The gas plant expansion, which is part of the company’s more than $1.5bn infrastructure investment between 2012 and 2014 in North Dakota, provides a substantial improvement in efficiency as well as significantly reduces the amount of natural gas flared at Hess’s operations.
Ethane from the Hess’s Tioga Gas Plant, which is capable of processing about 120 million standard cubic feet of gas per day (MMSCFD), will be transported to a petrochemical complex in Alberta, Canada, through Vantage pipeline.
Hess chief executive officer John Hess said that the Tioga Gas Plant was built in 1954, which is three years after the company drilled the first oil well in the state of North Dakota.
The upgraded plant is expected to soon process at least 250 MMSCFD with the potential to increase beyond 300 MMSCFD through the combination of Hess and third-party gas.
US Senator John Hoeven said that the new expansion more than doubles the plant’s capability to produce natural gas, more than triples the amount of propane for North Dakota and the region while significantly reduces flaring in the oil patch.
"We appreciate the tremendous investment Hess is making in North Dakota, which amounts to $1.5 billion not only for this expansion, but also for four new gas gathering projects the company expects to complete by the end of the year," Hoeven added.
