Texas firm backing Chippewa Falls sand plant: Investment could spur construction

May 26--CHIPPEWA FALLS -- A major financial investor has been lined up for the sand processing plant that is proposed for the northeast corner of the city.

Tom Hubbard, a lead engineer in design and construction of the plant, said Texas-based EOG Resources agreed within the past two weeks to invest in the Canadian Sand & Proppants plant. Canadian Sand officials couldn't be reached for comment, and no mention of the deal has been posted on the company's website.

According to the EOG Resources website, the company "is one of the largest independent oil and natural gas companies in the United States with proved reserves in the United States, Canada, Trinidad, the United Kingdom and China."

Hubbard said the plan still calls for the plant to cost between $45 million and $50 million.

"Basically, they've got an investor in place, so things are probably going to start moving now," Hubbard said. "We've removed topsoil, and we're waiting for final word from the investor to go (forward)."

Hubbard said he'll know more today when he meets with top CSP officials about construction plans.

The company announced plans for the plant in May 2008. However, several city residents have spoken against the project, voicing concerns about how a sand processing plant could affect air and water quality, property values and traffic.

Construction at the plant site began earlier this month. Opponents of the plan have attended City Council meetings and asked the city to pull the company's special use permit until more studies can be completed about the effect of the silica dust from the plant.

Canadian Sand & Proppants already owns 93 acres for the plant on a site that is zoned for heavy industrial use.

The company plans to mine sand in the town of Howard, west of Chippewa Falls, and haul the sand to the plant, where it would be washed and shipped on rail lines. The sand would be used in the process of extracting petroleum.

Vetter can be reached at 715-723-0303 or chris.vetter@ecpc.com

By the Numbers

Canadian Sand & Proppants plans to mine sand on 130 acres in the town of Howard, six miles west of Tilden. The land would be mined in phases over 50 years.

Company officials estimate 600,000 tons of sand would be mined. Up to 250 trucks of sand a day could be hauled to the processing plant. The venture could create as many as 55 jobs

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