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October 2014: Adding value to North Dakota’s natural gasOctober 29, 2014
MONTHLY NEWSLETTER FOR OCTOBER 2014
VALUE-ADDED OPPORTUNITIES EXPAND OIL AND GAS IMPACT OUTSIDE THE BAKKEN
This month there were some exciting announcements regarding value-added opportunities that have arisen from oil and gas activity in western North Dakota. Value-added opportunities are important to the state in diversifying our state’s economy and creating even more secondary or even tertiary jobs. These opportunities often also allow counties or cities outside of the Williston Basin to cash in on the opportunities being generated within the Bakken.
Last week, the big news was the announcement of a $4 billion factory that will convert natural gas liquids into plastic. This plant would be the largest single investment in the state of North Dakota’s history and follows a trend that has been seen in many other states with the onset of the shale energy revolution – the revitalization of America’s petrochemical industry.
The importance of plants such as this is it will benefit our state’s economy and support jobs long after drilling has ended. Furthermore, it provides our nation and the world with a product that is and will continue to be in great demand. In fact, the demand for plastic has grown 11 times since the 1970s and continues to be an important component of nearly everything, from technological equipment, medical equipment, sports and safety equipment, and more.
LNG plant up and running
The North Dakota LNG plant is up and running near Tioga. This value-added venture captures natural gas that may otherwise be flared at wells and convers it to liquid natural gas that can be used as a fuel for vehicles, hydraulic fracturing and drilling equipment, or for drying grain.
The plant is currently operating in Phase I, which produces 10,000 gallons of LNG per day. The plant will expand to Phase II by next spring, increasing production to 83,000 gallons per day.
Source: Andrist, Steve. “First plant of its kind opens,” Bismarck Tribune, Oct. 15, 2014.
Fertilizer plants expected to continue forward
CHS Inc. announced in September it will continue its plans for a plant that will take Bakken natural gas and convert it to fertilizer. The plant will be built outside Jamestown, N.D. and is expected to cost $3 billion. Once completed and operational in 2018, the plant will produce 2,400 tons of ammonia daily. The product will be delivered to farmers within a 200 mile radius of the plant and will employ up to 180 workers.
In addition to the CHS plant, another fertilizer plant proposed by Northern Plains Nitrogen has reached fundraising goals and will move forward with its plant to be built three miles northwest of Grand Forks, N.D. The $2 million fertilizer plant is expected to start construction next year and begin operating in 2018, producing about 1.5 million tons of fertilizer products per year.
Enbridge donates 19 trucks to area Emergency Response Organizations across North Dakota
Minot, N.D. – Enbridge Pipelines handed over the keys for a fleet truck to the Donnybrook Rural Fire Department on Friday, October 10th. Donnybrook is the 19th emergency response organization to receive an Enbridge fleet vehicle this year. Safety and preparedness is a priority at Enbridge, and as part of its community investment program, the company donates its used fleet vehicles to area emergency responders. The donated vehicles are in good condition, but no longer in use. The fire departments and ambulance services that receive the vehicles often choose to use them for transport to and from response locations and trainings, and some are rehabilitated to carry water or other equipment.
“These departments are made up largely of volunteers. Having the proper equipment nearby can have a big impact on response times,” said Art Haskins, Enbridge Emergency Response Coordinator. “Not only will the fire department benefit from this donation, but so will Enbridge and the communities where we operate.”
Organizations who received an Enbridge truck this year include:
Emerado Police Department
Ward County Emergency Management
Tioga Rural Fire Department
Rugby Fire Department
Michigan/Whitman Rural Fire Protection District
Wildrose Fire Department
Grenora Fire Protection District
Leeds Fire Department
Burlington Rural Fire Department
Ray Community Ambulance District
Devils Lake Rural Fire Department
Thompson Fire Department
Gonvick Fire and Rescue
Glenburn Rural Fire Protection District
Upham Rural Fire Protection District
Erskine Rural Fire Department
Minot Fire Department
Des Lacs Fire Protection District
Donnybrook Rural Fire Department
Enbridge offers a free online training program to emergency responders in each county where its pipelines are operated at www.mypipelinetraining.com. The online training was developed in coordination with the National Association of State Fire Marshals and includes information specific to Enbridge pipelines.
Hess Donation Provides Funding for STEM Equipment
Hess Corporation presented $15,000 to the Powers Lake School for the science, technology, engineering and math (STEM) education program to provide equipment to engage students with ‘hands on’ labs and robotics.
“This contribution will allow the Powers Lake students grades 3-12 to benefit from the introduction of robotics, which will increase their analytical skills and problem solving while thinking creatively and actively participating in the learning experience,” said Marlyn Vatne, Powers Lake Superintendent. “Teaching our students to inquire, reason and analyze will provide backgrounds needed to be assets in all fields of employment.”
“We have committed to growing the STEM educational programs in the schools in Hess’s operational areas,” said Steve McNally, Hess General Manager, North Dakota. “This funding augments our work with the Succeed 2020 initiative which aims to ensure the successful transition from school to college and future careers for all North Dakota students.”
The Succeed 2020 initiative provides North Dakota’s eight regional education associations (REAs) responsibility for implementing this initiative, working in collaboration with a wide range of partners and receiving technical support from FHI 360, a U.S.-based nonprofit development organization that manages the Succeed 2020 program. Health and wellness are fundamental to the Hess culture and integral to its business. Hess is proud to invest in high impact programs, especially in the areas of education, health, and community development.
ConocoPhillips Gives Back at Killdeer Homecoming Game
Nothing brings the people of Western North Dakota together quite like high school athletics. In most cases, students and parents are tasked with jobs at the stadium and miss all or part of the big game. On Friday, October 3, ConocoPhillips employees from offices in Dickinson, ND, and Sidney, MT, pitched in to allow the students and parents to watch the Homecoming festivities in Killdeer, allowing those students and parents an opportunity to watch the Cowboys beat Garrison-Max 56-8. The 10 ConocoPhillips staff members took tickets, distributed programs, served in the concession stands and cleaned up the stadium following the win. The game was the first played on the new state of the art field turf at Killdeer High School.