Paradigm Energy Partners LLC’s wholly owned subsidiary, Paradigm Midstream Services – ND LLC, has finalized an agreement with an undisclosed private company to construct a new gathering system to gather crude oil in North Dakota's Bakken shale play.
Under the terms of the agreement, which is secured through an acreage dedication, the 23-mile gathering system will deliver approximately 17,000 acres of production from the Ross Field in northern Mountrail County to Paradigm's joint venture rail terminal in Palermo, North Dakota. From Palermo, producers can access East Coast and West Coast markets via the BNSF Railway, as well as downstream markets near Stanley, North Dakota, where Paradigm has existing pipeline connections.
Paradigm is strategically focusing on opportunities in Mountrail, McKenzie, and Dunn counties in North Dakota to further enhance the value of its existing joint venture rail terminal, as well as the 91-mile Sacagawea Pipeline, which connects markets in Stanley, Ross, and Palermo, North Dakota, with markets in Johnson's Corner near Paradigm's storage terminal in Keene, North Dakota. The Sacagawea Pipeline and Keene Terminal are expected to be in service by the end of the third quarter of 2016.