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,