Petro-Chem Could Come to North Dakota
Value-Added Industry Could Use NatGas Surplus
A big part of the solution to North Dakota's effort to reduce the flaring of its burgeoning natural gas production could be development of a state-based petrochemical industry.
Curt Launer, head of business development for Bakken Midstream, told attendees at this week's annual meeting of the ND Petroleum Council about Alberta's Industrial Heartland, a 225-square-mile hydrocarbon processing region near Edmonton. Launer said with the right incentives, similar industry could develop in North Dakota.
Click
here to listen to Launer's comments.
Noting the difficulty the state is experiencing capturing, processing and transporting the nearly 3 billion cubic feet of natural gas produced daily in North Dakota, Launer said "the challenges are big, but the opportunities are bigger."
One of the developing problems is related to the BTU content of North Dakota natural gas which is gradually displacing Canadian gas in the Northern Border pipeline. Because some of the natural contains ethane, the average BTU content of gas in the pipeline has been going up, which will eventually create problems for end users.
Launer, referring to an earlier presentation by ND Pipeline Authority Director Justin Kringstad, said pulling ethane out of the gas stream and using it in a petrochemical facility in North Dakota would address the flaring issue and other problems.
Click
here to listen to Launer's comments.
Bakken Midstream facilitated a tour of Alberta's Industrial Heartland in August for Governor Doug Burgum and other state leaders (click
here to read the article from WDEA's August 9 newsletter). Click
here to read more about the Industrial Heartland. Click
here to watch a YouTube video about Alberta's petrochemical industry.
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BLM Director Speaks to ND Oil Industry
Pendley: Fracking an "Environmental Miracle"
The director of the federal Bureau of Land Management praised Bakken oil producers for their ability to solve problems in remarks delivered at this week's annual meeting of the North Dakota Petroleum Council.
William Perry Pendley said he considers hydraulic fracturing "an energy, economy and environmental miracle," and bemoaned the fact that it has been denied in some parts of America. Pendley pointed out how the state of Pennsylvania has benefited from development of the Marcellus Shale, but it's not happening across the border in New York because the state has banned fracking.
"I look at how people in Pennsylvania are prospering and building new facilities. They're able to take care of their emergency needs and their hospitals and their schools, and their kids are coming back and working in the local community," Pendley said. "But I look across the border in upstate New York where the people remain in poverty because of decisions politicians have made."
Pendley, a Wyoming native, credited President Trump for reversing similar anti-development policies imposed on federal lands by the Obama Administration.
"I was particularly concerned as a westerner that here we have this wonderful energy boom going on in every part of America on state and private lands, except federal lands in the American West to the detriment of westerners," Pendley said. "If they don't have opportunities on federal lands then they don't have economic opportunities because 50, 60, 70, 80, 90 percent of the land in their county is owned by the federal government."
Pendley said as BLM director, he's not engaged in economic development, but will promote policies that allow the public to develop resources on federal land.
"I'm not in the jobs business," Pendley said. "I'm in the get-out-of-the-way business."
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LoadPass Advisory Panel to Meet Oct. 8
Session on Permit System Part of BOPSS Show
WDEA's LoadPass Permits advisory committee will hold its semi-annual meeting October 8 at the Bismarck Event Center. LoadPass will also be prominently featured at the Bakken Oil Product and Service Show to be held October 2-3 in Williston.
The advisory committee meeting is scheduled for 2:15 on October 8 at the conclusion of the annual conference of the ND Association of Counties in Bismarck. The agenda includes several administrative topics including:
- LoadPass Outage Policy – discuss a procedure if system outages last longer than an hour
- Notification Message Policy – discuss potential policy limiting notifications sent by each county
- GIS System and Road Network Discussion
- LoadPass statewide expansion update
- Wise Roads weather station project update
- Member App and Law Enforcement App development plan
LoadPass staff will also have a booth at the Bakken Oil Product and Service Show next month. The
agenda for the event also includes a two-hour session on the LoadPass Permits. System administrators will present basic usage, advanced features and useful tips and tricks to help industry truckers become more efficient in requesting and managing permits and other account details. Click
here for more info.
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Grant Awarded for Project Tundra
Minnkota Power Cooperative was awarded a $9.8 million federal grant this week to support a design study for Project Tundra, a research project to capture carbon dioxide from the Milton R. Young power plant.
The grant from the Department of Energy provides access to $15 million from the state of North Dakota’s Lignite Research Fund. The funding will be used to conduct a Front-End Engineering Design study on Project Tundra’s proposed CO2 capture system at the coal plant near Center.
“Project Tundra is a unique opportunity for North Dakota to lead the world in the advancement of carbon capture technologies,” said Mac McLennan, Minnkota President & CEO. “This grant will assist us in completing advanced research and engineering design on the project – one of the final steps before deciding whether to move forward and begin construction.”
The vision for Project Tundra is to equip Unit 2 at the power plant with technologies that will capture more than 90% of the CO2 emissions. The CO2 would then be permanently stored in a deep geologic formation more than a mile underground, or could be used for enhanced oil recovery.
In addition to research on the CO2 capture system, Minnkota is also conducting significant research on deep geologic storage of CO2 near the Young Station. In September and October 2019, a geophysical survey will be completed near Center to gather information about rock layers in the deep subsurface.
Project Tundra is estimated to cost approximately $1 billion. The project is seeking financial partners to help utilize existing 45Q federal tax credits, which are currently $50 per ton of CO2 captured.
Click
here to learn more about Project Tundra.
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McKenzie County EMS Receives Grants
ConocoPhillips, Crestwood, Fund Emergency Needs
Officials with ConocoPhillips delivered a $100,000 charitable contribution to McKenzie County Emergency Management at this week's county commission meeting.
The grant will be used to purchase 24 mobile radios that will support the county’s transition to SIRN 2020, an updated statewide communications system which will improve response capabilities for first responders throughout western North Dakota.
“Ensuring that emergency responders have the tools they need to serve the residents of McKenzie County is of the utmost importance to ConocoPhillips,” said Chris Malkin, Williston Asset Manager.
McKenzie County Emergency Services Manager Karolin Jappe said the county received a separate grant of $45,000 from Crestwood Midstream to cover the cost of a mobile air compressor trailer. It will be used to fill the self-contained breathing apparatus used by firefighters and other emergency reponders who may enter burning buildings or be exposed to noxious fumes.
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Grand Opening for Williston Airport
Before Williston's new XWA Airport opens to the public on Oct. 10, a community celebration is being planned to provide a behind-the-scenes look at the new facility.
The event is scheduled for Saturday, October 5, from 10:00 a.m. to 2:00 p.m. Not only will the public have an opportunity to see the inner workings of the new airport, there will be family-friendly activities and fun including a once-in-a-lifetime chance for youngsters (and grownups) to run on the runway.
Construction began on the new airport with a groundbreaking on October 10, 2016. Throughout the construction work, updates were provided to the public through the project
website.
Click
here for more information about the project on the XWA Facebook page. Click
here for a news story on the opening from KFYR-TV, and
here for a story from the Williston Herald.
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Highway 37 thru Parshall Closed Next Week
Railroad maintenance work starting Monday will mean a detour for vehicles traveling through Parshall.
Dakota Missouri Valley Western Railroad, in cooperation with United Quality Coop Grain Elevator and CP Railroad, will be replacing track causing a temporary closure of Highway 37 near the track crossing. Traffic will follow a signed detour route most likely through Main Street.
The project is expected to be completed by Friday, September 27.
The NDDOT reminds motorists to slow down and use caution throughout the work zone. For more information about construction projects and road conditions throughout North Dakota, call 511 from any type of phone or visit the Travel Information Map on the NDDOT
website.
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Scholarship Application Deadline Oct. 18
The WDEA Executive Committee extended the application deadline for the energy scholarships it's offering this fall to October 18.
The association is offering five $1,000 scholarships to students interested in pursuing a career in the energy sector. It is open to students who are enrolled in, or plan to enroll in either college or technical school. The application process is easy. Students are asked to complete a one-page form, write up to a 300-word essay describing their interest in energy development, and include a recent transcript. Additional supporting documents may also be included.
Click
here to see the selection criteria. Click
here to view or download the scholarship application.
Scholarship winners will be announced at WDEA's annual meeting, October 30-31 in Minot..
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Registration Open for WDEA Annual Meeting
Sponsorship/Exhibitor Opportunities Available
Registration is now open for the annual meeting of the Western Dakota Energy Association to be held October 30-31 at the Grand Hotel in Minot.
Sponsorships and exhibit space are available to companies or organizations interested in supporting the communities in the energy-producing region of western North Dakota. Click
here for the sponsor/exhibitor form.
The event kicks off at 1:00 p.m. on October 30 with an update on enhancements and expansion of WDEA's
LoadPass Permits system, to be followed by an update on the association's
Wise Roads weather station project. The presentations will be followed by a panel discussion about truck permitting issues between industry representatives and county highway managers. The balance of Day One will be devoted to issues associated with North Dakota's growing natural gas production. The day will be capped off by an evening social at 5:30 featuring remarks from Cal Klewin regarding the Theodore Roosevelt Expressway Association and efforts to improve Highway 85.
Day Two opens with a perspective on ethics issues from Minot Senator David Hogue, to be followed by a presentation on workforce issues by Paula Hickel and Susan Ogurek from Job Service of ND, an update on the Western Area Water Supply Authority from Curtis Wilson, and the Upper Great Plains Transportation Institute's update of its county roads needs study. The morning agenda also features a presentation from the North Dakota Geological Survey about the potential for oil production in different benches in western North Dakota, a panel discussion about the education funding needs of western communities and an interim legislative report from Senator Rich Wardner.
Lt. Governor Brent Sanford will deliver a keynote address during the noon luncheon. The afternoon agenda includes details on lignite research and marketing efforts, and will conclude with a traditional county-by-county production report from Lynn Helms, director of the Department of Mineral Resources. The association's annual business meeting and election of officers will wrap up the event.
Click
here for the agenda and registration details. A block of rooms has been reserved at the Grand Hotel. To receive the discounted rate, guests should mention WDEA Annual Meeting when registering. Contact the hotel at: 701-852-3161 or (800) 735-4493.
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Quick Connect
- Army Corps asks judge to dismiss lawsuit on DAPL costs -- Fargo Forum
- TENORM landowner notices out of date, Sept. meeting was moved to Oct. -- Williston Herald
- ND oil experts comment on price spike in wake of attack on Saudi oil facility -- Bismarck Tribune
- Natl Parks Conservation Assn sues state department over proposed refinery -- KXMB-TV
- As wind farms encroach missile sites, Air Force asks for greater buffer zone -- Bismarck Tribune
- District 2 legislators support former legislator Skarphol’s reform efforts -- Tioga Tribune
- Mountrail County installs new alert sirens in six communities -- Minot Daily News
- Road restrictions placed on all gravel and chip seal roads in Williams County -- Williston Herald
- Wind farm in Mercer and Morton counties poised to start next month -- Bismarck Tribune
- Seven positions targeted so far in DSU budget cuts; need to trim $2M - Dickinson Press
- State higher ed board mulls policy rules for political activities -- Bismarck Tribune
- Williston school district using social media to help families in need -- KFYR-TV
- Kjell Vassen selected to serve on Crosby City Council replacing Alexa Kruger -- The Journal
- U.S. energy producers to supply more than half of global gas by 2035 -- OilPrice.com
- Presidential candidates' anti-gas platforms leave grid questions unanswered -- Energy In Depth
- Commentary: Federal electric vehicle subsidies - On the road to nowhere -- IER
- Seattle City Council considers banning natural gas in new construction -- Inside Sources
- New scientific report shows no link between fracking and health problems -- Energy In Depth
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Factoid of the Week
As of July 2019, North Dakota was home to 15,943 producing oil wells. Of those wells, 89% were producing from the Bakken and Three Forks formations while 1,675 wells were producing from legacy pools. The state has added nearly 2,000 wells in just two years. In July 2017 North Dakota had 13,981 producing wells.
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September 24
Bismarck
September 25
Bismarck
September 26
Bismarck
October 1
Bismarck, ND
October 2
Bismarck
October 3
Bismarck
October 2-3
Williston
October 6-8
Bismarck
October 8
Bismarck Event Center
October 9
Bismarck
October 15-17
Williston
October 16-18
Bismarck
October 21-23
Dickinson
October 23
Bismarck, ND
October 24-25
Bismarck
October 30-31
Minot
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Oil prices and rig count
September 20, 2019
WTI Crude: $58.09
Brent Crude: $64.28
Natural Gas: $2.53
North Dakota Active Rigs: 58 (down 6)
9/20/2018
-- 66 rigs
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Geoff Simon
Editor/Executive Director
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