North Dakota's Rig Count is Expected to be Choppy Going Forward

North Dakota's rig count will likely bounce up and down as oil prices oscilate around $80-90/bbl. Oil prices have recovered from below $80/bbl, but operated rig counts are showing a decline in activity in North Dakota.

"The largest drillers in the Bakken are all reducing their rig counts this month, although no one acknowledge a change in drilling plans," Sen said, citing a sharp drop in oil prices during June. That oil price drop cast doubts about the viability of shale production at prices below $80/bbl.

You can read more at ogj.com

Canadian Pacific - Smart Sand Partner to Supply Bakken Frack Sand

Canadian Pacific and Smart Sand are partnering to supply Northern White frac sand in the Bakken, Eagle Ford, Marcellus, and Utica shale plays. The first course of action being a transload facility in Makoti, ND, that will be in service early in 2013.

Smart Sand's primary facility, which opened in late June 2012 and is located on the CP rail line in Oakdale, Wisconsin, will supply premium Northern White frac sand in a broad range of mesh sizes to the new transload facility. Based on Smart Sand's initial processing capacity of more than one million tons per year, plus the company's extensive proven reserves, the facility will be able to quickly fulfill long- and short-term orders while providing direct rail access for unit trains.

Rangeland Energy's Bakken Shale COLT Rail Facility Open - June 11, 2012

Crude Oil Rail Car

The COLT (Crude Oil Loading Terminal) facility in North Dakota opened on June 11, 2012. COLT is operated by Rangeland Energy, LLC, and is the largest open access crude oil marketing terminal in the state. The facility provides marketing through unit trains and a 21-mile, 10-inch connector pipeline that ties into mulitple pipelines at Rangelands Dry Fork Terminal near Tioga. The pipeline provides direct access to both the Tesoro and Enbridge pipeline systems.

COLT's rail car loading facility is serviced by BNSF Railway. Storage and working capacity include:

• 720,000 barrels of working storage
• 120,000 barrels of tank storage
• Access to 120,000 barrels of tank storage at the Dry Fork Terminal
• Rail export capacity of 120,000 b/d
• Pipeline capacity to move 75,000 b/d

Rangeland has service agreements with both U.S. Oil Trading LLC (subsidiary of Astra Oil Trading N.V.) and Flint Hills Resources.

Read more about the company at rgldenergy.com