comparing contribution margins per ton (SLCA vs. NI) - 2014 i think this augurs very well:
in 2014 q3 - SLCA reported a record contribution margin of $31.33 per ton - this is for a larger maturing business that manages its costs and efficiences well, and granted it does have a product range - including lower priced texan brown sand (that only underscores how premium and how strong the pricing and contribution is in the Northern White).
Victory Silica have just reported a stout gross margin of $21.49/ton on a start up ramp up ~34,900 tons.
My takeaway is that this is going to be a very powerful business - once at name plate capacity - I see no reason why gross margin can not be at $45/ton for premium product.
I think the trajectory here is very good. I like where we are going.