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Released September 25, 2025 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land,
Texas)--With natural gas production increasing month-on-month, a North Dakota energy regulator said to expect more product moving out of the state through a regional pipeline project.
The North Dakota Department of Mineral Resources in its monthly Director's Cut report, published Tuesday, found natural gas production averaged 3.52 billion cubic feet per day (Bcf/d) in July, the last full month for which the state government published data.
That marked a 2% increase from June levels, while rigs in the state are down about 15% from the beginning of the year. An early-shale era standout for oil production, the Bakken formation in North Dakota may be getting gassier as it matures.
But according to federal estimates, Bakken gas levels are relatively static. The U.S. Energy Information Administration (EIA), the statistical arm of the Energy Department, found Bakken gas production averaged 3.3 Bcf/d in 2024, a level that should remain relatively unchanged for both this year and next.
Nevertheless, state authorities said they're keen on expanding pipeline capacity to deliver more gas to North Dakota's regional neighbors.
"We've got about 5-10% of North Dakota's natural gas production that stays locally within the North Dakota-Eastern Montana region," said Jason Kringstad, the executive director of the North Dakota Pipeline Authority. "The rest of that moves out of state."
The government is expecting more volumes to move out of the state once the Bison Xpress pipeline begins to deliver natural gas to the Rocky Mountain region.
A joint venture between TC Energy (Calgary, Alberta) and ONEOK (Tulsa, Oklahoma), Bison Pipeline LLC is aiming to bring the capacity on the network from 420 million cubic feet per day to 430 million cubic feet per day. The existing Bison Pipeline stretches some 300 miles across North Dakota, Wyoming and Montana.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can learn more about the Bison project here.
Slumping oil prices, along with the COVID-19 pandemic, thwarted momentum for new pipeline development in the shale-rich state, which according to the EIA holds about 2% of the nation's total natural gas reserves.
"If you can't move your gas and you have a finite amount of capital to invest in drilling, you're going to drill where you can market your gas, or you're going to do it in a different manner," Governor Kelly Armstrong said this summer. "So being able to move gas out of the Bakken will help produce more oil."
As the field matures due to production, heavier molecules associated with crude oil get trapped in subsurface pores while allowing lighter compounds such as natural gas to flow to the production well.
Oil production in the Bakken improved nonetheless. Production increased month-on-month by close to a full percent to reach 1.16 million barrels per day (BBL/d), which is also about 1% above the state's revenue forecast.
That trend could change, however, given the direction of U.S. commodities. North Dakota regulators said early this year that Bakken producers needed crude oil priced at around $60 to make a drilling profit, and perhaps even more to boost actual drilling.
West Texas Intermediate, the U.S. benchmark for the price of oil, was trading near $64 per barrel on Wednesday, though the federal government expects it to drop below $50 per barrel by next year.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
The North Dakota Department of Mineral Resources in its monthly Director's Cut report, published Tuesday, found natural gas production averaged 3.52 billion cubic feet per day (Bcf/d) in July, the last full month for which the state government published data.
That marked a 2% increase from June levels, while rigs in the state are down about 15% from the beginning of the year. An early-shale era standout for oil production, the Bakken formation in North Dakota may be getting gassier as it matures.
But according to federal estimates, Bakken gas levels are relatively static. The U.S. Energy Information Administration (EIA), the statistical arm of the Energy Department, found Bakken gas production averaged 3.3 Bcf/d in 2024, a level that should remain relatively unchanged for both this year and next.
Nevertheless, state authorities said they're keen on expanding pipeline capacity to deliver more gas to North Dakota's regional neighbors.
"We've got about 5-10% of North Dakota's natural gas production that stays locally within the North Dakota-Eastern Montana region," said Jason Kringstad, the executive director of the North Dakota Pipeline Authority. "The rest of that moves out of state."
The government is expecting more volumes to move out of the state once the Bison Xpress pipeline begins to deliver natural gas to the Rocky Mountain region.
A joint venture between TC Energy (Calgary, Alberta) and ONEOK (Tulsa, Oklahoma), Bison Pipeline LLC is aiming to bring the capacity on the network from 420 million cubic feet per day to 430 million cubic feet per day. The existing Bison Pipeline stretches some 300 miles across North Dakota, Wyoming and Montana.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can learn more about the Bison project here.
Slumping oil prices, along with the COVID-19 pandemic, thwarted momentum for new pipeline development in the shale-rich state, which according to the EIA holds about 2% of the nation's total natural gas reserves.
"If you can't move your gas and you have a finite amount of capital to invest in drilling, you're going to drill where you can market your gas, or you're going to do it in a different manner," Governor Kelly Armstrong said this summer. "So being able to move gas out of the Bakken will help produce more oil."
As the field matures due to production, heavier molecules associated with crude oil get trapped in subsurface pores while allowing lighter compounds such as natural gas to flow to the production well.
Oil production in the Bakken improved nonetheless. Production increased month-on-month by close to a full percent to reach 1.16 million barrels per day (BBL/d), which is also about 1% above the state's revenue forecast.
That trend could change, however, given the direction of U.S. commodities. North Dakota regulators said early this year that Bakken producers needed crude oil priced at around $60 to make a drilling profit, and perhaps even more to boost actual drilling.
West Texas Intermediate, the U.S. benchmark for the price of oil, was trading near $64 per barrel on Wednesday, though the federal government expects it to drop below $50 per barrel by next year.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
