LATEST GUAR NEWS


6 comments:

  1. http://lubbockonline.com/business/2013-03-20/local-plant-product-will-assist-fracking-process#.UVJb2xwwrLk


    Local plant product will assist in fracking process

    Guar gum is used in ice cream, salad dressings and fracking.

    Spenko Solutions is a new company in Brownfield, which produces a fracking gel from guar gum. In simple terms, fracking is achieved by forcing a liquid into shale formations deep below the surface. A fracking sand is injected into the cracks to keep them open, so natural gas and petroleum can be extracted. A fracking gel, like the one produced by Spenko Solutions, acts as a lubricating agent to get the sand into the cracks.

    The company has to import its supply of guar gum from India. But, the company chose the location in Brownfield because in the next couple of months there will be a local supply. West Texas Guar will soon be able to provide the company with the guar gum it needs. Guar gum is a product of the guar bean, a product widely fed to cattle.

    The website for West Texas Guar states “guar” means “cow food” in Hindi. The company was founded by Klint Forbes in 1998 as a response to boll weevil infestations. The relationship Spenko Solutions and West Texas Guar is one that Roy Spencer, Spenko co-owner and operator, said will be a brother-sister connection. The fracking gel his company produces could be made from other products, but Spencer explained making it with guar gum means there is no hazardous chemicals involved in the process.

    “Guar is by far the best product,” Spencer said. “It is 100 percent all natural.”

    It is the same part of the plant used in food products, which his company will use to make fracking gel. He said taking care of the environment is important.

    “Great care is given to Mother Nature,” Spencer said. “Spenkco makes that a top priority.”

    Spencer encourages local farmers to consider growing the guar bean.

    “You kow you’re going to make money with guar,” Spencer said.

    The product Spenko will be producing in Brownfield will be sold primarily to oilfields in Texas, but it could be sold to companies in Oklahoma as well. The Spenko Solutions company is based out of Plummerville, Ark.

    As a new business in Brownfield, Spencer praised the community and the support it provided his company.

    “They are very easy to work with,” Spencer said. “It has been a very good relationship with everyone involved.”

    But Spenko is just one of the new businesses in Brownfield as oilfield money starts to make its way north.

    Hotel and restaurant businesses are also booming in the community, Buzz Timmons, vice president of the Brownfield Chamber of Commerce Board, said.

    What Timmons would like to see in Brownfield is a location for large events, like the annual chamber banquet or the Terry County Grape Growers’ Association Reception. Because while oil and gas are bringing new money to town, Terry County already is the largest grape-growing county in Texas. A new and bigger venue would also help the chamber’s efforts in bringing more events to the community, he said.

    The idea of a private and public partnership for a new convention center is something that could work, Timmons said.

    However, it would have to include Terry County and it may need to be located outside the city. At least one hotel had a difficult time finding a location inside city limits for a new location. It had to eventually give up looking, Timmons explained.

    For Timmons, the town’s location in relation to Lubbock means residents can travel there easily to go shopping, but it also means people can live in Lubbock and commute to jobs in Brownfield.

    “We are both blessed and cursed by our location,” Timmons said. “We view Lubbock as a friend to Brownfield.”

    Another thing the community needs is more housing. Right now, Timmons explained, the rental housing market is saturated but there are houses for sale.

    But the future is bright for Brownfield in Timmons’ opinion.

    “People are starting to see Brownfield as a good place to live,” Timmons said. “Brownfield is looking up.”

    ReplyDelete
  2. http://www.thehindu.com/opinion/op-ed/like-vegetable-for-oil/article4611047.ece

    (News from the Leading Indian English Newsportalfrom THE HINDU GROUP)

    Guar gum, the glue that binds the global oil and gas exploration industry together has ended up binding traders and farmers of Rajasthan in a deadlock, with no signs of a resolution in sight.

    The stand-off, triggered by the farmers’ decision to hold on to their guar crop in anticipation of higher prices, has brought Jodhpur’s guar trading and processing market, responsible for 40 per cent of the global guar gum supply, to a halt.

    So much so, the common refrain now among farmers of Rajasthan is “sell gold if you need to, but hold on to your guar.”

    The humble guar or cluster bean (Cyamopsis tetragonoloba) is an annual legume and the source of guar gum. Once deemed fit only for cattle feed, it has now made terms like futures trading, National Commodity and Derivatives Exchange (NCDEX) and Forward Markets Commission (FMC) household names in Rajasthan over the last three years.

    Today, most farmers in western Rajasthan, even those illiterate, know futures trading, the functioning of the NCDEX and its regulator FMC inside out.

    Its use

    Guar gum, a white free-flowing powder derived from guar splits, is widely used by the global oil and gas industry for “fracking,” a hydraulic fracturing technique.

    Due its unique binding properties — the ability to suspend solids, bind water by hydrogen bonding, control the viscosity of aqueous solutions and form strong tough films — guar gum is mixed with water and sand to “frack” shale gas out of sedimentary shale rock formations.

    Owing to unprecedented demand from the United States, China, Germany, Russia and Australia (top five importers), everyone in western Rajasthan with a few bighas to spare decided to jump on the guar bandwagon, forgoing even cash crops like cotton to grow more guar.

    Exports

    Exports of guar gum from India, which stood at 2,18,479.71 metric tonnes in 2009-10, rose 223 per cent to reach 7,07,326.43 MTs in 2011-12.

    The rise in the value of exports over this three-year period was more outlandish, going from $239.08 million to $3446.36 million, a rise of over 1,300 per cent. (Source: Agricultural Products Export Development Authority)

    Over the six months leading up to March 2012, prices had jumped up by 1,000 per cent, with guar seed selling for Rs.28,550/quintal and the gum going at Rs.90,780 a quintal.

    On March 21, the price of guar gum created history by peaking to Rs.1,00,195 a quintal in the Jodhpur spot market. (Source: NCDEX and FMC bulletin)

    At that point, suspecting manipulation of the market by select firms, the FMC banned futures trading in guar in March last year.

    While guar is grown in arid and semi-arid regions of most of northern India, including Rajasthan, Madhya Pradesh, Gujarat, Haryana and Punjab, its processing and trading are almost exclusively confined to Jodhpur.

    The wait

    “The Jodhpur spot market decides the international prices of guar and its derivatives, including the gum,” claims a spot trader there.

    Before March last year, Jodhpur was basking in its glory as the town that worked the global guar trade. Today, most processing units in Jodhpur that turn guar splits into gum, have ceased operations.

    “My unit operates for only four days a month. Most others have stopped their operations entirely,” says Manish, who owns a processing unit in Jodhpur.

    “There is a lot of guar out there but none of it is making it to the market because certain fake advertisements have advised farmers against selling until prices pick up.”

    He was referring to full-page advertisements in the local media by B.D. Agarwal of the National Unionist Zamindara Party.

    These advertisements made farmers aware of the demand of guar in western markets and advised them not to sell their produce till prices shot up further.....................

    Please Read Complete article at below link

    http://www.thehindu.com/opinion/op-ed/like-vegetable-for-oil/article4611047.ece

    ReplyDelete
  3. Guar gum powder has unique properties, these exceptional properties enables the guar powder to be best economical suitable in synthetic chemical industries.

    ReplyDelete
  4. India may be the leading producer of guar in the world. There are distinct sub-species with Mustard Oil Products along with extremely minor differences with one another.

    ReplyDelete
  5. This comment has been removed by a blog administrator.

    ReplyDelete
  6. I am from Pune, what about guar market in coming days? will it get hike?

    ReplyDelete