Posted 3/18/20 (Wed)
By Neal A. Shipman
Just a little over a month ago after officials of ONEOK, Inc. met in Watford City to celebrate the completion of their new Demicks Lake Gas Plant and the Elk Creek Pipeline, the company has now announced it has made adjustments for planned capital expenditures and is suspending two expansion projects that were planned in McKenzie County.
In an official announcement, the company said it was decreasing its 2020 growth capital guidance due to the current commodity price environment. ONEOK now expects capital-growth expenditures in the range of $1.60 billion to $2.40 billion with a midpoint of $2.0 billion, a decrease of approximately $500 million.
According to the company, it is suspending the 200 million cubic feet per day expansion of the Demicks Lake natural gas processing facility, the Demicks Lake III project and related infrastructure in the Williston Basin, as well as reducing the scope of the Elk Creek Pipeline expansion, with the ability to add pump stations incrementally to meet customer needs as necessary. In addition, the company is suspending the 100,000 barrel per day additional expansion of the West Texas LPG pipeline in the Permian Basin.
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