A trucking company that hauls water and frac sand to oil and gas drilling operations in Louisiana and three other states is shutting down its tanker division today.
Stevens Tanker Division will cease all operations Oct 15, according to a letter from Scott Mellman, executive vice president, sent to office personnel.
The Dallas-based carrier, a subsidiary of Stevens Transport, is permanently closing all Stevens Tanker Division business at all locations and in all divisions due to a “general decline in the industry” that “has taken a terrible toll” on the company.
The final decision to close was the result of unforeseen business developments over which Stevens Tanker Division had no control, including a 65% reduction in sand orders beginning in September and the continual loss of production water due to customers’ increased use of piping, Mellman writes in the letter.
In addition to oil and gas companies in Louisiana, Stevens Tanker Division also services operations in Texas, Oklahoma and New Mexico. The division’s closure will affect more than 500 jobs in Texas and Stevens Tanker Division’s 11 offices across Texas and in Alexandria and Bossier City, Louisiana.
Stevens Transport is one of the nation’s largest trucking companies, with nearly 2,000 trucks, primarily focused on refrigerated truckloads. In Refrigerated Transporter’s latest Refrigerated Fleet Gross Revenue Report, the company reported revenue of $719.9 million in 2018, up from $693.8 million in 2017.