Last week Oklahoma-based natural gas company Oneok reported that it was on schedule to connect over 700 wells in the Williston Basin by the end of this year, and more than 600 next year.
As reported by Reuters, Oneok Partners CEO Terry Spencer said the company has already connected more than 260 new wells in the Bakken region during the second quarter. So far this year, the company has made over 560 new well connections to its systems. In a statement, Spencer said, “Our natural gas liquids and natural gas gathering and processing segments continued to see volume growth in the second quarter 2015, which we expect will ramp up more significantly in the second half of the year.”
In the company’s second quarter conference call, referring to the subsidiary Oneok Partners, Spencer said, “There continues to be an inventory of flared gas in the Williston basin, and we estimate approximately 145 million cubic feet per day is dedicated to the partnership, with the majority of the wells flaring already connected to our system.”
Currently, there are about 40 rigs drilling in the most productive areas of the Bakken and on Oneok’s dedicated acreage. The company is active in the core areas of northeast McKenzie, northern Dunn and southern Williams Counties. Spencer said, “We expect Williston Basin volume in the third quarter to reach approximately 650 million cubic feet per day as we continue to bring on additional field infrastructure.”
The Bakken is also currently home to over 900 wells that have been drilled but are awaiting completion. In a statement, Spencer said, “Continued producer activity in the high-return areas of the basin, flared natural gas inventory, new natural gas compression and a large backlog of uncompleted wells being added to our systems all in the Williston Basin, and new well connections in the Mid-Continent, will be the largest contributors to these [increased] volumes.”