North Dakota gas plant expansion approved
BISMARK-The Oneok Bear Creek natural gas processing plant expansion has been approved by the North Dakota Public Service Commission.
|The plant, located in Dunn County has been in operation since 2016. Currently, the plant processes 80 MMcfd of natural gas. Oneok plans to expand the capacity to 175 MMcfd. MAP SOURCE: EWA
The plant, located in Dunn County has been in operation since 2016. Currently, the plant processes 80 MMcfd of natural gas. Oneok plans to expand the capacity to 175 MMcfd.
North Dakota currently has five natural gas processing plant expansion/construction projects under development in McKenzie and Dunn counties, according to Chairman Randy Christmann.
"It's a major, major increase in North Dakota's gas processing capabilities, which is going to take trucks off the road, reduce flaring and enhance the value of our gas production," Christmann said.
Natural gas processed at the plant will be gathered from local oil and gas wells. Natural gas liquids will be transported from a pipeline. Methane and ethane will be transferred to the Northern Border Pipeline, according to a permit application filed by Oneok.
Commissioner Brian Kroshus said the increased natural gas processing capacity will help companies meet their gas capture targets.
"We're going to continue to see more of this type of development so producers can hit their flaring percentages," Kroshus aid.
North Dakota produces more than 2 billion cubic feet per day of natural gas, a figure projected to roughly double by 2035.
The original Bear Creek plant did not require approval from the Public Service Commission because the capacity was less than 100 MMcfd. The expansion of the plant will be within the previous location which is five miles north of Killdeer, Christmann said. The expansion is expected to cost about $100 million. The original plant cost about $150 million, according to Christmann.
The project also needs approval from the North Dakota Department of Health.
Oneok also plans to build the Demicks Lake natural gas processing plant northeast of Watford City which would process 200 MMcfd.
As discussed in the HPI Market Data 2019 report, published in November by Gas Processing & LNG’s sister publication, Hydrocarbon Processing, rising propane and ethane supplies in the US have been enabled by greater production of shale gas.
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