U.S. Silica Acquires Industrial Manufacturing Facility
KATY, Texas, Jan. 7, 2019 /PRNewswire/ -- U.S. Silica Holdings, Inc. (NYSE: SLCA) said today that is has purchased a former ceramic proppant facility in Millen, GA that will be converted into manufacturing high-end products for the Company's Industrial and Specialties Products (ISP) business.
"The acquisition of the Millen facility will enable us to expand our capacity to meet growing customer demand for some of ISP's most successful and most profitable new products,'' said Bryan Shinn, president and chief executive officer. "Adding this new capability will accelerate new product launches, improve product quality and facilitate important product customizations required by our industrial customers," he added.
The Company is in the initial stages of customer trials and expects to begin full production at the plant in the second half of this year.
U.S. Silica's Industrial and Specialty Products unit has a robust pipeline of new, high-margin, high-performance products in various stages of development. The Company anticipates that these new products will continue to drive ISP's profitability, which has increased at a 10% CAGR over the last five years.
Forward-looking Statements
Certain statements in this press release are "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and speak only as of this date. Forward-looking statements made include any statement that does not directly relate to any historical or current fact and may include, but are not limited to, statements regarding U.S. Silica's growth opportunities, strategy, future financial results, forecasts, projections, plans and capital expenditures, and the commercial silica industry. Forward-looking statements are based on our current expectations and assumptions, which may not prove to be accurate. These statements are not guarantees and are subject to risks, uncertainties and changes in circumstances that are difficult to predict. Many factors could cause actual results to differ materially and adversely from these forward-looking statements. Among these factors are: (1) fluctuations in demand for commercial silica; (2) the cyclical nature of our customers' businesses; (3) operating risks that are beyond our control; (4) federal, state and local legislative and regulatory initiatives relating to hydraulic fracturing; (5) our ability to integrate the acquired business; (6) loss of, or reduction in, business from our largest customers; (7) increasing costs or a lack of dependability or availability of transportation services or infrastructure; (8) our substantial indebtedness and pension obligations; (9) our ability to attract and retain key personnel; (10) silica-related health issues and corresponding litigation; (11) seasonal and severe weather conditions; and (12) extensive and evolving environmental, mining, health and safety, licensing, reclamation and other regulation (and changes in their enforcement or interpretation). Additional information concerning these and other factors can be found in U.S. Silica's filings with the Securities and Exchange Commission. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.
About U.S. Silica
U.S. Silica Holdings, Inc. is a performance materials company and is a member of the Russell 2000. The Company is a leading producer of commercial silica used in the oil and gas industry, and in a wide range of industrial applications. Wholly owned EP Minerals, a U.S. Silica Company, is an industry leader in the production of products derived from diatomaceous earth, perlite, engineered clays, and non-activated clays. Over its 119-year history, U.S. Silica has developed core competencies in mining, processing, logistics and materials science that enable it to produce and cost-effectively deliver over 1,500 diversified products to customers across our end markets. The Company currently operates over 26 mines and production facilities. The Company is headquartered in Katy, Texas and has offices in Frederick, Maryland and Chicago, Illinois.
U.S. Silica Holdings, Inc.
Michael Lawson
Vice President of Investor Relations and Corporate Communications
(301) 682-0304
lawsonm@ussilica.com
Nick Shaver
Investor Relations Manager
281-394-9630
shavern@ussilica.com
View original content to download multimedia:http://www.prnewswire.com/news-releases/us-silica-acquires-industrial-manufacturing-facility-300773412.html
SOURCE U.S. Silica Holdings, Inc.
