ENERGY STAR in North Dakota

Table of Contents From the Director

Home Heating Fuels...... 4 Thank you for picking up the 2013 edition of the Great Plains Energy Corridor’s Spotlight on North Dakota Energy! Generation...... 5 Coal...... 5 As you look through the pages of this report, you’ll see that North Dakota remains a leader in many energy sectors, reflecting innovation and stewardship of the state’s Peaking Plants...... 8 natural resources. This report highlights the sectors with a presence in North Dakota, Wind...... 9 current progress and statistics, in addition to what we can look forward to throughout Geothermal...... 11 2014 and beyond. Hydro...... 12 The Great Plains Energy Corridor, housed at Bismarck State College’s National Energy Solar...... 13 Center of Excellence, works with partners in government, education and the private Transmission and Distribution...... 15 sector to promote and enhance North Dakota’s energy development. Together we provide Recovered Energy...... 16 information, education, outreach programs and special events on a wide range of energy topics. For more detailed information about what you see in this booklet, visit our website Petroleum (Oil/Gas)...... 17 at www.energynd.com. Production...... 17 I’d like to extend my sincere appreciation to Kim Christianson, who diligently compiled Hydraulic Fracturing...... 19 the information you find in this book, and to the organizations that helped provide up-to- Refining...... 20 date information for this year’s Spotlight on North Dakota Energy. Pipelines...... 21 Synthetic Natural Gas...... 24 Natural Gas Processing...... 24 Biofuels...... 26 Emily McKay Ethanol...... 26 Emily McKay Biomass/Biofuels/Biodiesel...... 27 Director, Great Plains Energy Corridor Energy Efficiency...... 29 Education/Workforce Training...... 29

Cover photo courtesy of Steve Crane, Basin Electric Power Cooperative North Dakota Total Energy Production (2011) A View From Above North Dakota’s Total Energy Production (2011) This material is based upon work supported by the Department of Energy Award DE-OE0000079. According to the US Energy 9% Information Administration This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United 9% 24% (2011), North Dakota ranks Coal States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any 13th in the nation for total Crude Oil legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process energy production – a total of disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, 1,518 Trillion Btu. The state Renewables process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, ranks 4th in the country for Natural Gas recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed total energy consumption per herein do not necessarily state or reflect those of the United States Government or any agency thereof. capita at 768 million Btu. 58% Energy Generation Sites of * North Dakota is home to a wide variety of ranking 50th out of 51 states and the District electricity generation facilities, including coal- of Columbia. As of December 2013 the * North average residential electricity price in North * * fired baseload power plants, the hydroelectric Dakota turbines at Garrison Dam, a growing statewide Dakota was 8.55 cents/kWh, compared network of wind energy turbines, natural gas to the national average of 11.72 cents/ and fuel oil peaking plants, heat recovery kWh. Even though demand for electricity is Map courtesy units that capture waste heat from pipeline rapidly increasing, driven by the oil and gas of BSC National * production industry in western North Dakota, * compressor stations, and even a small amount Energy Center of * Bismarck of solar power. There is also work being the state continues to produce nearly three Excellence done to explore the potential of geothermal times the amount of electricity as is consumed generation in western North Dakota. in-state.

* According to the US Energy Information The following sections summarize the most Administration, North Dakota has some of current information on North Dakota’s

Natural Gas Processing Coal-Based Generation Lignite Mine Hydro Power the lowest cost electricity for residential use, electricity generation industry.

Wind Farm Synfuels Plant Ethanol Plant Petroleum Reﬁnery

Bakken Formation Oil Fields Recovered Energy Natural Gas-ﬁred Generation Generation

* Under Construction COAL

Home Heating Fuels ■ Great River Energy’s Spiritwood Station is a ■ Great River Energy operates its patented combined heat and power plant. Construction “DryFining™” system at Coal Creek Station to According to National Oceanographic and show that North Dakotans use the following of the facility was completed in 2011, and the both dry and refine lignite coal for a cleaner Atmospheric Administration (NOAA), North house heating fuels: plant is scheduled to begin producing power in and more efficient generation process. Dakota has the highest average number of November 2014. The plant will also produce ■ Since 1988, an average of approximately heating degree-days of the lower 48 states. Utility gas...... 41.6% steam that will be sold to multiple users at the 30 million tons of lignite coal has been mined (The number of degrees that the daily average Spiritwood Energy Park near Jamestown, ND. Electricity...... 37.1% each year in North Dakota. Nearly 80 percent temperature falls below 65 degrees Fahrenheit Bottled, tank or LP gas...... 13.7% ■ One megawatt hour is enough electricity to is used to generate electricity, 13 percent is determines heating degree-days). Fuel oil, kerosene, etc...... 4.6% serve more than 800 homes with an hour’s used to make synthetic natural gas and 7 Prices for the two main sources of residential worth of power. percent is used to produce fertilizer products. Other or no fuel...... 2.0% heating fuel in North Dakota, natural gas ■ North Dakota’s power plants have invested ■ A combustion by-product, fly ash from Great and electricity, are some of the lowest in Wood...... 0.6% around $1 billion in new technology since River Energy’s Coal Creek Station and Stanton the country. Residential electricity prices are Coal or coke...... 0.4% 2006 to reduce emissions and increase Station is used to make concrete and for soil ranked 50 out of 51 (states and the District efficiencies. These investments account for 20 stabilization purposes, eliminating the need to of Columbia), and natural gas prices are In North Dakota, there are three companies to 30 percent of a power plant’s costs. North landfill that product. rated 49th out of the 49 states for which data that sell and distribute natural gas to residential Dakota is currently one of only seven states was available to the US Energy Information customers – Montana-Dakota Utilities Co., that meets all of the EPA’s federal ambient air ■ The lignite industry employs 4,097 workers Administration. Xcel Energy, and Great Plains Natural Gas Co. quality standards. directly and another 13,000 indirect workers. (a division of MDU Resources Group, Inc.). Detailed housing characteristics disseminated by the US Census Bureau (2008 – 2012 Source: US Energy Information Administration, American Community Survey 5-Year Estimates) State Energy Data 2011: Production

[4] Spotlight on North Dakota Energy [5] Generation

Coal Creek Station, near Underwood, ND. Photo courtesy of Great River Energy. Map courtesy of Lignite Energy Council

Capacity by Plant Operating Company Megawatts (MW)

Coal Creek Station Great River Energy 1,140

Antelope Valley Station Basin Electric Power Cooperative 900 Reclamation Milton R. Young Station Minnkota Power Cooperative 705 ■ Mining companies typically have three years to Leland Olds Station Basin Electric Power Cooperative 669 reclaim mined land by grading and respreading the soil and seeding the land. After that, mines Coyote Station Otter Tail Power Company 427 have to keep reclaimed land under performance Stanton Station* Great River Energy 188 bond for at least ten years to prove reclaimed land produces crops or forages as good as or better Heskett Station Montana-Dakota Utilities 100 than before mining.

Spiritwood Station** Great River Energy 99 ■ Between 1,500 and 2,000 acres of land are disturbed by coal mining and reclaimed each year. *Stanton Station uses subbituminous coal from the Cloud Peak’s Energy Spring Creek Mine in Montana **Not currently in operation ■ More than 26,000 acres of permitted land in the state have gone through final bond release – the equivalent of around 40 square miles. ■ Lignite industry companies have contributed, ■ North Dakota has the second-largest known through total annual taxes, including sales, reserves of lignite in the world (behind only ■ Mining companies spend an average of $30,000 personal and corporate income taxes, an Australia) with an estimated 25 billion tons of to reclaim one acre of land, but costs can be as estimated $100 million in 2012. More than recoverable resources. It’s estimated that the high as $60,000 an acre in some instances. $1 billion in tax revenue has gone to the state state’s reserves will last more than 835 years of North Dakota from 1975 through 2011 from at the current rate of consumption. ■ Since 1986, North Dakota mining companies Aerial view photos show the former Indian the lignite severance and coal conversion taxes. have received 15 national reclamation awards Head Mine west of Beulah during mining Sources: Lignite Energy Council, Great River Energy, from the federal Office of Surface Mining within activity and after the land was reclaimed. Basin Electric Power Cooperative, MDU Resources the US Department of Interior. Photos courtesy of Lignite Energy Council. Group, Inc., US Environmental Protection Agency

[6] Spotlight on North Dakota Energy [7] Generation

WIND

■ Including projects currently under for the wind turbines to generate electricity. construction, North Dakota will have nearly The US Department of Energy reports that the 2,000 megawatts of wind energy installed, national capacity factor has increased from with more than 1,000 turbines dotted around 25 percent in 1999 to a high of 34 percent in the state. 2008. The Bison Wind Energy Center averages a capacity factor of 42-44 percent, thanks to ■ North Dakota’s wind resource is ranked the robust North Dakota winds. 6th in the country, and ranks 12th for the most installed wind capacity, getting 15.6 percent ■ Minnesota Power Company’s Bison wind of its power from wind resources. developments feature a unique arrangement with Manitoba Hydro whereby wind energy ■ According to the American Wind Energy Aerial of Pioneer Generation Station. Photo courtesy of Basin Electric Power Cooperative. from the Bison projects can be stored in Association, North Dakota ranked 6th in hydroelectric reserves in Canada, essentially the US in 2013 for percentage of electricity providing a battery storage mechanism when derived from wind. wind is high or customer demand is low. The North Dakota Public Service Commission Peaking Plants ■ ■ The Benedictine Sisters of Sacred Heart has issued permits authorizing construction Monastery near Richardton, ND, were North of nearly 1,400 MW of potential future wind Peaking plants provide power generation will provide 45 megawatts (MW) of Dakota wind energy pioneers. In 1997 they ■ projects. In addition, in late 2013, Basin companies with higher-cost, rapid response to generation capacity. installed two used Silver Eagle turbines with Electric Power Cooperative signed two power regional “peaks” in the demand for electricity. Micon internal workings, rated at less than purchase agreements with Infinity Wind Power The additional generating capacity that these ▷ Pioneer Generation Station, located 100 kW each. The turbines are still operational. of Santa Barbara, CA, which is planning smaller facilities provide can be used in northwest of Williston, ND, started construction of two wind projects totaling extreme weather conditions when demand for commercial operation of Unit 1 in September 278 MW. The projects would be located near electricity exceeds the capacity of baseload 2013, Unit 2 on February 1, 2014, and Unit Hebron, ND, and near Golden Valley, ND. In facilities. They can be powered up from stand- 3 on March 1, 2014. Each of the three units October 2013 Montana-Dakota Utilities signed by status to full load very quickly and in some has 45 MW of generation capacity, giving the a power purchase agreement with Thunder cases can be operated from a remote site. In station a total rating of 135 MW. Spirit Wind which is developing a 108 MW North Dakota, the peaking plants are fueled ▷ Both stations employ General Electric wind project located near Hettinger, ND. by either natural gas or fuel oil. LM 6000 combustion turbine generators. ■ The federal wind energy Production Tax Basin Electric Power Cooperative, a regional ■ ■ Montana-Dakota Utilities is completing the Credit (PTC) provides an income tax credit of wholesale electric generation and transmission construction of an 88 MW natural gas-fired 2.3 cents per kilowatt-hour for the production cooperative headquartered in Bismarck, ND, unit that will be located next to its Heskett of electricity from utility-scale turbines during began construction on two natural gas-fired Station near Mandan, ND. The unit will use the first ten years of electricity production. peaking stations in 2012 to help provide a General Electric 7EA combustion turbine. The PTC expired at the end of 2013, but credit much-needed electrical stability in western The project is scheduled to be completed the was given to all wind projects that started North Dakota. summer of 2014. substantial construction before that time and Lonesome Creek Station, located west are completed prior to the end of 2015. ▷ ■ Otter Tail Power Company has two fuel oil of Watford City, ND, started commercial combustion turbines in Jamestown, ND, that ■ Capacity factor is a term used to describe operation of Unit 1 on Dec. 1, 2013. Units have a total capacity of 42.1 MW. how often the wind is blowing strong enough 2 and 3, part of the project’s Phase 2 construction, are targeted for completion in late 2014. Each of the three units Sources: Basin Electric Power Cooperative, MDU Photo courtesy of Minnesota Power. Resources Group, Inc., Otter Tail Power Company

[8] Spotlight on North Dakota Energy [9] Generation

Capacity by Wind Facility County Company Megawatts (MW) Ashtabula Wind Energy Center I (2008, 196.5 MW); Barnes, Ashtabula II (2009, 120 MW); Ashtabula III (2010, Griggs, NextEra Energy 379 62.5 MW) Steele Bison Wind Energy Center I (2011, 82 MW) Oliver, Bison II and III (2012, 210 MW) Minnesota Power 496.8 Morton Bison IV (2014, 204.8**) Langdon Wind Energy Center I (2007, 118.5 MW NextEra Energy/ Cavalier 199.5 and 2008 40.5 MW); Langdon II (2009, 40.5) Otter Tail Iberdrola Rugby Wind Power Project (2009) Pierce 149.1 Renewables Basin Electric PrairieWinds ND 1 (2009) Ward 122 Power Cooperative Thunder Spirit Thunder Spirit Project (2015) Adams 108** Wind, LLC

Baldwin Wind Energy Center (2010) Burleigh NextEra Energy 102.4

Wilton Wind Energy Center I (2006, 49.5 MW); Burleigh NextEra Energy 99 Wilton II (2009, 49.5 MW) Oliver Wind Energy Center I (2006, 50.6 MW); Oliver NextEra Energy 98.6 Wind resource map developed by NREL for DOE with data from AWS Truepower. Oliver II (2007, 48 MW) Dickey, Acciona Wind Tatanka Wind Farm* 90 McIntosh Energy North Dakota Wind Energy Center – Edgeley (2003) LaMoure NextEra Energy 61.5 Geothermal Luverne Wind Farm (2009) Steele Otter Tail 49.5

Montana-Dakota ■ According to the National Renewable Research in North Dakota concluded as of Cedar Hills Wind Farm (2010) Bowman 19.5 Utilities Energy Laboratory, western North Dakota December 2013. has favorable locations for deep enhanced Acciona Wind The UND Petroleum Research Center, Velva Wind Farm (2005) McHenry 12 geothermal systems (EGS). EGS is a ■ Energy technology that uses heat from the earth to through a US Department of Energy grant, Minnkota Power plans to install two Organic Rankine Cycle Petersburg Wind Project (Infinity Wind Energy) (2002) Nelson .9 turn water into steam, which drives a turbine Cooperative generator to produce electricity. (ORC) engines at a Continental Resources oil well in Bowman County. Each engine will Minnkota Power Valley City Wind Project (Infinity Wind Energy) (2002) Barnes .9 Cooperative ■ A study on North Dakota geothermal generate 125 kW of power, producing a total properties, conducted by the University of of 250 kW. Faculty and students will conduct Statewide demonstration and privately owned projects N/A Approximately 3 North Dakota Petroleum Research, Education research for two years at the demonstration 1,991.7 and Entrepreneurship Center of Excellence, site on power, reliability, etc., to develop surveyed oil wells to collect data relevant to engineering and economic models for *Tatanka Wind Farm straddles the North Dakota/South Dakota border with turbines across on two counties in ND geothermal energy and resources. The data geothermal ORC energy production. Start-up and one county in SD. The wind farm is 180 MW total with 90 MW in North Dakota. **Under Construction will be submitted to the US Department of is scheduled for the summer of 2014. Energy-funded National Geothermal Data Sources: North Dakota Public Service Commission, NextEra Energy, Minnesota Power, Acciona Wind Energy, System, which will make the information Sources: US National Renewable Energy Laboratory, Iberdrola Renewables, MDU Resources Group, Inc., Basin Electric Power Cooperative, Minnkota Power Cooperative, available for future geothermal development. University of North Dakota Harold Hamm School of American Wind Energy Association, US National Renewable Energy Laboratory, Wind Powering America Geology and Geological Engineering [11]

[10] Spotlight on North Dakota Energy Generation

An aerial view of Garrison Dam and its spillway. Photo by Sgt. Brett Miller, A photovoltaic solar array at a North Dakota well site. Photo courtesy of Whiting Oil. North Dakota National Guard Visual Information.

SoLAR HYDRO ■ Solar energy technology is based on ■ Bismarck State College installed an 8 kW two main types – photovoltaics (PV) and solar array (PV) for demonstration and ■ The only producer of hydroelectric power administrations within the US Department of concentrated solar power (CSP). CSP typically educational purposes in 2011. The solar array in North Dakota is the Garrison Dam, run Energy whose role is to market and transmit uses mirrors to concentrate sun rays and is composed of two different kinds of panels – by the US Army Corps of Engineers – electricity from multi-use water projects. create heat that in turn drives a heat or steam crystalline and thin panel solar systems, so that Omaha District. ■ Garrison Dam is the third largest reservoir in engine. PV power uses the sun’s rays to create students have the opportunity to study both. ■ Over the past ten years (2004 – 2013) the the United States by volume. direct current electricity. Whiting Oil uses PV systems at oil well sites dam has produced an average of 1.76 billion ■ Verendrye Electric Cooperative has the to power pump jacks in isolated areas in which kWh of electricity annually. The Garrison Dam ■ Nationwide there are 75 Corps hydroelectric ■ largest solar program in the state with more electrical service is currently unavailable. has five turbines with maximum power output power plants with a total capacity of 20,474 MW, than 235 solar-powered water pumps. The These systems replace internal combustion of 583 MW. nearly a third of total hydropower produced in the United States. pumps are primarily used in pasture wells engines fueled with lease gas. ■ The electricity from Garrison Dam is in remote areas where building power lines According to Dr. Richard Alley, a geologist marketed by the Western Area Power is cost prohibitive. The typical cost to the ■ at Penn State University, the sun’s radiation Administration. Customers in North Dakota Verendrye Electric member farmer is $800 striking the earth’s land surfaces has the include municipal utilities, Native American for a direct-current pump and then $18 per energy equivalent of 26,000 TeraWatts, or tribes, state agencies/educational institutions, month to lease the solar panels. Solar power nearly 1,650 times the current worldwide and electric power cooperatives. Much of the is a good fit for water pumping, as generally human energy use. electrical power generated at Garrison Dam is Sources: US Army Corps of Engineers, Western water is needed most when the sun shines the Area Power Administration marketed to customers outside North Dakota, brightest. The cooperative has a system where including customers in the states of Minnesota, members can track their monthly, daily and Sources: National Renewable Energy Laboratory, Iowa and Nebraska. The Western Area Power hourly usage. Verendrye Electric Cooperative, Bismarck State Administration is one of four power-marketing College, Dr. Richard Alley - “Earth: The Operators Manual 2011”, John Bagu, PhD

[12] Spotlight on North Dakota Energy [13] Generation

Basin Electric Transmission System Maintenance crew work on high-voltage power lines. Photo courtesy of Basin Electric Power Cooperative.

TRANSMISSION & DISTRIBUTION

■ The North Dakota Transmission Authority 345-kilovolt (kV) transmission line that will (NDTA) was established by state legislature stretch 200 miles from the Antelope Valley in 2005 to facilitate, finance, develop and Station near Beulah, ND, to substations near acquire transmission in North Dakota. Grassy Butte and Williston, ND, and end near Tioga, ND. This new 345-kV line will help The above map indicates that solar radiation for North Dakota is equal to or better than that of Spain and ■ Internal projections of electric load growth meet increasing regional electric demand Germany which rank respectively as the world’s number 3 and number 1 countries for solar energy installations. within the Williston Basin made by Basin This map was created by the National Renewable Energy Laboratory for the Department of Energy. and improve the reliability of the existing Electric Power Cooperative and Montana- system, strengthening the electric infrastructure Dakota Utilities Co., spurred a request to the throughout the region. NDTA to conduct a joint study of the potential growth of electrical demand over 20 years. The ■ A number of other transmission projects are study, conducted by the engineering firm KLJ, currently under construction or being planned indicated that electrical demand is expected to to improve existing transmission systems or nearly triple in the western and north central to establish new avenues for moving power A Solar House in Fargo? part of the state by 2032. Population in this across the region: part of the state is expected to increase by ▷ Minnkota Power Cooperative, based John and Robyn Bagu have 30 solar PV panels more than 66,000 people, driving increased in Grand Forks, ND, is constructing a on the roof of their home in Fargo, ND, with a residential and commercial electric demand. 345-kV transmission line that will stretch combined rated generation capacity of 7.4 kW. Electrical demand in McKenzie County alone is 250 miles from Center, ND, to Grand In the first full year of operation (2013), the expected to increase by 339 percent to support Forks. The project is expected to be panels generated more electricity than the house Bakken oil field activity. energized by August 2014 and will used. So far in 2014, generation is ahead of ■ Basin Electric Power Cooperative has begun provide a pathway to move electricity from last year. John and Robyn are able to sell their the necessary studies and associated planning the Milton Young Station to Minnkota’s excess electricity to their utility company, Cass and permitting to begin construction of a member cooperatives. County Electric Cooperative, which helps with the A closer look at the Bagu home solar panels. project’s economics. Photo courtesy of Dr. John Bagu.

[14] Spotlight on North Dakota Energy [15] Generation

▷ Otter Tail Power Company and Montana- ▷ ALLETE (ALE) and its subsidiary ALLETE Dakota Utilities Co. are jointly constructing Clean Energy has proposed an energy the Big Stone South to Ellendale (BSSE) corridor with a backbone following an Transmission Line, a 345-kV line from existing 465-mile path that contains a Ellendale, ND, to a substation near Big direct current transmission line running Stone City, SD. The project, which will be between Center, ND, and Duluth, MN. The 150 to 170 miles in length, is expected energy corridor would expand a pathway to cost between $270 and $390 million along strategic portions of the existing right and will be in service in 2019. This of way to minimize land use and optimize line is part of a regional transmission energy delivery infrastructure development expansion identified by the Mid-Continent within North Dakota. It is envisioned that Independent System Operator, Inc. as various lengths of the corridor would needed to enhance transmission network be used for movement of natural gas, reliability and efficiency, and support wastewater, petroleum and other products. public policy objectives. ■ Transmission costs vary depending on An aerial photograph shows a drilling pad with an oil rig and six producing wells. ▷ CapX2020 is a group of 11 Midwest- voltage, terrain type, right-of-way costs, and Photo courtesy of Vern Whitten Photography. based utilities constructing more than 700 many other factors. Average transmission costs miles of new 345 kV transmission lines in for a new 345 kV line can be between $1 – 2 the Upper Midwest. One of the proposed million per mile. routes is a 210-mile line that starts west of PETROLEUM PRODUCTION Fargo, ND, and stretches east to St. Cloud, Source: North Dakota Transmission Authority MN. The line is expected to be in service in 2015 and will support growing regional ■ In 2012, North Dakota surpassed both ■ As of December 2013 there were power demand and improve access to California and Alaska to become the second 10,015 producing wells, with more than half renewable energy. largest oil producer in the nation, behind of those in the Bakken Formation. The North only Texas. Dakota Department of Mineral Resources estimates that with 190 rigs an additional ■ November 2013 was the all-time high in 2,000 wells could be drilled per year for the production numbers for the year with 29.1 next 20 years. Recovered Energy million barrels of oil, averaging 973,045 barrels of oil per day. Natural gas production ■ Leasing activity for new drilling sites is very that same month was 32,597,122 MCF, low in North Dakota as multiple wells are ■ Recovered energy generation (REG), ▷ A subsidiary of Ormat Technologies averaging 1,086,571 MCF/day. being added to existing drill pads. Six or more also known as heat-recovery generation or developed the recovered energy horizontally drilled wells can be placed on one waste heat energy, is a process of capturing generation projects from which Basin ■ Average rig count over the year of 2013 existing pad. hot exhaust to drive a turbine and create Electric buys power. They are the first was 185 rigs. Drilling rig counts in 2013 have electricity. use of this technology on a natural gas remained fairly steady, ranging from a peak ■ North Dakota’s first oil well came online pipeline in the United States. of 190 in December to 182 in August. More near Tioga in Williams County in 1951. ■ Basin Electric purchases the electricity from than 95 percent of drilling takes place in the Named Clarence Iverson #1, the well three REG sites in North Dakota. Those sites ■ Montana-Dakota Utilities owns a heat- Bakken and Three Forks formations. produced more than 585,000 barrels of produce 16.5 MW of electricity using exhaust recovery generation station near Glen Ullin, oil in 28 years. from compressor stations on the Northern ND, which generates 5.3 MW. Border Pipeline. The Northern Border Pipeline is a natural gas transportation system of 1,398 miles that links the Midwest with Sources: Basin Electric Power Cooperative, reserves in Canada. Each of the three sites – MDU Resources Group, Inc. Manning, St. Anthony and Zeeland – produce 5.5 MW of electricity.

[16] Spotlight on North Dakota Energy [17] PETROLEUM

Hydraulic Fracturing

■ The Bakken shale play was previously ■ The additives that companies use are undeveloped because conventional drilling disclosed via FracFocus.org, a website that methods weren’t able to access the trapped oil provides public access to reported chemicals and gas. The process of hydraulic fracturing has used in fracking and to provide factual made it possible for companies to economically information on the fracking process. North drill for oil in the Bakken Formation. Dakota is one of eight states that require chemical disclosure via FracFocus. ■ Hydraulic fracturing (also called “fracking”) is a process that pumps a specially blended ■ It requires a great deal of water to frack a liquid into a well under high pressure, creating well, since the majority of the fluid is water. fractures in the underground rock to release According to the ND Department of Mineral more oil and natural gas. Resources, if 2,000 wells are drilled per year over an approximate 20 year timeframe, those ■ The fluid used in the hydraulic fracturing wells would require 11-22 million gallons of process is 98 to 99.5 percent water and sand water per day. mixture. A variety of chemical additives are used, depending on the well conditions, to limit the growth of bacteria, prevent corrosion of well casing, and to increase efficiencies. Some examples of the common compounds used are below, with their purpose and common applications: Map courtesy of US Energy Information Administration. ▷ Acids – 0.12% – Keeps fractures open so gas can escape (Swimming pool cleaner) ■ A typical 2013 North Dakotan Bakken ▷ Pays salaries and wages of $2,129,000 ▷ Petroleum distillates – 0.088% – well will produce for 44 years. If economic, Minimizes friction (Make-up remover, enhanced oil recovery efforts can extend the ▷ Pays operating expenses of $2,602,000 laxatives, candy) life of the well. In those 44 years the average ▷ Costs $8,947,000 to drill and complete Bakken well: ▷ Isopropanol – 0.081% - Increases fluid ■ The North Dakota Pipeline Authority (NDPA) viscosity (Glass cleaner, antiperspirant, ▷ Produces approximately 678,000 commissioned a natural gas production and hair color) barrels of oil transportation study, completed by BENTEK Energy in 2012. Using data obtained from ▷ Guar gum – 0.056% - Thickens water to ▷ Generates about $20 million net profit the study, the NDPA released a natural gas suspend sand (Cosmetics, toothpaste and ▷ Pays approximately $5,339,000 in taxes forecast that estimates North Dakota could be ice cream) producing 2.0-2.4 billion cubic feet of natural ▷ Ethylene glycol – 0.043% - Prevents • $2,399,000 gross production taxes gas each day in the late 2020s. This is up scale deposits (Antifreeze, household from 2013 natural gas production of roughly • $2,505,000 extraction tax cleansers, deicer) 0.95 billion cubic feet per day. Courtesy of North Dakota Petroleum Council, ND Department of Mineral Resources • $435,000 sales tax See Workforce/Training section for oil-related Sources: North Dakota Petroleum Council, ▷ Pays royalties of $7,845,000 to job information. ND Department of Mineral Resources, US Energy mineral owners Information Association, FracFocus

[18] Spotlight on North Dakota Energy [19] PETROLEUM

A November 2013 aerial view of construction at Dakota Prairie Refining. Crude pipeline stacked in a North Dakota field for future projects. Photo courtesy of Whiting Oil. Photo courtesy of MDU Resources Group, Inc.

Refining Pipelines

■ Tesoro Corporation’s Mandan refinery was 2012 to build a refinery. The tribe proposed a ■ The North Dakota Pipeline Authority was the remaining oil went directly to the in-state established in 1954 and is currently the state’s $450 million refinery that would process about created by the state legislature in 2007 to Tesoro Refinery and via truck to Canadian only operating oil refinery. The refinery has 13,000 barrels of oil a day. Construction assist development of pipeline facilities to pipelines. These percentages change rapidly a crude oil processing capacity of 71,000 began in late 2013 on the transload facility, support energy-related commodities. depending on the Brent – WTI (West Texas barrels per day (bpd). 1 Barrel = 42 Gallons the first part of the clean fuels refinery project. Intermediate) price spread. ■ There are close to 18,000 miles of gathering ■ Because of high demand for diesel fuel in ■ Construction is underway at Dakota Prairie and transmission pipelines in North Dakota. the region, in 2013 the refinery expanded Refining, owned by an MDU Resources Group, The United States has the largest network of Williston Basin Crude Oil its Distillate Desulfurization Unit capacity by Inc. subsidiary and Indiana-based Calumet pipelines in the world. Transportation (Feb. 2014) 5,000 barrels of diesel per day to bring the Specialty Products Partners, LP. The diesel plant’s total diesel hydrotreating capacity to refinery is located near Dickinson, ND, and ■ North Dakota has four products pipelines, 1% 13 major crude oil pipelines, nine major 22,000 bpd. will process up to 20,000 barrels per day of 7% Bakken crude. The project is expected to be natural gas pipelines, and one carbon dioxide ▷ Tesoro processes Williston Basin crude pipeline. finished by December 2014. 25% oil from North Dakota to refine into The North Dakota Pipeline Authority reports gasoline, diesel fuel, jet fuel, heavy fuel ■ Dakota Oil Processing is planning a nearly ■ oils and liquefied petroleum gas. Products $215 million crude oil topping refinery near that crude oil pipeline projects in planning 67% are trucked and railed from Mandan, Trenton, ND. The facility would process stages or under construction could add more ND, and also shipped east via pipeline to 20,000 barrels per day of light sweet crude for than 525,000 bpd of shipping capacity. eastern North Dakota and Minnesota. diesel and secondary products such as naptha, ■ In early 2014, the ND Pipeline Authority Truck to Canadian Pipelines residual fuel oil and elemental sulfur. reported that more than 67 percent of oil ▷ Tesoro employs more than 250 people in Estimated Rail transportation occurred through rail transport, the Bismarck-Mandan area and more than ■ Quantum Energy, Inc. recently announced Estimated Pipeline Export roughly 25 percent through pipelines, and 100 employees in western North Dakota the acquisition of property adjacent to the Tesoro Refinery and eastern Montana with the Tesoro High Northstar transload in East Fairview, ND, for Plains Crude pipeline system. the construction of the Fairview Refinery, a 20,000 barrel per day diesel refinery. ■ The US Interior Department granted North Dakota’s Three Affiliated Tribes control of Sources: Tesoro Refinery, MHA Nation, MDU Resources 469 acres of land near Makoti, ND, in late Group, Inc., Dakota Oil Processing, Quantum Energy

[20] Spotlight on North Dakota Energy [21] PETROLEUM

■ Currently there are five major oil proximity of the 1,179-mile pipeline would ▷ Two additional oil pipelines will be ■ The North Dakota Pipeline Authority (NDPA) transmission pipelines proposed in or near impact transportation of Bakken crude operational in 2014, the Highland Double commissioned a natural gas production and North Dakota: oil out of the state. Because it crosses an H pipeline from Dore, ND to Guernsey, transportation study, completed by BENTEK international border, the pipeline needs WY, and the Bakken North pipeline which Energy in 2012. The study shows that as ▷ The North Dakota Pipeline Company a presidential permit, which at press time will run from Trenton, ND northwest to the natural gas production continues to rise, has proposed a 500-plus-mile pipeline has not been decided. Raymond Station near Outlook, MT. The competition for pipeline space will intensify. to transport about 225,000 barrels per Double H pipeline will initially transport NDPA reports that Bakken natural gas has day of North Dakota crude oil to its main ▷ True Companies has proposed the 50,000 barrels per day (BOPD) with the a high content of natural gas liquids (NGL), terminal in Superior, WI. Butte Pipeline that would start about potential to expand to 100,000 BOPD, such as ethane, propane, butane, and 15 miles from the North Dakota border while the Bakken North pipeline will natural gasoline. Calculations estimate a ▷ TransCanada has proposed the near Baker, MT, and transport Williston initially transport 40,000 BOPD with the potential of 400,000-450,000 barrels per day Keystone XL pipeline to move crude oil Basin crude to a connecting terminal from Alberta, Canada, to the Gulf Coast, capacity to expand to 75,000 BOPD. of NGL production from North Dakota during in Wyoming. The Butte Pipeline will be the next decade. crossing close to the North Dakota border operated by Bridger Pipeline, which is through Montana and South Dakota. The owned by True Companies. Source: North Dakota Pipeline Authority

North Dakota Natural Gas Pipelines North Dakota Crude Oil Pipelines

D D DIVIDE BOTTINEAU ROLETTE CAVALIER PEMBINA Divide D RENVILLE Burke Bottineau BURKE TOWNER Rolette Cavalier Pembina Renville D Towner

WALSH WILLIAMS

RAMSEY PIERCE D Walsh MCHENRY Williams DD WARD D Ramsey D Pierce BENSON Mountrail Ward McHenry MOUNTRAIL NELSON GRAND FORKS D Benson D Nelson Grand Forks EDDY D MCLEAN SHERIDAN WELLS McKenzie MCKENZIE TRAILL D Eddy FOSTER GRIGGS STEELE MERCER D D McLean Sheridan Wells DUNN

Steele Traill Y Foster Griggs E L OLIVER Dunn L

V BILLINGS

Mercer N

E STUTSMAN D BURLEIGH KIDDER BARNES CASS

G STARK Oliver MORTON D Billings Golden ValDley Burleigh Kidder Stutsman Cass D Barnes SLOPE LAMOURE Stark HETTINGER LOGAN RANSOM

Morton GRANT RICHLAND EMMONS

BOWMAN SARGENT ADAMS SIOU MCINTOSH DICKEY Slope Ransom X Hettinger Logan LaMoure Grant D Emmons Richland

Bowman D D Adams Sioux McIntosh Dickey Sargent

Bakkenlink Bridger Four Bears Keystone XL Targa Resources D Gas Plants Alliance Hess ONEOK Bakken Mature Basin Transload Butte Inergy Little Missouri Tesoro Aux Sable Hiland WBI Energy Bakken Belle Fourche Enbridge Keystone Plains D Tesoro Refinery

Disclaimer: Neither the State of North Dakota, nor any agency, officer, or employee of the State of North Dakota warrants the accuracy or reliability of this product and shall not be held responsible for any losses caused by reliance on this product. Bison Northern Border Whiting Three Forks Portions of the information may be incorrect or out of date. Pipeline locations are generalized and should not be used for detailed planning or utility locating. Any person or entity that relies on any information obtained from this product does so at his or her own risk. Always call 811 before starting any excavating project.

Disclaimer: Neither the State of North Dakota, nor any agency, officer, or employee of the State of North Dakota warrants the accuracy or reliability of this product and shall not be held responsible for any losses caused by reliance on this product. Portions of the information may be incorrect or out of date. Any person or entity that relies on any information obtained from this product does so at his or her own risk. Date: 2/7/2014 Map courtesy of North Dakota Pipeline Authority. Map courtesy of North Dakota Pipeline Authority.

[22] Spotlight on North Dakota Energy [23] PETROLEUM

SYNTHETIC NATURAL GAS Processing Capacity – Natural Gas Owner Company County Million Cubic Feet Per Facility ■ The Dakota Gasification Company’s Great ■ The Synfuels Plant is the largest carbon Day as of 2013 (MMCFD) Plains Synfuels Plant is the only commercial- sequestration project in the world, capturing ONEOK Lignite Burke 6 scale coal gasification plant in the United between 2.5 and 3 million metric tons of ONEOK Marmarth Slope 7.5 States that manufactures synthetic natural carbon dioxide per year that it pipes to the gas from lignite coal. It produces about 160 aged Weyburn oil fields in Canada for use in ONEOK Grasslands McKenzie 100 million cubic feet of natural gas a day which enhanced oil recovery. ONEOK Stateline I Williams 100 is shipped via the Northern Border Pipeline to the eastern United States. ■ Cenovus Energy, operator of the Weyburn ONEOK Stateline II Williams 100 oil field in Saskatchewan, predicts that ONEOK Garden Creek I McKenzie 100 ■ The plant uses about 18,000 tons of injecting carbon dioxde will extend the life lignite coal each day, supplied via the of the Weyburn field by 30 years and ONEOK Garden Creek II McKenzie 100 Freedom Mine. Besides synthetic natural possibly longer. ONEOK Garden Creek III McKenzie 100 (operational in 2015) gas, it produces many coproducts that are marketed throughout the US and worldwide, Source: Basin Electric Power Cooperative ONEOK Lonesome Creek McKenzie 200 (operational in 2015) including liquid nitrogen, anhydrous Hiland Partners Watford City McKenzie 90 ammonia, and phenol. Hiland Partners Badlands Bowman 40

Hiland Partners Norse Divide 25

Whiting Oil & Gas Belfield Stark 30

NATURAL GAS PROCESSING Whiting Oil & Gas Ray Williams 10 (starting in 2014)

Whiting Oil & Gas Robinson Lake Mountrail 90

■ North Dakota currently has 22 natural ■ Since 2010, natural gas processing Hess Tioga Williams 250 gas processing plants operating in western capacity in North Dakota has more than North Dakota. doubled, increasing from 500 MMCFD to Plains Ross Mountrail 50-75 1,024 MMCFD in year-end 2013. Saddle Butte Watford City McKenzie 45 ■ A challenge of the petroleum industry is capturing the natural gas co-produced with ■ North Dakota LNG and Prairie Companies Targa Resources Badlands McKenzie 45 oil production. As of early 2014, 36 percent LLC is constructing the state’s first liquefied Petro Hunt Little Knife Billings 32 of the natural gas produced in North Dakota natural gas (LNG) plant near Tioga, ND. is currently burned off, or “flared.” (This The plant is expected to begin operating this True Oil Red Wing Creek McKenzie 10 figure is higher than usual because of the summer, initially producing 10,000 gallons XTO – Nesson Ray Williams 10 temporary shut down of a gas processing of LNG per day. The company has plans to plant.) A North Dakota Petroleum Council task expand capacity to 76,000 gallons per day Caliber Midstream Caliber Midstream McKenzie 10 force on flaring has set goals of capturing by 2015. USG Midstream Bakken DeWitt Divide 3 85 percent of produced gas by early 2016 Source: North Dakota Pipeline Authority Sterling Energy Ambrose Divide .5 and 90 percent capture by 2020. According to the ND Department of Mineral Resources, Summit Resources Knutson Billings NA (gas separation unit) private industry has pledged to invest more Aux Sable – Chicago, IL Prairie Rose Mountrail 110* than $4 billion dollars in additional natural gas gathering and processing infrastructure to *Aux Sable facility has capacity to transport and process up to 110 mmcfd of North Dakota natural gas at its Chicago facility. reduce flaring.

[24] Spotlight on North Dakota Energy [25] BIOFUELS

Corn Ethanol Capacity Used Plant Location Employees DDG (tons) (million gallons) (million bushels) Blue Flint Ethanol Underwood 40 65 23 190,000 Hankinson Renewable Energy, Hankinson 51 130 45 395,000 LLC Red Trail Energy, Richardton 42 50 18 110,000 LLC Tharaldson Casselton 54 130 50 395,000 Ethanol An aerial view of the ethanol plant near Hankinson. Photo courtesy of Hankinson Renewable Energy. Dakota Spirit Spiritwood 40 65 23 190,000 AgEnergy* Totals 227 440 159 1,280,000 ETHANOL *Under Construction

■ North Dakota’s four operational ethanol ■ In a modern ethanol facility, one bushel plants have an annual production capacity of of corn produces 2.8 gallons of ethanol, nearly 400 million gallons per year – a more 18 pounds of livestock feed (dried distillers than tenfold increase since 2005. grains), and 18 pounds of carbon dioxide.

■ The state’s ethanol industry generates more ■ The US Environmental Protection Agency BIOMASS/BIOFUELS/BIODIESEL than $640 million in economic activity each (EPA) approved E15 (85 percent gasoline, year and directly employs almost 200 workers 15 percent ethanol) for use in all 2001 and across the state with an average annual wage newer cars and light-duty vehicles, as well as ■ Biomass includes all plant and animal processing method for energy efficient of $64,000. flex-fuel vehicles. These vehicles make up 75 matter. Harvested biomass can be used to extraction of raw juice from industrial beets, percent of the light duty vehicles on the road generate various forms of energy, such as using simple machines. The raw juice is the ■ Approximately 140 million bushels of today, representing more than 85 percent of heat, electricity and biofuels. Biomass includes feedstock for the planned BeetsAll bioethanol corn are used annually, with more than the unleaded fuel sold in the nation. wood waste, energy crops, crop residues and and bioproducts facilities and the remaining 80 percent of the corn purchased from North other forms of organic waste. pressed pulp can be utilized for animal feed or Dakota farmers. ■ North Dakota is a national leader in the as an energy resource. installation of flex-fuel blender pumps, which ■ Dakota Spirit AgEnergy broke ground ■ One-third of every bushel of grain used for allow most vehicle owners the option of a 15 in 2013 on a 65 million gallon per year ■ Biodiesel is a domestically produced, ethanol production returns to the animal feed percent ethanol blend, and higher percentage biorefinery next to Great River Energy’s renewable fuel that can be manufactured from market in the form of dried distillers grains ethanol blends for owner/operators of flex-fuel Spiritwood Station power plant. Dakota new and used vegetable oils, animal fats, (DDGs). More than 1.1 million tons of DDGs vehicles. The state has nearly 200 flex-fuel Spirit AgEnergy Phase I will produce ethanol, and recycled restaurant grease. Biodiesel’s are produced in the state annually. blender pumps in 40 communities and was the corn oil and distillers grain from corn. The physical properties are similar to those of implementation of Phase II will see a “bolt- petroleum diesel, but with significantly reduced Approximately 9 percent (34.2 million ninth state to offer E15 fuel. ■ on” facility producing cellulosic, isobutanol or greenhouse gas emissions and toxic air gallons) of the ethanol produced annually in other emerging biofuel technologies. pollutants. Biodiesel can be blended and used North Dakota is blended with gasoline and sold Source: North Dakota Ethanol Council in many different concentrations. The most within the state. The remaining 91 percent is ■ An NDSU research team at the USDA-ARS common biodiesel blend is B20 (20 percent shipped primarily to the east or west coasts. Northern Great Plains Research Laboratory biodiesel, 80 percent petroleum diesel), which in Mandan, ND, collaborated with BeetsAll qualifies for fleet compliance under the federal Biofuel to develop a novel front-end Energy Policy Act of 1992.

[26] Spotlight on North Dakota Energy [27] BIOFUELS

■ North Dakota’s only biodiesel production ■ Two facilities in Bismarck, ND, use wood facility is located near Velva, ND. The ADM chips as fuel for heating – the Household Energy Efficiency plant has the potential to produce 85 million Hazardous Waste and Electronics Recycling gallons of biodiesel per year. The facility is building at the city landfill, and the BSC The North Dakota Department of projects in public buildings. The efficiency currently producing biodiesel with canola Aquatic and Wellness Center. The City of ■ Commerce has an office of Renewable Energy measures and their projected savings are oil provided by an adjacent crushing plant. Bismarck operates a wood chipper at the & Energy Efficiency that promotes efficiency identified through energy audits. Because of low in-state usage, most of the landfill to process wood waste it receives, and activities within the state in both the public and produced biodiesel is shipped to other states provides the wood chips to both buildings. private sectors. ■ In 2013, North Dakota had 26 LEED or to Canada. The landfill building uses approximately 300 (Leadership in Energy and Environmental tons over the heating season and the Aquatics ■ According to the North Dakota Department Design) certified commercial buildings, and ■ Since construction in the 1980s, ADM’s Center uses an average of 1,200 tons year of Commerce, 578 housing units were 5 LEED certified K-12 and Higher Ed projects. sunflower processing plant at Enderlin, ND, round for heating the building and the weatherized in North Dakota in 2013. In its has utilized sunflower hulls and other biomass swimming pools. 32-year existence, the Deptartment of Energy’s as boiler fuel. The facility’s cogeneration unit Weatherization Assistance Program has ENERGY STAR in North Dakota produces approximately 10 percent of the Sources: Great River Energy, ARS Northern Great Plains provided weatherization services to 6.2 million needed power to operate the entire facility. Research Center, BeetsAll Biofuel, Clean Cities (DOE) ENERGY STAR is a joint program of the US low-income families nationwide. Environmental Protection Agency and the US ■ Homeowners participating in the Department of Energy assisting citizens in North Dakota Department of Commerce saving money and protecting the environment Weatherization Assistance Program achieve an through energy efficient products and average of 17-25 percent lower energy costs. practices. In North Dakota:

■ The 2013 ND legislature provided for a ■ 10 ENERGY STAR certified homes built in 2013 transfer of one-half of 1 percent of the oil ■ 664 ENERGY STAR certified homes built to date extraction tax deposited in the Resources Trust Fund to the energy conservation fund for ■ 29 ENERGY STAR certified commercial buildings public buildings, not to exceed $1.2 million per biennium. The program is administered ■ 1 ENERGY STAR certified industrial plant by the ND Department of Commerce and Sources: North Dakota Department provides matching grants for energy efficiency of Commerce, ENERGY STAR

Education/Workforce Training

■ The ND Department of Mineral Resources ■ In June 2013, an estimated 30,692 workers anticipates 190 rigs can drill the total wells were in direct or support positions for the needed in about 20 years, averaging about industries of oil and gas extraction, coal 2,000 wells a year. One new Bakken well mining, utilities and pipeline transportation, initially creates about three jobs, but over the with an estimated annual wage of life of the well, the jobs will decrease to one approximately $95,000. These statistics do job per well. The state could see a peak of not reflect employment or wages in ancillary This map was created by the National Renewable Energy Laboratory for the Department of Energy. about 70,000 oil related jobs near 2030, with businesses working in the energy field, about 45,000 - 50,000 of those jobs being such as trucking, construction, engineering, long term. manufacturing and repair services.

[28] Spotlight on North Dakota Energy [29] EDUCATION/WORKFORCE TRAINING

■ During 2013 North Dakota had an average ▷ Lineworker ■ In June 2013, Lake Region State College ■ The Energy & Environmental Research of 20,155 job openings per month. The two in Devils Lake, ND, dedicated a 1.6 MW Center (EERC) is a world-class applied ▷ Mechanical Maintenance occupational groups most closely associated wind turbine located about four miles from research, development, demonstration, and with the oil patch (Construction & Extraction ▷ Nuclear Power campus on ND State Highway 20. The turbine commercialization facility located at the and Transportation & Material Moving) is a key component of the school’s wind University of North Dakota in Grand Forks, ▷ Power Plant averaged nearly 3,500 openings per month. energy technician program that has been in ND. The EERC is recognized as a leading The 17 oil and gas producing counties ▷ Process Plant existence since 2009 and in 2011 received developer of cleaner, more efficient energy accounted for slightly over 1/3 of the state’s ▷ Renewable Generation the prestigious Seal of Approval from the technologies as well as environmental job openings. American Wind Energy Association. technologies. Programs include coal utilization ▷ Petroleum Production technologies, hydrogen technology, renewable ■ Bismarck State College hosts the National ▷ Water & Wastewater Technician energy and biomass utilization, emission Energy Center of Excellence (NECE), home controls, carbon capture and storage, to many nationally recognized energy ■ Bismarck State College is the lead institution alternative fuels, and oil and gas. industry degree and training programs. for a $14.6 million US Department of Labor The NECE works with regional and national grant to expand and improve training for ■ Bismarck State College, Williston State energy industries to offer training options energy-related careers. The four-year grant College, Lake Region State College and in maintaining certification/training was awarded in October 2012 to the TREND North Dakota State College of Science are requirements, educating new hires and to Consortium, a partnership between the state partners in TrainND. Established by the state supplement existing training programs. and tribal institutions of BSC, Fort Berthold legislature, TrainND works with businesses to Community College, Sitting Bull College, Turtle provide tailored workforce training programs NECE enrollments make up roughly one- ■ Mountain Community College and Williston in a variety of energy fields, including oil and fourth of the Bismarck State College student State College. gas operations, lease operators, well servicing, body, and students can complete programs commercial drivers license, wind energy, on campusEFFICIENCY or online using the center’s world- ■ In 2012, the University of North Dakota welding, etc. class lab equipment, online simulations, announced $14 million in funding and the Students using the solar array on location animations and real-time lab sessions. naming of the Harold Hamm School of at Bismarck State College National Energy Sources: Job Service North Dakota, Bismarck Geology and Geological Engineering. Center of Excellence. Photo courtesy of State College, University of North Dakota Energy Bismarck State College’s bachelor’s degree & Environmental Research Center ■ The project included a $10 million gift from Bismarck State College. of Applied Science in Energy Management Harold Hamm and Continental Resources, Inc. was ranked the 13th most affordable online and an additional $4 million from the management degree in the nation by ND Industrial Commission’s Oil and Gas GetEducated.com, a consumer group that Research Program to enhance education publishes online college and university rankings. and research in petroleum geology and ■ In 2013, 347 students graduated from related fields. 12 programs offered through the NECE (listed North Dakota Taxes below). Of those graduates that responded ■ The Legacy Fund was established in 2010 to the Bismarck State College Career Services ■ Thirteen of North Dakota’s 15 sectors as the state “nest egg” and is funded by 30 survey, 97 percent were continuing their reported growth in the third quarter of 2013, percent of the state oil and gas production education or were employed and earning a with wholesale trade and retail trade the top taxes. As of March 2014 the fund balance was salary typically ranging from $20-40 per hour. two growth sectors. North Dakota experienced $1.77 billion. Money from the Legacy Fund Those programs are: moderate growth in taxable sales and cannot be spent until 2017. Legislators can purchases within the state. The third quarter of then spend the interest, and the principal can Electric Power ▷ 2013 was up 2.44 percent at $6.947 billion only be spent with a two-thirds majority vote ▷ Electrical Transmission Systems compared to the same quarter in 2012. with the further restriction of only 15 percent of the principal every two years. Bachelor of Applied Science in ▷ A student completes his lab exercise on an ■ For 2012, the oil and gas gross production Energy Management tax revenue and the oil extraction tax revenue analytical process control trainer. Photo courtesy [31] totaled $1.66 billion, an increase of 70 Sources: North Dakota Tax Department, ▷ Instrumentation & Control of Bismarck State College Instrumentation and Control lab. percent over 2011 tax revenues. ND Office of Management and Budget

[30] Spotlight on North Dakota Energy North Dakota’s Rankings in the US

Crude Oil # Production 2 (2014) Bismarck State College National Energy Center of Excellence Ethanol Production PO Box 5587 # 9 (2013) Bismarck, ND 58506-5587 (701) 224-2410 [email protected] Coal energynd.com # Production 10 (2012)

Wind # Production 11 (2013)

Total Energy # Production 13 (2011)

Natural Gas # Production 15 (2012)

Total Electricity # Generation 36 (2013)

Sources: US Energy Information Administration, American Wind Energy Association, Renewable Fuels Association