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Butte County could host new natural gas pipeline

Butte County could host new natural gas pipeline
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The Butte County Commission is considering whether to allow installation of a natural gas pipeline along county roads in the north central section of the county.

The project, proposed by American Oil & Gas, would connect wells now being drilled in neighboring Harding County to an existing compressor station and pipeline. Company engineer Neal Neumiller from Casper, Wyo., said the new six-inch-diameter steel line would be buried five to six feet deep along the public right of way.

The line would extend from the wells to the compressor, near U.S. Highway 85, and then 20 miles west to the Williston Basin Interstate pipeline. That is an existing main line, and neither project is related to a proposal by a Canadian firm to extend an oil petroleum line through Montana, South Dakota and Nebraska.

American Oil & Gas land agent Mike Bullock of Denver said his company will pay the county about $60,000, a one-time fee, for the access. Neumiller said the firm would like to install the pipeline as soon as the end of this year.

He said if the Harding County wells produce as anticipated, it is possible additional wells could be drilled in Butte County.

"We figure that, hopefully, we can get a lot more gas out there," Neumiller said.

County State's Attorney Timothy Vander Heide said he would check on similar pipeline right-of-way contracts so the commission can act on the request.

Copyright 2012 Rapid City Journal. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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