The North Dakota Industrial Commission has approved guidelines and timelines for a Natural Gas Pipeline Grant Program that would bring gas from the Bakken to central and eastern North Dakota.
The Legislature recently set aside $150 million in seed money for the pipeline in a special session.
That includes $10 million for a temporary connection between Grand Forks and the Viking Pipeline in Minnesota, to help provide gas to a proposed corn milling facility.
The grant application deadline for that project is March 1st…while the deadline for the pipeline from the Bakken is April 1st.
The guidelines include:
-requiring a minimum 60% match from the applicant…
-requiring that the applicant operate as a common carrier and demonstrate sufficient shipper commitments prior to receiving any funding; and…
-the establishment of a Natural Gas Review Committee that will review the applications and make a recommendation to the Commission.
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(Industrial Commission release:)
The North Dakota Industrial Commission approved the guidelines and timelines on Nov. 29 for a Natural Gas Pipeline Grant Program that received funding during the recent special legislative session.
The purpose of this one-time program and the appropriation is to provide grants to support the construction of pipelines to transport natural gas to eastern North Dakota and expand North Dakota’s economy, increase employment opportunities, augment sources of tax revenue and foster economic stability.
“The actions taken during the recent special session to utilize federal dollars for the development of North Dakota’s high-pressure natural gas pipeline infrastructure is key to increasing employment, adding value to our abundant natural gas supplies and stimulating economic activity across the state,” the Industrial Commission said in a joint statement. “This infrastructure will not only help North Dakota attract new industry but will enhance our efforts to capture natural gas that is produced with oil in western North Dakota.”
The guidelines include:
- requiring a minimum 60% match from the applicant;
- requiring that the applicant operate as a common carrier and demonstrate sufficient shipper commitments prior to receiving any funding; and
- the establishment of a Natural Gas Review Committee that will review the applications and make a recommendation to the Commission.
“This program will add much-needed natural gas takeaway capacity from western North Dakota to new and expanding businesses located right here in North Dakota,” said Justin Kringstad, Director of the North Dakota Pipeline Authority. “I also appreciate the Legislature stating their intent to provide additional funding support, if necessary, during the 2023 session to ensure the success of this one-time infrastructure program.”
The Industrial Commission, which oversees the Natural Gas Pipeline Grant Program, consists of Gov. Doug Burgum as chairman, Attorney General Wayne Stenehjem and Agriculture Commissioner Doug Goehring.
The first grant application deadline is March 1, 2022 for a project to transport natural gas to Grand Forks County. The second grant application deadline for a pipeline to transport natural gas from western North Dakota to eastern North Dakota is April 1, 2022. More information about the program, including the application process, will be available Dec. 3 on the Industrial Commission website.
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