SCHMID: LOOKING BACK FROM THE LEFT COAST - DECEMBER 26, 2013
Expect ND oil exploration and production to remain strong in 2014. In September, the state had daily production of 931,000 barrels from 9,700 wells. Another 2,000 wells may be drilled next year. Newly developing information: production in Bakken wells drops sharply after a year or two. That has major ramifications for future state budgets.
Don’t expect to see a lot more well sites. Pads that now have only one oil well may be expanded to as many as ten wells. In the short run, most oil will leave the state by rail. Currently, about 63 percent is carried by rail; next year, it may move up to 90 percent. This is not because of the relative availability of pipelines and rail -- it’s because rail is better at reaching high-priced markets.
“This is the only base in the world where you have two legs of the triad (B-52s and intercontinental ballistic missiles) so it's a very important place for America and for the world and we're proud to be here." -- A member of the House Armed Services Committee visiting Minot AFB. A humor magazine once described ND as a leading nuclear nation. A $31 million maintenance shed for the B-52s is under construction at the base. The B-52s are approaching 60 years of age and are kept alive by politicians from states where squadrons are based.
Jamestown has its own economic stimulus program. Construction will begin next year on the $155 million Dakota Spirit ethanol plant which will employ 275 people during construction. A short time later, construction may begin on the $1.4 billion CHS nitrogen fertilizer plan.
During the California Gold Rush, it is said that those who made lasting fortunes were the business people who sold picks and shovels to the miners. There is no shortage of entrepreneurs in the ND Oil Patch. Stallion Oilfield Services has an ad in the online Forum for “Hot Shot Truck Drivers.” The same day the Bismarck Tribune reported Stallion had been fined $2.6 million by Williams County for operating 54 man camp units when only 25 were authorized. The “Hot Shots” need someplace to sleep.
Minnesota has taken a beating recently about its difficult tax and regulatory environment. In a letter to the GF Herald, Gov. Mark Dayton struck back. He said, “We are not a low-tax haven . . . we choose to be a high value state . . . we offer the very best health care, recreation, quality of people and quality of life anywhere.”
Many obituaries these days include fond, sometimes flowery remembrances of the deceased, often written by relatives. Dan Bayless of Elk River, MN, received this sendoff: “One would have to search far and wide to find a more irascible, bitter, cynical, and dismissive S.O.B. than my brother, Dan.” Kind thoughts were also included.
Pathways to Student Success is a proposal to establish more rigorous admission standards for ND public college students. Tom Dennis of the GF Herald is concerned that Larry Skogen, the new chancellor of the University System, and some members of the Board of Higher Education may bow to pressure to weaken the standards. Dennis said, “That would be a mistake. A much better approach would be to phase in the plan’s higher standards more gradually over time.” As to those who demand to be admitted to UND or NDSU, Dennis said, “If you want to be admitted into a research institution, prepare for it. If not, go to the college you are prepared for, and prove your ability there.”
For decades the Phi Delta Theta fraternity at UND was known as the home of hard-drinking slackers. The chickens finally came home to roost in 2011 when a sizable portion of the fraternity was charged with drug offenses. The national organization suspended the fraternity and their house has been vacant since. In what may be considered either good or bad news, the fraternity is coming back to life at UND in the form of a “colony,” a step on the road to reinstatement.
The Fargo Forum has a weekly feature called “It’s My Job,” a profile of unusual occupations. This week it was Camilla Jamal, a Somalian refugee and Concordia graduate who directs an interpretation center assisting Somalis in Fargo-Moorhead. Jamal’s philosophy: “I feel like everybody has the right to get whatever they want. This person who doesn’t know English, who doesn’t have an education, has a right to get jobs, money, a living. A simple living. They should be treated the same.”
The Fargo Crime Report: The federal ATF is offering a $5,000 reward for the two masked gunmen who knocked off the Mister Money store. The robbers are described as dark-skinned men with East African accents . . . Vanessa Scott (24) became annoyed and backed over Benjamin Gartin with her Grand Am. Why would she do a thing like that? Gartin was attempting to take a photo of her license plate after he saw Scott perpetrate a hit-and-run.
What do Devin, Donald, Doree, Desiree and Dustin have in common? The Grand Forks Keplin siblings either are in jail, have been to jail or are going to jail for felony drug charges. Methamphetamine is the family specialty.
THIS AND THAT: Three years ago, about 1,500 people were estimated to live within two miles of Watford City -- today, the estimate is 12,000 . . . Would little Spiritwood Township (near Jamestown) rip off the owner of a proposed fertilizer plant. Yup! Historically, their charges for building permits have been $1 per $1,000 of construction cost. Nobody contemplated a plant costing over $1 billion -- Spiritwood may compromise and accept a $250,000 fee . . . Can ranching be a little risky? You bet! A Morton County rancher lost 44 cows and 80 calves when they fell through ice on the Cannonball River . . . The F-M Chamber of Commerce called on Minnesota to repeal numerous new taxes, which the Chamber calls “stifling.”
DAKTOIDS: It’s about time. Standard & Poor’s upgraded ND’s credit rating to AAA, the highest rating. Among other strengths, S&P noted the state’s “strong government framework and management” . . . Sanford Health, which is beginning to dominate the Dakotas, has formed a strategic alliance with Benefis Health System, a health care provider based in Great Falls that serves a 15-county area of rural Montana.