You have probably heard about the Eagleford oil & gas shale play -- and the economic growth in south central Texas. Above is a key metric -- Horizontal drilling rig counts and Frack sand consumed to support the oil & gas development. Frack sand is used to hold open the fracture networks that allow the hydrocarbon fluids to flow to the surface. While this sand is highly specialized, the growth curve is a leading indicator for a whole pyramid of downstream economic factors.
Significance for Real Estate Development Restarts? Concomitant and a natural follow-along is the need for quarry rock, construction materials and road base. Rough metrics from the USGS indicate that consumption of natural aggregates is 8-10 tons per year, per person. With anticipated TX population growth, this translates into significant opportunity for new "greenfield" quarry projects -- and feedstocks for project development.
[1] See USGS Report:
Natural Aggregates - Americas Future
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