Ohio-based Hexion Specialty Chemicals, Inc., announced that its Oilfield Technology Group (OTG) is expanding its North American production and distribution network to meet demand for resin coated proppants used to enhance extraction of oil and natural gas. Resin coated proppants are used in a process called "hydraulic fracturing" to help optimize the yields from working oil and gas wells by maximizing flow capacity from the oil or gas formation to the wellhead.
The company has completed construction of a resin coated proppant production facility at its existing distribution site in Oklahoma City, Oklahoma. The 100 mln pounds per annum proppant materials plant began production in January. The plant will manufacture Hexion's proprietary new line of ValuBondTM resin coated proppants. The company is in the process of expanding operations at an existing distribution site located in Rock Springs, Wyoming by increasing track capacity five fold to service the Rockies. This site will be operational in late spring, the company says. Hexion also is finalizing arrangements to commission an additional manufacturing facility in Cleburne, Texas, to further expand its supply chain network. The OTG Vice President Jerry Borges said, "We are evaluating further expansion of our operations to serve our broad continental customer base not only in this zone, but in other US production zones and Canada," The company continues to assess marketplace opportunities in Russia and other key energy production regions, he added.