Gov. Jack Dalrymple today congratulated ONEOK Partners on its completion of North Dakota's latest natural gas processing plant. The ONEOK Garden Creek Gas Plant, located about 10 miles northeast of Watford City, can process 100 million cubic feet of natural gas per day.
"Thank you for expanding your operations in North Dakota," Dalrymple said during the grand opening of ONEOK Partners' new gas plant. "Not only will this plant provide good jobs for North Dakotans, but it will also help us reduce the burning off of this valuable resource."
Between January and November of last year, North Dakota's production of natural gas increased 53 percent, to a record 521 million cubic feet per day. That's enough natural gas to heat 1.3 million homes. By the end of 2012, the state's capacity to process natural gas is expected to reach 1.1 billion cubic feet per day.
"We are making great strides in the capturing and processing of natural gas and ONEOK is playing a significant role in that on-going effort," Dalrymple said. "At full capacity, the Garden Creek plant alone is expected to reduce flaring by 10 percent."
In addition to its new Garden Creek plant, ONEOK Partners processes natural gas from its Grasslands plant in McKenzie County. The Oklahoma-based company also plans to build two other gas processing plants, each capable of processing 100 million cubic feet of natural gas per day, and a 525-mile natural gas liquids pipeline. In all, ONEOK Partners plans to invest more than $1.5 billion to expand its gathering and processing of natural gas in the Williston Basin.
To promote the processing of natural gas, the state provides sales and use-tax exemptions that may be applied toward the purchase of building materials, production equipment and other property used in the construction or expansion of a natural gas processing plant. In addition, purchases of machinery and equipment needed to complete environmental upgrades may also qualify for tax exemptions. The state, through the Oil and Gas Research Council and in partnership with private industry, also has invested more than $3 million, researching new technologies to expand the capture of natural gas.