Double Crown Resources Signs Letter of Intent for Long Term Lease of Premium Grade Fracturing Sand Source in Wisconsin
Combination of Premium Grade Fracturing Sand, New Processing Facilities and Advanced Transport System will Provide Highest Level of Oilfield Service and Supply
HENDERSON, Nev.--(BUSINESS WIRE)--July 18, 2014 -- Double Crown Resources, Inc. (OTCQB: DDCC), a fully reporting company, (hereinafter, "Double Crown") has signed a Letter of Intent (LOI) with a premium grade fracturing sand source in Wisconsin to create a long term property lease, production facility development plan and product marketing agreement. This new arrangement will provide Double Crown the rights to a large capacity of premium grade silica fracturing sand, a key mineral commodity in great demand today primarily for on-shore oilfield drilling operations employing hydraulic fracturing techniques. The mine's sand product is classified as Northern White which is some of the highest grade fracturing sand available anywhere in the world. The mining property has options for both rail and water barge shipments and is ideally located to service the strongly growing North American shale oilfield operations, especially those in the midwest Bakken region.
The Wisconsin fracturing sand source has two sand mining sites, referred to as "Plant 1" and "Plant 2" on its properties. In accordance with terms of the signed LOI, Double Crown will arrange funding for the necessary development of both sites. This development will include construction of wash and dry sand facilities at Plant 1 as well as design and building of a wet sand production facility at Plant 2. Double Crown will purchase, market and resell all dry finished (20/40, 30/50 and 40/70) sand product from Plant 1 and hydrosized wet (20/70) sand mined from both Plant 1 & Plant 2. This will not only complete our product line but will provide a source for the feedstock to supply our New Orleans fracturing sand drying facility. Expert personnel from the sand company's staff will oversee mine site development and facilities construction and also provide on-site management services. All product produced by Plant 2 will be shipped directly to Double Crown's processing plant & bulk terminal at New Orleans after this facility completes its planned renovations and upgrades.
Regarding the LOI and plans for the Wisconsin fracturing sand mining operation, Double Crown's President Allen E. Lopez stated, "We had already secured excellent sources of barite, guar gum and other vitally important oilfield drilling commodities but premium grade fracturing sand was the missing ingredient which we needed to complete our product line. The Northern White sand available from this mining property will allow Double Crown Resources to serve the full needs of its customers with nothing but the best quality materials. Once the Wisconsin facilities are producing fracturing sand product for shipment and Double Crown brings its New Orleans plant and multi-advantage, patent-pending aggregate material transport system into play, we will be able to provide a truly higher level of oilfield service to the petroleum industry that does not yet exist today."
About Double Crown Resources, Inc.
Double Crown Resources, Inc. is a natural resource exploration and development company holding a 100% interest in the Bateman gold & nickel prospect near Thunder Bay, Ontario, Canada. In addition, Double Crown is targeting new properties as well as oilfield supply & service projects that have the potential for near-term positive cash flow. The company is presently reviewing a number of new natural resource properties that are near to, or in production, located in North, South and Latin America. Multiple oilfield service projects are currently under active development. Double Crown Resources, Inc., originally founded in 2006, is based in Henderson, NV.
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