Oil and gas pipeline projects get North Dakota PSC approval

By Patrick C. Miller | March 30, 2016

The North Dakota Public Service Commission last week approved siting permits for an oil pipeline and a natural gas liquids (NGL) pipeline in the Williston Basin.

A permit was approved for Oasis Midstream Services LLC to construct and operate a 75,000 barrels per day pipeline in McKenzie County from the Wild Basin to Johnsons Corner. The new 10.75- inch oil mainline has one lateral pipeline and is approximately 19 miles long.

The PSC said Oasis also plans to build three above-ground storage tanks at the Wild Basin Gas Processing and Crude Handling Facility near Watford City with a storage capacity of 200,000 barrels. The estimated cost of the project is $13 million.

“This is a project that provides additional storage and handling resources and builds a strategic connection from the oil fields to export pipelines,” said Julie Fedorchak, PSC chair. “The volumes being transported by this line would require 280 truck trips each day, burdening local residents and causing additional wear and tear on our road system.”

The PSC also approved a pipeline permit for the $45 million Bear Creek NGL project submitted by ONEOK Bakken Pipeline LLC. The new 37-mile long, 8-inch pipeline will be built in Dunn and McKenzie Counties. The pipeline will carry Y-grade NGL produced at the Bear Creek Plant—currently under construction—and has a maximum capacity of 14,000 barrels per day.

The pipeline will start at the ONEOK Bear Creek Plant in Dunn County and extend to the northwest, ending at an interconnection with ONEOK’s existing Targa Pipeline on the east side of Highway 85 in McKenzie County. The company will be installing a supervisory control and data acquisition system (SCADA) and operations will be monitored continuously.

ONEOK will incorporate the pipeline into its existing emergency response plan and coordinate with local authorities and emergency managers. The company will bore through sensitive areas—including the Little Missouri National Grasslands. About 60 percent of the pipeline will be co-located with other pipelines to minimize impacts.

The design, construction and operation of both projects will be accordance with the U.S. Department of Transportation regulations governing the transportation of hazardous liquids.

 

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