Hess Completes Expansion Of Tioga, N.D. Gas Plant

Hess Corp. (New York, N.Y.) has completed the expansion of its Tioga Gas Plant in North Dakota, which more than doubles the operational capacity of the facility. The project was part of a more than $1.5-billion infrastructure investment made by Hess between 2012 and 2014 in the Peace Garden State that has significantly increased production of propane, butane, natural gasoline, ethane, and methane.

Hess comments that the expansion brings a substantial improvement in efficiency and significantly reduces the amount of natural gas flared at its operations, from about 25% before the plant was shut down for the expansion project to 15% to 20% today. The corporation adds that its infrastructure improvements have also led to ethane being produced in North Dakota for the first time. The plant is fully operational and is currently processing about 120 MMcfd. It is expected that, through the combination of Hess and third-party gas, it will soon process at least 250 MMcfd, with the potential to increase beyond 300 MMcfd. Prior to the expansion, the plant processed about 100 MMcfd.

“The Tioga Gas Plant was built in 1954, just three years after we drilled the very first oil well in the state of North Dakota,” said John Hess, CEO of Hess Corp. “Today, as one of the largest oil and gas producers in the Bakken, we are committed to responsible, long-term growth in North Dakota and proud to contribute to the state’s infrastructure.

“North Dakota leads the oil and gas industry because it is an attractive place to invest, with strong public-private partnerships, responsible regulation, and a firm commitment to work hand-in-hand with the business community,” he added. “Since 2010, we have invested more than $10 billion in North Dakota, we currently have a 17-rig drilling program with 2014 net production expected to average 80,000 to 90,000 barrels of oil equivalent per day, and are proud to contribute to the state’s economic success.”