Question-and-Answer Session
Operator: Sure. (Operator Instructions). Your first question comes from the line of John Daniel with Simmons & Company. Please proceed.
John Daniel - Simmons & Company
Good morning, guys.
David Wallace
Good morning John.
John Daniel - Simmons & Company
Couple of questions on -- the first one on proppant. I think you mentioned that you're looking at some experimental types of proppants, can you elaborate on that. And then you also -- I think you mentioned you're starting to use Chinese proppant from a U.S. supplier. Can you tell us who that supplier is?
David Wallace
I probably won't give you that information but one thing we're seeing is proppant is definitely starting to loosen up.
John Daniel - Simmons & Company
Okay.
David Wallace
And there's a combination of more ceramic, higher-strength material coming online and also a shift maybe from part of these materials to more of a resin base type material also. But one thing we've seen just like with frac sand in the past is we've been able to build our position there and we're very confident we can build our position with the high-strength materials.
John Daniel - Simmons & Company
Have the proppant vendors at this point started lowering price?
David Wallace
We are definitely seeing a lot more availability which is the first line of being a little more inflexible on pricing.
John Daniel - Simmons & Company
Okay.
David Wallace
So, we can say that we are starting to see some improvement there.
John Daniel - Simmons & Company
Okay, well good. Question on the fluid services, you mentioned a desire to take trucks up to Appalachia. What would be the timing on that and doing so you need to drill a disposal well or how'll you dispose the fluids?
David Wallace
Currently, there's no disposal wells in Pennsylvania, they go through treatment plants or they hole it across the border into other states. But we would utilize the other resources that are currently in place and just use the transportation part to help support that.
John Daniel - Simmons & Company
Okay. Just one final if I may. You talked about moving some of your assets to stronger markets and maintaining the utilization, and doing so is there any reason to expect that there might be some facility closures in 2009?
David Wallace
We continue to look at that and we talked about the Enid closure. And one thing we didn't mentioned on the call is that we have adjusted crews in some of the multi-service locations, we've been able to ship some resources out of that. But we picked these locations on the long-term basin -- basis.
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