In fact, amounts of sand used to enhance the flow of newly drilled wells is only growing. The problem is the availability of too much sand in the face of a drilling slowdown. As a proof of the lackluster drilling activity, Baker Hughes, in its latest report, has put the number of oil-directed rigs at 663 - the lowest since March 2017. The shift in customer strategy (resulting in capital expenditure cutbacks) has resulted in declining demand for oilfield services and put pressure on pricing. Consequently, the price charged by frack sand providers has plummeted from some $90 per ton to roughly $15-$20 recently. Add transportation costs and this translates into significant loss of cash. Will the Pain Continue? Capital expenditure cuts across the board, layoffs and plant shutdowns have been the order of the day. However, the market still remains oversupplied and prices are plumbing new depths.