Downstream Petrochemical Co Buys Upstream Frack Fluid Co

Calumet Specialty Products Partners, a company that processes crude oil and other feedstocks into customized lubricating oils, solvents, waxes and asphalt used in consumer, industrial and automotive products, has just purchased Anchor Drilling Fluids outright for $235 million in cash. Anchor manufactures drilling mud and frack fluids used in shale drilling in the Marcellus, Utica and just about every other major shale play across the U.S. It certainly makes sense for Calument, a huge chemical company already in the “downstream” petrochemical space to move into chemical manufacturing for the “upstream” exploration and production space.

You may recall Calument is also building a gas-to-liquids (GTL) plant at their Karns, PA location to convert Marcellus Shale gas to diesel fuel (see Chemical Manufacturer to Build Gas-to-Liquids Plant in PA). Here’s yesterday’s announcement that Calumet has plunked down $235 million for Anchor Drilling Fluids…

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