Spotlight 2025 Annual Report – Bismarck State College

2025 ANNUAL REPORT

TABLE OF CONTENTS

GE N ER AT ION

4

PE T ROLEUM

21

B I OFU E LS

30

E NE RG Y RESEARCH

32

TAXE S

33

WOR KFO RCE

34

E D UCAT ION & TRAINING

35

ABBREVIATIONS BCF - Billion cubic feet BPD - Barrels per day DDG - Dried distillers grains The Great Plains Energy Corridor,

GWh - Gigawatt-hour

housed at Bismarck State College’s

kV - Kilovolt

National Energy Center of Excellence,

KW - Kilowatt

works with partners in government,

KWh - Kilowatt-hour

education, and the private sector to

MCF - 1,000 cubic feet

promote and enhance North Dakota’s

MMCF - Million cubic feet

energy development.

MW - Megawatt

Together we provide information,

MWh - Megawatt-hour

education, outreach programs, and special events on a wide range of energy topics. www.energyND.com 2

S P OT L I G H T O N N O RT H DA KOTA E N E R G Y

Cover photo: Blue Flint Ethanol, courtesy of Harvestone Low Carbon Partners

EDITOR’ S COMMENTS Welcome to the 2025 edition of the Great Plains Energy Corridor’s Spotlight on North Dakota Energy! This report provides a comprehensive overview of our state’s energy sector.

study will evaluate technical and economic feasibility, as well as siting options, nuclear waste, and legal and regulatory issues.

FUELING THE WORKFORCE PIPELINE

Here’s a look at some of the highlights.

As the energy industry innovates and grows, so does the need for a skilled

ANOTHER RECORD-BREAKING YEAR

workforce. Through new partnerships led

North Dakota prides itself on its “all of the

by Bismarck State College with Career and

above” energy strategy. We consistently rank

Technical Education Centers across North

in the top 10 nationally for crude oil, wind,

Dakota, high school students are gaining

coal, natural gas, and ethanol production.

early exposure, college credit, and hands-on

This comprehensive approach reached

experience in high-demand energy fields.

new heights in 2025, including historic

These efforts not only open doors for students

achievements in both traditional production

but also strengthen the workforce pipeline

and carbon capture.

by connecting education directly to industry

In September, Dakota Gasification

needs.

Company’s Great Plains CO2 Sequestration REFLECTING ON 2025

Project, owned by Basin Electric Power Cooperative, broke the world record for CO2

These achievements reflect our state’s

sequestration three days in a row, capturing

commitment to being a global energy

147.7 million standard cubic feet per day.

powerhouse that values both production and

This project is the nation’s first to use both

responsibility.

enhanced oil recovery and geologic storage.

I would like to thank our industry partners

In October, North Dakota set a new record

and the EmPower North Dakota Commission

for the number of producing oil wells at 19,625.

for providing updated information, as well

This comes roughly a year after the state

as Andrea Blessum, who gathered data and

surpassed the milestone of having produced

wrote and designed this report.

5 billion barrels of oil.

And thank you for your continued interest in the future of North Dakota energy.

EXPLORING NEW FRONTIERS While North Dakota continues to experience growth in established sectors, 2025 also saw movement toward continued diversification.

An interim committee of the North Dakota Legislature in September engaged a contractor to study the feasibility of developing nuclear power in the state. The

Alicia Uhde Associate Vice President of Academic Affairs, Bismarck State College

W W W. E N E R G YN D.CO M

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Photo of Center Mine, courtesy of BNI Coal

A VIEW FROM ABOVE North Dakota is an energy powerhouse, ranking seventh nationally for total energy production.

From coal and natural gas to oil,

North Dakota produces electricity from a wide variety of sources, including coal baseload power plants, hydroelectric turbines, wind turbines, natural gas and fuel oil peaking

hydroelectric power, and renewable energy,

plants, heat recovery units, and solar power.

the state’s diverse energy mix plays a vital

Additionally, geothermal generation is being

role in fueling the region and supporting the

explored and nuclear power feasibility is being

nation’s energy independence.

studied.

ND TOTAL ENERGY PRODUCTION

ND ELECTRICITY GENERATION

Source: U.S. Energy Information Administration

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G E N E R AT I O N

NATION'S LOWEST ELECTRICITY COSTS

In 2025, North Dakota again had the

needed, improving grid flexibility and reliability.

lowest-cost electricity for residential (11.02

North Dakota is uniquely positioned to

cents/kilowatt-hour) and commercial use

meet the challenges of providing reliable

(8.05 cents/KWh), according to chooseenergy.

electricity. With a balanced portfolio of

com.

traditional baseload power from coal

The highest cost for residential electricity

and natural gas, combined with growing

in the U.S. was Hawaii at 41.62 cents/KWh

generation from wind and hydro, the state

for residential and 38.29 cents/KWh for

has a diverse energy system that can respond

commercial.

to extreme weather events, shifting demand, and regional stress. Where some states

RELIABILITY AND SUSTAINABILITY

may struggle during heat waves or polar

The electricity that powers our homes,

vortexes, North Dakota’s diversified electric

businesses, hospitals, and schools is

grid provides stability—not just for North

generated on demand, every second of every

Dakotans, but also for the broader region.

day. As demand fluctuates by the hour, the

As the nation transitions to a lower-carbon

season, or in response to sudden events, our

future, North Dakota demonstrates that

energy system must be flexible, responsive,

energy reliability and sustainability don’t have

and resilient.

to be at odds. The state’s approach shows how

Advancements in battery storage and

investing in energy diversity—paired with grid

other technologies are increasingly allowing

planning and innovation—can build a system

energy to be stored and dispatched when

as resilient as the communities it serves.

GENERATION

Power plants are classified as dispatchable

power; however, in September 2025 a

or intermittent. Dispatchable power plants,

North Dakota interim legislative committee

sometimes referred to as baseload power

engaged a contractor to study feasibility of

plants, are designed to increase or decrease

nuclear power in the state.

generation as required by the dispatcher.

Solar generation capacity has increased in

These include hydroelectric, coal-based, and

North Dakota, and utility-scale solar is under

natural gas-fired generators.

development. Wind is abundant in North

Plants fueled with natural gas are capable of rapid starts and can quickly achieve full generating capacity. They typically run a small

Dakota and the state continues to grow its generation fleet.

It makes no difference how electricity is

percentage of the time. Intermittent plants

produced. It’s all the same product; it just

are typically comprised of renewable energy

comes from different sources.

sources, such as wind or solar, and operate when the resource is available.

North Dakota does not have any nuclear

Every establishment that uses electricity is connected or “hard wired” to a power generation source through the electric grid.

G E N E R AT I O N

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GENERATION CONTINUED That source may be around the corner, down

Operator (MISO). These power pools connect

the block, or hundreds of miles away.

generating sources from many utilities, so

All generating sources are interconnected

if one source can’t produce electricity, the

through a power pool and a regional

other sources can “cover” for the source that

transmission operator (RTO). There are

isn’t producing. The RTOs also operate the

two power pools that operate in North

wholesale power market to purchase power

Dakota: the Southwest Power Pool (SPP)

from less expensive sources (when available)

and Midcontinent Independent System

to maintain low utility costs.

NORTH DAKOTA’S ENERGY SITES

Minot Williston Grand Forks

Dickinson Bismarck

Fargo

Natural Gas Processing

Coal-Based Generation

Lignite Mine

Hydropower

Wind Farm

Synfuels Plant

Ethanol Plant

Petroleum Refinery

Solar Farm

Biodiesel Plant

Recovered Energy Generation

Peaking Station

Renewable Diesel Refinery

Bakken Formation

Oil Fields

Map courtesy of Bismarck State College’s National Energy Center of Excellence

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G E N E R AT I O N

Photo by Tyler Freuer, 2019, North American Coal Corporation, Coyote Creek Mine, Beulah

MINING North Dakota has the secondlargest known reserves of lignite in the world—behind only Australia—with an estimated 26.5 billion tons of recoverable resources.

North Dakota lignite mines produced 23.4

drilling additive. Both mines have processing plants.

Lignite coal and commercial leonardite are taxed at a flat rate of $0.375/ton by the State of North Dakota. An additional two-cent-per-ton tax is levied for the Lignite Research Fund.

million tons in 2025. It is estimated that the

The lignite industry contributed more

state’s reserves would last more than 800

than $100 million in revenue to state and local

years at the current rate of consumption.

entities in 2024.

Nearly 80% of the state's lignite is used to generate electricity. The other 20% is used

VALUABLE MINERALS AND ELEMENTS

to make fertilizers and synthetic natural gas

The value of lignite coal extends beyond

as well as other products at the Great Plains

electricity generation. North Dakota's coal

Synfuels Plant.

seams also contain critical minerals and rare

There are two leonardite mines in North Dakota—the American Colloid Mine near

earth elements that are important to modern technologies.

Scranton and Leonardite Products Mine near

These materials support electronics,

Williston. Leonardite is a highly oxidized form

advanced manufacturing, and energy

of lignite used as a soil amendment and an oil

systems. They are also important to national

G E N E R AT I O N

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MINING CONTINUED security. Much of the current supply is

Between 1,500 and 2,000 acres of land are

imported, which creates challenges for long-

disturbed by coal mining and reclaimed each

term reliability.

year. Mining companies spend an average of

Researchers at North Dakota's Energy & Environmental Research Center (EERC) are developing ways to recover these materials

$30,000 to reclaim one acre of land, although costs can be as high as $60,000/acre.

More than 30,000 acres of permitted land

from lignite coal and coal byproducts. Their

in the state have gone through final bond

work is focused on improving efficiency and

release—the equivalent of about 46 square

lowering costs.

miles.

With continued progress, this effort could

North Dakota was a leader in establishing

support commercial-scale production and

reclamation laws in the 1970s. Current

create new opportunities in the region.

reclamation laws in North Dakota are based on federal regulations.

RECLAMATION

North Dakota lignite mines practice contemporaneous reclamation, which means simultaneously mining and reclaiming land.

Mining companies typically have three

ABANDONED MINE LANDS

North Dakota continues to identify and reclaim abandoned mines from before reclamation laws were in place. The North

years to reclaim mined land by grading and

Dakota Public Service Commission's

respreading the soil and seeding the land.

Abandoned Mine Lands Division, created in

After that, mines keep reclaimed land under

1981, exists to eliminate potential or existing

performance bond for at least 10 years to

hazards associated with abandoned coal

prove reclaimed land is as productive as it was

mines for which there is no continuing liability

before mining.

under state or federal law.

MINES IN NORTH DAKOTA ANNUAL

MINE

PRODUCTION

LOCATION

FACILITIES SERVED

OWNER/OPERATOR The Coteau Properties Company*

Freedom Mine

9.7M tons

8 miles NW of Beulah

Antelope Valley Station and Great Plains Synfuels Plant, Beulah; Leland Olds Station, Stanton

Beulah Mine**

In final reclamation

5 miles SW of Beulah

Heskett Station, Mandan (decommissioned in 2022)

Westmoreland Beulah Mining, LLC

Center Mine

5.6M tons

4 miles SE of Center

Milton R. Young Station, Center

BNI Coal Ltd. Falkirk Mining Company* Coyote Creek Mining Company*

Falkirk Mine

5.4M tons

Underwood

Coal Creek Station, Underwood; Spiritwood Station, Spiritwood

Coyote Creek Mine

1.8M tons

5 miles S of Beulah

Coyote Station, Beulah

*Owned by North American Coal Corporation. **Beulah Mine ceased production in March 2022 when Heskett Station was retired.

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G E N E R AT I O N

COAL-BASED GENERATION Coal-fired electricity helps anchor the regional power grid. It provides a baseload source of energy that runs through every season and in all conditions.

The lignite industry is the fifth largest industry in North Dakota.

North Dakota's lignite coal industry generates electricity for

In North Dakota, lignite coal fuels power

around 2 million businesses

plants located near the mines. This mine-

and consumers in the Upper

mouth setup creates a direct path from fuel to generation. Each coal-fired power plant

Midwest.

maintains a stockpile of coal, minimizing the

The lignite industry supports about

potential impact of fuel supply disruptions.

12,000 direct and secondary jobs.

COAL-BASED PLANTS IN NORTH DAKOTA COAL-BASED PLANT

OPERATING COMPANY

CAPACITY (MW)

Coal Creek Station

Rainbow Energy Center, LLC

1,146

Antelope Valley Station

Basin Electric Power Cooperative

900

Milton R. Young Station

Minnkota Power Cooperative

705

Leland Olds Station

Basin Electric Power Cooperative

660

Coyote Station

Otter Tail Power Company

427

Spiritwood Station*

Great River Energy

99

Total

3,937

*Spiritwood Station is a combined heat and power plant utilizing DryFine lignite coal and natural gas. Its primary product is steam, which is sold to the Dakota Spirit Ethanol and Green Bison Soy Processing at Spiritwood Energy Park near Jamestown. The plant also produces electricity for the regional grid.

DID YOU KNOW?

Each summer, the Lignite Energy

and participants tour mining operations,

Council hosts elementary and secondary

reclamation sites, and coal conversion

teachers from across the region at a teacher

facilities.

education seminar. Educators, researchers, and industry experts give presentations,

Since 1986, LEC has educated more than 4,000 teachers through its seminars.

G E N E R AT I O N

9

GAS-FIRED GENERATING PLANTS Peaking plants provide power generation companies with rapid response to regional peaks to meet the demand for electricity.

Additional generating capacity provided by smaller facilities can be used in extreme

of 270 MW. Lonesome Creek started commercial operation in 2013.

■

Pioneer Generation Station, located northwest of Williston, has three 45-MW units and 12 9.0-MW units.

In August 2025, Basin Electric’s Pioneer

weather conditions when electricity demand

Generation Station Phase IV was officially

exceeds the capacity of baseload facilities.

complete. The new natural gas-fueled

In most cases, these facilities are operated

generation facility is a combination of

remotely and can be powered up from

combustion turbine and reciprocating engine

standby status to full load very quickly.

units. The facility includes two 225-MW simple cycle combustion turbines, six reciprocating

FACILITIES IN NORTH DAKOTA

Basin Electric Power Cooperative operates two natural gas-fired peaking stations to help provide electrical stability in western North

engines totaling 112 MW, and 15 miles of 345-kilovolt (kV) transmission. It generates approximately 560 MW of electricity.

Great River Energy's Spiritwood Station is

Dakota.

a combined heat and power plant that uses

■

Lonesome Creek Station, located west

both DryFine lignite coal and natural gas. Its

of Watford City, has six 45-megawatt

primary product is steam, which is sold to

units, with a total generating capacity

the Dakota Spirit Ethanol and Green Bison

Photo of Blue Flint CO2 facility near Underwood, courtesy of Harvestone Low Carbon Partners

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G E N E R AT I O N

Soy Processing at Spiritwood Energy Park

Mandan: Heskett 3 and Heskett 4.

near Jamestown. The plant also produces electricity for the regional grid.

Montana-Dakota Utilities has two 88-MW

Otter Tail Power Company has two fuel oil combustion turbines in Jamestown with a total capacity of 41 MW.

natural gas-fired combustion turbines near

CO2 CAPTURE AND STORAGE North Dakota is leading the way in carbon capture and storage, leveraging its unique geology, advanced energy infrastructure, and forward-thinking policy to turn carbon challenges into economic opportunities.

secured both state and federal funding and is currently in the advanced stages of engineering, due diligence, and cost validation.

■

Summit Carbon Solutions has received permits for three CO2 storage sites in North Dakota associated with the

With some of the most ideal subsurface formations in the world for permanent

Midwest Carbon Express project. While

CO2 storage, the state is home to several

the facilities are not yet operational, the

groundbreaking projects.

permitted sites further reflect North Dakota’s growing role in large-scale carbon capture and geologic storage

CO2 CAPTURE IN NORTH DAKOTA

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Richardton captures and stores up to

■

development.

Red Trail Energy Ethanol Plant near ■

Harvestone Low Carbon Partners

170,000 metric tons of CO2 annually.

continues to expand its carbon

In February 2025, Gevo acquired Red

management initiatives across North

Trail Energy, including its ethanol plant,

Dakota. Following the successful startup

carbon capture and sequestration

of the Blue Flint Ethanol CCS facility

assets, and associated pore space.

in 2023, construction is anticipated to

Project Tundra is a Minnkota Power

begin in spring 2026 on the Dakota Spirit

Cooperative initiative to build one of the

CO2 Capture & Liquefaction Project.

world’s largest carbon capture projects

The project is expected to capture and

at its coal-based Milton R. Young Station

liquefy approximately 225,000 metric

near Center. Minnkota proposes to

tons of CO2 annually once operational.

capture approximately 5 million metric

Completion is anticipated in early 2027.

tons of CO2 annually, stored in deep

■

Basin Electric's Great Plains CO2

geologic formations approximately

Sequestration Project went into service

one mile underground near the power

in February 2024. The Great Plains

plant. Project Tundra has access to the

Synfuels Plant captures and sequesters

two largest, fully permitted CO2 storage

CO2 via a permanent geologic storage

facilities in the U.S. In total, the project

reservoir near the facility. In August 2025,

can store up to 222 million tons of CO2

the project broke the all-time and world

over a 20-year period. The project has

record for CO2 sequestration three days G E N E R AT I O N

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CO2 CAPTURE AND STORAGE CONTINUED in a row, capturing 147.7 million standard

can provide tens of millions of tons of CO2

cubic feet per day. It’s the nation’s first

annually.

project using both enhanced oil recovery and geologic storage.

This can allow the Bakken to maintain oil production for decades to come while simultaneously helping the lignite industry meet potential future regulatory standards.

ENHANCED OIL RECOVERY

Enhanced oil recovery (EOR) is key to

Carbon capture technology can be added to

ensuring the long-term productivity of

existing coal-fired power plants to capture

the Bakken Formation and continued tax

CO2 from flue gases.

revenue for the State of North Dakota. Massive

Several plants in the area are currently

quantities of CO2 will be needed to make EOR

performing advanced studies for adding

a reality in unconventional formations, and

carbon capture systems.

the lignite-fired power plants in North Dakota

WIND North Dakota has 4,951 MW of installed wind energy capacity, generating 36% of the state's electricity.

This puts North Dakota ahead of most of the countries in the world for percentage of electricity from wind generation.

Strong wind resources continue to deliver

a 200-MW facility near Bowman. Bowman Wind has power purchase agreements with higher education institutions, healthcare systems, and a group of public and nonprofit organizations.

Otter Tail Power upgraded and refurbished wind turbines at four of its

capacity factors exceeding 40%, among the

owned wind energy centers. The company

highest in the nation. This indicates that

repowered the Langdon Wind Energy Center

North Dakota’s wind resources are stronger or

in late 2024. Equipment upgrades at the

more consistent, allowing turbines to produce

Ashtabula, Ashtabula III, and Luverne Wind

more electricity relative to their potential.

Energy Centers were underway at the end of 2025. These efforts are expected to provide roughly 171 GWh of additional energy—the

RECENT PROJECTS

In 2025, Apex Clean Energy constructed

$26.2M STATE AND LOCAL TAXES

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G E N E R AT I O N

$28M

INCOME TO L A NDOWN E R S

equivalent of a new 40-MW facility.

4,000 PER M A N E N T, DI R ECT JO BS

52

PR OJECTS I N 28 CO U NT I E S

WIND PROJECT

COUNTY

OWNER COMPANY

POWER PURCHASER

Ashtabula Wind I (2008), II (2009)

Barnes, Griggs and Steele

NextEra Energy Resources

Minnkota Power, Great River Energy

Ashtabula Wind III (2010)

Barnes

Otter Tail Power Company

62.4

Ashtabula Wind Farm (2008)

Barnes

Otter Tail Power Company

48.0

Aurora Wind Project (2021)

Williams

Tradewind Energy

Baldwin Wind Energy Center (2010)

Burleigh

NextEra Energy Resources

102.40

Bison Wind 1 (2012, 81.8 MW), 2 & 3 (2013, 210 MW) and 4 (2015, 204.8 MW)

Oliver, Mercer, Morton

ALLETE, Inc. (MN Power)

496.6

Border Winds (2016)

Rolette, Towner

Northern States Power

Gap Inc., Basin Electric

MW 316.5

300.0

150.0 Virtual PPA Harvard, MIT Consortium for Climate Solutions

Bowman Wind Project (2025)E C

Bowman

Apex Clean Energy

Brady Wind Energy Center I (2016, 150 MW), II (2016, 150 MW)

Hettinger, Stark

NextEra Energy Resources

300.0

Cedar Hills Project (2010)

Bowman

Montana-Dakota Utilities

19.50

Courtenay Wind (2016)

Stutsman

Northern States Power

200.5

Emmons-Logan Wind Energy Center (2019)

Emmons, Logan

NextEra Energy Resources

Foxtail Wind Energy (2019)

Dickey

Northern States Power

Glen Ullin Energy Center (2019)

Mercer, Morton

ALLETE Clean Energy

Lake Region (2013)

Ramsey

Lake Region State College

1.6

Langdon Wind (2007, 118.5 MW) & expansion (2008, 40.5 MW)

Cavalier

NextEra Energy Resources

158.5

Langdon Wind Energy Center (2007)

Cavalier

Otter Tail Power Company

40.5

Lindahl Wind Project (2017)

Williams

ENEL Green Power

150.0

Luverne Wind Farm (2009)

Griggs, Steele

Otter Tail Power Company

49.5

Merricourt Wind (2020)

McIntosh, Dickey

Otter Tail Power Company

150.0

Minot Wind Project (2002, 2.6 MW; decommis 2022), 2 (2009, 4.5 MW)

Ward

Basin Electric

ND Wind I Energy Center (40.5 MW), II (21 MW)

LaMoure

NextEra Energy Resources

New Frontier Project (2018)

McHenry

Meadowlark Wind 1, LLC (Capital Power)

99.0

Northern Divide Wind (2020)

Burke

NextEra Energy Resources

200.0

Oliver County Wind I (2006, 50.6 MW), II (2007, 48 MW), III (2017, 100 MW), IV (2024, 200 MW)

Oliver, Morton

NextEra Energy Resources

Petersberg Wind Project (2002)

Nelson

Minnkota Power

0.9

Prairie Winds Project (2009)

Ward

Basin Electric

115.5

Rugby Wind Farm (2009)

Pierce

Iberdrola, Inc.

149.1

Sunflower Wind Project (2016)

Stark, Morton

Infinity Wind

104.0

Tatanka Wind Farm (2008, 90 MW in ND, 180 MW in SD)

Dickey, McIntosh

Acciona

90.0

Thunder Spirit (2015, 107.5 MW), expansion (2018, 48 MW)

Adams

Montana-Dakota Utilities

155.5

Valley City Wind Project (2002)

Barnes

Minnkota Power

Velva Wind Project (2005)

McHenry

Acciona

Northern States Power Company

12.0

Wilton Wind Energy I (2006, 49.5 MW), II (2009, 49.5 MW)

Burleigh

NextEra Energy Resources

Basin Electric (49.5 MW)

99.0

Six small projects

Various ND locations

Non-utility owners

Great River Energy

200.1

200 150.0

Northern States Power

100.0

4.5 Basin Electric, Otter Tail

Verizon Communications, Inc. (150 MW)

61.5

398.6

0.9

1.12

TOTAL

4,687.72

G E N E R AT I O N

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WIND CONTINUED ECONOMIC IMPACT

The economic impact of wind energy

receive a credit of 2.4 cents per kWh from utility-scale wind turbines during a project’s

development in North Dakota in 2025

first 10 years of operation. The credit was

included $26.2 million in state and local taxes

adjusted to 2.5 cents per kWh for inflation. The

and $28 million in income to landowners. The

Tax Extender and Disaster Relief Act of 2019

industry provides 4,000 permanent, direct

provided a short extension at the 60% level for

jobs in the state.

one more year.

The Inflation Reduction Act (IRA), which

FEDERAL TAX CREDITS

Federal tax credits in recent years, primarily

became law in 2022, replaced the wind PTC beginning in 2025 with technology-neutral

the Production Tax Credit (PTC) and the

credits for low-carbon electric generation.

Investment Tax Credit (ITC), have helped

It is expected to phase out in 2032, or when

lower the cost of building and operating wind

U.S. power sector greenhouse gas emissions

energy projects.

decline to 25% of 2022 levels, whichever is later.

Under the 2018 PTC, developers could

SOLAR Photovoltaic, or PV, solar energy technology is the most common way of producing solar electricity in North Dakota.

County. 295 MW; permitted June 2025.

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Geronimo's Harmony Solar project is in Cass County. 200 MW; permitted in November 2024.

There are gigawatts of proposed solar projects in the state, one being Otter Tail Power Company's Abercrombie Solar. The

ACTIVE SOLAR SYSTEMS

■

Cass County Electric Cooperative's Prairie

295-MW solar generation facility is under

Sun Community Solar project, Fargo,

development near Wahpeton and is expected

102 kilowatts (kW).

to be complete in 2028.

■

USDA Northern Great Plains Research Laboratory, Mandan, 50kW.

RECENTLY PERMITTED SOLAR PROJECTS

■

BATTERY STORAGE IN ND

Battery energy storage systems enhance grid reliability by storing excess generation for use during peak demand, improving transmission efficiency, and enabling greater integration of renewable resources.

G E N E R AT I O N

Otter Tail Power Company's Blue Jay Solar, Jamestown High School, 40kW.

Otter Tail Power Company's Abercrombie Solar project is in Richland

14

■ ■

Bismarck State College, 8kW.

Energy storage is an emerging component of North Dakota’s energy portfolio. Hundreds of megawatts of storage are proposed in interconnection queues, many paired with wind and solar projects.

HYDROELECTRIC Garrison Dam, North Dakota’s only source of hydroelectric power, is operated by the U.S. Army Corps of Engineers— Omaha District.

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Garrison Dam has five turbines with a total installed capacity of 583 MW.

■ ■

American tribes, state agencies, educational institutions, irrigation districts and rural water users, electric power cooperatives, and an investor-owned utility.

Much of the electrical power generated

The first unit began operating in January

at Garrison Dam serves customers in North

1956.

Dakota, Minnesota, Iowa, Montana, South

The dam produces an average of 2.6

Dakota, and Nebraska.

million MWh of electricity each year.

■

Dakota include municipal utilities, Native

WAPA is one of four power marketing

Lake Sakakawea, which was created by

administrations within the U.S. Department of

the Garrison Dam, is the third largest

Energy whose role is to market and transmit

reservoir in the U.S. by volume.

electricity from multi-use water projects.

The electricity from Garrison Dam is marketed by the Western Area Power Administration (WAPA). Customers in North

Photo of Garrison Dam, courtesy of U.S. Army Corps of Engineers

G E N E R AT I O N

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ELECTRIC & HYBRID VEHICLES The number of electric and hybrid vehicles grew in 2025. At year end, there were 1,097 plug-in hybrid vehicles, 1,783 EVs, and 12,209 hybrid vehicles registered in the state, according to the N.D. Department of Transportation. There are 146 charging stations in North Dakota.

North Dakota is slated to receive

The charging stations must be no more than 50 miles apart and within one mile of exits along federally designated alternative fuel corridors, which include Interstate 94 and Interstate 29.

As of August 2025, North Dakota's NEVI program is on hold following the release of new rules and guidance from the U.S.

approximately $25.9 million from the National

Department of Transportation. NDDOT is

Electric Vehicle Infrastructure (NEVI) Program

reevaluating its approach to align with federal

through fiscal year 2026 to build direct

rules and allow the deployment of chargers

current fast chargers for electric vehicles.

that better reflect North Dakota's features.

12,209

1,097

H YB RID VE H IC LES

PLU G-I N HYB R ID S

1,783

146

ELECT RIC VEH IC L E S

C HAR GI NG STATIO NS

RECOVERED ENERGY Recovered energy generation (REG), also known as heat-recovery generation or waste heat energy, is a process of capturing the heat from hot exhaust to drive a turbine and create electricity.

There are four REG sites in North Dakota.

The sites produce electricity using exhaust from compressor stations on the Northern Border Pipeline. The Northern Border Pipeline is a natural gas transportation system of 1,398 miles that links the Midwest with reserves in Canada.

Basin Electric Power Cooperative purchases

A subsidiary of Ormat Technologies

the electricity from three sites near Manning,

developed REG. This is the first use of this

St. Anthony, and Zeeland (5.5 MW each).

technology on a natural gas pipeline in the

Montana-Dakota Utilities owns one site near

U.S.

Glen Ullin (5.3 MW).

16

G E N E R AT I O N

Photo courtesy of Western Area Power Administration

TRANSMISSION & DISTRIBUTION North Dakota’s electric transmission network plays a critical role in grid reliability, grid resilience, and market economics for developing electric generation.

Investor-owned utilities were responsible for North Dakota’s initial transmission

T R A N S M I S SI O N VS . DI ST R I BUT I O N: WH AT ’ S T H E DI F F ER E N C E? Transmission lines begin at the source of power generation, like a power plant, and carry large volumes of high-voltage electricity over long distances.

Transmission of electricity is more efficient

development, followed by federal

at higher voltages like 115 kV, 230 kV, and 345

development of transmission lines, which are

kV, which are typical voltages in North Dakota.

now operated by WAPA. Electric generation and transmission

High-voltage transmission lines bring power from a generation source to a

cooperatives began developing both

substation, and distribution lines carry the

generation and transmission assets in the

power out of the substation to nearby homes

1960s.

and businesses. Distribution lines carry lowervoltage electricity from local substations to residential and commercial customers.

G E N E R AT I O N

17

TRANSMISSION & DISTRIBUTION CONTINUED ACTIVE T&D PROJECTS

TRANSMISSION OWNER

VOLTAGE

LOCATION

MILES OF BUILD

TARGET COMMISSIONING

DATE

Basin Electric

345 kV Leland Olds Station – Tande

162

2026

Basin Electric

230 kV Tande to Saskatchewan Power

58

2027

Basin Electric

Wheelock to Saskatchewan 230 kV Power

53

2027

MDU/Otter Tail Power

345 kV Jamestown to Ellendale

100

2028

MDU

115 kV Hettinger to Elgin

65

2029

465

2029

400

2032

135

2032

MN Power ALLETE GRID UNITED/MN Power ALLETE Xcel/Otter Tail/Great River Energy/Minnesota Power/ Missouri River Energy Services

HVDC Modernization Project (new converts on the Center and Duluth ends of the existing DC line; increasing capacity from 550 MW to 900 MW to potentially DC 1,500 MW St. Anthony and Center, ND – 525 kV DC Colstrip, MT

Mapleton, ND (Bison Station) to 345 kV Alexandria, MN

T&D PROJECTS IN THE PLANNING STAGE

TRANSMISSION OWNER

18

VOLTAGE

LOCATION

MILES OF BUILD

TARGET COMMISSIONING

DATE

Great River Energy/ Minnesota Power/Missouri River Energy Services/ Otter Tail Power/Xcel

Fargo to Alexandria Second 345 kV Circuit

136

2032

Basin Electric

Laramie River Station WY to 345 kV Belfield

439

2033

Great River Energy/Otter Tail Power/Minnesota Power

345 kV Maple River to Cuyuna

166

2033

Otter Tail Power/Xcel

Big Stone South to Hankinson to 345 kV Bison (Fargo)

150

2034

G E N E R AT I O N

AC VS. DC: TRANSMISSION LINE EVOLUTION

DC TRANSMISSION IN ND

There are two DC transmission lines

Direct current, or DC, moves in a constant, single direction. DC was the standard in the early years of electrification in the U.S.,

operating in North Dakota: ■

A 400-kV DC line carries electricity from

but it is difficult to convert to higher or

Rainbow Energy’s Coal Creek Station

lower voltages to meet different demands.

near Underwood to a delivery point in

Alternating current, or AC, on the other

Minnesota.

hand, can be converted to different voltages

■

A 250-kV DC line, owned by Minnesota

using a transformer. AC reverses direction

Power ALLETE, originates at the Milton R.

periodically, hence its name. AC electricity is

Young Station in Center and terminates

commonly used in homes and businesses.

near Duluth, Minnesota.

Minnesota Power ALLETE is modernizing

GROWING USE OF DC FOR LONG-DISTANCE

the converters on both ends of its line,

TRANSMISSION

increasing carrying capacity from 550 MW to

AC’s wave-like motion makes it efficient to distribute, so AC comprises the majority of transmission infrastructure. AC transmission

900 MW with potential to increase to 1,500 MW. Grid United is partnering with Minnesota

lines in North Dakota range from 41.6 kV to

Power ALLETE, NorthWestern Energy, and

345 kV.

Berkshire Hathaway Energy to construct the

High-voltage DC transmission lines are

North Plains Connector, a 525-kV HVDC line

becoming more common for long-distance,

(3,000 MW capacity) from Colstrip, Montana,

point-to-point delivery. DC lines require a

to St. Anthony and Center, North Dakota,

converter station at each end to convert the

connecting the west to both MISO and SPP.

power from AC current to DC current and back to AC at the termination point.

Converter stations are expensive to build, but DC line construction is less expensive than AC line construction. The lines are much more efficient than AC transmission meaning less electricity is lost as it moves along the line. The higher efficiency makes up for the expense of building the converters if the distance is more than around 300 miles.

DID YOU KNOW?

Accurate and regular load forecasts are a crucial part of planning for developing long-range transmission line projects.

G E N E R AT I O N

19

THE RISE OF REGIONAL TRANSMISSION ORGANIZATIONS AND ENERGY MARKETS In the early days of electrification, each utility served its own geographic area and generated enough energy to serve just its customers.

Individual utilities had to either generate

reliability and cost-effectiveness.

excess capacity to handle peak demand—or

usually independent, nonprofit entities that

face the risk of not having enough electricity

lead and manage short- and long-range

to meet peak demands. It was risky and

transmission plans and strategy for the region

inefficient.

to ensure a cost-effective, reliable, and secure

Over time, utilities began sharing

Today, RTOs are the dominant form of energy transmission and dispatch in the U.S. RTOs ensure the transportation of power is open and transparent to all parties. They are

grid.

resources.

They created interconnected systems, established purchase agreements, and shared the power they generated to better meet the needs of their collective customers.

This collaboration reduced costs for utilities and consumers and improved reliability.

Each utility continued to operate as a separate system.

Eventually, these interconnected systems evolved into regional transmission organizations, or RTOs, formed by

RTOs IN ND

Two RTOs operate in North Dakota:

neighboring utilities working with a common

MISO and SPP. North Dakota’s generation,

operator to control each of their systems. In

transmission, and utility companies allow

a full RTO with an energy market, the RTO

MISO or SPP to control their generation

operator dispatches energy generation

dispatch and transmission. The utilities retain

from the various generator units to meet

ownership, operation, and maintenance of

the needs of all utilities’ customers. This

their generation and transmission facilities.

larger collaborative effort further enhanced Map source: Federal Energy Regulatory Commission

20

G E N E R AT I O N

PETROLEUM

OIL & GAS PRODUCTION In 2024, North Dakota surpassed 5 billion barrels of oil produced since oil was discovered in 1951 near Tioga.

wells. About 13% are production from legacy

This achievement underscores the state’s

extremely low in North Dakota. Any activity

conventional pools.

Leasing activity for new drilling sites is

position as a leading energy producer, driven

consists of renewals and top leases in the

by advancements in drilling technology,

Bakken-Three Forks area. The focus as prices

strong industry investment, and the rich

recover will be less about adding new wells

reserves of the Bakken shale.

and more about completing wells that have

In October 2025, North Dakota set a new record for the number of wells producing:

been sitting, waiting for frac crews.

Drilled but uncompleted wells is more cost efficient for some operators at this time.

19,625.

The Bakken formation is now considered

A typical North Dakota Bakken well will

“mature” by industry, meaning many of

produce for more than 30 years. However,

the operators in the state are dedicated to

favorable economic conditions, enhanced oil

producing their acreage on a consistent

recovery efforts, and other factors can extend

and steady pace but that radical growth in

the life of the well.

production is less likely. Many of the new investments will be in value-added industries to capture by-products from the oil and gas production.

North Dakota remains the thirdlargest oil producer in the nation behind Texas and New Mexico.

The state’s drilling rig count dropped to 27 in December 2025. The state recorded its alltime high of 218 rigs in May 2012.

About 89% of producing wells are now unconventional Bakken and Three Fork This map shows shale plays across the lower 48 states. Source: U.S. Energy Information Administration

PETROLEUM

2211

OIL & GAS PRODUCTION CONTINUED Based on an average oil price of $50 per barrel, the average Bakken well: ■

producer is given six months to return the well to production or plug and reclaim the site.

Produces approximately 1,170,683 barrels

North Dakota requires a plugging and

of oil.

reclamation procedure to be submitted and

■

Generates about $31 million net profit.

approved by the N.D. Industrial Commission

■

Pays approximately $5,083,579 in taxes.

for each well site. Once approved, the process

–

$2,796,340 gross production taxes.

involves placing combinations of cement

–

$2,094,794 extraction tax.

plugs and mechanical plugs at strategic

–

$192,445 sales tax.

depths in the well. The N.D. Department of

■

Pays royalties of $9,487,516 to mineral

Mineral Resources' Oil and Gas Division field

owners.

inspectors witness the placement of plugs

■

Pays salaries and wages of $2,128,669.

and cement in the well. Once the well has

■

Pays operating expenses of $1,900,977.

been plugged, the casing is cut off three to

■

Costs $7,072,184 to drill and complete.

four feet below the surface and a steel plate is

A well is moved to inactive status after

welded on top, ending the life of the well.

three months of no production. Once the well hasn’t produced for 12 consecutive months, it goes into an abandoned status, and the

NORTH DAKOTA OIL AND GAS STATISTICS AVERAGE ND GAS PRODUCTION OIL PRICE

OIL PRODUCTION

WELLS WELLS PERMITTED PRODUCING

DECEMBER 2025

$50.95

3.339 BCF/day

34,771,242 barrels or 1,121,653 barrels/day

83

19,256

DECEMBER 2024

$64.99

104,616,219 MCF or 3,374,717 MCF/day

36,759,083 barrels or 1,225,303 barrels/day

87

19,207

$126.75 (June 2008)

3,582,821 MCF/day in December 2023

1,519,037 barrels/day in November 2019

370 in October 2012

19,625 in October 2025

RECORD

Source: N.D. Department of Mineral Resources

ENHANCED OIL RECOVERY AND THE BAKKEN FORMATION

With continued technological

Achieving this potential, however, depends

advancements and favorable market

on securing adequate carbon dioxide supplies

conditions, experts predict the Bakken could

for enhanced oil recovery, which could

yield 5 to 8 billion barrels over the next 30 to

significantly increase recovery rates. Without

50 years.

EOR, as much as 90% of the remaining oil in the Bakken may go untapped.

22

PETROLEUM

SHALE ENERGY TECHNOLOGY

underground reservoirs where it can flow

Technological advances including

more readily to a wellbore. Horizontal drilling

horizontal drilling and hydraulic fracturing

allows operators to drill more wells from a

have made it economically possible to drill for

single location, using up to 90% less surface

oil in the Bakken Formation. The Bakken shale

area to access more oil and gas resources.

play was previously undeveloped because

Hydraulic fracturing, or fracking, involves

conventional drilling methods were not able to

pumping a specially blended liquid into a well

access the trapped oil and gas.

under high pressure, creating fractures in the

“Shale oil” refers to hydrocarbons produced

underground rock to enable the recovery of oil

from shale and other tight rock formations.

and natural gas. More than 98% of the liquid

In these formations, oil and natural gas are

is a water and sand mixture. The remainder

trapped within low-permeability rock and

comprises various chemical additives

do not flow freely like conventional reserves.

dependent on well conditions that limit

Through horizontal drilling and hydraulic

bacteria and corrosion and increase efficiency.

fracturing, pathways are created that allow

The State of North Dakota requires

the hydrocarbons to flow to the wellbore

disclosure of the additives that companies

for production. Conventional crude oil, by

use via FracFocus.org, a website that provides

comparison, is naturally occurring liquid

public access to reported chemicals used in

petroleum that has migrated into porous

fracking as well as information on the fracking process.

REFINING North Dakota is home to two refineries, one that processes crude oil and another that processes renewable feedstock.

70°F LIGHTWEIGHT GASES RISE THROUGH THE TRAYS

The crude oil refinery in Mandan,

TRAYS CRUDE OIL IS HEATED TO 750°F

owned by Marathon Petroleum Corporation (MPC) since 2018, began

BP, Tesoro, and Andeavor.

MPC processes Williston Basin crude oil from North Dakota into gasoline, diesel fuel, jet fuel, heavy fuel oils, and liquefied

390°F

KEROSENES KEROSENE FOR HOME HEATERS, JET FUEL

570°F

in the state and employs around 310

NAPHTHAS GASOLINE

FURNACE

operations in 1954. It’s the largest refinery people. Previous owners include Amoco,

300°F

GAS OILS

DIESEL FUEL

CRUDE OIL IS FIRST SENT TO A FURNACE

840°F

LUBRICANTS MOTOR OIL

DOWNCOMERS 910°F

FUEL OIL

FUEL FOR SHIPS, CANDLES

HEAVY, UNREFINED OIL MOVES DOWNWARD

petroleum gas. Products are trucked and railed from Mandan. The refinery’s capacity is 71,000 BPD.

GASES

1070°F

BOTTLED AND NATURAL GAS

ASPHALT

ROAD TAR

PETROLEUM

23

PIPELINES WILLISTON BASIN CRUDE

The U.S. has the largest network of pipelines in the world, with 30,000 miles of gathering and transmission pipelines in North Dakota. North Dakota’s pipelines gather and transmit commodities, including around eight out of every 10 barrels of crude oil produced in the state.

OIL TRANSPORTATION

North Dakota’s transmission pipelines carry three types of products: ■

Crude oil: 18 pipelines.

■

Natural gas: Nine pipelines.

■

Carbon dioxide: Two pipelines.

MARKET GROWTH Bakken natural gas has a high content of natural gas liquids (NGL), such as ethane, propane, butane, and natural gasoline.

Source: N.D. Pipeline Authority

Updated forecast calculations from the N.D. Pipeline Authority estimate a potential of 1.2-1.4 million barrels per day (BPD) of NGL production from North Dakota in the coming decades.

For comparison’s sake, it would take about 500 truckloads or 140 rail cars a day to transport 100,000 BPD. Several pipeline expansion projects have been proposed or are in the planning stages in North Dakota.

subsoil are returned to the site, and the land is returned to its preconstruction contours and production. This includes getting land into condition for crop production or grazing, or working with wildlife groups to plant native grasses or other vegetation for wildlife forage or habitat.

BAKKEN EAST

Legislatively, North Dakota authorized

SAFETY

Pipelines remain the safest mode of energy transportation, according to the U.S. Department of Transportation, with more than 99.99% of all petroleum and natural gas products safely reaching their destinations.

RECLAMATION

During pipeline construction, topsoil and subsoil are removed and stockpiled nearby.

24

After pipeline installation, the topsoil and

PETROLEUM

up to $500 million in financial support/ guarantees for the proposed Bakken East natural gas pipeline project. The initiative reflects the state’s broader strategy to support continued Bakken production, reduce natural gas constraints and flaring, and expand reliable energy infrastructure connecting western production to eastern North Dakota demand centers.

NATURAL INFRASTRUCTURE Major MAJOR Natural GasGAS Infrastructure

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

Map courtesy of N.D. Pipeline Authority

Scan the QR code on the left to see the most upto-date maps of all North Dakota’s pipelines at northdakotapipelines.com/maps

PETROLEUM MARKETING/PROPANE According to the N.D. Petroleum Marketers Association, there are more than 400 petroleum marketers in North Dakota. The list includes around 700 service station dealers, convenience stores, and truck stops.

These operations deal in every aspect of refined petroleum and renewable fuel

to numerous retail outlets across the state.

In 2025, retail petroleum dealers in North Dakota sold: ■

436,793,046 gallons of taxable gasoline, up 4.5 million over the previous year.

■

651,355,035 of taxable special fuels other than propane (mostly diesel), down 22 million over the previous year.

products, ranging from wholesale and supply PETROLEUM

25

PETROLEUM MARKETING/PROPANE CONTINUED North Dakota petroleum marketers

Propane supplies have grown dramatically

continue to support research and

in recent years because of the numerous oil

development of renewable fuels as viable

shale plays in the U.S.

sources of alternate energy.

Propane serves a variety of residential,

North Dakota petroleum marketers also

commercial, and industrial needs. It is used as

supply another fuel critical to the state—

the prime heating source in 13.6% of homes

propane. Propane is a domestic fuel, serving

in North Dakota. In 2025, the state’s propane

to fortify national and energy security.

marketers sold more than 159.4 million gallons of propane.

651.4M

436.8M

159.4M

GAL LO NS O F TAXA B LE SPECI AL F U E LS

GAL LO NS O F TAXA B L E GAS O L I NE

GA L LO N S O F PR O PANE

S o ld in 202 5

So l d i n 2025

So l d i n 2025

SYNTHETIC NATURAL GAS The Dakota Gasification Company’s Great Plains Synfuels Plant, north of Beulah, is the only commercial-scale coal gasification plant in the U.S. that was originally designed to manufacture synthetic natural gas from lignite coal.

via the Great Plains Carbon Sequestration

It has a daily capacity of 170 MMCF of

than a mile below the surface formation.

natural gas, which is shipped via the Northern Border Pipeline to market.

Since the inception of the plant, there have been great strides to produce commercial products that displace synthetic

Project.

The project includes the 6.8-mile Dakota Carbon Pipeline and an injection well located on reclaimed land owned by the Coteau Properties Company. CO2 is injected more The Synfuels plant also has the capability to produce up to 64 million gallons of diesel exhaust fluid a year as well as up to 200 tons/ day of food-grade liquid carbon dioxide.

In addition to natural gas, these products

natural gas and refine co-products that are

include urea (agricultural fertilizer, cresylic

marketed throughout the U.S. and worldwide,

acid, phenol, tar oil, ammonium sulfate

including fertilizers and petrochemicals.

(agricultural fertilizer), anhydrous ammonia

In 2025, the plant consumed 4.23 tons of

(agricultural fertilizer), carbon dioxide and

coal, supplied via the Freedom Mine. In early

liquefied carbon dioxide, krypton/xenon gases,

2024, the Synfuels Plant began capturing

nitrogen, naphtha, and diesel exhaust fluid.

additional CO2 for permanent sequestration

26

PETROLEUM

NATURAL GAS PROCESSING The N.D. Pipeline Authority’s natural gas forecast estimates North Dakota could be producing 4.5-5.5 billion cubic feet (BCF) of natural gas each day in the mid-2030s. As of December 2025, natural gas production was 3.3 BCF/day.

The statewide gas flared volume in December 2025 was 151.3 MMCF, down from the year prior.

■

Statewide gas capture increased 1% to 95%.

■

Bakken gas capture increased slightly to 96%.

North Dakota currently has 33 natural gas processing plants operating in western North

The North Dakota Industrial Commission’s

Dakota, with many expansion projects being

natural gas capture goal is 91%.

planned or under construction.

Cerilon GTL is planning a $3.2 billion gasto-liquids plant in Williams County, which was approved by the ND Public Service Commission in September 2024. The plant is expected to produce 25,000 barrels per day

95%

of liquid hydrocarbon products. The owner is targeting a start-up date in 2030.

STAT EWI D E GA S CA PTU R E

Since 2010, natural gas processing capacity in North Dakota has grown nearly 781%,

According to the N.D. Department of

increasing from 491 MMCFD to 4,327 MMCFD in 2025.

Both U.S. and world crude oil inventories

Mineral Resources, private industry has invested more than $20 billion in additional

are improving. The U.S. strategic petroleum

natural gas gathering and processing

reserve grew slightly in 2025 over 2024. The

infrastructure to reduce flaring, and another

price of natural gas delivered to the Northern

$10-$15 billion will be needed in the coming

Border at Watford City remained low in 2025

years. Additional capacity is being planned to

compared to national and world benchmarks.

meet growing natural gas production in the near future.

GAS CAPTURE

North Dakota has made great strides in capturing the natural gas co-produced with oil, transforming what was once an ongoing challenge into a success story.

QUICK FACTS

■

five-year average.

The state’s record high flared percent was 36% in September 2011. As of December

U.S. natural gas storage is 1% above the

■

The state’s first liquefied natural gas

2025, 5% of the natural gas produced in North

plant is near Tioga. LNG is natural gas

Dakota was being flared. As gas volumes

that has been converted to a liquid form

continue to grow, the state maintains a strong

for easier storage and transportation.

percentage of gas capture.

PETROLEUM

27

NATURAL GAS FACILITIES IN NORTH DAKOTA CAPACITY (MMCFD)

NATURAL GAS FACILITY

OWNER COMPANY

COUNTY

Arrow

Crestwood/ETP

McKenzie

150

Badlands

Kinder Morgan

Bowman

40

Badlands

Targa Resources

McKenzie

90

Bear Creek

ONEOK

Dunn

130

Bear Creek II

ONEOK

Dunn

200

Belfield

MPLX

Stark

35

County Line

Crestwood/ETP

Williams

60

Demicks Lake

ONEOK

McKenzie

200

Demicks Lake II

ONEOK

McKenzie

200

Demicks Lake III

ONEOK

McKenzie

200

DeWitt

USG Midstream Bakken

Divide

Garden Creek I

ONEOK

McKenzie

120

Garden Creek II

ONEOK

McKenzie

120

Garden Creek III

ONEOK

McKenzie

120

Grasslands

ONEOK

McKenzie

90

Hay Butte

Caliber Midstream

McKenzie

10

Lignite

Steel Reef

Burke

6

Little Knife

Petro Hunt

Billings

27

LM4

Targa/Hess JV

McKenzie

200

Lonesome Creek

ONEOK

McKenzie

280

Norse

Kinder Morgan

Divide

Prairie Rose

Aux Sable – Chicago, IL

Mountrail

126*

Ray

Chord Energy

Williams

25

Ray

XTO – Nesson

Williams

100

Red Wing Creek

True Oil

McKenzie

15

Robinson Lake

MPLX

Mountrail

150

Roosevelt

Kinder Morgan

McKenzie

200

Sanderson

Kinder Morgan

Williams

270

Spring Brook

1804 Ltd

Williams

70

Stateline I

ONEOK

Williams

100

Stateline II

ONEOK

Williams

120

Tioga

Hess

Williams

415

Watford City

Kinder Morgan

McKenzie

90

Wild Basin

Oasis

McKenzie

320

TOTAL

3

25

4,307

*Aux Sable facility has the capacity to transport and process up to 110 MMCFD of ND natural gas at its Chicago facility.

28

PETROLEUM

Photo of Dickinson Renewable Diesel Facility, courtesy of Marathon Petroleum

RENEWABLE DIESEL Renewable diesel is a fuel made from fats and oils, such as soybean oil or canola oil, and is processed to be chemically the same as petroleum diesel. It is not refined from crude oil. It meets specification for petroleum in the U.S. and Europe.

Renewable diesel can be used as a replacement fuel or can be blended into petroleum diesel at any level, making it

The plant provides an important tie between the energy and agriculture industries. It creates 600 million pounds of refined soybean oil per year, fueling the production of renewable diesel. It’s expected to generate 1.28 million tons of soybean meal, supporting animal agriculture production in the region.

In 2021, Marathon Petroleum's Dickinson

different from biodiesel, which can only be

Renewable Diesel Facility became a 100%

blended at rates between 2% and 20% of

renewable facility by reaching its design

diesel fuel by volume.

production capacity of 184 million gallons a

As of Jan. 1, 2025, the U.S. Energy Information Administration reported 22

year.

Constructed by WBI Energy near

domestic plants in 10 states with capacity of

Dickinson and originally known as Dakota

4.2 billion gallons per year of renewable diesel

Prairie Refining, the facility was the first

and other biofuels. North Dakota has the only

greenfield diesel refinery to be built in the

renewable diesel refinery in a three-state

U.S. since the late 1970s.

region.

It came online in May 2015. In late 2020, the facility was converted to produce

RENEWABLE FACILITIES IN ND

The Green Bison Soybean Processing plant

renewable diesel fuel from soy oil and other organically derived feedstocks.

in Spiritwood is North Dakota’s first dedicated soybean crushing plant and refinery. The facility is a joint venture between ADM (75% owner) and Marathon Petroleum (25% owner), and opened in September 2023.

PETROLEUM

29

BIOFUELS

ETHANOL North Dakota’s ethanol industry contributes $1.7 billion in economic activity each year to the state’s economy.

State and local taxes contribute $8.5 million annually. The industry employs nearly 1,200 workers directly and indirectly in rural communities across the state.

carbon capture and storage and sustainable aviation fuel pathways.

One of the most important roles for ethanol’s future is in low carbon fuel markets.

Improvements in farming practices, plant operations, and technologies are reducing the carbon intensity of ethanol.

North Dakota’s ethanol industry is a national leader in efforts to decrease its

IN PARTNERSHIP WITH AGRICULTURE

Ethanol has been a part of North Dakota’s agricultural economy since 1985. It found

carbon footprint. The state’s ethanol plants can capture up to 2.4 million tons of carbon emissions annually.

a home in North Dakota at a time when farmers were looking for new markets for their commodities and fuel production was changing nationwide.

Starting in the mid-2000s, consumers and the federal government were looking for fuel with a lower carbon footprint. In 2006, Congress passed the Renewable Energy Policy Act of 2005, which mandated inclusion of specific volumes of renewable fuels with the goals of reducing greenhouse gas emissions, expanding the nation’s fuel supply, and reducing reliance on imported oil in the nation’s fuel usage.

Since 2007, six ethanol plants have been built in North Dakota. Today, those facilities have a combined annual production capacity of more than 550 million gallons.

THE FUTURE OF ETHANOL

As agriculture and energy markets change, ethanol is adapting and growing.

North Dakota ethanol plants and producers are investing in processes to improve efficiency and lower emissions, including 30

BIOFUELS

RELIABLE LOCAL MARKET FOR ND FARMERS One way ethanol provides value to rural communities and ag producers is by providing producers with a local outlet for their corn. Rather than relying heavily on export markets or long-distance supply chains, producers can sell corn closer to home—often making the price producers receive higher.

Every year, North Dakota’s ethanol plants use more than 185 million bushels of corn each year, with more than 80% of the corn purchased from North Dakota farmers. In total, between 40 to 60% of the state’s annual corn production is used by North Dakota ethanol facilities.

At the end of the production process, the ethanol produced in North Dakota goes to both local and national markets. About 10% of North Dakota ethanol is sold within the state, while the remaining 90% is shipped across the United States and into Canada.

Photo of Dakota Spirit Ethanol Plant near Spiritwood., courtesy of Harvestone Low Carbon Partners

ETHANOL PLANTS IN NORTH DAKOTA ETHANOL CA PA C I T Y (MILLION GALLONS)

CORN OIL (MILLION BUSHELS)

ETHANOL PLANT

LO CAT I O N

Harvestone Low Carbon Partners Blue Flint Ethanol

Underwood

44

76

25

185,000

2.9

Guardian Energy Hankinson

Hankinson

56

162

53.7

334,000

7.26

Gevo North Dakota

Richardton

48

68

24

200,000

2.8

Tharaldson Ethanol*

Casselton

83

175

58

324,000

9

Harvestone Low Carbon Partners Dakota Spirit

Spiritwood

37

80

27

170,000

4.2

BI Biorefinery**

Grand Forks

-

-

-

-

-

268

561

187.7

1,213,000

26.16

Totals

E M PLOYEES

CORN USED (MILLION BUSHELS)

DDG (TONS)

* Tharaldson Ethanol also produces 100,000 tons annually of high-protein feed. ** The BI Biorefinery has not operated since 2023.

BIOFUELS

31

ENERGY RESEARCH

ENERGY RESEARCH The University of North Dakota’s Energy & Environmental Research Center (EERC) has been at the forefront of energy innovation for decades, advancing practical solutions to the world’s energy and environmental challenges.

With a history rooted in energy research since the 1950s, the EERC has evolved into a

storage in geologic formations.

The EERC also supports efforts to utilize carbon dioxide in enhanced oil recovery, helping extend the value of North Dakota’s existing energy resources.

STATE ENERGY RESEARCH CENTER

As North Dakota’s State Energy Research

globally recognized leader in applied energy

Center (SERC), the EERC leads research

science, working with government, industry,

initiatives that address emerging energy

and academic partners to strengthen energy

opportunities and challenges. Areas of focus

systems while supporting economic growth

include methane emissions reduction,

and environmental performance.

direct air capture, hydrogen production, and advanced carbon materials.

ADVANCING ENERGY SYSTEMS ACROSS KEY

SERC also supports workforce development through programs such as

AREAS

The EERC conducts research and

Energy Hawks, where students collaborate

technology development across a range of

with researchers on real-world energy

energy topics critical to North Dakota and

challenges.

the nation. Key focus areas include carbon management, hydrogen and alternative

COLLABORATION AND INDUSTRY

fuels, oil and gas optimization, and energy

PARTNERSHIPS

infrastructure.

Work in these areas supports the

The EERC works closely with industry, government, and research partners to

development of scalable solutions that

advance technologies from concept through

enhance energy production, improve

demonstration and deployment. Collaborative

efficiency, and reduce emissions across power

programs focus on improving infrastructure

generation and industrial sectors.

reliability, optimizing resource recovery, and advancing carbon management solutions at

CARBON MANAGEMENT AND UTILIZATION

The EERC plays a leading role in advancing

scale.

Through these efforts, the EERC continues

carbon capture, utilization, and storage

to support North Dakota’s role as a leader in

(CCUS), supporting both power generation

reliable, innovative, and responsible energy

and industrial applications. Research

development.

focuses on improving capture technologies, expanding opportunities for carbon utilization, and enabling safe, permanent 32

ENERGY RESEARCH

TAXES

FINANCIAL IMPACT On average, oil and gas taxes generate more than half of North Dakota’s total tax revenue.

LEGACY FUND

■

Corporate and individual income tax

state’s oil and gas taxes. As of December 31,

collections increased in 2025 compared to

2025, the Legacy Fund’s value was $13.6 billion.

2024.

■ ■

The Legacy Fund, established in 2010 as the state’s “nest egg,” is funded by 30% of the

Legislators can spend the principal of

Taxable sales and purchases grew slightly

the fund with a two-thirds majority vote in

in 2025 compared to 2024.

each house. There is an additional limitation

In 2025, North Dakota crude oil prices

restricting any expenditure of Legacy

peaked in January at $68.76 per barrel and

Fund principal to a maximum of 15% in any

ended the year at $51.85 in December.

biennium.

As natural gas production is projected

Lifetime distributions total $2.5 billion.

to rise due to increasing gas-to-oil ratios, attracting new businesses that sustainably add value to this resource will be critical for the state’s long-term economic health.

Photo of Bear Creek separator stack, courtesy of ONEOK

TAXE S

33

Photo courtesy of Kari Suedel, EERC

WORKFORCE

CAREERS IN ENERGY The N.D. Department of Mineral Resources estimates that, depending on the pace it takes for the price of oil to rebound, an additional 40,000-45,000 wells will be drilled over the next 30 years.

The state could see a peak of about 87,000 oil-related jobs near 2030, with about 70,000 of those jobs being long term.

Job Service North Dakota's (JSND)

approximately $136,413.

These statistics do not reflect employment or wages in ancillary businesses or industries working in the energy field, such as trucking, construction, engineering, manufacturing, and repair services.

The unemployment rate in the state was 2.5% as of December 2025, unchanged from December 2024.

Quarterly Census of Employment & Wages 2024 shows that in 2024 an estimated 23,375

JOB OPENINGS

workers were in direct or support positions

There continue to be numerous job

for the industries of oil and gas extraction,

opportunities in the state. Data from JSND’s

coal mining, support activities for mining,

Online Job Openings Report showed a

utilities, and pipeline transportation, with

total of 13,483 openings in December 2025.

an estimated annual average wage of

The two occupational groups most closely

34

WORKFORCE

associated with opportunities in the oil

gas producing counties. The 17 oil and gas

patch—construction and extraction, and

producing counties saw a decrease of 21.5%

transportation and material moving—

in total job openings over the year and a 5.3%

accounted for 1,794 of those openings

increase over the past five years.

statewide.

These figures reflect a year-over-year increase in total openings across the state and a year-over-year decrease in the 17 oil and

13,483

$136,413

J OB OPE NINGS

AVE RAG E A NNUA L

As o f D ecem b e r 202 5

Est i mate d Wa g e fo r Di re c t an d Sup p o r t Po si t i o ns

87,000 A NT I CIPATED Peak I n O i l-Rela ted J o b s Nea r 2030

EDUCATION & TRAINING

BUILDING TALENT FOR THE ENERGY SECTOR Bismarck State College (BSC), North Dakota’s Polytechnic Institution, has been training the current and future energy workforce since 1970. BSC offers certificate, associate, and bachelor degree options across 13 disciplines— from facility operations and technical roles to supervisory and management careers.

refining, ethanol and biofuels, and water and wastewater technology.

BSC’s hands-on, high-skill programs are grounded in the principles of STEAM (Science, Technology, Engineering, Arts, and Math), preparing learners to solve complex technical, economic, and community challenges.

■

809 students are enrolled in BSC energy programs—on campus or online— each semester, using world-class lab equipment and simulations, and real-

ENERGY PROGRAMS

time lab sessions.

Programs include industrial operations, mechanical systems, instrumentation,

■

In 2025, 311 students earned a degree

automation, robotics, and energy service

or certificate through BSC’s National

technologies. These programs support

Energy Center of Excellence (NECE)

careers in traditional power stations, wind

programs.

and solar facilities, electrical transmission

■

Of the graduates who responded to a

and distribution, linework, system operations,

BSC Career Services survey, 98% were

petroleum production, oil and gas processing,

employed, continuing their education, E D U CAT I O N & T R A I N I N G

35

809

311

ENRO LL E D

E AR NE D

E MPLOYED

In Energy Programs Fall 2024 & Spring 2025

A BSC NECE Degree or Certificate In 2025

Or Continuing Their Education or Serving In the Armed Forces

or serving in the armed forces. Reported salaries ranged from $26 to $40+ per hour.

■

Additional higher education contributions to North Dakota’s energy workforce include: ■

The Harold Hamm School of Geology

The NECE provides customized training

and Geological Engineering at the

for regional, national, and international

University of North Dakota (UND)

energy companies to support

provides education and research in

certification requirements, onboard new

petroleum geology and related fields.

hires, and supplement internal training ■

98%

■

Lake Region State College (LRSC)

programs.

in Devils Lake offers a Wind Energy

In FY24, BSC delivered non-credit

Technician program utilizing a 1.6 MW

training to 445 individuals representing

wind turbine near campus.

85 companies, and hosted 143 training

■

events.

North Dakota State University in Fargo offers degrees in engineering, geology, agriculture, and other fields aligned with energy careers.

Photo courtesy of Bismarck State College

■

Other state institutions—Williston State College (WSC), Minot State University, and North Dakota State College of Science (NDSCS)—offer additional energy-related degree programs.

TRAINND

TrainND, a partnership among BSC, WSC, LRSC, and NDSCS, works with businesses to deliver customized training in oil and gas operations, lease operations, well servicing, wind energy, welding, and more.

36

E D U CAT I O N & T R A I N I N G

PILOT PROGRAM EXPANDS TECHNICAL DUAL CREDIT COURSES BSC's Automation, Energy, and Advanced Technology (AEAT) Division has recently dedicated significant time and resources to a pilot initiative designed to expand dual credit technical course opportunities to North Dakota high school students.

This effort uses a hybrid delivery model

available at the secondary level.

■

Strengthen the energy and automation workforce pipeline by preparing more entry-level, job-ready technicians to meet industry needs.

PROGRAM GOALS

The technical education goals are to

that emphasizes hands-on, face-to-face lab

equip students with the knowledge and skills

experiences paired with online asynchronous

necessary to meet established energy and

coursework, delivered through Secondary

automation technical learning outcomes

Career and Technical Education (CTE) Centers

and industry standards. To support this,

across North Dakota.

BSC has implemented a rotating model of transporting high-quality industrial training

CTE COLLABORATION

equipment to CTE centers, enabling five

As part of this initiative, the BSC AEAT

in-person, six-hour learning lab experiences.

Division engaged with multiple CTE directors

These learning lab days emphasize a hands-

and school administrators to initiate

on experiential approach that complements

discussions around improving student access

the online coursework—where students first

to technical career pathways, particularly in

engage with theory and simulations.

program areas not currently offered in high schools or CTE centers, giving way to new dual credit high school student pathways like energy and automation.

ENROLLMENT

The conclusion of spring 2026 will mark the completion of the first year of AEAT’s dual

Initial outreach efforts resulted in the

credit pilot program. Collaborative efforts

establishment of formal Memorandums

among BSC leadership, faculty, and staff—

of Understanding with several secondary

along with CTE directors and counselors

education partners in CTE centers across

in Williston, Dickinson, Jamestown, and

North Dakota. These partnerships were built

Bismarck—have led to 100+ enrollments.

around a shared value proposition to: ■

■

The result of the pilot program was

Increase awareness among counselors

partnerships and MOUs between BSC and

and students of in-demand energy

CTE centers in Bismarck, Dickinson, Williston,

and automation technical career

and Jamestown.

opportunities within North Dakota.

2026-27 dual credit expansion is planned

Expand student access to energy and

to include Watford City, Minot, Beulah-Hazen,

automation technical courses and

Wishek, and southwest North Dakota.

certificate pathways not currently E D U CAT I O N & T R A I N I N G

37

Bismarck State College National Energy Center of Excellence P.O. Box 5587 Bismarck, ND 58506-5587

701-224-2445 www.energynd.com bsc.gpec@bismarckstate.edu

T H AN K YO U !

We would like to thank the many subject-matter experts who provided comments and updates to the data in this publication. They include: ALLETE Clean Energy, Bank of ND, Basin Electric Power Cooperative, Bismarck State College, Cass County Electric Cooperative, Dakota Gasification Company, EERC at the University of North Dakota, Great River Energy, Harvestone Low Carbon Partners, Job Service ND, Lignite Energy Council, Marathon Petroleum Corporation, MDU Resources Group, Minnkota Power Cooperative, Montana-Dakota Utilities Co.,

ND Department of Commerce, ND Department of Transportation, ND Ethanol Council, ND Ethanol Producers Association, ND Petroleum Council, ND Petroleum Marketers Association, ND Pipeline Authority, ND Public Service Commission, ND State Tax Department, ND Transmission Authority, ND Association of Rural Electric Cooperatives, ONEOK, Otter Tail Power Company, U.S. Army Corps of Engineers, Verendrye Electric Cooperative, Western Area Power Administration, and Wind Industry of ND.

NORTH DAKOTA’S NATIONAL ENERGY RANKINGS

#3

C R UD E O IL PR O D UCT IO N

#6

WIND PR O D UCT IO N

#6

COA L PR O D UCT IO N

#8

TOTA L E NE R GY PR O D UCT IO N

#9

NATU RA L GAS PRO DU CT I ON

HA NO L TOP ET PRO DU CT I ON 10 CA PACI TY

#34

TOTA L NET ELECT RI CI TY G ENERAT I ON

Sources: U.S. Energy Information Administration, American Wind Energy Assoc., Renewable Fuels Assoc.