Alliance Pipeline Transports First Bakken Natural Gas

The first dense phase rich natural gas from the Bakken is being transported to the Chicago hub via the Alliance Pipeline system. Alliance Pipeline recently completed construction of a new interconnect facility near Bantry, North Dakota which connects to Pecan Pipeline's 12", 76-mile Prairie Rose Pipeline. The new interconnect provides a much needed route to bring natural gas and natural gas liquids (NGLs) from the Bakken to market.

While the Bakken is primarily an oil play, a significant amount of associated natural gas is also being produced. Natural gas is the cleanest burning and environmentally preferred fossil fuel, but without pipeline infrastructure in place to move this clean energy to market, nearly one third of the resource is being burned or flared as a waste by-product in this area. The Alliance Pipeline system runs directly through the Williston Basin and is well positioned to transport additional gas via such interconnections. Alliance Pipeline currently has the capacity to accept additional gas in the US part of its system.

"As the lead time to build new infrastructure can be many years, enhancements to an existing transmission system are the most efficient and economical way to transport natural gas from the Bakken to market. Furthermore, the Alliance Pipeline system transports rich natural gas, which means the NGLs are extracted at the delivery point, rather than at the production source, reducing processing and transportation costs for producers using the Alliance system by avoiding new plant construction," says Murray Birch, president and chief executive officer, Alliance Pipeline. This new interconnection near Bantry, North Dakota is the first field receipt point on the US side of the Alliance Pipeline system.

John Hoeven, Governor, North Dakota sees the new interconnection as an important and strategic project. "The new Prairie Rose Pipeline will help us capture up to 100 million cubic feet of natural gas a day, reducing flaring and increasing industry production," said Governor Hoeven. "This is another example of how we're producing more energy in North Dakota with better environmental stewardship."