North Dakota Mineral Resources director Lynn Helms said the state’s oil industry will eventually need carbon dioxide from out of state sources for enhanced oil recovery.
The North Dakota Public Service Commission rejected an application by Summit Carbon Solutions to build a pipeline that would bring CO2 from ethanol plants in the Upper Midwest to be stored underground in North Dakota.
Helms would not comment on the PSC’s decision directly. But in his monthly “Director’s Cut” briefing, he talked about the importance of bringing CO2 from out of state to North Dakota for enhanced oil recovery.
"Carbon dioxide has got to come to North Dakota from somewhere, if we're going to stabilize and sustain Bakken oil production," Helms said. "So, we've got to find a way for carbon capture and utilization to become a part of North Dakota's economy, or we will leave billions of barrels of oil in the ground."
Summit had said it would re-apply for the permit. The PSC said it has not yet received anything from Summit on that.
In a statement, Summit said its plans are only for CO2 to be stored safely underground, and it has no plans to use the stored CO2 for enhanced oil recovery.
There are CO2 storage and utilization projects in North Dakota — at the Great Plains Synfuels Plant, at the Rainbow Energy Coal Creek Station and "Project Tundra" at the Milton R. Young power station. A pipeline also brings CO2 from Wyoming to the southwestern part of the state, for enhanced oil recovery.