Victory Nickel Announces Restart of Dry Plant at Seven Persons Frac Sand Operation,
Toronto, Ontario (FSCwire) - Victory Nickel Inc. (“Victory Nickel” or the “Company”) (CSE: NI, www.victorynickel.ca) today announced that due to increasing market demand for frac sand it has restarted the dry plant at its Seven Persons frac sand facility near Medicine Hat, Alberta (the “7P Plant”).
“We are beginning to see an increase in sand demand from both our existing customer base and new customers,” said Ken Murdock, CEO of the Company’s subsidiary Victory Silica Ltd. “As stated in our news release of February 23 we have been selling frac sand out of inventory at the 7P Plant to meet demand in addition to introducing a direct-to-customer shipping program out of Wisconsin.”
The Company is also looking at new growth opportunities that will allow it to expand and diversify its footprint in the growing North American frac sand market. According to New York based investment bank Cowen and Co., the US land rig count showed sequential growth of 24% in the first quarter of 2017 (up to March 17), following on a 24% increase during the fourth quarter of 2016. This continuing growth in rig count combined with increased high-intensity fracking that uses very high volumes of sand in a well completion leads Denver-based investment bank Headwaters MB to project that US proppant demand will increase to 50 million tons in 2017 from about 30 million tons in 2016.
About Victory Nickel
Victory Nickel Inc. is a Canadian company with four sulphide nickel deposits containing significant NI 43-101-compliant nickel resources and a significant frac sand resource at its Minago project. Victory Nickel is focused on becoming a mid-tier nickel producer by developing its existing properties, Minago, Mel and Lynn Lake (currently under option to Corazon Mining Ltd.) in Manitoba, and Lac Rocher in northwestern Québec. Through a wholly-owned subsidiary, Victory Silica Ltd., Victory Nickel has established itself in the frac sand business at its 7P Plant frac sand processing facility in Seven Persons Alberta prior to commencing frac sand production and sales from Minago.
Contact:
| Victory Nickel Inc. | ||
| René Galipeau or Sean Stokes | ||
| Phone: 416.363.8527 | ||
| Fax: 416.626.0890 | ||
| Email: admin@victorynickel.ca | ||
| www.victorynickel.ca |
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/Victory03212017.pdf
Source: Victory Nickel Inc. (CSE:NI)
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