WBI Energy, Inc., a subsidiary of MDU Resources Group, Inc. (NYSE: MDU), began construction this week on the North Bakken Expansion project in northwestern North Dakota. This natural gas pipeline expansion will have capacity to transport 250 million cubic feet of natural gas per day from the Bakken Formation. WBI Energy received a notice to proceed on July 8 from the Federal Energy Regulatory Commission, allowing construction to commence.

“WBI Energy transports more than 50% of the natural gas produced from the Bakken. This project will bring WBI’s total pipeline system capacity to more than 2.4 billion cubic feet per day while reducing natural gas flaring in the region by allowing producers to move more gas to market. Producers have reinforced their need for this additional capacity by committing to long-term transportation contracts with WBI,” said David L. Goodin, president and CEO of MDU Resources. “We appreciate the support from state and federal officials who helped elevate the significance of this project for both its environmental and economic benefits.”

The North Bakken Expansion project includes construction of approximately 63 miles of 24-inch natural gas pipeline and 30 miles of 12-inch natural gas pipeline, as well as a new compressor station and additional associated infrastructure. It is estimated to cost $260 million and, during peak construction, is expected to employ up to 450 people. WBI Energy expects to have the pipeline in service by the end of the year.