North Dakota Commits $500M to WBI Energy's Bakken East Gas Pipeline

The North Dakota Industrial Commission has formally committed up to $500 million in state financing to backstop a major new natural gas pipeline from the Bakken, according to a report from the North Dakota Monitor. The commission's unanimous vote on Tuesday, April 28, 2026, finalizes an agreement with WBI Energy for its planned Bakken East pipeline project.

The pipeline is designed to move 1 billion cubic feet of natural gas per day from McKenzie County in the heart of the Bakken oil field to central and eastern North Dakota. WBI Energy, a subsidiary of MDU Resources, expects to bring the pipeline into service by the end of 2030.

Governor Kelly Armstrong, who chairs the three-member Industrial Commission, said the project aligns with legislative goals. “The goal of the Legislature was both financial incentive and promotional incentive. I think both of those things are occurring,” Armstrong said, according to the North Dakota Monitor. “This is going to be great in the short term, and it’s going to be great for the long term for North Dakota.”

The commitment fulfills a 2025 legislative authorization of up to $500 million for a pipeline to connect western North Dakota's oil fields to the eastern part of the state. The Industrial Commission selected WBI Energy’s two-phase project for the financial backstop last summer over a competing applicant.

The state's financing is structured as a purchase of a portion of the pipeline’s transport capacity. Justin Kringstad, executive director of the North Dakota Pipeline Authority, stated that after a recent review of negotiated agreements with potential shippers and customers, the need for state support remained. “Those details were revealed, and the need remained for that $50 million per year from the state side to continue advancing this forward,” Kringstad said.

The vote comes as North Dakota marks the 75th anniversary of the modern oil discovery that launched its energy industry, according to a separate news summary. Crews first struck oil near Tioga on April 4, 1951.

For Bakken operators, the pipeline project represents a critical long-term solution for natural gas takeaway capacity. Moving 1 Bcf/d eastward could help reduce flaring in the oil field and provide a new market for gas currently constrained by pipeline limits. The state's financial guarantee de-risks the project, ensuring its advancement to support both current and future production.