Company That Hauls Frac Sand To Lay Off 55 Workers Due To Slowing Demand

A company that hauls frac sand in Chippewa County says it’s laying off up to 55 employees because of slowing demand for sand.

Chippewa Sand Transport, which hauls sand for mining company EOG Resources in Chippewa Falls, told the Department of Workforce Development it’s laying off up to 55 employees because of decreased demand for sand hauling services.

Rich Budinger, the president of the Wisconsin Industrial Sand Association, said the layoffs are not emblematic of the sand industry. However, he said U.S. drilling operations are changing.

“The exploration growth has definitely slowed down,” said Budinger. “Some people can say that the growth has decreased quite a bit, if not, growth has stopped.”

Budinger said oil production is still keeping pace carrying with it a demand for Wisconsin sand. The layoffs at Chippewa Sand Transport will take effect by May 18.