ND Wins $36M for EOR, Settles DAPL Protest Cost Case
Federal funds boost Bakken oil recovery while a near-$28M judgment against the U.S. government is set to be vacated as a settlement is finalized.
A federal judge has signaled he will vacate a nearly $28 million judgment against the federal government related to Dakota Access Pipeline protest costs, according to Bing News. The move allows North Dakota and the federal government to finalize a settlement agreement.
The lawsuit, filed in 2019, argued the federal government allowed protesters to camp on federal land during demonstrations near the Standing Rock Sioux Reservation in 2016 and 2017. This led North Dakota to spend millions on law enforcement and cleanup efforts. North Dakota U.S. District Court Judge Daniel Traynor ruled in favor of the state in April 2025, ordering the federal government to pay $28 million.
During a hearing on Friday, May 8, 2026, attorneys for both parties stated North Dakota is still expected to receive a payment from the federal government, though the amount has not been disclosed. According to court testimony reported by the North Dakota Monitor, the Department of Justice wants Traynor’s rulings vacated as part of the settlement to avoid the legal findings influencing future cases.
Separately, North Dakota is receiving a significant federal investment aimed directly at boosting oil production. According to Bing News, Senator John Hoeven announced the state is receiving $36 million from the Department of Energy for enhanced oil recovery (EOR).
Enhanced oil recovery techniques, such as carbon capture and storage, are critical for extending the life and output of wells in the Bakken formation. This direct federal funding supports the state's efforts to maximize resource extraction and improve operational efficiency for Bakken operators.
The two developments represent distinct financial impacts for North Dakota. The pending settlement resolves a long-standing claim over costs incurred during the DAPL protests, which were a major event for the state's oil industry and infrastructure. The $36 million EOR grant provides forward-looking capital for technological advancement in the oilfield.
For Bakken operators and royalty owners, the EOR funding is a tangible investment in the future productivity of the region. The resolution of the protest cost case, while not yielding the full initial judgment, provides closure on a historic event that required substantial state resources related to a key pipeline project.
Source
Bing News (Federal judge signals he will vacate $28M DAPL protest judgment as settlement nears, published 2026-05-11; North Dakota receives $36 million in federal money for enhanced oil recovery, published 2026-05-11)
