MDU to Build Natural Gas Pipeline to Doosan Bobcat Factory

Montana utility to proceed with a natural gas pipeline construction project in North Dakota.

BISMARCK, N.D. (AP) — Bismarck-based Montana Dakota Utilities is building a $13.8 million pipeline to provide natural gas to a South Korea-owned manufacturing facility in southeastern North Dakota.

MDU says construction of the 12-inch, 21-mile long pipeline to the Doosan Bobcat Inc.’s factory in Gwinner will be complete in September 2018.

The North Dakota Industrial Commission earlier approved $10.5 million in financing through the state-owned Bank of North Dakota. Regulators also granted the project a certificate of public convenience and necessity, which means traditional permits aren’t necessary.

Doosan Bobcat signed a 15-year contract with MDU to get gas from the pipeline, which is fed Alliance Pipeline’s system that extends from western Canada to a Chicago hub.

North Dakota natural gas helps feed that pipeline at two points in the western part of the state.