Carbo Ceramics has suspended its dividend payments in an effort to manage the decline in oil field activity.
The Houston-based company said the decision had not “been easy” but was necessary in the current climate.
Last year, Chesapeake Energy said it would suspend its annual dividend of 35 cents per share as it looked to save around $240million.
Meanwhile SandRidge Energy said in September it would not pay its semi-annual dividend, which had been paid with shares of the company’s stock.
Prior to its announcement, Carbo had been paying shareholders 10 cents a share every quarter.
Dividend payments are expected to be re-evaluated on an on-going basis.
Chief executive Gary Kolstad said: “The decision by the Board of Directors to suspend the dividend was not an easy one given the importance of the dividend to our shareholders.
“However, it is necessary to continue to take measures to preserve cash during this prolonged industry downturn.”