Adding to its nonstop $10 billion Bakken buildup, ONEOK announced last May more than $2 billion in new gas projects. With two of those projects now complete, the company is back with a slate of more expansions to meet increasing gas production.
ONEOK, Inc. is a diversified Fortune 500 corporation based in Tulsa, Oklahoma. ONEOK was founded in 1906 as Oklahoma Natural Gas Company, but It changed its corporate name to ONEOK in December 1980. It also owns major natural gas liquids systems due to the 2005 acquisition of Koch Industries natural gas businesses.
ONEOK’s 900-mile Elk Creek Pipeline began flowing NGLs in December from the Williston Basin to the company’s fractionation, terminal and storage facility in Bushton, Kan., with an initial capacity to transport up to 240,000 BPD of unfractionated NGLs. In January, the company announced completion of its second Demicks Lake Gas plant. Both plants offer a combined 400 MMCFD of capacity. But there’s no rest for the weary in an area where midstream infrastructure has yet to meet production demand.
For its part, ONEOK recently announced plans to construct a third Demicks Lake processing plant with an initial capacity of 200 MMCFD, as well as expand its Bear Creek plant in the Williston Basin by 200 MMCFD. The company also will add 10 pump stations along its Elk Creek Pipeline to boost capacity to 400,000 BPD by 2021. According to the North Dakota Pipeline Authority, that expansion “will be necessary in order to keep pace with growth.”
The latest figures suggest the current log of midstream projects are on track to meet production levels until 2023. North Dakota currently produces more than 600,000 BPD of NGLs.
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