An in-depth analysis of Bakken NGL infrastructure reveals a complex landscape of growth, take-away limitations, and rapidly evolving competitive landscape. While crude oil production currently stands at approximately 1.3 million barrels per day (BPD)—still below pre-COVID peaks—natural gas output with high natural gas liquids NGLs content has surged to nearly 3.5 billion cubic feet per day (Bcf/d), driven by a rising Gas to Oil Ratio (GOR) that has increased from 1.0 in 2008 to ~3.0 in 2024. Recent developments, such as Kinder Morgan’s decision to convert its Double H Pipeline system from crude oil to NGL service, reflect the shifting competitive dynamics within the region. Kinder’s Double H project will be in direct competition with ONEOK which exclusively controls southbound NGL outlet out of the Bakken. It appears that Kinder’s project will enhance overall competitiveness of Bakken NGLs.

Bakken NGL Infrastructure Overview The light, sweet crude produced in the Bakken has historically fueled the region’s economic engine. However, this oil-rich play also yields significant volumes of wet gas, requiring extensive processing. Currently, the Bakken boasts around 30 gas processing plants, extracting approximately 450,000 barrels per day of NGLs, with the potential to scale up to ~700 MBPD under optimal market conditions. The NGLs are transported out of Bakken via several outlets, including the Vantage ethane Pipeline, ONEOK Bakken Pipeline (Y-grade), Elk Creek Pipeline (Y-grade), Alliance Pipeline (wet-gas), and via rail/truck