2020 ANNUAL REPORT table of CONTENTS EDITOR’S COMMENTS ...................................................................................................... 3 ENERGY SITES OF NORTH DAKOTA ................................................................................... 4 A VIEW FROM ABOVE ....................................................................................................... 4 NORTH DAKOTA GENERATION .......................................................................................... 5 GENERATION ................................................................................................................... 6 Mining ..................................................................................................................... 6 Reclamation ............................................................................................................. 7 Coal-Based ................................................................................................................. 8 Peaking Plants ............................................................................................................. 9 Wind .........................................................................................................................10 Hydroelectric ..............................................................................................................14 Geothermal ................................................................................................................15 Solar .........................................................................................................................16 Recovered Energy ........................................................................................................18 Transmission and Distribution .......................................................................................19 Modes of High Voltage Electric Transmission ................................................................21 PETROLEUM ....................................................................................................................22 Oil and Gas Production ...............................................................................................22 Shale Energy Technology ..............................................................................................24 Refining .....................................................................................................................25 Pipelines ....................................................................................................................26 Synthetic Natural Gas ..................................................................................................28 Natural Gas Processing ................................................................................................29 Petroleum Marketing / Propane .....................................................................................31 BIOFUELS .......................................................................................................................32 Ethanol ......................................................................................................................32 Biomass / Biodiesel .....................................................................................................33 ENERGY RESEARCH .........................................................................................................34 ELECTRIC VEHICLES IN NORTH DAKOTA ...........................................................................36 NORTH DAKOTA TAXES ....................................................................................................37 NORTH DAKOTA JOBS .....................................................................................................37 EDUCATION/WORKFORCE TRAINING ...............................................................................38 The Great Plains Energy Corridor, housed at Bismarck State College’s National Energy Center of Excellence, works with partners in government, education, and the private sector to promote and enhance North Dakota’s energy development. Together we provide information, education, outreach programs and special events on a wide range of energy topics. www.energyND.com 2 Spotlight on North Dakota Energy editor’s COMMENTS Thank you for picking up the } In May of 2020, Great River } It’s anticipated that North 2020 edition of the Great Plains Energy, based in Maple Grove, Dakota’s natural gas production Energy Corridor’s Spotlight on Minn., announced it will shut down will exceed 4 billion cubic feet North Dakota Energy! This report is or sell the Coal Creek Station near per day. The development and a statistical overview of all forms of Underwood, N.D., in 2022, and expansion of natural gas processing energy in North Dakota for the year replace it with wind energy and plants will continue, which allows 2020. It’s updated annually and other resources. Coal Creek is the North Dakota to catch up on usually distributed at the end of the largest lignite-based power plant in processing capacity through 2021, first quarter of the following year. the state. but additional plants or expansions will be needed in the future. There’s no doubt that the } During that same year 2020 will be remembered announcement, Great River Energy } While storage of electricity as having a profound effect on said it would convert the coal and isn’t a proven technology thus far, North Dakota’s energy industry natural gas-fired Spiritwood Station it is increasingly being considered, and economy. The COVID-19 near Spiritwood, N.D., to operate especially paired with solar and pandemic not only affected the primarily on natural gas. sometimes wind, reducing the state’s infrastructure, it altered our negative impact of the variability of livelihood and our lifestyle. By the } In December of 2020, Dakota those resources. end of 2020, there seemed to be Gasification Company, owner a “light at the end of the tunnel” and operator of the Great Plains We would like to thank our as we returned to a “new” normal, Synfuels Plant near Beulah, N.D., industry partners for providing the or as some have stated, the “next” began supplying liquid carbon up-to-date information for this normal. dioxide to American Welding year’s report. and Gas in an effort to produce Here’s a quick look at some of “dry ice”, which is needed to Thank you for your continued the highlights from 2020: store COVID-19 vaccines at readership! recommended temperatures of } In January 2020, Basin minus 110 degrees F. Electric authorized the installation Alicia Uhde of another generating unit at its } The development of wind Director Lonesome Creek Station west of projects in North Dakota continues. Great Plains Energy Corridor Watford City, N.D.. It will be the Three new wind projects were same as the other five units at placed in service in 2020. The Daryl Hill the site – a natural gas-fueled state has some of the best wind Retired Manager of Communications generator with a capacity of 45 resources in the nation. Over the Basin Electric Power Cooperative megawatts. past 17 years, more than 4,000 megawatts of wind generation have } In mid-2020 the price of crude been installed. Federal tax credits oil was negative – in other words, continue to be an additional factor suppliers paid customers to take the for wind energy development in product. North Dakota. North Dakota is one of the only states with a multi-resource energy policy, guided by the EmPower North Dakota Commission. Through the EmPower North Dakota Commission, leaders from all major energy industries in North Dakota meet with one common goal: to be critical thinkers for the development of the state’s energy resources. www.EmPowerND.com www.energynd.com 3 energy sites of NORTH DAKOTA Minot Williston Grand Forks Dickinson Bismarck Fargo Natural Gas Processing Coal-Based Generation Lignite Mine Hydro Power Wind Farm Synfuels Plant Ethanol Plant Petroleum Refinery Recovered Energy Solar Farm Biodiesel Plant Peaking Station Generation Renewable Diesel Refinery Bakken Formation Oil Fields + Map courtesy of Bismarck State College National Energy Center of Excellence. .5% 3.2% A View From Above6.9% According to the North Dakota Commerce Department, North Dakota ranks second in the nation for total energy production from all sources including coal, natural gas, oil, hydro, and renewables. 27.5% 61.9% North Dakota Electricity Production North Dakota Total Energy Production .5% 3.2% 5%5% 6.9% Coal-Fired CrudeCrude Oil Oil Wind 9%9% NaturalNatural Gas Gas Hydro CoalCoal 27.5% Renewables Natural Gas-Fired 23%23% Renewables 61.9% Other 62% 62% Sources:Coal-Fired U.S. Energy Information Administration, North Dakota State Energy Profile Wind 4 SpotlightHydro on North Dakota Energy Natural Gas-Fired Other north dakota GENERATION North Dakota produces Electricity is very unique. It with natural gas. There aren’t electricity from a wide variety of is an “instant-use product,” any intermediate plants in North sources, including coal baseload which means that the moment Dakota. Intermittent plants are power plants, the hydroelectric it is produced (generated), it’s typically comprised of renewable turbines at Garrison Dam, a being used. It is not stored (on energy sources such as wind growing statewide network of a regional or commercial basis) or solar, and operate when the wind turbines, natural gas and or warehoused for use at a later resource is available