minimize significant rail car, trucking, and terminal costs. This approach will also eliminate demurrage and the need for redundant inventories at multiple locations, while reaching a broader market and gaining greater customer exposure."

Through its partnerships with best-in-class industry suppliers and terminal owners and operators, Preferred Pipeline is creating a marketplace that offers end users the industry's most extensive, high-quality product portfolio. Preferred Pipeline is the only network enabling third-party suppliers to efficiently and rapidly distribute materials to well sites. Preferred Pipeline is unique in its capability to distribute products across all of North America, providing same-day product availability in every sub basin in the United States and Canada.

"This is about creating cost savings through efficiency," said O'Neill. "Our customers need 24-hour access – at a moment's notice – to our products and our distribution network for their well sites. Tomorrow or next week simply isn't good enough. By replacing the inefficient logistics networks that currently exist in our industry, Preferred Pipeline offers critical accessibility and allows our customers to be even more competitive in a market with ever-shrinking lead times."

For more information about Preferred Pipeline, please contact Chris Shaffer, [email protected] or call 484.684.1268.

ABOUT PREFERRED SANDS:
Preferred Sands, LLC., headquartered in Radnor, PA, is one of North America's largest manufacturers and providers of frac sand for oil and natural gas companies in the hydraulic fracturing industry. Launched in 2007 Preferred Sands is the market's only commercial manufacturer with an available green technology in resin-coated sand. With this innovative product development and reclamation projects, the company is not only committed to the protection of the environment but also the health and safety of the communities it serves. With strategic plant locations in Arizona, Minnesota, Nebraska, Wisconsin and Canada, the company has core competencies in logistic transportation. Preferred Sands, LLC. has been named one of Pennsylvania's "Best Places to Work." CEO, Michael O'Neill, has been named Ernst & Young's Entrepreneur of the Year® in Energy, Cleantech and Natural Resources (2012) and SmartCEO Magazine's CEO of the Year (2012).