Exec: Davis Refinery Not Affected by Dakota Prairie Refinery Sale

BELFIELD — The company trying to build an oil refinery just three miles from Theodore Roosevelt National Park in Billings County isn’t slowing down its efforts, even after the Dakota Prairie Refinery sold at a loss earlier this week.

Thomas Johnson, chief operating officer of California-based Meridian Energy Group, said Tuesday’s sale of the Dickinson diesel refinery doesn’t affect his company’s goal of building the Davis Refinery, which would process 55,000 barrels of Bakken crude a day.

“We did economic modeling, what our costs are going to be and concluded that we’re going to make some profits there in the Bakken and the Belfield area,” Johnson said.

Tesoro bought the Dakota Prairie Refinery from MDU Resources Group and Calumet Specialty Products, which broke ground on the refinery in 2013 and opened it in May 2015.

Johnson pointed to the Davis Refinery’s efforts to build a refinery that’ll produce gasoline, jet fuel and ultra-low sulfur diesel fuel as the difference between its plans and the Dakota Prairie Refinery, which processed 20,000 barrels of oil into around 8,000 barrels of diesel fuel a day, along with a set of byproducts.

MDU Resources spent $430 million on the refinery and reported that it lost $7.2 million in its first quarter of operations. The refinery’s construction was plagued by cost overruns and construction delays.

Johnson said he was involved in the building of PetroMax Refining, a 25,000-barrel-a-day refinery in Houston that opened last year, and said Meridian is using a similar business model with the Davis Refinery.

“We were successful last year, so we fully anticipate being successful this time,” Johnson said. “The key is not to get into a situation like Dakota Prairie. It’s unfortunate what happened, but it is a good lesson to learn.”

In an effort to rally community support for the Davis Refinery, Meridian is hosting a public gathering at 5 p.m. Tuesday atop Buck Hill, the highest point in Theodore Roosevelt National Park’s South Unit.

Opponents of the refinery have said it will be clearly visible from Buck Hill, and have used that as ammunition to stop it from being built.

“Basically, we want to give everybody kind of an opportunity to see that the view from Buck Hill towards the refinery,” said Adam Williams, Meridian’s director of corporate communications. “We’re going to have some surveyors out and we’ll be floating several large weather balloons at the exact height as the top of the crude tower from grade. We want to do all we can to give people an opportunity to see what the effects will be, or if there’s any visual line of sight from Buck Hill. My guess is it won’t be too visible from the naked eye.”

The Billings County Commission is scheduled to discuss the Davis Refinery for its third straight monthly meeting at 9 a.m. Wednesday. Williams said Meridian CEO Bill Prentice plans to attend the meeting, along with several other of the company’s key players.

Editorial: Belfield street assessments should have been handled better

Belfield’s streets need to be fixed. There’s no doubt about that. Complaint after complaint is heaped on the city by both residents and visitors regarding the state of its streets, and clearly something must soon be done. A special assessment to property owners, offset by oil-impact “surge” funding dollars, is the most logical way to do this.

However, considering the individual price tag associated with these improvements, it’s safe to say Belfield leaders went about informing property owners the wrong way.

When your citizens stand to pay thousands of dollars in extra taxes over an undetermined length of time for a city infrastructure project, it’s best to involve them as much as possible — not to hold a couple meetings and then send them a bill eight months later.

Continue reading “Editorial: Belfield street assessments should have been handled better”

Billings County sheriffs continue search for fugitive

RURAL BILLINGS COUNTY — The Billings County Sheriff’s Department has identifi ed the alleged fugitive authorities are searching for throughout western North Dakota.

The search continued Friday for Jeff Robertson, who is suspected of rolling a stolen pickup truck off U.S. Highway 85 in northeast Billings County on Thursday and then fleeing the scene.

Billings County Sheriff Pat Rummel said they have identifi ed Robertson as the suspect, though his age and city of residence is unknown. He is described as being white, and around 6-foot, 180 pounds and is balding with sandy brown hair.

The Billings County Sheriff’s Department found an employee identification card in the pickup, which it used to confirm Robertson as the suspect who allegedly exited the pickup following the accident after interviews with witnesses.

Rummel said the department has found articles of clothing believed to belong to Robertson, who allegedly stole a 1996 blue Ford F-350 in Billings, Mont., and rolled it off the highway 12 miles north of Belfield.

 “We’re just trying to follow his trail to see where he went,” Rummel said.

Continue reading “Billings County sheriffs continue search for fugitive”

Authorities search for man in Billings County: Alleged car thief who fled scene of accident still on the loose

NEAR GORHAM — Several local law enforcement agencies, including the Southwest Tactical Team, spent all of Thursday afternoon and evening searching for a man who allegedly rolled a stolen pickup truck he was driving on Highway 85 about 12 miles north of Belfield and fl ed from the scene.

The man, who as of 9:30 p.m. still hadn’t been located, is described as being white, and around 6-foot, 180 pounds with sandy brown hair. According to a witness, he was last seen wearing a red-brown plaid shirt and had an arm injury likely caused by the rollover, Billings County Sheriff Pat Rummel said.

The 1996 blue Ford F-350 pickup, which had been reported stolen in Billings, Mont., came to a rest on its side in a ditch after the rollover. According to a witness, Rummel said, the man exited the vehicle and ran into a sunflower field west of the highway near milemarker 87.

Authorities are unsure if the man is armed, but said.22-caliber shells were found in the pickup. Because of this, authorities are asking the public not to approach anyone fitting his description and to instead call 911 immediately.
Continue reading “Authorities search for man in Billings County: Alleged car thief who fled scene of accident still on the loose”

Safety first: MBI offers unique training program — slowly

BELFIELD — Troy Ohlhausen never lets the needle on his pickup’s speedometer go beyond 10 mph when he’s on an oilfield site — even if the site where he’s driving is nothing more than a simulation.

As Ohlhausen drove slow and steady around MBI Energy Services’ training facility Thursday, he pointed out truck drivers training to haul crude oil by first spending time in classrooms, tank batteries set up to show employees proper safety techniques, and even one trucker undergoing a quality control check on how to properly put chains on his truck’s tires.

“You can do training out in live operations, but it’s so fast,” said Ohlhausen, MBI’s director of training. “Everything is fast-paced. We slow it down out here.”

Continue reading “Safety first: MBI offers unique training program — slowly”