MDU plans to expand natural gas pipeline by 33% in Bakken production area

Source: Williston Basin Interstate Pipeline Company

Williston Basin Interstate Pipeline Company, the wholly owned natural gas transmission pipeline subsidiary of MDU Resources Group, Inc. (MDU), announced plans to expand its existing natural gas pipeline capacity by approximately 33 percent in the Bakken production area in northwestern North Dakota. 

The proposed expansion would add up to 30 million cubic feet per day (MMcf/d) to existing volumes from the Bakken production area for delivery to Northern Border Pipeline. The expansion project will be accomplished by adding facilities to an existing compressor station in northwestern North Dakota. The targeted in-service date of this expansion project is November 2011. 

“Williston Basin owns and operates the most extensive transmission pipeline system in the Bakken production area and currently transports natural gas for most of the producers and processors active in the area,” said Steven L. Bietz, president and CEO of Williston Basin. “We are very excited about the level of current activity in Bakken region and remain committed to expanding our transportation capacity from the area to ensure natural gas producers continue to have access to attractive markets. This latest project increases our delivery volumes out of the Bakken by one-third and further demonstrates our commitment to the region.” 

Williston Basin’s existing natural gas pipeline system runs throughout the Bakken production area in western North Dakota and eastern Montana. Williston Basin completed a major expansion of its pipeline system in 2008 and currently transports approximately 90 MMcf/d per day of natural gas from 11 Bakken production area receipt points. Along with the currently proposed pipeline expansion project, Williston Basin is also working with numerous natural gas producers and processors to add additional natural gas receipt points to its system throughout the Bakken production area. 

An open season for the Bakken Expansion Project will begin on May 19, 2010, and will run through June 2, 2010. Williston Basin announces a Binding Open Season for the sale of long term firm transportation capacity. The Open Season commences on May 19, 2010, and concludes at 4 p.m. Central Time on June 2, 2010.

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