The Bakken's Impact On ND Is Absolutely Remarkable

The Crude Life

00:00 / 25 Minutes

North Dakota Lt. Governor Brent Sanford

Interview and summary by Genneca Houser

Lt. Governor Brent Sanford has a long family history in North Dakota and his own extensive life experiences that have certainly shaped the way he is able to understand the working of industry and commerce throughout the state, as well as helped him to be an effective leader.

It’s important to note Lt. Gov. Sanford’s previous experience to understand the extent of knowledge he has when it comes to what role the oil and gas industry have in the grand scheme of things within North Dakota. He’s a third generation business owner, served on Watford City Council for four years before he served as Mayor of Watford City for six years. Brent Sanford was helping to push for positive state policies since before ever being a part of the Governor’s administration and all of it has helped teach him effective methods of getting things done within the government.

“But I learned the state budget. I learned what it takes to get through the legislature and actually have bills passed that benefit your community because you have to compromise and show benefit for the rest of the state.” – Lt. Gov. Brent Sanford

Dean Bangsund, Nancy Hodur, and Brent Bogart have been looking into the effects of the oil and gas industry since around 2005 and a study (sponsored by Western Dakota Energy Association) outlining the impacts has recently been released. This paper may hold some critical information for everyone showing what areas of the state the revenue from oil and gas is coming from as well as where it’s going. (Spoiler Alert → the amount of money from oil and gas taking care of everyone might surprise you!)

“But our high taxes don’t help them [the oil and gas industry] but they really help the state residents and filling the coffers and keeping people with a fairly positive attitude about the industry itself.” – Lt. Gov. Brent Sanford

It will hopefully be used as a tool to educate everyone on the importance of the industry, but also should help to highlight just how much assistance the industry gives to everyone across the state. For anyone who says it’s all about money without consideration to the environment, that isn’t right either. In fact, money from oil and gas is partially responsible for the ability to take care of the environment.

“…the presumption that we are not stewards of our land, as far as our energy development and our agriculture, should be offensive to all of us because we are the best stewards of our land. We have the cleanest air and water in the nation; we’re proud of it.” – Lt. Gov. Brent Sanford

For anyone feeling wary about moving toward the oil and gas industry, the hope is that this study will help to show that there are still opportunities available. The average age of workers within the industry is getting younger and with that in mind there have been changes made to welcome more brilliant innovators into the industry by making programs and education available at the universities.

“So, hopefully this study just helps entrepreneurs and companies realize that there’s still brighter days ahead and the future is very positive and that the innovators always can make a buck in the world.” – Lt. Gov. Brent Sanford

This study may also be used to help bring about positive change on the federal level as Gov. Doug Burgum uses the information as a reference while urging other governors to put out initiatives in protest to those detrimental executive orders.

“For MHA Nation…90% of their revenues are derived from oil and gas activity. That helped make a difference on releasing those tribal minerals from the directives from the Biden Administration… So statistics on these studies are good backup for when you make your argument; that’s for certain.” – Lt. Gov. Brent Sanford

The “Resources Trust Fund” is another item that people may be confused about; it’s a fund put together almost entirely from oil and gas taxes. This money goes largely into local projects within North Dakota in order to offset the lack of federal money that is available today. The goal is to save the people from having to pay these taxes. Now compare this with other states…

“Our property tax burden from water development is almost zero compared to other states because of having the blessing of having those spoil tax dollars in the Resources Trust Fund. So, that’s unique to North Dakota.” – Lt. Gov. Brent Sanford

The reality for North Dakota is that the revenue from oil and gas is directly tied to the prosperity of the state because of how much else it pays for. It was clearly illustrated during the Covid Crisis of 2020 that as stock prices and revenue dropped, so did money for funding the needed projects for the state. That means cuts. But thankfully the discussion on the recent changes, specifically regarding the Dakota Access Pipeline, isn’t closed. In fact, there will be an important meeting with many big players in April to discuss moving forward.

“It’s something where there’s a lot of voices that understand that that pipeline has been there for three years fully legally permitted and no accidents and so if it’s forced to close/shut down, I think it’s going to be a real detriment to infrastructure development in our country.” – Lt. Gov. Brent Sanford

All we can do now is make sure to show support for those lawmakers representing what’s right in DC. Also, be sure to keep watch for what comes of the April meeting by checking out the releases on the Governor’s website!

Lt. Governor Brent Sanford Biography

Studies Highlight Impact Of Oil And Gas Industry On North Dakota’s Economy, Counties

The oil and natural gas industry in North Dakota accounted for more than $40 billion in gross business volume, nearly 60,000 jobs and over $3.8 billion in state and local tax revenues in 2019, according to one of two studies released today that highlight the industry’s substantial impact on North Dakota’s economy.

“These studies underscore the critical importance of the oil and gas industry to our state’s budget, economy and communities, as well as the need for state and federal policies that encourage responsible development of our abundant mineral resources,” Lt. Gov. Brent Sanford said during a press conference with those who conducted the studies.

North Dakota State University researchers Dean Bangsund and Nancy Hodur studied the economic contribution of oil and gas exploration, extraction, transportation, processing and capital investments in 2019, the most recent data available. Similar studies have been conducted every two years since 2005.

Click here to read the entire article and study

Sponsors, Music and Other Show Notes

Studio Sponsor: The Industrial Forest

The Industrial Forest is a network of environmentally minded and socially conscious businesses that are using industrial innovations to build a network of sustainable forests across the United States.

Weekly Sponsor: Great American Mining Co.

Great American Mining monetizes wasted, stranded and undervalued gas throughout the oil and gas industry by using it as a power generation source for bitcoin mining.

They bring the market and our expertise to the molecule. Their solutions make producers more efficient and profitable while helping to reduce flaring and venting throughout the oil and gas value chain.

Click here for website

Weekly Sponsor: Black Water Environmental

Black Water Environmental is a family-owned company with over 10 years of on-site industrial experience. Offering Inspections, Consulting, Coating Failure Analysis, Specification Writing, and Coating Application services, and many other services for Energy, Oil, Gas, and Municipal.

BWE was started in Moorcroft, Wyoming but has grown to a larger facilities to Gillette, Wyoming, where they can provide a better quality of service for their customers. What make BWE stand out from other company’s is their ability to provide the best materials and service possible in industry and that has given BWE the ability to building excellent relationships with customers and employees.

Click here for website