TULSA — ONEOK Partners LP announced Thursday it plans to invest $980 million to and $1.1 billion in the next two years on projects in Texas and North Dakota, the same day the company's leaders said it would increase its quarterly cash distribution.
Tulsa-based ONEOK Partners said it plans to build a new natural gas fractionator in Mont Belvieu, Texas, that will be able to process about 75,000 barrels a day, as well as a new 40,000-barrel-per-day ethane and propane splitter in the same area.
In North Dakota, ONEOK will build a 100 million-cubic-feet-per-day natural gas processing facility in eastern McKenzie County in the Bakken Shale in the Williston basin. It also will increase capacity on its Bakken NGL Pipeline to 135,000 barrels per day, up from 60,000 barrel a day.
“These projects reflect our continuing commitment to provide natural gas processing, NGL fractionation and transportation capacity to producers actively developing shale places within our operating footprint,” said Pierce H. Norton, ONEOK Partners' executive vice president and chief operating officer.
The same day, the company announced that its quarterly cash distribution would increase to 65 cents per unit, up from the previous 63.5 cents per unit. Unit holders that have ONEOK Partners' units as of Aug. 6 will be eligible for the Aug. 15 distribution.
The partnership's units closed at $57.27, up 64 cents, or 1.13 percent.