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North Dakota: State Proposes Rules for Bakken Crude Content

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On November 13, in an effort to improve the safety of oil transport, the state’s Industrial Commission released draft regulations on the liquid content for Bakken crude oil and mandates that equipment used to produce Bakken crude. The rules set operating standards for equipment and prohibit blending of condensate or natural gas liquids back into crude oil. The additional safety requirements are expected to impose added costs on producers and diminish the value of some natural gas liquids, but these costs are not expected to be substantial. Public comments were received through November 19. The commission is expected to finalize the rule by December 11 to be effective February 1, 2015.

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