Updates
May 24, 2017: in default.
Original Post
For those of you who a) have nothing else to do; and, b) love to explore Google maps, here's a suggestion: look for the satellite view of the Port of North Dakota. [On September 11, Kent sent a link to a promotional flyer which shows how Port of North Dakota will be laid out.]
Hint: google map "55 Street East, Minot, North Dakota," and then move cursor to area west of 55 Street East, and just south of County Road 12. Then zoom in with satellite view to see the Burlington Northern yard to the east and the Port of North Dakota to the west.
Then, go to these two linked articles:
The Port of North Dakota became operational in 2008, shipping its first containers in 2010.
Also two years ago, North Dakota Port Services moved into a new building at the site, which company owner Greg Johnson said the port already has outgrown. Future development plans for the port include a new, larger headquarters building on property north of the existing site.And,
The port's 72 employees are far more than the 40 employees that officials figured the port would have four years into its operation. A year from now, Johnson estimated, the port could have in the neighborhood of 200 to 250 employees. As the proposed expansion gets built out, that number will grow. Future employment is unknown but could be as high as 2,000 workers.
Plans call for increasing the port's capacity to handle more business and larger trains. The port would add about 3,000 acres to the north of its existing, 139-acre site on Minot's east side, extending as far north as 46th Avenue Northeast. The existing site is south of Ward County Road 12 and west of Burlington Northern Santa Fe's Gavin Yard and 55th Street East.From forty employees projected to more than 2,000. And regardless of what POTUS thinks about this, I think it's pretty spectacular.
This port in itself could add 10,000 people to Minot. Some of the population proections for Minot, Surrey, Des Lacs, Burlington, etc are seeming more reasonable.
ReplyDeleteI had posted a note about the Port of North Dakota a long time ago, but had completely forgotten about it, until a reader sent me a note.
DeleteAgain, a "geographic shift." There is not much between Minneapolis and Portland/Seattle with regard to grain-loading terminals. Of course, there is Fargo. I find it interesting that someone saw the opportunity in Minot some years ago and took that opportunity. I could imagine another grain-loading Port of Montana somewhere near Havre. Placing a intermodal port in Minot was very, very clever.
We are cleaning out the home office today and I found a clipped-out WSJ article from 2006 that I figured you would find interesting. Here is a link-not sure if you are a subscriber. If not you can at least see the beginning.
ReplyDeletehttp://online.wsj.com/article/SB115698867539050201.html
It is a 2006 column by Joel Kotkin about the resurgence of North Dakota and the Great Plains in general. What I find most neat is that it is from August 2006 and IIRC, the Bakken boom really did not get going until later that year when EOG hit Parshall. Kotkin was very prescient in this case. He has written several columns recently about California's problems.
Wow, that's an incredible article. Thank you for sharing.
DeleteI have a print subscription to WSJ which allows internet access to WSJ, but I have never logged into WSJ -- don't ask why. Smile.
I digress. That's a great article and I will post it as a stand-alone.
The entire article can be read at the link at this post:
http://www.milliondollarwayblog.com/2012/08/the-great-plains-kotkin-wall-street.html
Like you, I am completely amazed he saw this in 2006, at least a year before things starting breaking (as in "breaking out") in North Dakota. Things were "popping" in Montana but nothing compared to what was about to happen in North Dakota.
I was impressed to see Senator Dorgan's name in the article. Politically, I was not in the same party as his, but I have to admit, I admire all he did for North Dakota. It was sad when he departed; he carried a lot of clout in the Senate. It takes time for new senator to get that same degree of clout, I suppose.
But anyway, a great article. Thank you. And as noted, folks who are interested, can read the entire article at the link.
Port of North Dakota...2,000 employees? Wow, that is really stretching it. Port of North Dakota is not anything unique or special. Do they realize they are working on a huge transport facility in Trenton? It will haul oil, and import large infrastructure materials needed for the oil industry. I'm not saying Minot's Port of ND is not needed or nice to have, but it will not be the only kid on the block and if I was to bet, the one in Trenton will probably be handling more of the oil field service and materials than Port of North Dakota. There is also an Oil loading facility in Epping (Rangeland) that is planning to expand as a transport facility. Bismarck also has one in operation. But they can dream about 2,000 employee's. I know Minot's leaders at one time thought they would be the "oil capital" of ND as well.
ReplyDeleteI won't argue regarding the "2,000" number; it did seem like a stretch. I don't have anything to compare it to. The co-location with the BNSF yard in Minot, which, by the way, is expanding, if I recall correctly, seems to be a plus for the Port, but I'm not an expert in the railroad industry, so it may mean nothing.
ReplyDeleteI was not aware that the Port of North Dakota was comparing itself to any other transport facility in North Dakota; it was simply an article on the Port. It is what it is. And based on what I read, it sounds spectacular.
I'll be watching for an article on the Trenton and the Epping transport facilities.
This was posted as an "anonymous" comment to another post, but I will also cut and paste and place it here, to expand on the Port of North Dakota, as a comment:
ReplyDeleteThe Port of ND is hard to get my hands around.
I don't see how it can create 2,000 jobs, but here is what I know.
They have acquired 3,200 acres for trains and cargo loading facilities. Word is 40+ miles of tracks.
What it is going to do is create activity in Minot? Trucks picking up and dropping off everything. So do the supplies stay in Minot short term or promptly moved out? I don't know. But it's a multiple of uses. Grain, oil, going out, materials coming in. There are too many items involving oil being discussed in and around Minot to discount. Time will tell.
I am curious where Minot comes up with some of their employment and population figures and estimates. I was checking the stats on Job Service ND website
ReplyDeletehttp://www.ndworkforceintelligence.com/analyzer/searchAnalyzer.asp?cat=HST_EMP_WAGE_LAB_FORCE&session=LABFORCE&subsession=99&areaname=&time=&geo=3822&blnStart=True
When you do the year to date of June 2011 to June 2012.
2011:labor force 2012:labor force
Minot 2011 labor force of 35,502 2012= 34,484
Williston 2011 labor force 24,774 2012= 34,747
Dickinson 2011 labor force 18,188 2012= 19,537
Minot has 548 LESS people in the labor force in 2012 than 2011
Williston has 9,973 MORE people in the labor force in 2012 vs 2011
Dickinson has 1,349 MORE people in the labor force in 2012 vs 2011
If Minot was booming, why are there less people working in Minot compared to a year ago?
Job Service has some really interesting statistics. You will also find that Ward county employees very few in the oil industry compared to Williams, Stark, McKenzie, Mountrail, Dunn. They list a few hundred at most vs Williams with nearly 10,000. I think some of these statistics are why some people question Minot (Ward counties) impact from the oil industry.
Great post; thank you. The numbers don't lie. I suppose I was getting ahead of myself (with regard to Minot) based on some anecdotal stories coming out of Minot over the past few days. There is no comparison between what is going on in Williston, Watford City, Dickinson and that of Minot. But just below the surface there are some things happening in Minot, and I guess that's what I was thinking about.
DeleteSo, we'll see how it all plays out. But you are correct. I was wrong....getting a bit too far ahead of myself.
I know the US governemtns Census in 2010 indicated Minot is up to 40,000 people. Obviously, you have to believe the census. But remember, this census was conducted BEFORE the flood. Also, this same census said Williston had only grown by a couple hundred people and had reached a population of 12,747 when many believed they were at least 15-16,000. So not sure how accurate the census is either. I do believe Minot is growing. But I think it is primarily because of the Air Force base increase of new personal and their families. Also, after the flood, construction is booming because of the rebuilding effort, not because thousands of people are moving in due to the oil boom in western North Dakota. The new housing going up is replacing the hundreds if not thousand or more homes destroyed or damaged during the flood. Just my observation and opinion.
ReplyDeleteGreat comment. I think you are correct. I was "ahead of myself" with regard to the impact oil is having on Minot. I had forgotten about the air base and it's new missions, new personnel. Without being there, I forget about the impact of the flood, also. Thank you for reminding me, and for sending such a great update.
DeleteMinot had pre flood approximate 1,800 hotel rooms that were at 90%+ capacity. If you drove through the parking lots it was all oil service vehicles. These people did not work in Ward County as someone noted earlier that Ward county has few oil workers, that is true, Ward county doesn't have many oil workers in the field, but they live in Ward county and drive to the oil Field. Pre flood, the town was full. What I mean by that rooms at motels were full, apartments were full, and very few houses were available. I sold my parents house in 2008 in 8 hours for 10k more than my dad wanted. That should have been an indication. 2009/2010, what was driving the fullness in Minot housing was a lack of building, pre 2008 about 30 new houses a year, 2009, 100 new houses, was the expansion of mission at the Minot Air Force. After the last BRAC commission, MAFB got an expanded mission with the B-52's, this led to in essence a 20 year lease on life for the base and an additional 900-100 military personal with related dependents. Factor this addition personal with the fullness of the communities housing that I have mentioned, Minot was strained for housing. Oil activity was starting in 2009/2010 but different than Williston in that the heavy trucks were not present but headquarters and other type of housing. Hess has been growing operations in Minot for years, renting the best office space in south minot for what I have hear is 15 year lease. IRET building next to the mall. Haliburton in late 2010 announced its facility that will employ 250-600 people. Baker Hughes in 2011 started building a similar facility as Haliburton that just opened, Enbridge has announced it will add 75 jobs in Minot, Key Energy just lowered its presence. Pumpco has a large facility east of town next to Haliburton. The energy park north of Minot which is 80 acres was empty 4 years ago is now full of energy related companies.
ReplyDeleteMoore Engineering, a West Fargo based engineering last year had no presence in Minot, today, 9 employees and looking to add 9 more. All due to oil related growth in western ND. That is what you are seeing in Minot right is oil companies and companies that are moving to Minot as a result of oil activity.
I am building housing in Minot so I follow it pretty close. Our first 68 units, approximately half are oil workers. But white collar, engineers, geologists, IT guys. Some are bussed to the fields.
I hate to say it the housing that is being rebuilt isn't helping those displayed by the flood, its too expensive. That is another discussion. For business I have been going to Williston for almost 7 years. A client had the opportunity to buy the emptry trailer court next to Williston airport so I was in Williston at that time and have been back to Williston quarterly. Minot is where Williston is 3 years ago. Busy, getting ready to boom. There is activity everywhere, with more on the horizon. Minot will run into same issues as Williston, Watford, Dickinson, they can only build so fast. It is projected Miont needs 7,000 housing units today (remember 4,000 were affected by the flood, so the growth is coming from somewhere), but at most 2,000 units can be built this year, the number is limited by the local government, 1 inspector and 1 engineer can only review so much construction. As such, Minot needs to grow, but can't grow fast enough, so it will behind the 8 ball for years. In addition, the infrastructure from the flood has not been repaired, plus it was needed to be expanded as well. All takes time and money. kent
Continued. Minot.
ReplyDeleteOther limiting factors. Money, its expensive to build in western ND. Someone mentioned Burlington will grow because its cheaper to build in Minot. I disagree with that statement, Burlington will be more expensive to build because of the cost of the water and sewer upgrades will be spread over a fewer number of people, Burlington and Surrey (to the east) will grow because of the need.
Getting back to Minot. Banks are recultant to borrow in Minot because of the stigma of the flood and the fact it doesn't have the high rents to support the risk of buiding in the bakken. 3 years ago in Williston you could build and apartment (less expensive) but get the high rents and pay off in 3-5 years. In minot the cost is high but the rate of return isn't there. So bankers are nervous. That is changing, as two of our projects recently got approved new banks entering the market. The Minot dynamic is changing as well. It is getting over the flood. Last year when I started selling lots, buyers wanted one or two bought with options. My second phase I have had out of state home builders wanting to pay cash for 100 plus lots at a time. I was in Minot Sunday meeting with New York investors. This time last year, you may have gotten a Minneapolis investor to think about Minot.
One final thing to note, oil and oil activity. If you look for information on the Spearfish formation, it is being talked about in more optimistic terms. It will never be the bakken, but its a viable oil play based on what I have seen. Spearfish activity is 45 miles north of Minot, thus Minot is servicing fields in two directions, but the item that is exciting to me is the fact I had the opportunity to lease the family minerals on the family farm 6 miles east of minot. The lease was 50/acre for 3 year lease. While on the surface not that much being offered, but in talking to friends from Stanley and Watford City, that is what was being offered out west 5-7 years ago, but it should be noted to that the last time the family was offered an oil lease was 1978. The fact that the land man told me over 25,000 was leased by this particular company( I heard it was a major) tells me Minot is on oil upswing, but also will also be a regional center for the same reasons that made it the hub that it was pre 2008.
I'm exhausted. Kent
Wow, thank you for that feedback. I'm glad that your computer did not crash while you were typing. (It's happened to me.)
DeleteI think the key takeaway is that a) there is more going on in Minot with regard to oil than a lot of us know; b) the "tea leaves" suggest there are oilmen who think there is a fair amount of oil to be recovered well east of Williston; and, c) the oil activity in Minot is just beginning. I do think the BNSF yard may end up being a bigger "positive" for Minot and oil than we realize today.
With a bigger airport and bigger rail facilities, Minot has 2 key advantages, that Williston doesn't have. Will be interesting to see if this leads to a different style of growth, than what Williston and Dickenson are getting.
DeleteI think the rail story will end up being a much bigger story than any of us imagined. TRN buying the DMI facility in Fargo; the Port of North Dakota/Minot BNSF yard; and, bring back diluent in otherwise empty tank cars are all huge stories and might be connecting dots.
DeleteWhat this map doesn't detail very well is the following. The 55th street bypass on the east side of this property is a new paved road. This connects to county road 10a to form the new Northeast bypass. This compliments the old nw bypass around minot.
ReplyDeleteOn the south side of the property is Gavin yards, which is the Minot BNSF car shop. THat has been expanded over the past few years (also difficult to get employees to work there), on the west side of this is the airport. So we have rail, air and truck all coming together in the one spot in northeast Minot.
Incredible. It will be fun to see this all come together.
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